Falling oil prices have led to rising unemployment rates in the oil patch and that is trickling down to rising delinquencies in car loan payments.
TransUnion says the greatest impact is on auto loans and the two provinces where this is being felt the most are Saskatchewan and Alberta.
Jason Wang is the Director of Research and Analysis.
He says the national auto loan delinquency rate rose nearly 10-percent in the last year to 1.32-percent in the 4th quarter of 2015.
That’s the highest level in four years.
The Q4 rise in serious auto loan delinquency – which is 60 days or more past due – was primarily driven by increases in Alberta and Saskatchewan.
In that same quarter, Saskatchewan had the highest delinquency rate of the provinces at 2.7 per cent.
That was a 19-percent increase from the same quarter in 2014.