Rates: Consumers must watch out

Johannesburg – Consumers should plan ahead to meet all their financial needs as interest rates may rise, economists warned on Thursday.

The SA Reserve Bank (Sarb) announced the repo rate will remain unchanged at 5.5%, but sounded a warning of increases to come.

Chief investment strategist for Old Mutual Wealth, Dave Mohr, said consumers borrowing money now could be paying at least a percent more in interest by the end of the year.

“The economic circumstances are tough and consumers must watch out because job security is low,” he said.