We Are Moving!

Consumer Credit Counselling's New Location

We are very excited to announce that as of Friday July 21st, 2017 we will be relocating our office. Our new address will be as follows:

#206-1120 Westwood Street, Coquitlam, BC V3B 7K8

If you have any questions about our move please Contact us!

How Much Debt is Too Much?

Debt calculation & management

Most financial institutions in Canada will not lend you money if you are already using 40% or more of your monthly income to pay for your current debt. This is called your total debt service ratio (TDSR). However, how much debt is too much really depends on the individual. Only you know when you are outside of your comfort zone when it comes to your debt. If your monthly debt payments are leaving you with little to no extra cash at the end of the month – you are probably carrying too much debt.

So how does the bank tell if you have too much debt? As mentioned above they can use your Total Debt Service Ratio, which calculates your total secured & unsecured debt as well as your property taxes divided by your total household gross income. This allows a banker to see what percentage of your gross income is going towards servicing your debt. If your total TDSR is greater than 40% the bank will not lend you money as they believe too much of your income is going towards servicing debt and there is a high likelihood you will not be able to pay your debts at a sustainable rate.

Benchmark Yourself

The following are average individual debts of Canadians (excluding mortgages) by age group & city.

The average Canadian has $22,081 in Debt (excluding mortgages)

Average Canadian Debt by Age
average debt by city in Canada