Canadian balances up on installment loans, down on credit cards
Posted June 11, 2015 8:29 am.
This article is more than 5 years old.
VANCOUVER (NEWS 1130) – Canadians are shifting their debt from credit card balances into installment loans, says credit reporting firm TransUnion in its quarterly analysis of credit trends.
Balances on installment loans were up three per cent from a year ago, while credit card balances were at the lowest in four quarters.
TransUnion research director Jason Wang says “Even for consumers with ample credit card limits, the high interest rates on those cards makes the choice a relatively easy one.”
The report says Canadians’ overall non-mortgage debt was stable in the first quarter. TransUnion says Vancouverites were carrying an average of about $24,000, down by half a per cent. While that’s about $4,600 more than people in Toronto, it’s $4,300 less than the average Calgarian.
Delinquency rates are sharply lower. TransUnion say the number of people in BC with debt that’s at least 90 days past due fell more than five per cent. The delinquency group makes up less than three per cent of all BC debtholders.
