ceiling on depositis at People's Trust. | General comparisons | Discussion forum

Please consider registering
guest

sp_LogInOut Log In sp_Registration Register

Register | Lost password?
Advanced Search

— Forum Scope —




— Match —





— Forum Options —





Minimum search word length is 3 characters - maximum search word length is 84 characters

sp_Feed Topic RSS sp_TopicIcon
ceiling on depositis at People's Trust.
June 7, 2010
12:49 pm
jude
Guest
Guests

People's Trust savings accounts are only insured for $100,000 and I understand that this is the norm for all savings accounts in Canada.Is it safe to deposit more than that? How much? thanks.

June 7, 2010
2:36 pm
guest
Guest
Guests

what you're really asking is how solvent and/or trustworthy is people's trust. i don't think anyone other than the officers and directors of that institution can truthfully answer that question. if you have more than $100K in cash to deposit, you can just deposit it in multiple banks and make sure the deposit amount at each bank is less than $100K.

June 7, 2010
6:17 pm
jude
Guest
Guests

thanks! the reason why i put everything at people's trust is because of their rate and many banks do not service my province.i do find people's trust a bit strange because they do not do a very thourough identification process when i call them.they ask my name and account number and then on to business.they also do not give any kind of confirmation for my banking activity other than monthly statements.i really do have to trust them.

June 8, 2010
3:20 am
Jim
Guest
Guests

You really don't want to exceed the $100K cap for CDIC insurance in a small trust company like this. Between 1967 and 2004, CDIC paid out $24 billion to depositors on 43 failed financial institutions.

June 8, 2010
5:23 am
msl25
Guest
Guests

i completely agree to jim.

and if you have 100K, why not just bank it any of the the "BIG 5?"

hmmmnnn putting your 100K to "online banks" like ally, ING, people's trust

is kinda spooky...

June 9, 2010
2:30 am
Stan
Toronto
Member
Members
Forum Posts: 77
Member Since:
October 5, 2009
sp_UserOfflineSmall Offline

jude said:

People's Trust savings accounts are only insured for $100,000 and I understand that this is the norm for all savings accounts in Canada.


You are personally insured to $100,000 under CDIC; and then up to an additional $100,000 in a joint account.

Manitoba Credit Unions and affiliates such as Achieva Financial and Outlook Financial, have no cap on insured deposits.

June 12, 2010
1:10 pm
jude
Guest
Guests

the reason i put my money in people's trust is because they have the high interest rate but i will follow your advice and transfer it out on monday.thank you!

June 12, 2010
1:40 pm
jude
Guest
Guests

http://www.bbb.org/mbc/busines.....-bc-112138

does this mean anything? they are offering the best interest rate and i am in québec so my options are limited.

June 13, 2010
11:34 pm
stylintheo
Guest
Guests

msl25 said:

i completely agree to jim.

and if you have 100K, why not just bank it any of the the "BIG 5?"

hmmmnnn putting your 100K to "online banks" like ally, ING, people's trust

is kinda spooky...


what are you 80 years old?
you sound like those old people who dont trust banks, if thats the case, why not just keep your money in a hole in the ground...
the only thing that is spooky, is not at least getting 2.1% on your money...
haha the big 5
August 4, 2010
10:43 pm
Liquid Man
Guest
Guests

High interest savings accounts, with quick availability are hard to come by these days. I have several $100,000 accounts with Peoples Trust. Each account has a different name or names on (i.e. one account has my name only, another will have my wife's name only, a third wll have both my name and my wife's name on it - you get the picture)so that it is covered by CDIC. I called CDIC to confirm that this ok before opening the accounts and they said that this is fine.

August 4, 2010
11:22 pm
Doug
British Columbia, Canada
Member
Members
Forum Posts: 3723
Member Since:
December 12, 2009
sp_UserOfflineSmall Offline

Good advice, Liquid Man.

Basically, the $100,000 CDIC limit is *per depositor* at *each CDIC institution*. This means that if you had, let's say, you had the following accounts:

$100,000 in your name
$100,000 in your wife's name
$100,000 in your joint accounts with your wife
$100,000 in your RRSP(s)
$100,000 in your wife's RRSP(s)
$100,000 joint with your son
$100,000 joint with your daughter
$100,000 your wife has joint with your son
$100,000 your wife has joint with your daughter

* TFSAs are counted as part of your own non-registered deposits, if memory serves me correctly.

You and your wife (or partner) would be fully CDIC insured for the full $900,000. There are other vehicles which are CDIC insured as well, such as mortgage tax accounts a bank sets up to automatically pay your property taxes on a mortgaged property. Accounts in trust for someone else are also CDIC insured -- there are some strict rules though, namely that the bank needs to have fully documented KYC (ID, SIN, etc.) details for all parties involved (including the trust beneficiary) and have the account clearly labelled as a trust account.

Commercial accounts are considered separate legal entities and as such are afforded the same CDIC protection as personal depositors. Unincorporated entities, however, would be included in the person's sole account personal deposits.

Finally, Some banks have separate, mortgage and loan companies as well as a trust company or two with which they can use to hold your GICs or possibly savings accounts as well. I know with HSBC Bank Canada, for instance, our systems allow us to open a new GIC that's held under HSBC Bank Canada or one that's held under HSBC Mortgage Corporation so one client could hold more than $100,000 in their own name that way. Speak with your financial institution to see if they offer this ability.

Cheers,
Doug

August 5, 2010
3:33 am
NorthernRaven
Moderator
Moderators
Forum Posts: 458
Member Since:
August 4, 2010
sp_UserOfflineSmall Offline

Doug said:
* TFSAs are counted as part of your own non-registered deposits, if memory serves me correctly.

I believe TFSA accounts are a separate $100,000 category, and don't count with your non-registered deposits, if this CDIC faq is correct.

Please write your comments in the forum.