How to get a better loan rate from your bank

Canada’s big banks are being squeezed by low interest rates and slowing demand for loans and mortgages. That means they’re more willing to compete for your business. Bank profits depend heavily on what’s known as the interest rate spread. These institutions take deposits in the form of chequing and savings accounts that pay little interest…


BoC signals that rates will rise gradually

The recent jump in Canada’s inflation rate should be temporary and price levels will remain subdued even with a gradual reduction in monetary stimulus, the Bank of Canada said on Wednesday. Despite putting an interest rate hike firmly back on the table for the second half of the year on Tuesday, the bank suggested in…


A Guide in Searching for the Best Available Online Loans

A Guide in Searching for the Best Available Online Loans The stressful working conditions have prompted professionals to opt for easier and faster ways to accomplish their tasks . With a fast-paced working environment, professionals need all the comfort they can gain in life. If they do want something that they can’t afford, they can…


Six emerging trends that will shape the Canadian mortgage industry

Six emerging trends that will shape the Canadian mortgage industry and impact mortgage holders as mortgage lending landscape continues to experience this paradigm shift include: 1. Imminent changes in legislation may remove penalties and barriers for switching mortgage lenders: In response to consumer group concerns that mortgage prepayment penalties are complicated and lack disclosure, the…


Banks hike mortgages by up to 25 basis points

TD Canada Trust and RBC are raising some of their fixed-term mortgage rates by as much as one-quarter of a percentage point, beginning Wednesday. Both bank’s five-year mortgages, one of the most commonly chosen by homeowners in Canada, will rise 0.25 of a percentage point to 5.44%. “Mortgage rates typically go up when bond yields…


Is it good to combine mortgages, loans?

The ability to combine a mortgage and other loan contracts in a packaged deal became increasingly popular as interest rates fell and home prices rose. Loyal borrowers who qualified for ready access to credit appreciated the flexibility, and the potential for savings on the cost of setting up a new loan. But many borrowers may…


Banks lower residential mortgage rates

Bank of Montreal and TD Canada Trust both cut their benchmark mortgage rates by a tenth of a percentage point Tuesday. The 5-year fixed rate at both banks now stands at 5.29% and as low as 3.49% and 3.89% using various promotional offers. Banks typically fund their fixed-rate mortgage lending from instruments tied to bond…


Why rising interest rates haven’t flattened the housing market

The Bank of Canada cranked up its trendsetting overnight rate for the third time in four months on Wednesday and the impact will be felt by a wide range of borrowers. But home buyers? Not so much. True, the central bank’s increase of one-quarter of a percentage point has already been applied by the major…


Rate hike likely after economy grows most in decade

The Canadian economy posted better-than-expected growth in the first three months of 2010, marking the best quarterly performance in over a decade, Statistics Canada reported Monday — and all but cementing the likelihood of a Bank of Canada rate hike this week. Strong domestic demand and a robust manufacturing sector helped the Canadian economy record…


Canada won’t fall victim to foreclosure wave

Canada’s housing market won’t fall victim to the type of foreclosure wave the United States saw, according to a new report by debt-rating firm DBRS Ltd. DBRS said in the report that Canada will continue to fare well in comparison with its neighbour to the south when the Canadian housing market corrects itself and interest…