Subprime borrowers are weathering the crisis just fineSubprime Canadian borrowers are weathering the crisis just fine goeasy and Fairstone are reporting stable or falling delinquencies. So if people are paying back their consumer loans which are unsecured, they will have no problem paying their mortgages when deferral ends.
And if they really cant make mortgage payments, they can sell their homes but yet there hasnt been any spikes in listings (May listing is still 38% below last year same period) and real estate prices have been stable (i.e. no fire sale).
In other words, Hcg's loan book is still VERY healthy and has a lot of protective buffers like low LTV and high capital ratio.