What is a reasonable amount of debt to have?
25 Oct 2016
A reasonable amount of debt allows you to make your monthly payments on time and in full while allowing you to maintain your other expenses.
You should be in relatively good shape if:
- you’re able to pay your credit card balance in full each month;
- your housing costs do not exceed 30% of your monthly income;
- you’re not using payday loans or living in your overdraft; and
- you’re able to put some money into your savings account.
For a large number of Canadians this is not always possible due to various reasons such as illness, job loss, separation/divorce, helping family members or simply the lack of a workable income.
We are pleased to offer a free consultation to discuss your situation.