HOW TO HANDLE INTEREST RATE HIKES

Let’s cut right to it – finances is one of those topics that many of us hate to talk and/or read about, but it’s nearly impossible to escape; especially when you have a family to budget for.

With that expressed, new and existing clients of mine have recently come to me with questions about the interest rate hike by the Bank of Canada (BOC), which has increased its key rate by 0.25% – the first hike in seven years.

Variable or Fixed? We shed some light.

Let’s cut right to it – finances is one of those topics that many of us hate to talk and/or read about, but it’s nearly impossible to escape; especially when you have a family to budget for.

With that expressed, new and existing clients of mine have recently come to me with questions about the interest rate hike by the Bank of Canada (BOC), which has increased its key rate by 0.25% – the first hike in seven years.

With this increase, banks and lenders have pushed their Prime rates from 2.70% to 2.95% meaning that those with existing variable rate mortgages (VRM) or adjustable rate mortgages (ARM) will see an increase – more money to the bank, yippee!