Canadians responded to rising interest rates on line of credit and loan products by paying down loans. According to the latest stats, the ratio of household debt to net income fell to a two-year low of 168 percent in the first quarter of 2018. These payments appear to have slowed down, but further reduction of debt should not be ignored as rates will likely rise again in July. Instead of putting your money into investment and saving products that offer small interest rates, experts argue paying off debt is the smarter option.

Read more: How the banks persuaded Canadians to pay off their debts