Almost half of Canadian credit card holders have debt

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A poll by the Bank of Montreal found that 46 per cent of Canadians who hold a credit card have debt on the account. Following the holiday season 28 per cent of card holders added on average $1,192 to their card balance. Almost a third (30 per cent) of card holders carry a monthly balance although 51 per cent do. Millennials are most likely to view a credit card as ‘extra spending money’. BMO’s Nick Mastromarc says that while credit cards are a useful payment tool they should not be viewed as additional borrowing and warns that: “unchecked spending habits can result in getting stuck in continuous monthly debt cycles that can hamper near and long term financial goals.” He recommends speaking with a financial planner to ensure the best management of household spending.  
  • abe on 2015-02-11 11:29:56 AM

    And TD has pick this little observation as another profit opportunity, by increasing a cards interest if the card holder is late on one payment , their interest will increase by 4% for the next 12 months

  • Mortgage Guy Geoff on 2015-02-11 12:32:13 PM

    And yet its mortgage debt levels - secured debt - that is dangerous and must be curtailed??? How many more examples of this do we need before the powers that be recognize the banks have been using them to make the more competitive, less profitable mortgage market more difficult while leaving the highly profitable and much less competitive consumer credit market alone. Yikes.

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