DUCA Deposit Rate Decrease to 5.5% on January 17, 2024 | DUCA Credit Union | Discussion forum

I transferred out all my funds after they decreased it from the promised 6.25% the first time.

Personally, I appreciate DUCA much more than most if not all of the other FI. DUCA never promised any rate that was not subject to change . I don’t think any other FI has. What I experienced is a rate subject to change that went up prior to the original term and then went down, but not as low as the original rate. They also have frequently extended promos with very competitive rates. DUCA for me (and all not just randomly targeted customers) have in my opinion treated customers far better than the likes of Simplii and Tangerine who offer sporadic promos and then drop to ridiculous rates for what they promote as High Interest accounts. Simplii has not offered me a promo on what they call their HISA (currently .4% yes point 4 up to 100,000.00) for years. Tangerine is hit and miss sporadically temporarily ok.
Just my 2 cents.

savemoresaveoften said

I am totally with you re DUCA vs Tang or Simplii. 5.5% is still the highest rate out there that does not need to win the lottery to receive.
As for them dropping the rates from 6.25% to 5.75% last month, of course every depositor prefers 6.25% vs 5.75%, but its well within their rights to do so, and they did not break a promise in my eyes.

Having said that, I am moving some funds over to Motive to get the 120d 5.7% term GIC.  

Defend DUCA all you want but it was inexcusable to drop a promotional rate so quickly after announcing it and doing it without a notice. I got the same email yesterday and I'm glad they learned their lesson. My Tangerine promo ends at the end of this month and will make a decision then on whether to move my savings back to DUCA.

Kirk said

Defend DUCA all you want

Why would I defend DUCA... when they raise rates unexpectedly one is happy and entitled, when they do the opposite, one gets upset to the ying-yang ? Thats just more childish behavior to me.

Which big 6 and other FI give u an advance heads up before they change rates ? You dont need that many fingers on ur hand to count...

5.25% https://www.duca.com/earnmore

Meridian next to reduce as per last time probably.

My account still showing 5.50%. I guess it takes a day to take effect
(That's what happened on the last rate drop)

In contrast, Motive just increased their GIC rates.

peterwb said
The rate cuts have been expected. I was able to lock in at 5.75% with Duca. Don't be surprised if the rates go back up again. The economy is not doing as good in the USA or Canada as some might think. If inflation jumps as it probably will, I believe the Bank of Canada will signal trouble brewing and then just watch the Bond rates.  

It will take a pretty bad inflation spike for BoC to hike rates. At best status quo longer than CB have advertised, but thats not enough to put upward pressure on 1y rate. If anything those 3-5 years which have been crashing down past 3 months may get an uptick.

SO SO WRONG!!! The BoC rates are NOT based on inflation rates AT ALL!! They are 100% following the short term bond market rate. not 97, 98, or even 99% of the time. 100% of the time! Check it out yourself.... just pull up a chart and you will see that ALL rate changes stay within a 25pt range of the bond market, and it always lags! You can easily predict rate changes by following the short term bond market.

All central banks try to give the impression that they are in control... such smoke and mirrors!

smayer97 said
SO SO WRONG!!! The BoC rates are NOT based on inflation rates AT ALL!! They are 100% following the short term bond market rate. not 97, 98, or even 99% of the time. 100% of the time! Check it out yourself.... just pull up a chart and you will see that ALL rate changes stay within a 25pt range of the bond market, and it always lags! You can easily predict rate changes by following the short term bond market.

All central banks try to give the impression that they are in control... such smoke and mirrors!  

So so wrong !! BoC is not real. Big 5 bank short term bond traders take turn being the governor at each meeting and deciding bank rate. This way it’s fair each trader can decide rates that suits his position at the time. Macklem is a hired actor to go in front of the camera cuz he’s the better looking than the traders.