Reported 4 months ago
According to Scotiabank's Chief Risk Officer Phil Thomas, while talks of rate reductions by the Bank of Canada in June and July are ongoing, it will likely take up to three quarters for the interest-rate cuts to have a substantial impact on Canadian consumers. The bank's provisions for loan losses in Canada nearly doubled in the last quarter, with homeowners potentially saving an average of C$100 ($73) per month on mortgage payments with a 25-basis-point rate cut. However, the effects may initially help borrowers with overdue payments, but will take time to fully support customers, especially with the prospect of a prolonged period of higher interest rates.
Source: YAHOO