RBC GIC for RRSP | Page 2 | GIC discussions | Discussion forum

if it was me, I would just do the math and find out the answer to all the questions being asked here. Those are pretty straight forward to find out. But then its easier to just ask....sigh... Its your money so should spend some time urself... Thats what I teach my kids. In the days of google, there is really no reason to ask someone for a simple answer that can be found readily.

dwdrajesh said
Thanks again guys. I am not trying to get an easy answer by just asking people online, I do the math myself carefully anyways before I sign up to something. However, since I already have one RBC account, one EQ Bank, one Tangerine , I was just asking how much of a hassle it is to transfer RRSP to Oaken, let's say, by first opening a new account and then going through all the procedures for 0.65% for the money that I have (around 17k). Did you guys have a good experience with Oaken so far? I live in a city where they don't have a local office though. Thanks again guys, I really appreciate it.  

I have account with Oaken from more than 6+ years ago. Other than opening the account which I did at their office, everything else is done online or via the phone. Their services are fine and I have no issues with them. Like the fact I can set GIC maturity instructions and purchase GIC online easily too.
Oaken is Home bank and Home Trust, the 2 are separate entity. If you get GIC, you can put up to $100k in each name so $200k CDIC protection.

dwdrajesh said
Hi guys, just a quick question since I am a bit new to the Canadian credit system and I dont own a house but plan on buying one in the next 2-2.5 years. I have been with RBC for sometime and I have heard people say that if you have a good history (in terms of credit, deposit, etc), later when you plan to get a house, the bank might offer you some concession on the interest rates. I looked up online but there is so much information to filter out. Do you think it is a wise decision to stick with one bank with whom you have a good history rather than having multiple accounts on different banks? Thanks again.  

I suggest you start with checking your current credit score, which you can do for free with your RBC account. Login to their Web site, see "Accounts Summary" page and at the right bottom side there is "My Services" section where you'll find "View Your Credit Score."

Perhaps, you credit score is already good enough, then don't worry about doing anything else.

Banks have no loyalty to their customers unless they are very wealthy. If perchance they give you a good deal at some point, it will be because of market conditions, your creditworthiness, your potential as a future customer and your ability to negotiate. They may SAY that it's because you've been a good customer, but that's BS. They would be equally eager to get a NEW customer or reclaim one who has strayed.

You keep finding new reasons why you can't move forward with transferring your GIC. Meanwhile, the rates are falling. You are losing money while you dither.

It's irrelevant that you have accounts with other financial institutions. What you want is the best possible deal. Promos effectively don't exist right now in GICs. If it bothers you to have accounts at several institutions, then dump RBC and Tangerine as soon as you can.
Oaken is a keeper if you plan on having GICs in the future.
As you will see on another thread, Oaken is lowering its rates next Wednesday and has given notice about this. If you hurry, they might agree to hold the current rate for your transfer. Don't waste any more time. It's not the difference in percentage points per se that matters; it's the dollars that it translates into.

dwdrajesh said
Do you think it is a wise decision to stick with one bank with whom you have a good history rather than having multiple accounts on different banks? Thanks again.  

IMO the answer is "absolutely not".

First you should read about something that happened to me in my younger days, because it's an illustration of how I was abruptly reminded that the bank (any bank) is not my friend -- https://www.highinterestsavings.ca/forum/general-financial-discussion/bmo-300-promotion-for-opening-a-chequing-account/#p55301

Since that early incident there have been at least 3 more occasions in my life when I would have been at a serious disadvantage negotiating with Bank A were it not for the fact that I had taken the time and energy to cultivate multiple additional relationships at Bank B and Bank C, and therefore had an exit door when Bank A tried to jam me about something. You need to run your personal financial affairs like a business, because that's what you're up against -- another business called a bank that's looking to maximize their profits.

Also, there's no rule that says you have to get all your services from the same bank. They're not your friends and you should make them compete for every piece of your business, especially when it comes to mortgages. A few interest points or fees saved as a result of your being able to play one lender off against another can add up to a lot of dollars saved over time.

So my advice is to spread things around and create some alternatives for yourself. Sooner or later the day will come when you'll be glad you did

At the time we got our mortgage, eons ago, I had an account with a credit union and one with RBC. I'd been with RBC for 8 years at that point. I also had some RSPs in some smaller financial institutions.

National Bank got our mortgage business though, as they made the best offer at the time.

If you want the old rate at Oaken, you have no time to lose. I am not familiar with the online sign-up system so don't know how long that might take. The only reason it takes 3 to 4 weeks is because Oaken is allowing for the fact that RBC might be slow. I did a transfer from Oaken to Meridian last year and it took 3 business days start to finish. I already had accounts established at both ends.
Your transfer fee should not be more than $100, and should be less, but I can't guarantee.

Try this. Contact Oaken and see if you can do :

Open, online, a RRSP GIC Account as a non current customer.
Application will likely be much longer than if a current customer.
Select the term, years....and today’s rate will be assigned
For the amount, enter the approximate amount
Make a note of that you are transferring an approximate amount RRSP funds from RBC. There is a field for that in the GIC process.
That in the past, has held the door open and locked the rate.
Get on it, quickly, the transfer process, and courier it.
Also include a copy of RBC RRSP value and any investment account number for the RRSP. State it is to be all cash in your RRSP savings account.
Keep a copy of the GIC application and a copy of the transfer form.
Don’t be surprised that RBC calls you.
Oaken will follow up with RBC if they move slowly.

Hubert handles very similar to above as well.