June 2, 2009
I just finished transferring a whole whack of cash to these guys, and literally the next day they dropped their rate. I can't say I'm too surprised though, as from their perspective this is probably the best move on their part. Their new rate of 1.75% is still higher than the rest of the "full-service" online banks, but lower than Peoples Trust, which doesn't provide online access to balances. So people wanting to move their cash have to decide between lower-interest and better-features at CT, or higher interest and next to no features at People's Trust. Expect PT to lower it's rate to 2.00% soon.
Canadian Tire has proven to be a real strong provider of these services, however, there are others that offer as good, if not better rates, with a full service online banking platform. I have an account with Achieva Financial for almost 10 years and while I don't do my day to day banking with them, I have always had a great experience, consistently very competive rates on Savings, GICs & my RSPs which I started moving from ING as they can't match their rates. While they do not have a bank to bank feature, they provide me cheques and an ATM card...even $1 per month is given to me for simply taking my account statement online.
So...there are very good offerings out there if you are prepared to look.