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In this padlet i will discuss about how loans and interests effect you either you are taxpayer or consumer.

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https://www.ig.ca/en/insights/how-do-rising-interest-rates-affect-you

This website states that increasing interest rates has both positive and negative effects on consumers . The positive effect is that when interest rates get high, thẹn consumer’s interest will drop down and they tend to spend less or buy less as a result, the demand of that product will decrease too which automatically decreases the price of that product which reduces the inflation rate eventually.The negative effect is that as the interest rates increase the monthly payments called mortgages will increase and as a result, it will become more difficult to buy things.
I have chosen this website because there is option to speak with an IG advisor directly whenever u need help at the time when interest rates will increase. I found that very useful and meaningful.

Website 2
https://www.canada.ca/en/revenue-agency/services/tax/prescribed-interest-rates/2023-q2.html
This websites shows the prescribed tax rates calculated by CRA(Canadian revenue agency)for the year 2023 specifically . It also has shown the applied tax rates from the year 2006 to the taxes. It has shown that interest rates paid on non-corporate overpayments would be higher as compared to corporate overpayments.
I have chosen this website because actually CRA is the agency that deals with all taxes in canada so from here we will get correct information which would be helpful for everyone.

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How do rising interest rates affect you?

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Anyone with a variable rate mortgage in Canada understands the impact of rising interest rates. A rate hike can either cause borrowers’ debt payments to climb or reduce the amount of principal their mortgage payments pay off. Interest rate rises are caused when the Bank of Canada decides to increase…

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https://www.canada.ca/en/revenue-agency/services/tax/prescribed-interest-rates/2023-q2.html
This websites shows the prescribed tax rates calculated by CRA(Canadian revenue agency)for the year 2023 specifically . It also has shown the applied tax rates from the year 2006 to the taxes. It has shown that interest rates paid on non-corporate overpayments would be higher as compared to corporate overpayments.
I have chosen this website because actually CRA is the agency that deals with all taxes in canada so from here we will get correct information which would be helpful for everyone.

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The Canada Revenue Agency (CRA) announced today the prescribed annual interest rates that will apply to any amounts owed to the CRA and to any amounts owed by the CRA to individuals and corporations. These rates will be in effect from April 1, 2023 to June 30, 2023.

Income tax

The interest rate charged on overdue taxes, Canada Pension Plan contributions, and employment insurance premiums will be 9%.

The interest rate to be paid on corporate taxpayer overpayments will be 5%.

The interest rate to be paid on non-corporate taxpayer overpayments will be 7%.

The interest rate used to calculate taxable benefits for employees and shareholders from interest free and low-interest loans will be 5%.

The interest rate for corporate taxpayers' pertinent loans or indebtedness will be 8.40%.

Other taxes, duties, or charges

The interest rates on overdue and overpaid remittances will be as follows:

The overdue remittance rate is the rate of interest the taxpayer must pay on amounts due to the CRA.

The overpaid remittance rate is the rate of interest the CRA must pay on amounts due to the taxpayer.

Quick facts

Prescribed annual interest rates are calculated quarterly according to the laws that apply.

For information on the prescribed interest rates for other calendar quarters, go to Prescribed interest rates.

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Interest rates for the second calendar quarter

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The Canada Revenue Agency (CRA) announced today the prescribed annual interest rates that will apply to any amounts owed to the CRA and to any amounts owed by the CRA to individuals and corporations. These rates will be in effect from April 1, 2023 to June 30, 2023.

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https://www.taxpayer.com/newsroom/ontario-debt-interest-payments-set-to-soar-in-2023
This website demonstrates that the ontario’s debt interest rates are continuously rising and probably be increase in 2023 also . It has shown that the interest rates has risen about six times this year. At this time, its important to be financially independent and responsible rather than paying high interest rates.

I have chosen this website because it has given insight to the debt interest rate because lot of us are today nớt financially independent we are paying a high amount of interest rates these days.

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Ontario debt interest payments set to soar in 2023

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https://beta.ctvnews.ca/local/toronto/2022/2/22/1_5791753.amp.html
This website shows the result of the survey that how canadian see increasing interest rates . According to survey, 55 %of them are really worried about increasing interest rates and others think that it would be a great financial trouble for them. Apart from it, 35% see it will results in bankruptcy .
Out of them 16% said there situation is poor but 18% said they are good .
I have chosen this site because it provides a good estimate of how people see increasing interest rates as good or bad.

