Albertans are growing concerned about their ability to make their loan payments.
As affordability struggles continue and interest rates rise, debt worries among Alberta households are at an all-time high. According to a new report by MNP, previously known as Meyers Norris Penny, 72 per cent of Albertans are worried about their ability to pay their debts as interest rates rise. Many in our province now regret the amount of loans they have taken on.
Across the country, over half of Canadians are reporting they are $200 or less away from being unable to pay their bills. This number includes the 35 per cent of Canadians who say they are already unable to meet their financial obligations.
“Battered by inflation and higher interest rates, a record number of Canadians say they can’t pay their bills and debt obligations each month,” says Grant Bazian, President of MNP LTD.
“The escalating burden of household bills and food prices has intensified Canadians’ financial anxiety — and is further compounded by increased debt-servicing costs, particularly for those who are deeply indebted.”
The number of Alberta residents feeling the pinch from higher interest rates now stands at 74 per cent.
“Already weighed down by inflation and high borrowing costs, a record number of Albertans are concerned about being able to manage their debt as interest rates rise,” says Donna Carson Alberta-based Insolvency Trustee with MNP LTD.
The Bank of Canada is making another interest rate announcement today with many analysts expecting another increase in interest rates.
