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Email this11:03 am
December 18, 2024
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Just noticed today that my renewing 30 day GIC's are at the rate of 1.75% SAME as my eSavings. 30 day GIC's have been consistently at least .10% higher.
What gives???
1:28 pm
September 7, 2018
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GIC-Fanatic said
Just noticed today that my renewing 30 day GIC's are at the rate of 1.75% SAME as my eSavings. 30 day GIC's have been consistently at least .10% higher.What gives???
- economy is not good and getting worse
- Canada may already be in recession
- rates are on the way down
- remember when rates fell below 1% a few years ago
- maybe you should consider going longer than 30 days at this point. I do not see rates getting any higher at this point
4:08 pm
January 12, 2019
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.
And add to That ⬆, better rates can be had elsewhere . . .
.
'Seek And Ye Shall Find'.
- Dean
" Live Long, Healthy ... And Prosper! "
5:18 pm
December 18, 2024
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Thanks. I am going to move some but not all out of People’s, just out of principal. Have to keep my designated funds in tact and my new strategy as well to only deal with an FI that has a Brick and Mortar office to visit. Will it send a message to Peoples…..I doubt it….. so take the opportunity of 1.05% more. 
5:22 pm
October 27, 2013
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Financial institutions only pay what they need to pay to attract the funds they need. Perhaps consumer demand (for demand loans) has dropped off to the point they do not need to pay a 'premium' to their HISA rate.
Think about it from a PB/PT management perspective. They want/need to optimize Net Interest Margin, i.e. profit, on an ongoing basis to keep their jobs.
5:48 pm
December 18, 2024
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AltaRed said
Financial institutions only pay what they need to pay to attract the funds they need. Perhaps consumer demand (for demand loans) has dropped off to the point they do not need to pay a 'premium' to their HISA rate.Think about it from a PB/PT management perspective. They want/need to optimize Net Interest Margin, i.e. profit, on an ongoing basis to keep their jobs.
As usual a great answer. Thanks.
I agree and if they take care of themselves …then I do same … I guess that’s fair ball!
6:21 pm
October 27, 2013
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Indeed. We are all capable of picking up our marbles and going to another playground. It still is a relatively 'freedom of movement' world.
9:35 pm
April 6, 2013
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One can look around for another financial institution, like EQ Bank, that is willing to offer more.
EQ Bank is offering 2.85% on its 10-day Notice Savings Account and 3% on its 30-day Notice Savings Account.
8:51 am
September 30, 2017
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What gives, you say? ... Both 30D & 60D is 1.50% (vs 1.75% HISA) today.
9:12 am
December 18, 2024
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hwyc said
What gives, you say? ... Both 30D & 60D is 1.50% (vs 1.75% HISA) today.
Thank you. I put about 75% of my HISA into 30 day GICS about a year ago. GIC rate was consistently higher. The 25% was just moved out yesterday, to a higher rate.
This week my renewing GICS were 1.75% as was the HISA. I guess the rates in midst of a change. I am surprised that HISA is now the higher rate. They have reversed.
Will have to take steps to improve my return.
9:42 am
December 18, 2024
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Got some work to do to evacuate from People’s.
June 21 2025
People’s
HISA 1.75
30 day 1.5
Hubert
HISA 2.0
Quarterly
The first three months: 2.45%*
Months four to six: 2.95%*
Months seven to nine: 3.45%*
The last three months: 3.95%*
Oaken
HISA 2.8
30 day lock out 2.25
Vancity
HISA - shamefully low, so low it’s hard to find
30 day lock out 1.9
90 lock out 2.0
9:57 am
October 27, 2013
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Rates could vary inexplicably vis-a-vis each other even within a single FI simply due to term matching to their lending needs. One of the worst things an FI can do in risk management is to mismatch term matching. Another is to rely too much on total liquid cash, i.e. HISA funds, as Home Trust (and Oaken) found out in 2017.
All depositors should recognize rates could vary almost continuously for risk management purposes in their lending book. I don't find the varying rates in post #11 all that unusual, particularly in unsettled times like this year with the unknowns of the Trump tariff war resulting in unpredictable consumer and business lending needs. Don't expect anything to settle down any time soon.
11:02 pm
April 6, 2013
Online
If one banks with RBC Royal Bank, their one-year cashable GIC's, cashable after 30 days with no penalty, can be considered.
One-year cashable fixed rate GIC is 2.15% (special) or 2.35% (targeted).
One-year cashable variable rate GIC is P-2.45% = 2½% ($5,000 - $249,999.99).
10:15 am
December 18, 2024
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Those rates are pretty good.
I use Vancity for my overflow as I don’t want to apply for another HISA account. I had narrowed down to Oaken, People’s, and Hubert (with a 2028 exit plan) but People’s are in a period of “let down” 
I looked at BMO as we use them for day to day as well as Vancity. BMO is definitely not customer oriented at the branch level and their cashable GICS look ok but, to be honest, I don’t understand their cash in rules.
Here is what I use at Vancity. Rates were higher a few months ago. And their rules are clear ….. cash out any time … make no interest in lockout period … cash out any time after lock out period and earn interest for every day of investment.
RBC is better, though.
11:32 am
April 6, 2013
Online
These two BMO cashable GIC's have a bit lower rate but work similar to the RBC one's for cashing:
BMO Redeemable Short-Term Investment Certificate 364 days
2.00% (fixed)
Fully or partially redeemable at any time. No interest paid if redeemed within 30 days of issue date. Minimum withdrawal of $1000 while maintaining at least the minimum investment balance. [$1,000]
BMO Variable Rate GIC 364 days
2¼% (variable)
Fully or partially cashable at anytime. No interest paid if redeemed within 30 days of the issue date. Minimum withdrawal of $1000 while maintaining at least the minimum investment balance. [$5,000]
There's one that earns AIR MILES:
BMO AIR MILES®† GIC 364 days
2.00% (fixed)
- Earn one AIR MILES reward mile each month for every $1,000 invested (based on each month's average balance to the lowest $1,000)
Fully or partially cashable at anytime. No interest paid if redeemed within 30 days of issue date. Minimum withdrawal of $1000 while maintaining at least the minimum investment balance. [$5,000]
6:42 pm
December 18, 2024
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@Norman1
Thank you.
All good ideas, especially if you use any of these FIs for day to day banking. RBC, BMO, Vancity all have good short term cashable alternatives to use for a period of time that are better than People’s.
Also have re read BMO rules a bit more thoroughly and now understand.
So transferring out of People’s has begun!
8:14 pm
December 18, 2024
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Last week I gave Peoples directions to collapse all 30 day GICS at maturity. Will gain a 1/4 %. Will be off to where I don’t know. But will be higher than 1.75%. Plan to temporarily move all HISA out of both.
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