Experts say homeowners with variable mortgage rates will benefit from lower monthly payments after the Bank of Canada’s latest cut to its key policy rate.
On Wednesday, the major six banks announced they would decrease their prime rates by a quarter-percentage point, from 5.45 percent to 5.2 percent, effective the following day. That came after the Bank of Canada cut its key interest rate target for the sixth consecutive time since June.
The central bank also lowered its rate by a quarter percentage point, bringing it down to three percent, as it said inflation is sitting around its two percent target while the economy picks up speed….