Common Mistakes
The biggest mistake I see people make with the Interest Rate Impact Tool is not fully considering their specific financial situation. It's easy to get caught up in the broad trends and numbers, but the real impact comes down to your unique circumstances. For example, I had a friend who was looking to buy a house in the U. S. He plugged in some generic numbers and saw the potential impact of rising rates, but didn't factor in things like his income, credit score, and location.
How to Avoid Them
When you use the Interest Rate Impact Tool, turns out, the rate hike would have hit him harder than the average buyer. By diving deeper into his personal details, he was able to make a more informed decision about timing the purchase.
