HermanH said
When you see a bum on the street stopping cars with a sign claiming homelessness or some other excuse, think "Fraud".

Got one in "The Nation's Capital" who has worked the same intersection for years. Arrives for work every morning on public transit, changes his clothes in the bushes to achieve the "Homeless Aesthetic Look", goes up and down the stopped lanes of traffic for half the day, then returns to the bush to change back into his civies, gets back on public transit to retire and recuperate after a hard day, until the tomorrow, to be back on the job!!!

Inflation + Income Taxes = *&^%$#!

But it's slightly better than keeping our money in a Sock.

Dean

They even make house calls!!!!

Indexing never produces an increase in purchasing power. It's not intended to.

Dean said
.
It's no news to us, but ➡️ https://www.bnnbloomberg.ca/in.....e-jackson/

Unfortunately the main cause is 'Higher Inflation', and that's the Drawback.

Two steps Forward ... and two steps Back.
Dean   

Like their paragraph on “Tax perks from fixed-income”:

“In addition to hedging risk, fixed income investments can also generate tax savings in most registered accounts. Interest payouts in a tax free savings account (TFSA) are not taxed…”

No, these are NOT tax perks from fixed income. These are tax perks from TFSAs and RRSPs. In fact, with higher inflation and interest rates, fixed income becomes even more difficult for someone trying to keep up with inflation in a regular account as the fantom “high” income is taxed by ignoring inflation losses. Someone should check BNN’s AI before publishing.

Unfortunately the main cause is 'Higher Inflation', and that's the Drawback.

Two steps Forward ... and two steps Back.

Dean

Bill said
Given that CDIC will face higher exposure risk I'd assume the member institutions will be paying higher membership fees. Wonder where that money will come from.  

I am not sure how the risk model works for this but it's not linear. Most people don’t hold too much cash/gics except for 1 or 2 very specific sections of population. And I would argue that the overall risk to banks might not change because while the max insured liability per bank would go up, the probability of a run on this bank would decrease. This measure is good for banks, it protects them.

Also, CDIC has actually proposed reducing premium rates substantially for 2027 in four of its five risk categories.

Bill said
Kind of an odd priority when the prevailing narrative is that everybody's facing an "affordability crisis" but good for the wealthier folks, I suppose.  

Agreed but folks who care are getting tired of proposals being floated without any action. One can very jaded and tired after awhile on consultations that disappear into the woodwork never to be seen again.

It is timely for CDIC to move to $250k (unlimited for registered accounts) to be aligned with other jurisdictions but I've never seen an issue with $100k myself. It doesn't take much to spread $1M around for $100k coverage IF one feels they need to have that much in cash equivalents/fixed income to begin with.

It is good that you are enegaged in democracy. However, it is also easy to become cynical of the government's processes. Did they listen to you or to the Bay Street suits, or other interested parties? Does Donald Trump pardon folks because they have a compelling case or because money changes hands? Does the governing party gerrymander ridings because they are listening to the people they represent, or are they desperately clinging to power (Shout out to Texans, Floridians and Californians, amongst others, for protesting Trump's gerrymandering efforts)? Did John A. Macdonald go out of his way to ensure that the death penalty was dealt to Louis Riel (subtitle of the Louis Riel book that I am presently reading, "Justice and Mercy Denied")?

It is good if you never become fully cynical. Democracy requires that people push back against the innate totalitarian nature of the ruling classes. But, would my voice have been heard in the CDIC debate. I do not believe so.

Kind of an odd priority when the prevailing narrative is that everybody's facing an "affordability crisis" but good for the wealthier folks, I suppose.

These sums can be in the millions of dollars.

The solicitation for comments was here https://www.canada.ca/en/depar.....eview.html and within that link, the actual paper is here https://www.canada.ca/en/depar.....paper.html The discussion on Temporary High Balances is in section 4.3. In my comments on this paper, I recommended 1 year for duration, and for consideration of more than $1M given the price of houses in GVR and GTA, never mind estates of same.

To me, this is a very important move, regardless of moving everyday insurance limits to $250k or not.

Did y'all not see this original request for comments back in 2025, and not comment on same?

canadian.100 said

What does "providing temporary high-balance coverage..... mean? How long is "temporary"?  

Canadien (sorry reading about the trial of Louis Riel at the moment):

I can see your alarm, but when they increase CDIC limits to $250K, there will likely not be an additional test of high balance coverage. Budget documents like to explain the rationale for changes. So, they envision that the $250 k is good public policy to catch things like temporary high balances. They are not honest enough (the trial of Louis Riel highlights just how dishonest the Canadian government can act) to admit that CDIC limits have not been inflation adjusted for over 20 years.

Ultimately, you will need to wait and see what the law and regulations say.

AltaRed said
In Budget 2026, Annex 3, Legislative Measures,
the government proposes to amend the Canada Deposit Insurance Corporation Act to modernise the deposit insurance framework by increasing the deposit insurance limit to $250,000, providing temporary high-balance coverage for certain life events like selling a home, removing the deposit insurance limit for eligible deposits in registered and tax-free accounts; legislating a periodic review of the deposit insurance framework every 10 years, ensuring that the Canada Deposit Insurance Corporation (CDIC) can access data to support evidence-based policy development, and updating the framework so provincial trust and loan companies seeking to become a CDIC member may only do so by continuing as a federal trust and loan company. 

What does "providing temporary high-balance coverage..... mean? How long is "temporary"?