Canadian Debt Soars
Canadians now carry more debt as a percentage of their disposable income than American consumers, according to a report released on Tuesday, posing new risks for lenders and challenging Canada's reputation for financial prudence.The ratio of debt to disposable income has increased to more than 130 percent, the Deloitte & Touche consulting group report said. It is a troubling sign for Canadian banks, which have seen their credit card balances increase by almost 40 percent since 2004, it said.The global credit crunch in placing unprecedented stress on Canadian credit card companies, which could ring up similar losses to their U.S. counterparts, the report warned.
No comments:
Post a Comment