RBC eSavings Account - earn 3% for 6 months | Page 2 | RBC Royal Bank | Discussion forum

I went to RBC today to open up an eaccount. I've only once dealt with RBC when I purchased some GICs. The CSR now has to get special permission from "downtown" to confirm that I am eligible for this offer, even though the restriction is that you must never have had an e-account. I'm supposed to find out tomorrow. But just wanted to give everyone a "heads up". It doesn't seem to be a slam dunk.

Scotia bank also has come up with a 3 % rate now, but its a bit more complicated.

https://www.scotiabank.com/ca/en/personal/bank-accounts/savings-accounts/momentum-plus-savings-account.html

New money will earn bonus interest until March 10, 2019 if you have enrolled by 11:59pm EST on that date. Bonus interest earned prior to and during the month of enrollment will be paid within 7 days after the end of that latter month. Bonus interest earned in subsequent months will be paid within 7 days after each such month. Where an enrollment takes place on the last day of a month, Bonus Interest will be paid within 7 days after the end of the month following. A ScotiaCard® is required for enrollment.

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“new money” is money transferred from a non-Scotiabank account
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Regular Interest is calculated by applying the Regular Interest Rate to your daily closing balance and is paid monthly. Refer to Current Rates Page for current Regular Interest Rates, which are subject to change.

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A maximum of five Premium Periods at any one time, each of which can have a length of 90 days, 180 days, 270 days, or 360 days. For each Premium Period, Premium Interest is calculated daily by applying the Premium Interest Rate to each deposit, including any accumulated Regular Interest, until the end of the Premium Period. Premium Interest is paid at the end of each Premium Period, so long as NO DEBIT TRANSACTION HAS OCCURRED within that Premium Period. When a debit transaction occurs, no Premium Interest is payable for that Premium Period and a new Premium Period of the same length will commence the same day. Refer to Current Rates Page for current Regular Interest Rates, which are subject to change.

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Self-Service Transfer means a transfer to your other Scotiabank account without the help of a Teller, including through Scotia OnLine®, Scotiabank, Mobile Banking and Contact Centre. The MomentumPLUS Savings Account does not have ABM or Point of Sale access or automated direct bill payment functionality.

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Deposits are eligible to be insured under the CDIC Act only if they are in Canadian Currency, have a term of 5 years or less and are payable in Canada. Please see CDIC Deposit Insurance Information for further details.

If you’re a senior you still pay $14.95 per month, unless you open two other products, then you pay $10.95. Still worth it

The 3% is made up of the regular interest rate for this account ie. 1.05% plus a bonus of 1.95%. Although the regular part of the interest rate could change during the next 6 months I doubt that it would decrease. As for the bonus part their small print again indicates this could change, however I think it very unlikely. When I opened the account yesterday the rep gave me a hard copy of the rules and regs for the account. The poor publicity that would result if they reneged on the promo would defeat the purpose of offering it in the first place.
A previous poster voiced concern re going above the CDIC limit of $100,000 per deposit. Personally I wouldn't have a problem with this at RBC, it's Canada's largest bank and even if another financial crisis hit you would have ample time to withdraw your money at any time, it's not locked in.
If I was considering something like a 5 year GIC though I would certianly stick to the CDIC limit.

Jim Sherat said
The only thing I found, buried near the end of the long disclosure statement, was some verbiage that appears to say that 'if the reg. rate [1.05%] increased, during the promo period, that rate [1.95%] would be decreased by a corresponding amount', IF I read it right. So, you still get your 3%, just not more than that.

Yeah, that's how almost all bonus interest deals work these days. Simplii, Tang, etc, they all had/have the same language/capping mechanism. Nothing wrong with it so long as you understand the deal, which you do

toto said
Does anyone know if the bonus interest will be calculate each month and deposited in your account or do you have to wait until the end of promo to get the bonus interest?
Thank you  

Yes, it gets paid monthly. Got my regular and bonus interest yesterday for Sept.

CIBC also comes up with 3 % offer.

https://www.cibc.com/en/personal-banking/bank-accounts/savings-accounts/eadvantage-savings-account.html

moneyhelp said
Is that 3% annual interest? I realize its for 6 months, but bare with me, I'm really sick and doped up right now and having a major brain fart as they say.

For example, if I have $60,000 at 3% is $1,800 for annual interest, so for 6 months it would be $900, yes?  

Yes, their fine print states 182 days so in your case it would be $897.53
If they pay each month and it's compounded you'll receive a little more.

anitavirginia said

Is the most you are cdic insured, $100,000. with this offer and entity?

Loonie said

Yes, 100K max for an individual account. you can double it if you also have a joint account.
 

That is incorrect... CDIC only insures up to $100K per type of account. Joint accounts simply means that either one can make the claim up to $100K total between the 2.

The official language CDIC uses is 100K "per insured category", not "per type of account". This is an important distinction.

Thus, TFSA, RSP, and non-registered funds are 3 "categories", each qualifying for 100K coverage. However, you could have more than one account or type of account within each, but their total within the category will only be covered up to 100K.

In addition, you can have joint accounts, which qualify separately because they have different owner. This only applies to non-registered since registered accounts can only be in one name.

What I said earlier remains correct.

Unfortunately, there have been changes on the CDIC website which make it more difficult to know what the coverage is in clear text. The video here may help. https://youtu.be/ShpCFeAhsQ8