http://www.nationalpost.com/related/topics/story.html?id=2097728
Summary :
There are numerous of Canadian banks that are rising the cost of taking out a mortgage with them. Just on Tuesday, TD Bank raised rates on fixed mortgages, now with a five year posted rate it has increased to o.29 of a percentage point to 5.84%. The rates has also raised up for two, three, and four year fixed rate mortgages. The two year went up to 0.3 of a point to 4.2%, three year went up to 0.3 too but to 4.75% and lastly the four year will increase up to 0.35 which will be 5.29%. After TD bank has raised their mortgage rates, followed by Scotiabank they announced they are rising their mortgage rates as well. All this changes will be effected on Wednesday.
Connection:
In this article, you can see that several of Canadian banks are rising their cost of taking out a mortgage with them. TD Bank and Scotiabank has raised the mortgage rates ranging from 0.1 to 0.35 just on Tuesday. This article relates to Chapter 2 because it talks about the rates being increased in the mortgage. It is already bad with all the other things going on right now, but now they are increasing the mortgage rates too.
Reflection:
In my opinion, I don't think they should raise the mortgage rates because once they raise the mortgage rates then the home owners will have to pay more for their mortgage. Mortgage is a big part of life. There is already tons and tons of people losing jobs right now, and now they hear about the mortgage rate going up. I don't think they will want to buy a house or anything because of the increase for the mortgage rate. It will be harder for people to pay off their mortgage and that also means having to work a second job to pay off everything.
