MNP consumer debt index improves, but consumer outlook worsens

By The Canadian Press | October 18, 2023 | Last updated on October 18, 2023
1 min read
Default papers
Adobe Stock/Andrii

A report by insolvency firm MNP Ltd. says its consumer debt index improved slightly in its latest quarter as Canadians felt marginally better about their ability to pay their debts.

The quarterly index rose to 86 points, up from 83 points in July.

However, the report noted that when asked to look into the future, Canadians’ debt outlook worsened.

The report says 18% said they believe their debt situation will be worse a year from now, up from 15% in the previous quarter. Looking five years out, 16% said they believed their debt situation will be worse, up from 14%.

Meanwhile, the report said 51% of Canadians reported that they were $200 away or less from not being able to meet all their financial obligations, down from 52% in the July report.

It also said 31% of those questioned said they already don’t make enough to cover their bills and debt payments, down from 35% in the previous report.

Subscribe to our newsletters

Receive Canada-specific insights and exclusive subscriber content

The Canadian Press logo

The Canadian Press

The Canadian Press is a national news agency headquartered in Toronto and founded in 1917.