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Accelerate are very strict
June 10, 2015
9:28 am
JBil
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I wanted to transfer 4 RRSP accounts from my major bank to accelerate. 3 accounts have more than 100K and 1 has less than 100K. But overall i wanted to transfer more than 400K from my bank to Accelerate (plus our new contribution for this year).

Since they reimburse $100 if you transfer 100K i asked them to reimburse $400 since I will trasnfer more than 400K. They refused saying that one account has less than 100K. I think they don't need money. They are really strict so I will probably move my money to Achieva where there are no fee if you transfer out RRSP money ($50 at Accelerate).

My major bank charge $135 plus taxes to transfer RRSP money. For me that does not make sense, $135 plus taxes for a money transfer. How come Achieva are able to do it for free ?

June 10, 2015
12:20 pm
Yatti420
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That's sad Accelerate wont cover that transfer.. For ~400k you would think they would cover it.. Maybe call Achieva and see if they will cover the reg transfer fee(s) from your major bank. If it's 135$ per account (which wouldn't surprise me) it could be problems..

June 10, 2015
2:13 pm
JBil
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My wife and I have a saving account with Accelerate and until now we were really happy with them. I was ready to move more and more money with them. But with that they stoppped me doing it. I think they have more money that what they need and they want you to mainly borrow money from them.

Since it's free to transfer money from Achieva they don't want to pay for transfer fee from other banks and I totally understand.

I have to evaluate wihch combination is the best.

June 10, 2015
3:16 pm
kanaka
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I would imagine that Accelerate collects money for Crosstown to lend out. I also understand your concern but everyone has their rules...and am also aware that Accelerate would only pay for transfer fees once (in a life time). Is the fee that much of an issue vs higher interest rates?

I am still a huge believer of NOT putting all my eggs in one basket. I have moved RRSP funds from an adviser to Oaken, Hubert and will also do same with Accelerate.

I jumped the gun with Oaken as I don't care for their RRIF withdrawal options and their minimum $10,000 RRIF balance and the lack of a RRIF savings account.

June 10, 2015
3:46 pm
JBil
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Kanaka,

I'll probably do the same as you and move money between few banks. Since I'm from Quebec, Hubert is not accessible to me.

Achieva has good interest rate and has no fee so it's really flexible. I can move money as I want without having to pay a cent. I'll move a good part of it right there.

I think the interest rate will increase a bit in the next year so we have to be ready for it.

June 10, 2015
10:29 pm
Loonie
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These rules are the same as what I was told by Accelerate last Sept.

If you can show us ANY bank or CU that will reimburse you all that money when transferring into a savings account or GIC, I'd be very impressed. I would bet that Achieva won't reimburse any of it.

It sounds like you are planning to put the money in HISA, since you are anticipating a rate hike within the year and want to remain flexible.

Currently, there is a .1% spread between Accelerate and Achieva HISA rate. On $300,000, this is $300/yr. Why would you want to lose that $300 by going with Achieva in order to save $50 later?

Doesn't make any sense to me, since you were willing to put all your eggs in one basket originally.

However, since you say that all of your existing RRSP accounts are with the same institution, why don't you see if you can merge them all into one account (at no cost) before transferring them, in which case there would only be one transfer fee to pay. They really shouldn't charge you to merge them, although may try to insist that you take a GIC. Just tell them you're waiting for rates to improve before you reinvest in GIC.

I'm as opposed to these fees as the next person, but you have to be realistic. With large amounts of money, you're better off to just consider the rate.

June 11, 2015
8:44 am
JBil
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That was exactly the reply accelerate sent me. Merge your accounts. I can't. I have my own account, one for spouse contribution, my wife account and also spouse contribution account. They cannot be merge.

With accelerate, they reimburse A PART of your fees but you have to put the money in a GIC.

I'll have to evaluate the differences and what i plan to do with that money in the next year (hoping that rates will increase).

June 11, 2015
9:22 am
kanaka
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So if you each have 2 accounts, self and spousal times 2. And if you transferred the lesser amount to Accelerate to a one year GIC and then higher amount to a HISA times 2. And since these 4 registered accounts are actually 2 yours and 2 hers. Accelerate should offer offset transfer fees for both you and your wife. And then pay the transfer fees yourself for the other two accounts. ??

June 11, 2015
12:24 pm
Norman1
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JBil said

That was exactly the reply accelerate sent me. Merge your accounts. I can't. I have my own account, one for spouse contribution, my wife account and also spouse contribution account. They cannot be merge.
...

I think you can merge some of the RSP accounts. The Income Tax Act allows such mergers. Whether your particular RSP trustee permits them is another matter.

Under Income Tax Act subsection 146(16), titled Transfer of funds, one can transfer property from unmatured RSP accounts to another RSP account with the same annuitant.

I think you (or your wife) could transfer the property from your (her) non-spousal RSP account to the spousal RSP that you are (she is) the annuitant of.

June 11, 2015
12:48 pm
JBil
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Thank you Norman1. After reading your message I called my bank for a second time and this time I talked to a guy who knew the rules. As you said they accept to transfer the non-spousal RRSP account to the spousal RRSP account.

So I'll get only 2 accounts instead of 4. Now I'll be able to transfer evrything to Accelerate.

Thank you for your input.

June 11, 2015
3:16 pm
Norman1
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You're welcome, JBil.

Glad I could help.

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