Alberta Consumer Debt Worries

The most recent MNP Consumer Debt Index survey released this week found that 48% of Albertans feel they are hovering close to financial insolvency at the end of the month, just $200 or less away from not being able to pay their bills. This includes one in four (27%) who say they have no wiggle room at month-end, as they already don’t make enough to cover their bills and debt payments.

In addition, the report boldly states:

• Albertans are the most concerned about their current level of debt, the most likely to regret the amount of debt they have taken on and the most likely to be worried about their ability to repay debts compared to other provinces.

• Confidence in ability to absorb an interest rate increase has reached a historic low: nearly six in ten Albertans say they are concerned about the impact of rising interest rates on their financial situation, a higher proportion than any other province

With the Bank of Canada announcing yesterday they are standing pat at 1.75% while setting aside discussion of further interest rate hikes, at least until the economy re-emerges from what it predicts will only be a temporary slowdown, those 48% of concerned Albertans have been granted some temporary breathing room in order to work towards getting their financial houses in order.

Should you be experiencing negative changes in the payment behavior of your customers CASE can help! As a collection agency with offices in Edmonton, Calgary and the GTA we can apply our best professional efforts in order to make your past due accounts receivable a top priority.