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Best FI for........
April 19, 2017
10:36 pm
Cranston
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After reviewing who readily accepts POA and Designate Beneficiary with or without alternate beneficiaries. I am wondering where you folks would consider the BEST FI for:

Cash Only Savings Account.
TFSA GIC
RRSP/RRIF GIC
Non-registered GIC

Looking for good rates and those that only do transfer in/out and those the also offer cheques and an ATM card.

Reason for asking....would like to restructure investments in a much wiser manner.

Thanks

April 20, 2017
5:13 am
Loonie
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So, the POA issue is not significant to you in this decision?

For the registered GICs, I would only go with FIs that also offer registered savings accounts unless the rates were significantly higher elsewhere. Most don't. This becomes important when the GIC matures and you don't want to roll it over because the rates are not good but you haven't decided where else to put it yet. It just makes it a lot easier to deal with. This criterion limits you to places like Hubert. I'm not sure who else offers this, but it's a short list.

For the non-registered GIC, this is not an issue, as they all offer savings accounts. I would just go for the best rate. Make sure they have annual compounding and, if you want it, the option of taking out the interest annually or monthly as income, preferably WITHOUT getting a lower rate of interest because of it.

You might be best with Alterna for savings/chequing, as they offer both, with a good rate on savings. I don't have experience with their chequing though. Chequing and savings should be at the same financial institution, for easy transfers.

I don't know what you mean by "only do transfer in/out".

Achieva might be good for you if cheques are rare and you don't want a separate chequing account. They allow one cheque per month for free on the savings account. But their rate is not as good as Alterna, at least not now.

April 20, 2017
10:40 am
2of3aintbad
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For cash, you should pick whatever FI is offering an incentive - Tangerine and sometimes Meridian for new clients. You need to ask yourself why do you need cheques? There are many ways to pay bills and transfer money without cheques.

Why do want to buy GICs - age, risk tolerance, future known expenses?

For non-registered GICs, I like Hubert and Oaken because they offer cashable GICs, the only kind of non-registered GICs that make sense to me.

For TFSA, I wouldn't buy GICs. For RRSPs and RRIFs, if you have significant dollar amounts, I would look at self directed plans where you can choose between GICs and other guaranteed products such as strip bonds. What's the point of buying a 5 year GIC if you don't need to make a withdrawal for 7 years, 10 years, etc. ? I use BMO Investorline but not because of the GIC rates.

April 20, 2017
6:03 pm
Cranston
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Loonie I am not good at the "quote" option so here i go.

So, the POA issue is not significant to you in this decision?

Absolutely, after my learnings of who readily accepts POA and those I had to ask more questions after they said no, then yes and the ones that stuck with no POA and your funds will be here until you die (obviously referring to registered funds). As well as those that won't accept alternate beneficiaries as well as a successor holder while some don't have forms and want a letter (and who knows if that will hold) and those that don't have the form but do for new customers.
So based on those responses is definitely a decider in reworking my banking.

For the registered GICs, I would only go with FIs that also offer registered savings accounts unless the rates were significantly higher elsewhere. Most don't. This becomes important when the GIC matures and you don't want to roll it over because the rates are not good but you haven't decided where else to put it yet. It just makes it a lot easier to deal with. This criterion limits you to places like Hubert. I'm not sure who else offers this, but it's a short list.

I agree. And that is why I want to reorganize. Who is best rate, allows POA (and better if allow beneficiaries), and who has the associated saving account. Who is best for savings account, TFSA GIC, RRSP/RRIF GIC. I am over with stocks, mutual funds and ETFs.

For the non-registered GIC, this is not an issue, as they all offer savings accounts. I would just go for the best rate. Make sure they have annual compounding and, if you want it, the option of taking out the interest annually or monthly as income, preferably WITHOUT getting a lower rate of interest because of it.

Yes and I see Accelerate, Hubert, Oaken and Implicity would be good.

You might be best with Alterna for savings/chequing, as they offer both, with a good rate on savings. I don't have experience with their chequing though. Chequing and savings should be at the same financial institution, for easy transfers.

I don't live in Ontario.

I don't know what you mean by "only do transfer in/out".
Should had said offer EFT only while some offer an assortment of EFT, cheques and ATM card.

Achieva might be good for you if cheques are rare and you don't want a separate chequing account. They allow one cheque per month for free on the savings account. But their rate is not as good as Alterna, at least not now.

Once again don't live in Ontario.

