Strapped for cash: Vancouverites among the worst in Canada for debt

Sep 6 2022, 6:30 pm

With Vancouver’s sky-high rents and country-leading gas prices, it may be no surprise that many live in debt.

According to a new report, the average debt load in Vancouver is about $22,700, an increase of nearly 4% from the same time last year.

That’s according to Equifax Canadaā€™s most recent Market Pulse consumer credit trends and insights report for Q2 2022, which revealed that many Canadians have some pretty high debt loads.

Topping the list by city was Alberta’s Fort McMurray, with a staggering average debt of $36,640, followed by Calgary at $24,912 and Edmonton at $24,345. Vancouver placed fifth overall.

The lowest average debt load for a major city was Montreal, at $16,422.

Equifax Canada

When it came to each province, it’s no surprise that Alberta led Canada with an average debt of $25,056. Newfoundland came in second place, while Saskatchewan came in third.

BC finished at the bottom of the list and also ranked among the lowest for delinquency rates.

Equifax Canada

ā€œThe cost of living has been increasing across Canada and indeed globally with rising inflation being seen across essentials like housing and energy as well as many other goods and services,ā€ said Rebecca Oakes, vice president of Advanced Analytics at Equifax Canada, in a news release.

ā€œFinancial stress is becoming a very real thing for many more Canadians. Its impact on consumer credit is not just visible in day-to-day credit card spending, but also in other non-mortgage debt like auto loans and lines of credit, where balances are on the rise.ā€

According to the report, credit card spending is also reaching historic high levels, with the average credit limit on new cards at over $5,800, the highest it has been in the last seven years.

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