Robert McLister
Bond yields keep rising and fixed rates keep climbing.
Just after midnight, RBC Royal Bank announced it will push up fixed rates by another 1/4 percentage point, effective tomorrow. This change applies to all fixed terms.
The new 5-year posted rate will be 6.10%. After April 18, this will also probably be the new qualification rate for variable and 1- to 4-year fixed mortgages .
The industry’s benchmark 5-year fixed “special offer” rate will now be 4.70%.
RBC says: “We have held off from handing [rate increases] on to consumers but now it has become necessary. The rise is tied to our long-term funding costs which have gone up considerably.”
No other banks have followed RBC yet, but they likely will soon.