April 20, 2017
10:02 pm
Loonie
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Not living in Ontario is not a problem for Achieva or AlternaBank. Achieva is in Manitoba. Make sure you don't confuse Alterna Savings (an Ontario credit union) and AlternaBank. https://apply.alternabank.ca/

If you give me your shortlist or exclusion list for those that are unacceptable for POA, I might be able to offer further comments.

However, you might be better off to just make a list of all the financial institutions on our Comparison list, then go through them yourself to see if they meet your criteria. It's rather complicated, as you have a lot of criteria. No problem with having a lot of criteria, but it's difficult to make suggestions that will suit. You may have to make compromises.

I question whether any of them can be relied upon for POA without a struggle. I had a POA on my account at TD some years back while I was out of the country. I never removed it, but discovered some years later that, according to TD, it did not exist - even though it had been used in the past. So, if it's that bad at BigBank, what hope is there at the smaller institutions who can't give consistent answers in the first place?

It would be useful to see what you have gleaned from all these responses.

April 22, 2017
5:48 pm
Cranston
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In have 8 FI's to review and have narrowed down to 4.

Based on.
Accepting POA
Offering alternate beneficiaries
Good customer service
Has a good reputation
Excellent competitive rates
Have cheques, ATM card, and EFT
Has an associated savings account for all registered an non-registered accounts
All online
Almost all online

Asking myself who is best for any combination of.
Joint savings account
Non-registered GICs
RRSP RRIF
TFSA

So now I guess have to reconsider Oaken....darn!!!!

April 22, 2017
11:07 pm
Loonie
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If you've got it down to four, I think you've done a good job of winnowing.
Should I assume they are Hubert, Implicity, Accelerate, and Oaken? - based on what you said in #4 above?
You might need all three (or four), for various kinds of deposits.
For the sake of diversification, if it were me, I would want at least one FI which was not a MB CU. I wouldn't want to be entirely dependent on the Manitoba CU Deposit Corp. if things went badly there. Probably nothing terrible will happen, but it would make me more comfortable personally to have some of my money with CDIC insurance.
Also, it seems like rates are a bit in flux right now, as we have seen at least 3 changes in the last few days, some up and some down. More rates could change, particularly at Oaken. I do invest at Oaken and would not be worried about doing so again, personally. I also wouldn't rule out special rates and deals, but they are more work to manage.

April 23, 2017
9:39 am
Cranston
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Yes, but used much more criteria for both my wife and I to review and make a decision. While the other 4 have GICs yet to mature and could be reconsidered at a later date.

I agree too much in the MB systems and should consider dropping Implicity for a CDIC FI...but who is that? NOT PT for sure and not iTrade with their low rates. Any ideas?

April 23, 2017
7:54 pm
Loonie
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Aas I think I said earlier, this may be the point where some compromise is necessary. It's surprisingly difficult to get all of one's criteria met.

It depends on what kind of account you need. If it's savings, you could go with a joint account at AlternaBank perhaps. A joint account reduces issues with powers of attorney.
If you are in the GTA, perhaps a long GIC with Talka, which gs has mentioned. It's a credit union, but Ontario's credit union insurance is different from Manitoba's, so you would get that diversification. Also that Northern CU (Ontario), which was promoting itself here recently had some term specials, I think 18 months, not sure of details.

Sometimes, in the past, the Korean and Chinese banks which have operations in Canada have had good offers but I can't remember their names (not HSBC) and don't know what they offer at present. They are CDIC insured. Worth keeping an eye on perhaps.

Other than that, they're all listed. Keep an eye out for rate specials.

April 24, 2017
8:16 am
SavingIsGood
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Why POA is so important for you guys?

April 24, 2017
12:59 pm
christinad
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I don't know that i trust hubert re: power of attorney. Only when pushed did they say they'd accept poa with doctors note. You may want to email again, just to confirm and get in writing.

As for why poa is important, for me i have no spouse so i don't want a joint account. It is not so important now as i'm young but as i get older will become more important. I don't feel entirely comfortable giving out bank passwords. I don't even have them written down.

If i am in a coma suddenly i want my money managed. To me that is the whole point of the poa.

April 24, 2017
10:15 pm
Loonie
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Oaken is looking pretty good this week! Their rates should hold at least until there is a ruling from the OSC, and probably a bit longer. They may even go up again but I think not likely.

April 26, 2017
8:45 am
Cranston
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Yup rates up. Doesn't give me any confidence in them what so ever. Any one have a good replacement for Oaken. Good rates and CDIC insured?

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