That’s what RBC CEO, Gordon Nixon, told the Globe Friday about interest rates.
More specifically, he said: “They can go lower, but they can’t go much lower.”
Nixon also said a rate cut by the Bank of Canada would hurt RBC’s mortgage earnings. “What it does is squeeze our margins dramatically, particularly in our retail and mortgage portfolios," he said.
Thus far, however, we haven’t seen anything solid to suggest banks won’t lower their prime rates if the BoC does cut.
That should hopefully mean variable-rate mortgagors will be paying 1/4% to 1/2% less interest after Tuesday—assuming economists have predicted correctly.
RBC is Canada’s biggest bank and mortgage lender.
I’m really crying over here for RBC.
Wow it is almost FREE. Thanks For the update
Thanks for sharing this info post.
Your email address will not be published. Required fields are marked *
Save my name, email, and website in this browser for the next time I comment.
Join our mailing list to receive the latest news and updates as they happen. Unsubscribe any time.