Bank-Banque-Canada.ca Paul McKinnon/Shutterstock With two more interest rate cuts expected this year, older Canadians on fixed incomes may feel a squeeze on their investment income. Lower rates mean cheaper borrowing but also weaker returns from savings like GICs. For seniors, that could mean less monthly income — and it might be wise to consider essential big-ticket purchases now, while earnings are still relatively stable. Here’s a simple explanation of what this means, especially for older Canadians on fixed incomes: 💰 What does it mean to "cut it twice"? The Bank of Canada sets a key interest rate that influences borrowing and savings rates across the country. Cutting the interest rate means lowering that rate, which usually makes loans (like mortgages) cheaper but also means you earn less interest on savings. So, when economists say the Bank will “cut it twice” this year, they expect two more decreases in the interest rate before the end of 2025. 👵 What does this me...
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