The Bank of Canada is raising interest rates again, making it more expensive for Canadians and businesses to borrow money.
Some Canadian banks are expecting the central bank’s key rate (which impacts other lendings) will increase by 75 basis points or nearly 3 quarters percent–the fifth consecutive hike in 2018 alone! The increases feed into other borrowing costs which means you may see your mortgage cost go up if this continues as well.”
This year has been an eventful one for those who believe that higher interest rates will lead to economic overheating and disaster. The Bank of Canada is set to announce its latest increase today, increasing the overnight lending rate from 2% last week up 3%, which should make it more expensive for Canadians as well as businesses seeking loans or investment capital in order maintain their operations smoothly without any significant spikes along with other factors resulting therefrom such a downturn on spending power due primarily but not exclusively within industries heavily reliant upon borrowing money like housing markets where prices have skyrocketed recently because