Today, millions of people in Canada are swamped with debt; whether it is credit card debt, personal loans, monthly expenses or mortgage payments, it can all become overwhelming. According to the recently released report from CGA-Canada, the debt-to-income ratio is at an all time high in 2011. Canadians with an income of $50,000 and under are more vulnerable to fall into a debt trap. The CGA survey identified some major concerns related to the level of indebtedness.
- Concern 1: No improvement in household balance sheet- 40 per cent of people whose income decreased, fell deeper in debt
- Concern 2: Household’s ability to pay deteriorates- The decreasing personal savings rate continued since 2008. A majority of respondents did not experience a positive change in their income.
- Concern 3: No significant regional differences in Pan-Canadian perspective- 27 per cent of residents in Manitoba and Saskatchewan and 47% of Albertans reported an increase in their debt level compared to Canadian average of 35 per cent.
Being in a debt is a matter of great concern. However, if you are buried deep in debt help is available. One solution is credit counseling in Canada from a reputable credit counseling company like DebtManagers, which is government licensed to assist you in managing your debt.
DebtManagers works with you to evaluate your current budget and formulate a plan for you to become debt free. When you come to DebtMangers, a consultant will work with you to develop a plan that will reduce your debt and help you adopt better budgeting practices.
Credit counseling in Canada will help you learn how to manage your finances more efficiently. If you have outstanding bills that you cannot afford to pay, a consultant at DebtMangers can provide numerous debt management solutions like debt consolidation and budget planning.