Serious Delinquencies at Record Lows-Canadians Also Taking on Less Debt
TORONTO, ONTARIO -- (Marketwire) -- 01/24/13 -- Equifax Canada's
(NYSE:EFX) 2012 National Credit Trends year-end report finds that the
90-plus day delinquencies for all non-mortgage credit products have
reached a record low of 1.19 per cent. This rate was as high as 1.75
per cent during the height of the recent recession.
"Throughout 2012, we continued to see slower growth in overall credit
and a vast improvement in serious delinquencies, which were at a
record low of 1.19 per cent in Q4," says Nadim Abdo, Vice President,
Consulting and Analytical Services, Equifax Canada. This represents
very positive financial control by consumers and the lending
institutions given the sustained low interest rate environment and
stable employment rates throughout the year," Abdo added.
The report also finds that in 2012, Canadians appear to be more
financially sound by controlling their credit growth with the bulk of
that growth coming from existing credit facilities, such as loans and
lines of credit, as opposed to applying for new credit facilities.
"For example, consumer appetite for new credit in December 2012
remains much lower than it was is the pre-recession period,
reflecting an 11 per cent decline from December 2007. The total
non-mortgage consumer debt load increased by a mere 3.2 per cent from
last year, which is significantly lower than observed in previous
years," noted Abdo. "The only credit product which showed growth in
average balances above the national average was for Auto Finance
loans and leases, which grew at 7.4 per cent compared to last year."
For major city by city data, please go to: http://www.equifax.com/int
Other 2012 report findings include:
-- Average bank instalment debt grew at a healthy rate of 5 per cent,
fuelled mostly by Bank Auto loans.
-- Average bank revolving loans and lines of credit remained flat as
compared to the same period in 2011.
-- Average credit card balances dropped by 3.7 per cent.
Equifax is a global leader in consumer and commercial information
solutions, providing businesses of all sizes and consumers with
they can trust. We organize and assimilate data on more
than 500 million consumers and 81 million businesses worldwide, and
use advanced analytics and proprietary technology to create and
deliver customized insights that enrich both the performance of
businesses and the lives of consumers.
Headquartered in Atlanta, Equifax operates or has investments in 18
countries and is a member of Standard & Poor's (S&P) 500(R) Index.
Its common stock is traded on the New York Stock Exchange (NYSE)
under the symbol EFX. For more information, please visit
For Equifax media inquiries only, please contact:
Hunter LaVigne Communications Inc.
Mark LaVigne, APR, FCPRS
905-841-2017 (office) or 416-884-2018 (cell)
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