Statistics Canada says the amount Canadians owe relative to their income ticked higher in the second quarter as debt grew faster than income.
The agency says the ratio of household credit market debt to disposable income rose to 174.9% on a seasonally adjusted basis, up 1.1%.
In other words, Statistics Canada says there was $1.75 in credit market debt for every dollar of household disposable income in the second quarter.
The household debt service ratio — measured as total obligated payments of principal and interest on credit market debt as a proportion of disposable income — inched up to 14.4% in the quarter, compared with 14.4%.
The results came as the pace of household credit market borrowing slowed to a seasonally adjusted $31.6 billion in the quarter, down from $34.5 billion in the first quarter of 2025.
The total seasonally adjusted stock of household credit market debt, which includes consumer credit and mortgage and non-mortgage loans, rose 1% to surpass $3.1 trillion in the second quarter, with mortgages accounting for almost 75% of the total.