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CDIC coverage
March 30, 2021
2:32 pm
Alexandra
British Columbia
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I don't see Neo Savings on CDIC list. I checked under Neo as well as Concentra. They say they are CDIC insured though

March 30, 2021
4:42 pm
Alexandre
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Alexandra said
I don't see Neo Savings on the CDIC list. I checked under Neo as well as Concentra. They say they are CDIC insured though  

This is what their FAQ says:

Is my money insured?
Yes. The Neo Savings account is provided by Concentra Bank, a CDIC member institution, and is eligible for CDIC deposit protection. Deposits held in Neo Savings accounts are combined with eligible deposits held at Concentra Bank, for up to $100,000 of deposit protection, per category, per depositor.

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Note that to open Savings account with them, you'll need to install their app on smartphone, also provide them with SIN, photo of driver's license (or other government issued ID) made with their app, and selfie made using app again.

As long as you have government issued ID from their list, SIN, and don't mind sharing your selfie with strangers - the process is really fast and simple.

I am also finding app quite convenient, and they provide direct deposit info that can be used to link their account from other banks. Interac is free.

March 30, 2021
5:02 pm
Loonie
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Alexandra said
I don't see Neo Savings on the CDIC list. I checked under Neo as well as Concentra. They say they are CDIC insured though  

It's there, Alexandra, as Concentra Bank. Maybe you just need to scroll down a little further, past some of the acronyms?

March 30, 2021
5:46 pm
Alexandra
British Columbia
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I see that Loonie. There is a line listing Concentra. But nothing indented under saying "Neo Financial". And nothing under Neo by itself.

Such as under:
CIBC
cibc
renaissance
simply
Wood Gundy

or
Canadian Western Bank
CWB
CWB Fin.
Motive

Maybe I am not seeing what you are though.

March 30, 2021
6:23 pm
LK
British Columbia, Canada
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Alexandra said
I see that Loonie. There is a line listing Concentra. But nothing indented under saying "Neo Financial". And nothing under Neo by itself.

Such as under:
CIBC
cibc
renaissance
simply
Wood Gundy

or
Canadian Western Bank
CWB
CWB Fin.
Motive

Maybe I am not seeing what you are though.  

https://www.cdic.ca/your-coverage/list-of-member-institutions/#CC (look for Concentra)

https://www.concentra.ca/pages/article.aspx?gp=About%20Us&sub=News%20Item&itemnum=173

https://financialpost.com/pmn/press-releases-pmn/business-wire-news-releases-pmn/neo-financial-teams-up-with-concentra-bank-to-offer-neo-savings-the-first-canadian-fintech-to-offer-a-cdic-eligible-high-interest-savings-account

March 31, 2021
7:06 am
Alexandre
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Alexandra said
I see that Loonie. There is a line listing Concentra. But nothing indented under saying "Neo Financial". And nothing under Neo by itself.

After registering for Neo Savings account, one can access their Direct Deposit info from the app.
In direct deposit, it lists Bank Institution Number 853. This is Concentra Bank institution number.

Also, check Neo Financial Savings Account agreement: https://www.neofinancial.com/savings-agreement?lng=en-US

That document starts with:

This Agreement sets out the terms and conditions of the relationship between us (Concentra Bank) and you (our customer) relating to your Neo Savings Account and the services we provide to you through our service provider, Neo.

March 31, 2021
7:15 am
Doug
British Columbia, Canada
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Alexandra said
I see that Loonie. There is a line listing Concentra. But nothing indented under saying "Neo Financial". And nothing under Neo by itself.

Such as under:
CIBC
cibc
renaissance
simply
Wood Gundy

or
Canadian Western Bank
CWB
CWB Fin.
Motive

Maybe I am not seeing what you are though.  

CDIC members aren't required to publish a CDIC register of eligible deposit products anymore.

However, this case is a bit different, since Concentra Bank does not "own" Neo Financial. Indeed, the customer relationship is with Concentra Bank and the customer, with Neo Financial essentially playing a dual role of direct-to-consumer originator of deposits to Concentra Bank, for which it earns either an upfront and/or ongoing fee, and technology app provider. Thus, these deposits aren't originated by Concentra Bank, but once you sign up with Neo Financial, you become a Concentra Bank customer. Now if Neo Financial were to switch banks, I suspect your Concentra Bank accounts would remain open, as would your Neo Financial account; however, you'd no longer be able to access them from Neo Financial. Concentra would likely set you up with direct MemberDirect access to your accounts as part of that hypothetical migration.

Hope that helps,
Doug

March 31, 2021
1:26 pm
Norman1
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Neo Financial is not really a financial institution that holds deposits. They are more like a deposit broker who markets rebranded deposits of Concentra Bank.

Concentra Bank's deposit register does list the Neo-branded savings account:

Non-Registered Account - Credit Union 45 Day Evergreen Deposit Account
Non-Registered Account - Neo Savings Account
Non-Registered Account - Trust 45 Day Evergreen Notice Deposit
March 31, 2021
2:19 pm
Doug
British Columbia, Canada
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Norman1 said
Neo Financial is not really a financial institution that holds deposits. They are more like a deposit broker who markets rebranded deposits of Concentra Bank.

Concentra Bank's deposit register does list the Neo-branded savings account:

Non-Registered Account - Credit Union 45 Day Evergreen Deposit Account
Non-Registered Account - Neo Savings Account
Non-Registered Account - Trust 45 Day Evergreen Notice Deposit

  

Ah, interesting that they are one of the institutions that still publishes a deposit register. But yeah, Peter, this is the reason if we do add Neo Financial to the chart, it should be added as:

"Neo Savings Account" from Concentra Bank as the financial institution, linking to its product page.

Concentra Bank's mainline HISA would be linked as "High Interest Savings Account" from Concentra Bank, linking to its applicable product page.

Cheers,
Doug

April 6, 2021
3:44 pm
LK
British Columbia, Canada
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April 6, 2021
3:53 pm
LK
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RE Concentra, CDIC search page says...

Concentra Bank is a CDIC member institution. Eligible deposits are protected up to $100,000 per category.

Concentra Trust is a subsidiary of Concentra Bank and a CDIC member in its own right. Eligible deposits of up to $100,000 per category are protected separately from deposits at Concentra Bank.

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