TFSA at 3% for long ? | Peoples Trust | Discussion forum

It's been stable for a number of years. I hope it continues!

JBil said

I will send new money for our TFSA at People Trust for January 1st. Since they are the only bank giving today 3%, do you think they will decrease their rate soon ?

It wasn't all that long ago, that Peoples was offering 2.10% on Savings; and we were filled up to the CDIC limit. Once they reduced their rates to 1.90% we immediately transferred $100,000 to Acheiva, and another$100,000 to TD Waterhouse Discount Brokerage for a little Stock Market action.

The only thing we have left at Peoples, are a couple of TFSA accounts at 3%, or whatever Peoples intends to pay next year, or the year after.

Until now, we have been doing the TFSA stuff through Achieva, and I regret placing last year's TFSA with Peoples, because considering the way Peoples has been lowering rates, it's only a matter of time before their rate-slashing hits the TFSA accounts.

So . . since we are talking about SAVINGS accounts, the only sensible way to go, is with 5 year GICs. While Peoples is now down to 2.60% on a 5 year GIC, Achieva is still offering 2.85% on a TFSA GIC.

For this year's contribution, we intend to go with Achieva via a 2.85% 5 year GIC. And no matter where intest rates go, we are guaranteed a predictable rate for the next five years.

As for Peoples, I am inclined to totally close out all of our accounts, and take our lumps. It's really not worth the time and effort to continue to deal with meager returns from Peoples.

I'm starting to tell myself that I would Trust these People.

Deb said

Does anyone know why People's Trust has so many complaints against them on Better Business Bureau? Ten complaints. I haven't seen this with other credit unions I've been involved with. Next to nothing about People's on the internet...
I took advantage of their good TFSA rate and was thinking of also moving some money into their savings account, but a little concerned about all the complaints on BBB. Makes me wonder if there are some problems with this company that I don't know about???

Hi Deb. if you look at the BBB summary of reasons and what you read here, my guess it is a service problem ie takes too long to set up an account. Since I am likely a senior here .. I have to look at the past of how many financial institutions have gone for bust and they all had the word "trust" in their name. I know these folks are CDIC insured but I wonder how a one branch virtual bank can be solid. I have thought many times about their 3% rate and have been tempted but I will stick to my philosophy .... If some one says trust me ..... It is a big red flag!!

Rick said

Deb said

Does anyone know why People's Trust has so many complaints against them on Better Business Bureau? Ten complaints. I haven't seen this with other credit unions I've been involved with. Next to nothing about People's on the internet...
I took advantage of their good TFSA rate and was thinking of also moving some money into their savings account, but a little concerned about all the complaints on BBB. Makes me wonder if there are some problems with this company that I don't know about???

They've been around since 1985. They have an A+ rating with 10 complaints in the last 3 years... doesn't seem all that excessive to me. Nine are "Problems with Product/ Service". Some people are never happy. The delay in processing transactions would be my guess for some of the complaints. They seem to take an extra day to get my weekly ASP contribution through. Ally transactions went through same day, PT the next day before it goes through my checking acct. Haven't tried withdrawals yet ...don't imagine it would be any better. One of the main reasons I keep my savings separate from my everyday banking is the delay in moving funds...gives me time to contemplate. Bottom line is they have been around a while and are secured by CDIC. Good enough for me.

I would say that a one office operation that has 10 complaints over 3 years is horrible, horrible service. Look at BMO a much larger organization has zero (0) complaints and Coast Capital has one (1). 10 is very bad as I would think that most people would not even think of starting an outside complaint with any institution that is in control of their money ..... So the 10 complaints must have come from some quite annoyed or angry customers or about to be customers. I still have the gut feeling to stay away from them.

Rick said

10 complaints horrible? Really? They have almost a billion dollars in customer deposits. I would guess thousands if not tens of thousands of depositors and average 1 complaint (resolved) every 3 months. Check out ING (Capital One Financial). 7089 complaints over the last 3 years. THAT'S something to be concerned about. I would use the same criteria as when I use Trip Advisor. You will never find a hotel that EVERYONE agrees is "EXCELLENT". Over a 1000 people thought the Hilton Times Square was an excellent hotel, 35 thought it was terrible. Decide what you want and base your choice on the vast majority. There will always be chronic complainers...usually those that don't do their due diligence. Like I've said...they've been in business since 1985, they survived 2008, their financial reports show steady growth, and without being able to see the details of the 10 complaints, I'm not willing to dismiss them out of hand. Besides... show me a better TFSA HISA rate.

I hear what you are saying but when you mix in Trip Advisor and Hotels we are no longer talking apples to apples although I do see your analogy. Ing lost my interest a month after they started up in Canada and all I am saying is that there are some red flags for Peoples Trust and I too will go with my gut and stay away even though they have a good TFSA rate.

My comment BTW is in response to Max's comment to Kanaka about nothing but bodily excretions coming from guts, which I see has just disappeared!

I think my comment was deleted as well. I'm fine with deleting my reply that quoted Max's "gut" off-colour comment, but was my post about my "gut" feeling about Peoples Trust deleted as well or am I in a different thread? I just want to make sure that one wasn't deleted.

Cheers,
Doug

Max said

I'm starting to tell myself that I would Trust these People.

I will stick with my gut feeling,

https://www.highinterestsavings.ca/forum/peoples-trust/peoples-trust-bad-experience/