Welcome To
Acadia Broadcasting NewsThe Latest and Greatest ContentYour Trusted Local Source


Atlantic Canadians concerned about ability to pay their debts

By Brad Perry Oct 24, 2023 | 3:01 PM

Rising interest rates have left many Canadians facing difficulties in paying down their debts.

The latest MNP Consumer Debt Index finds Atlantic Canadians are struggling more than others.

Around 46 per cent say their ability to absorb an extra $130 in interest payments on debt is much worse, up 16 points since last quarter.

Atlantic Canadians are also the most likely to say their ability to deal with an interest rate increase of one percentage point has weakened, spiking by a significant 12 points this quarter to 35 per cent.

“The staggering jump in concern about continued interest rate hikes underscores how stretched household budgets are right now,” Tina Powell, a licensed insolvency trustee, said in a news release.

“With increasing debt carrying costs and cost of living, the bleak outlook in Atlantic Canada shows just how hard it is getting for households to make ends meet.”

Nearly four in five Atlantic Canadians are concerned about their ability to pay their debts, the largest proportion among the provinces.

Just over three in five report they are $200 away or less from not being able to meet all of their financial obligations, an increase of eight percentage points.

About two in five say they do not make enough to cover their bills and debt payments, the highest proportion among the provinces.

Atlantic Canadians also have the lowest average amount of money left over at month-end at $493, a decrease of $166.

Ipsos, on behalf of MNP LTD, surveyed 2,000 Canadians aged 18 years and over between Sept. 5 and 8. The poll is accurate to within ±2.5 percentage points, 19 times out of 20.