How to go about securing the best rate and plan for your credit card in Canada.
Latest News
This Week in RWRDS: May 11 – 17, 2024 + MORE May 18th
This week we look at new bonus offers from Air Canada, Best Western & Coast Hotels, provide details of the new Wealthsimple Visa Infinite Card and more in our weekly credit card and loyalty rewards newscast! Watch This Week in RWRDS here: Listen to This Week in RWRDS here: Topics of discussio.... More »
IMF boss Lagarde questioned in French corruption probe that also involved Orange CEO + MORE Mar 19th
PARIS – International Monetary Fund chief Christine Lagarde is being questioned by Paris magistrates investigating a corruption case that also involves the chief executive of French telecoms group Orange.
Lagarde and Orange CEO Stephane Richard arrived Wednesday at the central Paris courthouse.... More »
Banks that make the most money, and the least, on credit card loans + MORE Dec 2nd
The most costly card companies are ones you probably never heard of -- but whose cards you just might carry.... More »
This Week in RWRDS: June 8 – 14, 2024 Jun 15th
This week we look at a rare money making hotel bonus points offer, Porter Airlines’ Atlantic Canada flight bonus, Aeroplan’s Hotel points rebate and more in our weekly credit card and loyalty rewards newscast! Watch This Week in RWRDS here: Listen to This Week in RWRDS here: Topics of di.... More »
FINAL REMINDER The credit card to consider getting right now - August 2022 + MORE Aug 31st
We continue our monthly feature where we recommend a card to consider applying for right away during the course of the current month. How do we pick which card should be highlighted? We'll look at numerous factors however in most cases it will primarily be due to the limited time off.... More »
Tighter Lending Rules Mean Better Credit Card Options for Consumers
– ratesupermarket.ca
Consumers look to cash in over the next several months, as a softening housing market spurs banks to shift their focus to credit cards as a larger source of lender income.
Mortgage lending is traditionally the largest source of banks’ funding – and while it continues to be the main breadwinner, recent restrictions to cool the markets are now being felt in bank coffers.
These market changes include a recently imposed monthly cap on mortgage guarantees at $350 million for each mortgage lender. As the spread of mortgages narrows and becomes less attractive, banks look to make up the lost profit through credit cards.
Credit Cards Mean Easier, Faster Profits
Although credit cards have a higher default rate, they offer the opportunity for a higher profit margin. As the saying goes – the higher the risk, the higher the reward. Consumer debt has skyrocketed over past several quarters, fueled by ultra-low interest rates. The debt-to-income ratio hit a record 163 per cent in the third quarter of 2012, before falling slightly to 162 per cent in the most recent quarter, according to Statistics Canada…
The NDP is calling on Finance Minister Jim Flaherty to acknowledge a mistake in last spring’s federal budget that more than doubled the corporate tax rate for credit unions and bring in a fix immediately.
