https://padlet.com/minouti9423/phz47lu70s8k Factors affecting fluctuation in rates by Minouti & Haard en-us 2019-11-22 21:37:21 UTC 2026-01-30 10:58:05 UTC hello@padlet.com https://www.economicshelp.org/wp-content/uploads/2013/05/saving-interest-rates-infl.png minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415537393 Here you will learn about interest rates and the factors that affect the variation in the rates. Interest rate levels are a factor of the supply and demand of credit: an increase in the demand for money or credit will raise interest rates, while a decrease in the demand for credit will decrease them]]> 2019-11-22 21:43:04 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415537393 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415542776 This website explains the various effects of interest rate fluctuation on Canadians especially in the banking sector.  The website briefly explains the various factors that cause rate changes. There is rise in the rates because the bank not only wants to stabilize the housing costs and reduce levels of household debt but also wants to protect people from an economic shock. That being said, wants to provide protection from any sudden situation in the future.

We found this website very authentic and straight forward. At the end of the website, they explain that the effect of increased interest rate will not affect the principle amount. One might have to pay off the loan for a longer period of time but the main amount remains the same.]]> 2019-11-22 22:00:50 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415542776 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415576195 There are a lot of factors that impact on interest rates. Some are in our hand and few are not controlled by us. The one piece of advice that I would like to offer is of maintaining a good credit score. If you have good credit score, you will be able to get loan at lower rate.]]> 2019-11-23 00:58:33 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415576195 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580027 One of my family member bought his new car last month and Haard is planning to buy one in the coming month. We decided to take this topic as we wanted to learn about the interest rates, the effects of it and factors that affect  fluctuation. ]]> 2019-11-23 01:28:13 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580027 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580113 Before starting the topic I thought that there are just few factors and those factors might be responsible for fluctuating interest rates. But,  after researching on this topic, we came across that there are individual factors that play an important role in increasing the rate of particular loan.]]> 2019-11-23 01:28:56 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580113 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580329 In this website, the host has explained that there are 7 major factors that determine the fluctuation in interest rates. These include: 1. Credit scores, 2. Home Location, 3. Home price and loan amount, 4.Down payment, 5. Loan term, 6. Interest rate type and 7. Loan type.

The reason why we selected this website was that we were never aware about the trade-off between the points and interest rates. Points that rate offered by the lender can decrease the interest rates in exchange for an upfront fee. Secondly, lender credits can lower the closing costs in exchange for a higher interest rate.]]> 2019-11-23 01:30:19 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580329 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580435 The bar graph below shows the effects of increasing rates while purchasing a property. I can see that the mortgage rate was at a peak during 2017 projection compared to the current rate of 3.5%.]]> 2019-11-23 01:31:09 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580435 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580516 This image expresses the bar graph representation of credit scores with the rate of interest. More the credit score, less is the interest rate. ]]> 2019-11-23 01:31:31 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580516 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580596 This short video explains what is interest rate and roles it plays when lending money. It play san important role in keeping the economy moving as it encourages people to borrow, to lend and to spend. It explains that charging the borrower with interest rate is like compensation for lending money.
The video is very self explanatory and I found it very useful for the persons who is new to this system. One should for sure understand these factors before borrowing money

]]> 2019-11-23 01:32:00 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580596 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580623 This video explains the car interest rates. It is almost the same as any other interest but here in an auto loan has to make payment biweekly and interest in added in it. The rate scan be affected by factors like if you miss one of the payment your interest rate can be increased. More the down payment you do to buy the car, less interest you have to pay!
I found it considerably easy and cleared my concept of auto loan.]]> 2019-11-23 01:32:09 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580623 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580656 The video explains the recent interest rate increase done by the Bank of Canada. The various strategies that they use to do so. First, the Bank of Canada will decrease the interest rate and then for the upcoming there is tremendous increase in it.]]> 2019-11-23 01:32:23 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580656 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580683 This video is of Steven Polar, where he states that 
Bank of Canada has always tried to maintain the interest rates "neutral". That being said, Bank of Canada considers this neutral as 2.5%.
The astonishing piece of this interview is that we are at present at around 1.75% and we need to climb a lot more stairs to be there at neutral.]]> 2019-11-23 01:32:35 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580683 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580729 This website is very simple, yet with most of the information. In the beginning it explains the meaning of interest and the reason of having interest rates. There are three main factors that affect interest rates. First, the risk that the borrower might not repay the money. Well, the burden of this is more on provincial policies rather than the federal government. Secondly, risk depends on the time period the money is loaned. The borrower's ability to repay money varies after an year or 10 years. Third, inflation affects the purchasing power of the money when it is repaid to the lender.

This article personally helped me (minouti) a lot to understand the basics of interest rates. It is from The Canadian encyclopedia so it is precise and reliable. The unique piece of information that we found was that the three main factors that are responsible for most of the fluctuation and interest rates works according to the policies incorporated by the Bank of Canada]]> 2019-11-23 01:32:53 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580729 minouti9423 https://padlet.com/minouti9423/phz47lu70s8k/wish/415580757 In this website, there is a list of factors that majorly affect the rates fluctuation of an auto loan. These are as follows: 1. The age of the vehicle, 2. The length of loan, 3. Debt-to-Income Ratio, 4. Down Payment, 5. Economic Strength and 6. Economic Inflation. 

The interesting piece of information that we found in this was earlier we thought that everything as in each factor is in our hand to control the interest rates. but, after reading this website we came to know is that if one has a good credit then you can easily be eligible for loan and afford of car.]]> 2019-11-23 01:33:08 UTC https://padlet.com/minouti9423/phz47lu70s8k/wish/415580757