Credit Cards

Canadian banks offer reduced credit card interest rates

  • Last Updated:
  • Apr 11th, 2020 3:12 pm
Tags:
None
47 replies
Deal Expert
User avatar
May 8, 2009
15428 posts
13863 upvotes
Going to the Moon
Meh. Banks listened to PM. Sure, great that they dropped interest to 10.9% (from 20+%) for a few months, but this only further enables those who are not responsible with their finances...those who carry a balance can move CC balance to uLOC, run after BT offers, or product switch to a low interest card, if nothing else.
🐧Premium Life: CDC💳 [❄️Icey❄️ Private Status]/SwissBorg🍀 Genesis💎/InLock🔓/Netflix📺 UHD [100% off]/Amazon 🛍️[Prime 100% off]/Instacart [Express]🥕
Member
May 12, 2019
492 posts
868 upvotes
titaniumtux wrote: Meh. Banks listened to PM. Sure, great that they dropped interest to 10.9% (from 20+%) for a few months, but this only further enables those who are not responsible with their finances...those who carry a balance can move CC balance to uLOC, run after BT offers, or product switch to a low interest card, if nothing else.
"My God can you imagine being poor? Like seriously, do these people even have assets? Like I'm here and I have to drink prosecco instead of champagne, these plebs don't know real suffering like me, why didn't they just NOT GET LAID OFF if they're so smart?"

* 70% of Canadians dont carry a balance but a huge number of our populace can't even maintain basic subsistence living. Imagine telling people earning $15 an hour in downtown Toronto who are paying $1200 rent due to landlord gougers and AirBNB "just cut out anything fun in your life, bro, I should know, I have an entire portfolio of stocks I got with my high-paying high-security white collar job. Enjoy your serfdom, peasant, brb, applying for another 3 cards"
Last edited by MrDisco on Apr 5th, 2020 8:49 am, edited 1 time in total.
Reason: chill
Deal Addict
May 15, 2013
1859 posts
522 upvotes
Montreal
Interesting: "He said about 80 per cent of clients don’t pay credit card interest or have access to lower interest rate options like lines of credit."
Deal Fanatic
Oct 7, 2007
9049 posts
4884 upvotes
One thing I learned from a very early age is that nothing in life is free. The banks are cutting the rate because the rate cut doesn't really impact them in a meaningful way OR they will just increase their revenue somewhere else. I realize these are exceptional times but I think that whenever government meddles in the business of the private sector (not sure if we can call our banks true private sector either), it usually does not end well, so we now will wait to see what they do to make up for it. Perhaps they will just increase everyone's mortgage rate?
Deal Addict
May 1, 2018
1646 posts
1155 upvotes
Vancouver
titaniumtux wrote: Meh. Banks listened to PM. Sure, great that they dropped interest to 10.9% (from 20+%) for a few months, but this only further enables those who are not responsible with their finances...those who carry a balance can move CC balance to uLOC, run after BT offers, or product switch to a low interest card, if nothing else.
If anything, it helps people that carry a balance pay more towards their principle balance if people can still make payments to their CC debts.
Deal Expert
Feb 29, 2008
17414 posts
14831 upvotes
Tarrana & The Ri…
Overtime I see these "gifts" it just adds to the amount of layoffs coming. Along with taxes.
Deal Addict
User avatar
Jul 16, 2019
1545 posts
1904 upvotes
choclover wrote: The banks are cutting the rate because the rate cut doesn't really impact them in a meaningful way OR they will just increase their revenue somewhere else.
Or they're cutting interest rates because they fear a flood of bankruptcies that could shred their bottom lines. Better to have a customer pay less interest than to have them go bankrupt and pay nothing.
Deal Fanatic
Dec 12, 2009
5261 posts
2793 upvotes
Toronto
The PM announced during today's 11:15 AM EST press conference that he has asked the banks to lower CC rates in 1/2 for those facing financial difficulty.
It will be interesting to hear peoples experiences in getting their rates lowered.
Deal Fanatic
Dec 12, 2009
5261 posts
2793 upvotes
Toronto
Kiraly wrote: Good move. I'm lucky in that I don't need lowered rates,
I don't need it. But hey, every little bit helps.
Deal Expert
User avatar
Dec 1, 2003
21163 posts
4144 upvotes
YUL
It sounds like this is only being done on accounts who customers have asked to have their payments deferred?
Member
Nov 24, 2019
434 posts
516 upvotes
Saskatoon
Cheapmaestro wrote: "My God can you imagine being poor? Like seriously, do these people even have assets? Like I'm here and I have to drink prosecco instead of champagne, these plebs don't know real suffering like me, why didn't they just NOT GET LAID OFF if they're so smart?"

