Banks lower prime rates following Bank of Canada move
Posted Dec 11, 2024 04:40:18 PM.
Last Updated Dec 11, 2024 05:45:22 PM.
TORONTO — Canadian financial institutions are lowering their prime lending rates to match the half percentage point decrease announced today by the Bank of Canada.
All of the Big Six including RBC, TD, BMO, CIBC, Scotiabank and National Bank said they are lowering their prime rate to 5.45 per cent, down from 5.95 per cent, effective Thursday.
Other lenders including Desjardins Group and Laurentian Bank also announced lower rates.
The Bank of Canada’s cut to 3.25 per cent marks the fifth consecutive decrease this year after it started lowering its key rate from five per cent in June.
Bank prime rates help determine the cost of a range of loans including variable-rate mortgages and lines of credit, while fixed mortgage rates are influenced more by the bond market.
Bank of Canada governor Tiff Macklem said that Canadians should expect a slower pace of cuts moving forward.
This report by The Canadian Press was first published Dec. 11, 2024.
Companies in this story: (TSX:TD), (TSX:CM), (TSX:RY), (TSX:BMO), (TSX:BNS), (TSX:NA)
The Canadian Press
