To ensure that ongoing loan commitments are met, the monthly payment amount on any Investment Loan, RSP Loan or TFSA Loan may be reset1 to align with the applicable changes to the B2B Bank Prime Rate or B2B Bank Alternative Rate.2
Currently, some loans are adjusted once each year. Moving forward all payments will be adjusted as follows:
- Beginning November 2022, where applicable, clients’ new payment amount will be withdrawn to reflect several B2B Bank Prime Rate or B2B Bank Alternative Rate rate changes this year
- The January 2023 payment will reflect any B2B Bank Prime Rate or B2B Bank Alternative Rate changes for the remainder of 2022
- Going forward, we will review payment amounts on a quarterly basis, adjust them as needed and provide confirmation in the clients’ account statements
Keeping your clients informed
To provide an opportunity to discuss this with your affected clients, we will be providing advance notice as follows:
- A personalized letter (October 2022) for each of your clients’ impacted loans, including their new payment3 amount effective November 2022.
- An insert that advises all clients of upcoming payment reset changes will be included with the September 2022 quarterly account statements.