Household debt continues to rise: StatCan

Driven by growing mortgage debts, household borrowing rose in August, according to new data from Statistics Canada.

The national statistical agency reported that total household debt grew by 0.3% in the month, an increase of $7.7 billion, to $2.98 trillion.

Real-estate-driven debt — mortgage borrowing and home equity lines of credit (HELOCs) — accounted for the bulk of the activity, $7.0 billion worth.

In particular, household mortgage debt grew by $6.9 billion, as borrowing in this segment accelerated, StatCan noted.

Mortgage debt was up 3.8% on an annualized basis in August, faster than the 3.3% rate in July.

While HELOCs only grew 0.1% in August, credit card debt was up 0.7%, an increase of $0.8 billion, StatCan said.

Other forms of non-mortgage debt contracted by $0.1 billion in the month, it noted.

James Langton

James is a senior reporter for Advisor.ca and its sister publication, Investment Executive. He has been reporting on regulation, securities law, industry news and more since 1994.