Albertans have highest debt load in Canada, Equifax says

Albertans have the highest average debt load in the countryat more than $27,000, saysEquifaxCanada.

A study released this morning by the credit bureau saidconsumer debtdelinquencies in the provincejumped 25 per cent over the same quarter last year.

But the nationwide delinquency rate didn't change, andEquifax Canada says rates remain at historic lows.

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"Despite the ups and downs of today's economy we're seeing that Canadians are generally able to manage debt and rein in spending when they have to," Regina Malina, the senior director of decision insights at Equifax Canada, said in a release.

"It may be a surprise to some, but the fact is delinquency rates in the oil-producing provinces are still relatively low. Most people are still finding a way to pay back what they owe."

Western region struggling

The Prairie provinces and Newfoundland regionsthat have been the most impacted by the downturnsaw the biggest increase in delinquency rates. Tumbling oil prices have led to widespread layoffs in the oil and gas sector.

The numbers don't surprise Donna Carson,an insolvency trustee in Calgary.

"We're seeing people who have been laid off, or had their hours or their pay cut back from employers, and so now they're not able to manage all their debt payments," she said.

Carson says many people are making the mistake of waiting too long to get professional advice about their debt.

"There's a pride involved in being able todeal with circumstances like this on your own, or an embarrassment maybe," she said.

"People don't have to feel that they need to deal with these times on theirown."

Another credit rating agency, TransUnion, reported last Novemberthat Alberta used to fall below the national average delinquency rate. That changed in the second half of 2015.

• See the provincial delinquency rates here.

Average debt in Calgary is $28,421 excluding mortgages, while Edmonton's average debt is $26,479 compared to average consumer debt nationwide of $21,458.

The only age category to experience anincrease in delinquency rates in the last quarter of 2015 was theunder-26 group. The rate for that categoryrose 2.9 per cent.

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"Debt is often used as a tool for consumers to accomplish their objectives. However, as people get older, their income earning capabilities generally trend downward," Equifax said in a release."To increase their financial security, Canadians should develop a plan to pay off their debt within a set timeframe."

Equifax says interest rates will rise eventually and those relying on the availability of cheap credit will be tremendously vulnerable.

Canada's total reported consumer debt is now at $1.621 trillion, compared to $1.529 trillion a year ago.