Targeted subsequent 3¼% offer coming on new money after Apr 2 (Jul 1 to Sept 30, 2025) | Tangerine Bank | Discussion forum

That would be the case Quebec (Attorney General) v. 9147-0732 Québec inc. (2020 SCC 32). The summary notes the following:

A corporation is a “legal person.” A legal person is treated like a physical person (a human being) for some purposes under the law. It has its own “legal personality,” meaning it has its own rights and duties. For example, it can sign contracts and own property, just like a human being can.

Corporations can benefit from some Charter rights. For example, corporations are protected against “unreasonable search and seizure” under section 8. The state can’t search or take something private from a corporation without permission, unless the law specifically allows it, like when police have a warrant. … However, they don’t get the benefit of all Charter rights. Corporations don’t have a right to “life, liberty and security of the person” under section 7. …

Equitable Bank has debt rating of BBB(high) from DBRS and BBB- from Fitch. Consequently, institutional investors are willing to place $2.15 billion into its uninsured deposit notes.

In contrast, Tangerine Bank has no debt ratings and its uninsured obligations are considered to be junk bonds. The strength of its owner is irrelevant unless Bank of Nova Scotia has issued a guarantee on Tangerine's obligations. As far as I know, its parent has never issued such a guarantee and has instead deliberately kept Tangerine at a distance since they acquired it from ING Group.

canadian.100 said

Just looked at the Financial Statements for Tangerine on the OSFI site - Tangerine has been and continues to be highly profitable and has a strong balance sheet. I would not be so negative about Tangerine - they are doing just fine! Highly unlikely that they would ever need to be "bailed out".

Nonsense. Profit is irrelevant to creditors and depositors. They take their cut before and regardless of any profit.

What matters is the quality of the assets, the loans in the bank's loan book, and the resulting cash flow. Those summary statements don't give enough information to evaluate the quality of the loans and mortgages. That's why ratings agencies, like DBRS, are given access to non-public info about the loans and their borrowers to do the rating.

Profit of a wholly owned bank can be curated to whatever the parent bank wishes. Parent bank can pay sweetheart rates on deposits from its wholly owned bank and to boost the subsidiary's profit on its income statement. One can't tell without having access to the non-public info about the deposits, like who the deposits are with and other fine print, that a rating agency has.

That kind of junk analysis is how people get themselves into trouble. Home Trust had no issues with its profits before it nearly failed a while back. All of the sudden people cared about CDIC limits and called into to see if they could split their existing Oaken GIC's between CDIC members Home Trust and Home Bank!

The subsequent offer landed.

A notification appeared after signing into Tangerine online banking. There was an Activate button with the notification.

The fine print of the offer can be accessed after activation through the "More Info" button under "Account Details" of one of the Applicable Accounts: