What Negative Interest Rates Mean for Canadians + MORE Jun 1st

Making $48,000 a year working as a credit analyst, Pat has aspirations of sending her son to university, but that’s a dream that seems unattainable.

Even before COVID-19 began to dominate the collective consciousness, the possibility of negative interest rates garnered plenty of attention in the press. Just last year, in the midst of a U.S./China trade war, Donald Trump mused about the Federal Reserve heading into negative territory in order to spur the economy. In the EU, several European central banks have used negative interest rates for a number of years now. In light of all of this, not to mention the ultra-low interest rate environment we are currently living in, I thought it would be helpful to explore the subject of negative interest rates – what they mean for the economy, and how they might impact individual Canadians.
The Overnight Rate Explained
To understand how negative rates work, one needs to be familiar with something called the overnight interest rate. This is the interest rate financial institutions use when they lend money to one another for one night. It’s set by the Bank of Canada and is the basis upon which other interest rates, such as mortgages, loans, and lines of credit, are set…

 Episode 67 – June 1, 2020 The return of the Rewards Canada Podcast – A look back at the past few monthsIt has been over 2 months since the last Rewards Canada podcast and we’re ready to kick into high gear again! We return with a recap episode – looking back at the past two months of the state of credit cards and loyalty programs during the peak of the pandemic. The episode is hosted by Rewards Canada founder Patrick Sojka and he dicusses the features seen on the site during this time, what credit card companies have been doing, a look at how Aeroplan has been the program that shined during these times and how amazing travel deals are now starting to emerge. Click Here to download the podcast (mp3) or Download/subscribe via: Links relating to this week’s topics: Shifting your loyalty program strategy to help during these trying and tough financial times Rewards Canada’s Guide to Credit Card Cash Back LiquidityRewards Canada’s COVID-19 ResourcesFairmont Chateau Laurier Ottawa and Faimont Royal York Toronto now part of Stay Close Buy 1 night get 1 free offer! In light of what’s going on in the world should you shift to a cash back credit card instead of a travel card? Why not a card that has both? The ultimate guide to earning miles, points, and cash back for online shopping and food delivery services American Express® Gold Rewards Card sees increased earn rate of 5 points per dollar with Skip the Dishes and Uber EatsQatar Airways Travel with Confidence – The best airline rebooking policy yet that can be used to obtain cheap business class flights to destinations around the globeMarriott Bonvoy™ American Express® Card sees increased earn rate for groceries, food delivery and take out until the end of AugustRedemption Stories: Using Scotia Rewards points for an All Inclusive Vacation and utilizing free lounge passes from the Scotiabank Passport Visa Infinite Card American Express provides extensions to meet required spend for welcome bonus offersFinancially stable? Now’s the time to rack up some of the best travel rewards points & milesAeroplan further extends reward flight flexible cancellation policy & pausing of mileage expiration