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Email this8:58 pm
April 18, 2022
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Government continues massive printing and borrowing both QE
Gov BoC continue to borrow n print indiscriminately to drive inflation and put a floor under it sweeping stimulus under the rug.
Condo launderers throwing homeless onto street
11:36 am
June 9, 2022
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It should be 5% for 1 year now. Two more interest rates hike to go this year so there should be 1 year GICs at 5.5% by the end of the year.
11:53 am
September 7, 2018
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gicbits said
It should be 5% for 1 year now. Two more interest rates hike to go this year so there should be 1 year GICs at 5.5% by the end of the year.
Don't u think it should be 6% for One Year now with inflation rate in the 7%-8% range? But hey, it isn't! 
I love when people say "should".
1:21 pm
April 11, 2020
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3-5y GICs are down a bit over the last 3-4 weeks (eg. Tangerine, EQ). Not sure about 5%@1y next months? ...
1:32 pm
March 30, 2017
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gicbits said
It should be 5% for 1 year now. Two more interest rates hike to go this year so there should be 1 year GICs at 5.5% by the end of the year.
wont happen
2:22 pm
October 27, 2013
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savemoresaveoften said
wont happen
Not unless people are willing to sign up/renew @6.5% or more for 1 year term mortgages. The headwinds to such increases are on the lending side.
3:07 pm
August 16, 2022
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I think definitely we will see 1 year GIC's at 5% after September 7th B of C meeting and interest rate hike. You can get 4.50% now. I think they may raise by 0.75% or even a full 1% and that will push the banks to offer more. I may lock some in at 5%-5.05%. GL
4:23 pm
March 30, 2017
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AltaRed said
Not unless people are willing to sign up/renew @6.5% or more for 1 year term mortgages. The headwinds to such increases are on the lending side.
FI wants a min 150bp spread to do the new mortgages. With housing slow down and a rising rate environment, new mortgagers either put their their purchase on hold, or they will lock into 5y fixed. There is simply not enuf funding demand for a FI to offer 1y GIC at 5% or more anytime soon. FI will just keep raising their HISA rate and close the gap btw that and the 1y fixed rate.
@moneyman: even if BoC raises 100, that puts O/N at 3.5%. Why would an FI feel the need to raise 1y money at 5%…
6:34 pm
November 18, 2017
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We can all express our hopes or expectations, but let's at least agree that reliable crystal balls are rare, and not make outright predictions.
Money waiting many months for rates to go up earns less in savings accounts.
RetirEd
RetirEd
9:41 am
April 18, 2022
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Slowdown you mean like people will actually have to save more and work for a home than the 80/20 or 90/10 scam and borrow at a rate they'll have to work harder. You mean like the way it use to be when Canada was great. Yes not enough funding demand from real estate speculators and launderers.
How much does a FI earn for writing up a loan then sending it off to taxpayers?
11:13 am
May 2, 2018
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AllanB said
Government continues massive printing and borrowing both QE
This scam is one reason why I recently laddered all the way up to 10 years at EQ and Motive. I have no confidence that the responsible steps will be taken by governments and central banks. How long till they declare another 'unforeseen' emergency and force interest rates to zero or worse and start printing even more? GIC rates seem to be unusually high relative to the GOC rate. I have more GICs to buy in November, I have no idea if rates will be higher or lower.
5:42 pm
April 11, 2020
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CWB just lowered the rates for 23/27m GICs, dito Motive Financials
6:44 pm
April 18, 2022
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Fritz23 said
CWB just lowered the rates for 23/27m GICs, dito Motive Financials
Bluff, moves it to the average. FIs are nudgin everyone to fully invest before rates rise next month.
highlyinterested said
I recently laddered 10 years
Are you insane
7:07 pm
May 2, 2018
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AllanB said
Are you insane
Uh this is the GIC forum on highinterestsavings.ca Allan. It's not that radical of an investment strategy. I've happily bought into stocks paying 5% dividends in the past, not knowing if the stock would go up or down. I made money sometimes. Why wouldn't I lock these banks into an obligation to pay me 5% (EQ) and 5.15% (Motive) compounded for ten whole years? It must've been a good deal because they've both lowered their rates since then haha.
7:09 pm
April 14, 2021
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You should feel free to follow your own strategy. I was about to do the same with a small portion of my funds, if they had held their 5.15% for 10-yr. However, now that they have dropped to 5%, I think otherwise.
There are still some brokers offering 5.25% for 5-yr with Ontario CUs.
8:10 pm
May 2, 2018
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HermanH said
if they had held their 5.15% for 10-yr. However, now that they have dropped to 5%
Actually Motive only dropped their long term rates to 5.10%. EQ dropped the 10 year from 5.00% to 4.70% though.
By the way, the Motive website says you have to be over 57 years old to have the interest paid annually, but that's not true. I ended up going compounded, but I was repeatedly assured by the office that I could get annual interest if I wanted to.
8:36 pm
April 14, 2021
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You are correct; it only dropped to 5.10%
One of the things I had to consider strongly was that there was going to be a considerable amount of interest earned. In order for CDIC to completely cover both the principal and interest, I could only invest a maximum of about $60K, if I wanted to stay under the $100K CDIC coverage.
CWB is a good company, but 10 yrs is a looong time.
8:58 pm
April 27, 2017
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AllanB said
Government continues massive printing and borrowing both QEGov BoC continue to borrow n print indiscriminately to drive inflation and put a floor under it sweeping stimulus under the rug.
Condo launderers throwing homeless onto street
Government certainly continues borrowing but money supply (M0) has been going down quite fast. So, “the government” has not been “printing” but withdrawing cash, which is the opposite of QE.
Condo laundry machines do break down but didn’t think it was that bad.
“Hold the line” on GICs? Reminds me of diamond hands from Wallstreetbets.
9:12 pm
April 6, 2013
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highlyinterested said
By the way, the Motive website says you have to be over 57 years old to have the interest paid annually, but that's not true. I ended up going compounded, but I was repeatedly assured by the office that I could get annual interest if I wanted to.
The age 57 requirement is actually for monthly interest from non-registered GIC's:
2The holder has the option to receive interest paid annually into a Motive Savings Account or to have the interest compounded annually and paid at maturity. On Motive GICs with a term of at least 12 months, customers over the age of 57 also have the option of having interest paid monthly into a Motive Savings account.
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