What an expected interest rate hike will mean for local consumers
Posted Jul 12, 2017 07:41:33 AM.
This article is more than 5 years old.
With all economic indicators looking up, the Bank of Canada is expected to do something it hasn’t done in almost seven years and raise key interest rates.
Rates have sat at 0.5 since 2015.
When it comes to the local economy, Art Sinclair with the Greater Kitchener Waterloo Chamber of Commerce says even with an increase, things shouldn’t change too much here in the region.
“I don’t see a huge impact on the local economy, I think we are relatively stable, people are working. I don’t think there will be an immediate impact.”
For consumers it means higher interests rates on more than just mortgages.
Krista Dobson, a credit counsellor with Carizon explains.
“Lines of credit will more than likely be going up so interest rates on that will cost you more on your monthly payment so start bringing down your debt and putting payments towards that.”
If the Bank does rates, experts say, there may be more to come.
