Understanding Credit Card Debt

Understanding Credit Card Debt

Credit cards. Everyone has one. Many have more than one. And we all know how quickly the debt can build up, especially with mounting interest. You probably know what the interest rate is on your credit card, but do you know how the interest is calculated? When is...
How Much Do I Need For A Down Payment?

How Much Do I Need For A Down Payment?

Until recently, it was generally expected that a home buyer would have to supply a 20% down payment. This is because interest rates were high, which meant the bigger your down payment the smaller your monthly mortgage payment. But in today’s economic climate,...
Bank of Canada Waiting to Hike Rates

Bank of Canada Waiting to Hike Rates

The Bank of Canada announced last week the need to wait before continuing to increase interest rates. The Bank had previously been insistent that continued rate hikes would be necessary in order to keep inflation in an acceptable range, but doing so did not have the...
Stress Test Keeping Buyers Out of the Pool

Stress Test Keeping Buyers Out of the Pool

Back in 2017 Canadian households were at record high debt levels. The Bank of Canada (BoC) announced its intention to continue raising interest rates. And housing prices had been going up and up with no end in sight. Too many Canadians were drowning in debt and the...
Overnight Rate Remains Unchanged

Overnight Rate Remains Unchanged

As expected, the Bank of Canada’s benchmark rate remained unchanged at 1.75% this month. According to Scotiabank vice president of capital markets, Derek Holt, “the market went too far in terms of pricing out rate hikes further on.” The Central Bank...
Benefits of Variable-Rate Mortgages

Benefits of Variable-Rate Mortgages

Canada Mortgage and Housing Corporation regularly publishes statistics relevant to borrowing behaviours. We had the highest percentage of insured borrowers switching to variable-rateĀ mortgages last quarter. What’s going on? It’s simply more cost-effective,...