(TORONTO, ON) – Is Western Canada becoming the black sheep of Canada with mountains of debt? It appears they should be looking towards Eastern Canada if they want to avoid the long-term financial problems that a reliance on credit can bring.
A recent report by Equifax Canada paints a picture of two areas of Canada going in two separate directions when it comes to credit demand. Over the past four quarters, credit demand in the West has been increasing. However, Eastern Canada has seen its demand for credit actually decrease in the most recent two quarters.
Percent Change in Demand for Credit Year-over-Year
|Q2 – 2013||Q3 – 2013||Q4 – 2013||Q1 – 2014|
Jeff Schwartz, executive director of Consolidated Credit Counseling Services of Canada, is concerned about where this disturbing trend will lead –
“Carrying expensive debt can be the result of using credit irresponsibly,” warns Schwartz. “It’s important for Canadians to live within their means and be financially independent. Decreasing reliance on credit can be the first step to a stable financial future. “
There are many ways to avoid having to use credit to get by. Consolidated Credit has compiled the following tips to help people avoid debt:
Â· Save now, smile later – Saving now is the best way to avoid debt later. Set short-term savings goals as they will help you on your journey to long-term financial stability.
Â· Prioritize your purchases – Being able to separate your wants from your needs will help you make responsible financial decisions. Don’t blow your savings on new clothes if it forces you to purchase your groceries on credit.
Â· Limit your limit – Just because the bank offers you a huge credit limit doesn’t mean you have to take it. Sometimes it is better to stick with a lower limit if it will make you think twice about using your credit card.
“Avoiding debt should be both a habit and a hobby. Take pride in saving and seeking out lower cost alternatives. If you are fiscally responsible now, you’ll be financially happy later” – advises Schwartz.
About Consolidated Credit Counseling Services of Canada, Inc.:
Consolidated Credit Counseling Services of Canada is a national non-profit credit counselling organization that teaches consumers about personal finance.
For more information or to request an interview with Jeffrey Schwartz, please contact:
Eric Spence, Public Relations Coordinator, Consolidated Credit Counseling Services of Canada, Inc., T: 416-915-7283 ext.1041, C: 416-731-5588, F: 416-915-5200, E: [email protected]