Bad time to ignore debt

Don't ignore this week's interest rate hikes, a Kelowna bankruptcy trustee is warning. It's the wrong time to be adding debt.

Darrin Surminsky says instead you should be doing all you can to repay what you've borrowed, because the days of "free money" are quickly disappearing.

"It's clear that the trend is now increasing the prime interest rate and increasing the cost of debt," Surminsky said.

On Wednesday, the Bank of Canada raised its prime lending rate 25 basis points to 1.0 per cent. 

Surminsky said he predicts people will notice changes a few months from now — especially right after Christmas.

"I'm trying to be the canary in the coal mine," said Surminsky, a licensed insolvency trustee with MNP Ltd.

For more, check out the full story on Castanet's sister business news website, Okanagan Edge.

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