The most recent mortgage rule change that has yanked the welcome mat from underneath first time home buyers has put the spotlight on Posted Mortgage Interest Rates.
The Posted Mortgage Interest Rates used to serve just two purposes.
Number one is the banks use the posted mortgage interest rate to rip off Canadians that pay off the mortgage before the term is over.
Number two is the banks use smoke and mirrors to fool Canadians into thinking the bank is giving them a break from the posted mortgage interest rate.
The banks have the full blessing of the Government of Canada to keep the interest rate rip off scam going. The banks want Canadians to believe that the Posted Mortgage Interest Rates are what they normally loan mortgage money at. That’s as phoney as a three-dollar coin. It’s a mythical number the banks use to create confusion and rip off Canadians because NO ONE pays the Posted Mortgage Rate.
Rip Off number one is the Payout Penalty Scam run by the banks and sanctioned by the Government. Life happens and people sometimes have to move or they might win the lottery and want to pay off their home. Whenever someone chooses to pay off their mortgage debt early the banks cry foul and impose a Pay Out Penalty based on the bank supposedly lending that same money at the Mythical Posted Mortgage Rate. The difference can be so high that it forces people to be held hostage to a house that no longer works for them. Or suck it up and get Posted Mortgage Rate Ripped Off by the Banks. [Read more…] about Posted Mortgage Rate Rip Off