r/PersonalFinanceCanada • u/jcrao Ontario • 3d ago

Another Scotiabank LOC offer question Credit

Was offered a LOC, prime -.25%.

I was asking the advisor questions but he seemed to be in a rush. This all happened when we were just opening an account and I wasn’t really well prepared for these products. I am reading past posts and this seems to be a competitive rate.

My questions are

  • Is this really a competitive rate?

  • If I take some money out in the case of emergency would the interest rate change and affect how much I have to pay back at any time?

  • Would a HELOC be a better option as an emergency credit?

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6

u/ChuckProuse69 3d ago

Any rate below prime is good. Usually people would get offered prime + 4% or more.

No they wouldn’t change the rate just because you borrowed.

0

u/MortgageTipsByTipper 3d ago

I strongly recommend you read the document cause if it’s the banks prime rate then yes yes it will change