Persistent inflation, higher borrowing costs, and ongoing economic uncertainty continue to put pressure on Canadian households in 2025. Across Ontario, families are leaning heavily on credit cards, unsecured loans, and lines of credit just to manage everyday expenses. According to Equifax, Canadian consumer debt hit $2.46 trillion in late 2024, with credit card balances surpassing $120 billion — a record high. Missed mortgage and rent payments are climbing, and younger Canadians, particularly millennials, are shouldering the heaviest debt loads.
For mortgage brokers, this environment presents both challenges and opportunities. Clients are stressed, ratios are stretched, and deals risk falling apart. But with the right partners, brokers can offer practical solutions that address these issues head-on. One of the most effective tools? Private debt consolidation loans.
As brokers, you know that affordability is the biggest barrier in today’s lending environment. With the Bank of Canada holding the prime rate at 4.95% as of March 2025 and average credit card APRs still hovering between 19–29%, many clients are stuck in a cycle of debt that eats away at their ability to qualify for new financing.
By introducing debt consolidation options, you can:
Tembo Financial works hand-in-hand with Ontario brokers to deliver fast, flexible debt consolidation loans that leverage home equity. Unlike the big banks, we understand that every client’s situation is unique.
Here’s why brokers trust us:
Picture this: a client in Mississauga has $30,000 in credit card debt, a $15,000 personal loan, and a $12,000 unsecured line of credit. Their credit is over utilized, impacting their credit score which makes a bank approval for a refinance impossible.
As their broker, you turn to Tembo. By consolidating these debts into a private mortgage loan secured by their home equity, their credit utilization is reduced significantly. After a few months, the numbers work — and you’ve not only saved the deal but delivered a long-term solution that builds trust.
Economic conditions in 2025 remain challenging:
For brokers, this means more clients walking through your door with urgent financial pressures. Having Tembo as a partner allows you to meet those clients where they are — and keep deals alive in a tightening market.
Traditional banks are focused on recovery and rigid lending policies. That often leaves your clients without the flexibility they need — and leaves you without a solution. Tembo’s approach is different:
Debt consolidation isn’t just about lowering payments — it’s about giving your clients breathing room, protecting deals, and positioning yourself as a trusted advisor.
In August 2025, when consumer debt levels are at record highs and affordability remains strained, partnering with Tembo Financial equips you with the tools to keep deals on track and clients moving forward.
Reach out to Tembo Financial today to explore how our private debt consolidation loans can help you serve your clients better and strengthen your broker business across Ontario.
Check in on your clients and offer your assistance, we promise they’ll thank you!