* 70% of Canadians dont carry a balance but a huge number of our populace can't even maintain basic subsistence living. Imagine telling people earning $15 an hour in downtown Toronto who are paying $1200 rent due to landlord gougers and AirBNB "just cut out anything fun in your life, bro, I should know, I have an entire portfolio of stocks I got with my high-paying high-security white collar job. Enjoy your serfdom, peasant, brb, applying for another 3 cards"
Somebody call the waaahhhmbulance. "I don't want to make sacrifices in my life, I want to go to movies, eat out, shop at malls, and live in a ridiculously overpriced city, even though I know full well my job can't sustain it here. No, I won't even think of moving somewhere that the cost of living is much cheaper, or buying second hand clothes, bulk food and cooking exclusively at home. Its credit card companies fault that I bought things with money I didn't even have, I just need to sustain a certain standard of living. Making sacrifices in life is HARD, making excuses and blaming banks and the system that screws me is so much easier!"
Deal Fanatic
User avatar
Aug 24, 2016
8917 posts
9949 upvotes
The Prairies
ROYinTO wrote: I don't need it. But hey, every little bit helps.
Who knows how other banks are handling this, but RBC says they’ll lower rates for those that have applied for deferred payments and after a financial review by an advisor.
No idea what that means, I’m just glad none of this affects me until the government shuts down essential businesses as well, which I don’t see happening.
Member
May 12, 2019
492 posts
868 upvotes
SaskCanesFan wrote: Somebody call the waaahhhmbulance. "I don't want to make sacrifices in my life, I want to go to movies, eat out, shop at malls, and live in a ridiculously overpriced city, even though I know full well my job can't sustain it here. No, I won't even think of moving somewhere that the cost of living is much cheaper, or buying second hand clothes, bulk food and cooking exclusively at home. Its credit card companies fault that I bought things with money I didn't even have, I just need to sustain a certain standard of living. Making sacrifices in life is HARD, making excuses and blaming banks and the system that screws me is so much easier!"
Image
Deal Fanatic
Dec 12, 2009
5261 posts
2793 upvotes
Toronto
Perhaps, but things are changing rapidly.
That thread cites a 3 day old article that was updated 2 days ago. Many of the reductions were bank specific and there were different terms.
Trudeau's announcement today was a flat 50% reduction after discussions with the banks over the weekend.

The article cited says my Visa would go down to 10.99%, which is not 50% of my current rate of 13.99%.
1/2 of that would bring me down to 6.7% which is a hair above my uLOC

If this thread is deserving of a thread merge or lock, I'll let the moderators decide.
Last edited by ROYinTO on Apr 6th, 2020 2:35 pm, edited 1 time in total.
Deal Fanatic
Dec 12, 2009
5261 posts
2793 upvotes
Toronto
coolintheshade wrote: ... RBC says they’ll lower rates for those that have applied for deferred payments and after a financial review by an advisor.
No idea what that means, I’m just glad none of this affects me until the government shuts down essential businesses as well, which I don’t see happening.
CIBC suggests to submit a form via online banking & they will have someone contact you. I thought I'd wait until my CERB application went through.

Although you may be deemed essential, you may end up being told to quarantine if you are a front line worker.
FWIW, I was ordered to shut down March 16, long before they told the barber shops and nail salons to close.

Top

Thread Information

There is currently 1 user viewing this thread. (0 members and 1 guest)