Transferring to EQ | Page 2 | EQ Bank | Discussion forum

You're right re getting money back out. ( Silly me) Main concern was not needing new check each transfer. Thanks for taking the time to reply.

Loonie said

Wouldn't you think Tangerine would use Scotia? It doesn't matter to me, but just seems odd.

Norman1 said

I was surprised as well.

I believe Royal Bank was ING Bank of Canada's direct clearer. Perhaps, ING Bank of Canada signed a long-term clearing services contract with Royal Bank way back, before ScotiaBank bought them?

According to footnote #355, ING Bank of Canada wasn't dissolved after Scotiabank bought them. It was just renamed. So, any contracts signed by ING Bank of Canada are still in effect:
...

Loonie said

But, then, I would expect them to be using RBC, not TD.

I wonder if there is some kind of tendering process when RBC contract expired, and Scotia was more expensive than TD - bizarre as this may sound. But I really don't know anything about how these things work.

Too many banks in one thread!

Tangerine Bank still has RBC as their direct clearer as they did in the days when they were ING Bank of Canada. It is Equitable Bank that has TD as their direct clearer.

@Norman1

Yes indeed. I have the original wording captured and it was unlimited inbound EFT!

Electronic Funds Transfers [EFT]
$30,000 outbound to linked external bank, and No Limit for inbound from external linked bank account per transaction

Just wondering what the collective thought of this intelligent group is to how long EQ bank will keep the 3%? I know it's a subjective topic, I just don't know whether to move a whack of dough from Zag at 2.5% to EQ hoping that the 3% will sustain for 6 months or so.
I would welcome any opinions or thoughts.
Thanks in advance

Zag's 2.5% is until June 1, although of course it could be extended. If you really need a place to park non-registered money for more than a few months (and don't need a joint account, which EQ doesn't offer), you might as well open an EQ account. We don't know how long we will get 3% with EQ or 2.5% with Zag, so why not get 3% ASAP

Good advice, I'm going to move it over on Monday. My only mild concern was loss of interest during transfer but it still seems to be an advanage

There's no need to lose much interest.

One could apply for and open an EQ Bank Savings Plus account with an initial cheque deposit of something like $10 or $1! A week or two later, once the EQ Bank account and the external account link is activated, push the rest of the funds from Zag into the chequing account and then do a pull from EQ Bank.

One will just lose the high interest on the $10 or $1 sitting in the chequing account while waiting.

Thanks Norman, I do have the EQ account open, but I have to transfer funds from Zag to P.C. which is the chequing account, and then pull from EQ. I would imagine I have to wait and see the funds appear in P.C. before doing the pull from EQ?

fabafter50 said
My only mild concern was loss of interest during transfer

I posted in another topic that while it took 16 days for my account application to become active, there was a period of 5 days where I earned interest from _both_ banks on the $25,000 cheque I opened the account with. I don't know if it matters, but the cheque was drawn on my account at AcceleRate Financial. So, for me, no interest lost and I got an _extra_ $10 out of the transfer.

hw13eh:
you're not worried about the CDIC limit at EQ???

That is correct.

There would be two banks involved. The one accepting the item for deposit and the one on which the item is drawn.

The accepting bank may not charge to handle the returned item. But, the drawee bank can still charge for rejecting and returning the NSF item.

According to their Special Requests page, PC Financial will charge $7.50 if one deposits an item into one of their accounts and the item is returned:

GoldenLion said

The dollar limit maximums have been updated again: " For accounts opened on or after February 21, 2016, the maximum balance per customer is $100,000 (plus accrued interest)" (If you already have an account there it remains at $500,000.)

So, they are getting enough money on deposit; they just want more customers. More customers means more money down the road for the new products and accounts that they will eventually unveil.

It sounds like the drop in interest rate might be sooner than we thought. But, then, they'd have to pull all those expensive ads they've been running on TV - and risk losing some of the deposits. Very tricky!

They may have to roll out GICs soon in order to hang on to the money!