TFSA and RRIF accounts? | B2B Bank | Discussion forum

B2B Bank offers RRSP and RRIF GIC's through deposit brokers and advisors.

No sign yet of any registered accounts (TFSA, RRSP, RRIF) in B2B Bank's direct-to-consumer online offerings.

I held RSPs with them through a deposit broker years ago. The rates were not that great, which is why I stopped using the deposit broker at that time.

It will depend, ultimately, on which route they think they can make more money with. With rates so low and margins correspondingly smaller, I think all FIs are reconsidering their options or soon will be.

I was talking to a manager of a small CU recently. He said his Board had considered using a deposit broker to raise some capital recently, but had ultimately decided not to. Instead, they decided to just give their members a break and give higher GIC rates, because they felt the purpose of the CU is to help its members, not external businesses or shareholders.
That's the fundamental difference between a CU and a bank, but I was surprised to hear it said nonetheless. I wish more CUs appreciate this but many of them act more like banks every day.
The CU in question is a small closed bond one, so I can't recommend it more widely. However, I give them all the business I reasonably can.

@3oakwest
I am protecting the name of this CU because it is "closed bond". This means that only members of a certain group can belong to it and it exists with their particular needs in mind. Such bonds of association typically have to do with employment sector or ethnicity. I don't think they will be giving that up any time soon.

I want to protect the integrity of their membership from people reading this forum who might be willing to lie in order to join when there is a deal that comes along that they like. That may not be you, but it seems some people will do this, so I have no choice.

I suspect though that this may not be the only CU that thinks this way, so it's worth looking around to see what their philosophy is. If you're considering joining one, you could ask the manager if they ever deal with deposit brokers, for instance, and, if so, why don't they let their members in on the deal rather than use a third party, sending some of the profits there.
I am pretty sure that Meridian and DUCA do deal with deposit brokers. It may be a function of their size (and the size of their ambition), at least in part. The smaller CUs may be a better bet.
I find that CUs are all different, and I find those differences fascinating and sometimes useful. It's not the same as banks, many of which are largely indistinguishable. I like some CUs better than others. It's really worth looking around to find one that suits you. With their large insured deposit limits, it can cut down on the number of FIs you require too.