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All items tagged with: Debt Management

The Risks as Home Equity Borrowing Grows

Posted: April 16, 2019 By : Beth Graddon
Posted in: Strategic Thinking , Debt Management, Debt, mortgage, home equity, home equity line of credit, loans, home ownership

There is a new trend emerging in the debt accumulation habits of Canadians. Since 2017, an increasing number have turned to their home equity line of credit to increase their cash flow. It’s a move that offers short-term financial resolutions, but it also creates the potential for some harsh long-term consequences that impact personal finance, and the housing market.

Economic Growth Stalls: Brace for a Recession

Posted: March 04, 2019 By : Beth Graddon
Posted in: Strategic Thinking , Debt Management, economy, GDP, Canadian economy, economic forecast, Gross Domestic Product, recession

Is a recession around the corner? A March 1 Statistics Canada economic report shows negligible economic growth for the fourth quarter of 2018, due to a decline in oil export prices and decreased investment spending. Now just might be the right time to implement tax and financial planning strategies to brace for a prolonged slowdown.

Time to Reduce Debt as Fixed Mortgage Rates Decline

Posted: January 22, 2019 By : Beth Graddon
Posted in: Strategic Thinking , Debt Management, Debt, DAC, distinguished advisor conference, interest rate, mortgage rates, variable rate mortgage, fixed mortgage, mortgage qualification, RBC

Late last week RBC lowered its fixed mortgage rate and it’s likely that the other big banks will soon follow suit. This gives Canadians more breathing room to get mortgage debt under control. The big question to consider is whether fixed or variable mortgages are right for you.

Debt and Fear: Tax Season Can Bring Peace of Mind

Posted: January 22, 2019
Posted in: Strategic Thinking , Debt Management, Tax, Debt, credit, credit scores

Tax season provides a trigger for advisors and their clients to have an important discussion: should the tax refund be used for debt reduction or savings? In some cases, the best strategy may be to do a little bit of both. But the big issue to uncover is whether taxpayers understand their credit health well enough.

No Safety in Real Estate: Managing Debt is a Priority

Posted: January 15, 2019 By : Beth Graddon
Posted in: Strategic Thinking , Debt Management, Bank of canada, housing market, real estate, interest rate, prescribed interest rate, Steven Poloz, economic forecast, oil crisis

Debt reduction could be the leading financial management strategy as 2019 begins, given the grim housing market forecast, where the biggest concern relates to housing affordability. RBC reports that this will remain a financial challenge for many Canadian families, as the cost of homeownership relative to median income levels will keep rising.

A Little Less Grinch: Breaking Interest Rate News

Posted: December 04, 2018
Posted in: Strategic Thinking , Debt Management, interest rates, Bank of canada, Steven Poloz, prescribed annual interest rate

Will Bank of Canada Interest rate setting impact your holiday euphoria? Bank of Canada’s Steven Poloz announced today that the overnight rate would remain at 1.75%.