If you’re like many Canadians, you’re probably feeling blue because of all the red ink on your statements.
Statistics Canada says the household debt-to-income ratio now stands at 164.6 per cent, which is about the same level reached in the United States before the now infamous 2007-2008 financial crisis.
Experts including Finance Minister Jim Flaherty and Bank of Canada Governor Mark Carney have repeatedly warned that Canadians are borrowing too much money, leaving us vulnerable if interest rates rise or we lose our jobs.
Both have advised Canadians to pay off their bills as soon as possible while attempting to reduce levels of new debt taken on.
The Bank of Canada is expected to keep interest rates steady for at least the next while, meaning Canadians will likely have some time to get their debt levels reduced.