Interest Rates

The Prime Rate now is at 3%. The big 6 banks have lifted their prime rate to 3.00%, from 2.75%.  This move follows the 1/4 point hike by the Bank of Canada earlier this week.

If you’ve got a variable payment mortgage, this hike will add about $13 to your monthly payment, for every $100,000 you owe (based on 25 year amortization).

The next BoC interest rate meeting is October 19. However, in an environment of weak economic growth on the global level, it is likely that rates will remain on hold well into 2011.

Let’s see.