Why are Canadians taking on more debt?

The recession, depending on where you lived in Canada, was tough for many, but I think opened our eyes to one's true needs vs. wants. I was proud of the many articles and conversations eliciting chats about watching our spending, cutting back or what I like to call, "intelligent frugality". Apparently though, the lessons were short lived.

According to the Globe & Mail this morning, CIBC economist Benjamin Tal said, "As of February, household credit was up by more than 7 per cent from a year earlier – more than three times faster than income growth.

The debt-to-income ratio, as a result, hit a record 147 per cent in December, and is accelerating at the fastest rate since the mid 1990s." Here's the full article: http://www.theglobeandmail.com/report-on-business/economy/debt-will-bite-consumers-report/article1520029/

Consider this the next time you're thinking of buying something on credit that you don't absolutely need - how long do you want to be a slave to your lender? When I was in the financial industry, I'd ask my clients a question: What does more money, less debt mean to you? Of the thousands of answers I received over the decade I was in the biz, the answers varied (more vacations, putting the kids through school, being able to retire, etc.), but there was one common theme as I questioned further. Every root answer was the same - freedom.

So, if we all want more freedom - what money can buy - why then, do we continue to fall prey to financial slavery?