Tag Archives: CIBC

Mortgage Interest Rates

6 Sep

My pre-construction condo is finishing up by December 2013.  So it is time to shop around for the best Mortgage rate!  But I am having a hard time deciding between fixed or variable rates.

I’ve been pre-approved for a mortgage from CIBC and RBC.  Apparently, both banks do not offer any variable rates for less than 5 yrs.   For comparison purposes, I’ve also added in ING rates that I got from their website.   I’ll be paying a minimum 20% of the purchase price.

Fixed 3 yr 3.19% 3.09%
Fixed 4 yr 3.39% 3.29%
Fixed 5 yr 3.29% 3.59% 3.79%
Variable 5 yr 2.60% 2.60% 2.75%

(I still have to find out the rates from CIBC for fixed 3 yr and 4 yr rates.)

Rates are at its all time lows.  I’m kind of leaning towards the variable rate, but I might get screwed over if rates start to rise over the next few years.  A lot of people are saying to lock in your rates before it increases…

I need to find out if certain mortgages are breakable without much penalty.  Decision, decisions!

Ally Savings from 1.8% to 1.2%

25 Feb

RBC bought out Ally as of February 1st.  Looks like big banks are buying out their competition left to right.

Ally was a high interest bearing savings account that offered 2% when I first set up my account while other banks were offering in the low 1% range.

Today, after coming back from my vacation, I found out that my “current” 1.8% savings account from Ally had been reduced to 1.2%!  That’s a big dip, and I am not going to stand for that.

Ally has lost my business as a client.  By not offering the best interest rate,  I am moving my money to my savings account at ING Direct which offers 1.35%.  The savings interest rate isn’t spectacular, yet it is higher than what Ally is offering at the moment.

Scotiabank** has also bought out ING Direct.  I hope that they will keep ING the way it is without turning them into another subsidiary to their cause.