Debt
Retiring with Debt? It’s Not Always a Mistake
We’re often told to do everything we can to retire debt-free – that hanging onto a mortgage or car loan in retirement is a recipe for disaster. But like most blanket financial advice, context matters. And for many Canadians heading into retirement, especially those with defined benefit pensions and guaranteed government income, carrying a modest…
Read MoreKicking Debt Down The Road
Canadians started piling on the debt after the financial crisis in 2008. Back then our household debt-to-income ratio was sitting around 150 percent ($1.50 owed for every dollar of disposable income). Today that number hovers around 177 percent. We are kicking debt down the road, instead of kicking it to the curb. It can be…
Read MoreDebt Avalanche vs. Debt Snowball: When Math Trumps Behaviour
John and Erica Mullen are in their mid-thirties and have two young children at home. Together they earn well over $100,000 per year, but a combination of poor choices and unlucky circumstances have left them buried in debt. Their substantial income affords them the luxury of not having to turn their life upside down by…
Read MoreA Lannister Always Pays His Debts (And So Should You)
In Game of Thrones, the Lannisters are the wealthiest and most powerful family in the Seven Kingdoms. They’re not afraid to leverage their wealth to forge key alliances and advance their political agenda. But, despite being known for plotting and treachery, the unofficial motto for the family is, “A Lannister always pays his debts.” Unless…
Read MorePlanning to Borrow Money? Know the Five C’s of Creditworthiness
When I worked in banking, personal and small business lending was a major part of my duties. Customers were often nervous about applying for credit – unnecessarily in most cases. But, sometimes people had really no idea of what we required before we could consider the application. I had people applying for a mortgage with…
Read MoreSome Debts Can’t Be Avoided. Here’s How To Keep Debt To A Minimum
There’s been a lot of attention in the media about the high level of consumer debt Canadians are indulging in compared to their disposable income. Easy access to inexpensive credit and little stigma attached to being in debt, as well as the pressure felt to keep up with society’s image of success makes overconsumption a…
Read MoreBorrowell, Grow, and Mogo: 3 Online Lenders Compared
A new wave of financial companies is turning traditional banking on its head by leveraging technology to offer customers low-cost banking, lending, and investing solutions. At the forefront of the fintech revolution are three online lending companies that are carving out a niche by targeting borrowers who want instant loan approval without visiting a branch.…
Read MorePros and Cons of Getting a Personal Loan
Back in my banking days, with the exception of mortgages, personal loans were the go-to mainstay of lending. Our promotional material stated, “we can give you a loan for any worthwhile purpose – vacation, wedding, appliances, new car.” (Please, don’t shoot this messenger – that’s the way it was.) One of the most common reasons…
Read MoreHow’s Your Credit Score?
According to a survey done for BMO, 56 percent of Canadians say they have never checked their credit score and only 14 percent check at least once a year. 52 percent do not know what would be considered a good credit score. What is a credit report? Your credit history is recorded in files maintained…
Read More4 Simple Tools To Stop Drowning In Debt
Not a day goes by on the news without hearing how Canadians are struggling with their debt load. It has become a simple fact of life that we are consuming our way through life, using someone else’s money. For the past decade, I have closely observed the behaviors that lead people down the path of…
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