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Never before have interest rates been low for so long, but now, there is growing speculation that on Mar. 2 the Bank of Canada will start the first in what could be a series of rate hikes.

"Low interest rates are not sustainable and they are not here to stay, so you need to stop the spending and shut it down because interest rates are going to go higher," said Pattie Lovett-Reid, CTV News' Chief Financial Commentator.

Many analysts feel that the central bank could start by raising the key rate by 25 basis points or .25 per cent.

Canadians who are already feeling the financial squeeze at the gas pumps and facing rising food costs in the grocery aisle may need to prepare for higher borrowing costs on variable rate mortgages and lines of credit.

A survey by MNP LTD, an accounting firm that is also one of Canada's largest consumer insolvency firms, found that 55 per cent of Canadians are concerned about the impact of rising interest rates on their financial situation and 47 per cent said rising rates could cause them financial trouble.

"I think they have to be very concerned about the debt load they have and to try and not live beyond their means," said Grant Bazian, president of MNP LTD.

Bazian said the combination of the pandemic, inflation and rising rates could create a tipping point for some consumers. Thirty-five per cent of those surveyed said rising rates could push them towards bankruptcy.

The survey also found 26 per cent of respondents said they paid only the minimum balance on their credit card each month.

"I think [anyone only paying the minimum payment] has to take a cold hard look at this situation and say I need to get out of this. I need to stop spending and pay more than the minimum to get out of this because it can snowball," said Bazian.

The minimum payment usually just covers the interest portion and not the principal amount. Meaning, it could take years or even decades to pay it off.

The survey also found a gap when it comes to finances. While 16 per cent of those surveyed described their financial situation as poor, 18 per cent rated their financial situation as excellent.

Bazian said anyone struggling should consider using a budget, which some may see as boring, but they can be extremely helpful.

"Watch what is going in and watch what is going out. It's the first step towards getting a hold of your finances," said Bazian.

While the bank could decide to raise its key interest rate next month, some analysts predict there could be another two to three hikes as well throughout 2022.

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Canadians concerned how higher interest rates will impact their finances: survey

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Never before have interest rates been low for so long, but now, there is growing speculation that on Mar. 2 the Bank of Canada will start the first in what could be a series of rate hikes.

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https://youtu.be/u78StHpYgf0
The video shows how interest rate and inflation rate are linked to each other.How banks ỉn canada increases the interest rates.There is two types of inflation supply inflation and demand inflation . Supply inflation is when supply is good but demand is low so the banks reduces thé interest rates so people will buy more to increase demand however in other the demand is too high then banks will increase interest rates so people will buy less and spend less in order to balance economy of the country.

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Inflation & interest rates: How the Bank of Canada aims to reign in prices by raising rates

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https://youtu.be/8T0mwe6BrdA
This video shows that if interest rates get high or low how it will effect your budget . Right now, increases interest rates gave birth to recession currently, its very difficult to survive here in canada because the prices has increased terribly and there is no good income if i take example of international students its very hard for them to survive now because they don’t have jobs and they can’t afford to even but a grocery.

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How Canada’s interest rate hikes could impact your budget

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https://youtu.be/-TXpzPhuE5A
This video shows the results of the survey that how inflation these days is influencing Canadians. It shows that 22% of them are out of money right bow they don’t have any savings to survive in this tough time.

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22% of Canadians say they're "completely out of money" as inflation bites, poll finds

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https://youtu.be/x3xe_VTBEeA

This video has provided with the news that due to high inflation these days bank of canada has decided to let their interest rates be constant at 4.5%. Although , maintaing this interest rate would not help in lowering grocery prices but will eventually help as the interest rates would not increase inflation will nớt grow continually.

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Bank of Canada holds interest rate steady at 4.5%

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https://gtdebtsolutions.com/2022/03/04/price-shock-how-increasing-inflation-and-interest-rates-are-jolting-canadian-consumers/

This image shows what inflation means for Canadians and shows how much people have savings or how much people can’t afford.

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The image depicts that whether the inflation is high right now but it will cool down . Although, basic food prices are high but inflation will drop down.

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#I have learned so much from these topic as i was totally unaware about how tax rates are calculated and how interest rates and economics is linked to each other.
#If i would provide real life example the best example is i am international student here and i don’t have good income right now so it applies to my life also that we need to spend less at this time due to inflation and has shown many surveys right now that most of people are out of money right now. So, its time to be financially responsible nớt financially unstable.
#The most important information that need to be passed on is that everyone should spend less right now otherwise it will be very hard to survive because most of us even don’t have backup to do basic expenses.