Canadalend.com, the Country’s Leading Private Mortgage Provider, Weighs in on Record Canadian Household Debt

Canadalend.com reacts to record Canadian household debt and how record low interest rates make it a great time to consolidate debt.

Canadalend.com, the leading low-cost, private mortgage solution provider in the country, reacts to data showing Canadian household debt has risen to record levels. Canadalend.com also weighs in on near-record low interest rates and why it’s a great time to refinance or consolidate debt.

According to recently released data from Statistics Canada, Canadian household debt (compared to income) set a new record in the third quarter as the rate of borrowing outpaced the growth in disposable income. Leverage was measured by household credit market debt to income and was found to have increased from 162.7% in the second quarter to 163.7% in the third quarter. The household credit market debt includes consumer credit, mortgages, and other loans. (Source: “National balance sheet and financial flow accounts, third quarter 2015,” Statistics Canada, December 14, 2015; http://www.statcan.gc.ca/daily-quotidien/151214/dq151214a-eng.htm.)

“This represents the second quarter in a row that this measure has increased and it is not an insignificant number,” says Bob Aggarwal, president of Canadalend.com. “What this data means is that for every dollar that a Canadian earns, they owe roughly $1.64 of disposable income to banks, credit card companies, and other lenders,”

Aggarwal explains that for whatever reason, Canadians can become overwhelmed with debt, whether it’s from a lost job, unexpected expenses, or overspending during the holidays. These debt levels can put even more stress on daily finances should interest rates start to rise.

“Those overwhelmed with debt can overcome the day-to-day stresses through debt consolidation. Doing so can help Canadian consumers consolidate several debts into one easy payment,” Aggarwal adds. “They could also refinance a first or second mortgage into a single monthly payment with one interest rate, which will be significantly lower than what credit cards charge. And with interest rates still near record low, now is the perfect time to take advantage of the equity built up in the home.”

Canadalend.com is one of the largest, most trusted private mortgage brokers in Canada, with skilled independent, licensed professionals helping Canadians coast to coast. Canadalend.com provides its clients with residential and commercial mortgages, home equity credit, debt consolidation, and addressing financing concerns.

Contact Info:
Name: Bob Aggrawal
Email: Send Email
Organization: Canadalend.com
Address: 15 Wertheim Court, Suite 611, Richmond Hill, ON L4B 3H7
Phone: (905) 881 0242
Website: http://www.canadalend.com/

Release ID: 100966