Amount Canadians owe relative to income continued to tick higher in third quarter

Advertisement

Advertise with us

OTTAWA - Statistics Canada says the amount Canadians owe relative to their income climbed higher for the fourth consecutive quarter. 

Read this article for free:

or

Already have an account? Log in here »

To continue reading, please subscribe:

Monthly Digital Subscription

$1 per week for 24 weeks*

  • Enjoy unlimited reading on winnipegfreepress.com
  • Read the E-Edition, our digital replica newspaper
  • Access News Break, our award-winning app
  • Play interactive puzzles

*Billed as $4.00 plus GST every four weeks. After 24 weeks, price increases to the regular rate of $19.95 plus GST every four weeks. Offer available to new and qualified returning subscribers only. Cancel any time.

Monthly Digital Subscription

$4.99/week*

  • Enjoy unlimited reading on winnipegfreepress.com
  • Read the E-Edition, our digital replica newspaper
  • Access News Break, our award-winning app
  • Play interactive puzzles

*Billed as $19.95 plus GST every four weeks. Cancel any time.

To continue reading, please subscribe:

Add Free Press access to your Brandon Sun subscription for only an additional

$1 for the first 4 weeks*

  • Enjoy unlimited reading on winnipegfreepress.com
  • Read the E-Edition, our digital replica newspaper
  • Access News Break, our award-winning app
  • Play interactive puzzles
Start now

No thanks

*Your next subscription payment will increase by $1.00 and you will be charged $16.99 plus GST for four weeks. After four weeks, your payment will increase to $23.99 plus GST every four weeks.

OTTAWA – Statistics Canada says the amount Canadians owe relative to their income climbed higher for the fourth consecutive quarter. 

The agency says the ratio of household credit market debt as a proportion of household disposable income was 176.7 per cent on a seasonally adjusted basis, up from 176.3 per cent in the second quarter as debt continued to grow faster than income.

In other words, Statistics Canada says there was $1.77 in credit market debt for every dollar of household disposable income in the third quarter.

A person uses the calculator app on their phone and works on a spreadsheet in a photo illustration made in Toronto, on Monday, Sept. 22, 2025. THE CANADIAN PRESS/Sammy Kogan
A person uses the calculator app on their phone and works on a spreadsheet in a photo illustration made in Toronto, on Monday, Sept. 22, 2025. THE CANADIAN PRESS/Sammy Kogan

The household debt service ratio — measured as total obligated payments of principal and interest on credit market debt as a proportion of household disposable income — was 14.64 per cent in the third quarter, down from 14.68 in the second quarter.

The results came as the pace of household credit market borrowing eased to a seasonally adjusted $33.5 billion in the third quarter, compared with $34.5 billion in the second quarter. 

Mortgage demand dropped to $23.4 billion from $27.8 billion in the second quarter, while demand for non-mortgage debt increased to $10.1 billion from $6.7 billion in the second quarter.

The seasonally adjusted stock of household credit market debt grew 1.0 per cent to nearly $3.2 trillion in the third quarter of 2025, with mortgages accounting for almost 75 per cent of the total.

This report by The Canadian Press was first published Dec. 11, 2025.

Report Error Submit a Tip

Business

LOAD MORE