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Email this9:26 am
November 21, 2015
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No harm to use two brokers. And more importantly, always call the originating FI for their rates, and their existence. It does happen, rarely, but it does, that the FI can give you a better rate then published, on a only a slightly different term then published. If bigger amount (Credit Unions for coverage) is in play, it was worth it.
1:27 pm
April 6, 2013
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savemoresaveoften said
… It seems they have very similar rates or some times a particular broker can get ‘exclusive’ rates ??
They are not really exclusive rates. It is more a smaller financial institution works with a few deposit brokers so that controlled amount of deposits can be raised with such higher rates to match lending.
The option of putting a market leading GIC rate up on Cannex and have it available across Canada can result in too much money flowing in before the rate can be yanked at the end of the day.
That would be toxic as the excess deposits would have to be parked in something like Government of Canada treasury bills that earn 0.1% while the financial institution is paying out 1½% to 2.3% on the GIC.
11:43 am
November 18, 2017
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The "discrimination" against registered deposits probably reflects the greater difficulty and cost of moving money out of the institution. Which puzzles me, as it used to be common for financial institutions competing in "RRSP season" to offer higher rates for registered products to attract deposits. I suspect they don't really need those deposits when government money is so "quantitatively eased" cheap.
RetirEd
RetirEd
3:05 pm
October 21, 2013
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RetirEd said
The "discrimination" against registered deposits probably reflects the greater difficulty and cost of moving money out of the institution. Which puzzles me, as it used to be common for financial institutions competing in "RRSP season" to offer higher rates for registered products to attract deposits. I suspect they don't really need those deposits when government money is so "quantitatively eased" cheap.
RetirEd
Each FI looks at this differently. Some pay the same rates for all types of GICs because they see it as the cost of doing business. At the other end, some pay the worst rates for RIFs, presumably because it's a declining asset and the client is not going to bring in more business - or, from another perspective, they are penalizing seniors.
Naturally, I don't patronize the ones that discriminate.
8:22 am
November 7, 2014
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New Increased 5 Year Rates at Monarch (I reported this elsewhere, but it belongs here)
TERM OPEN RRIF RRSP TFSA
1 Year 1.67% 1.15% 1.51% 1.15%
2 Year 1.95% 1.60% 1.71% 1.60%
3 Year 2.50% 2.50% 2.50% 2.50%
4 Year 2.60% 2.60% 2.60% 2.60%
5 Year 2.75% 2.30% 2.30% 2.30%
10:05 am
October 21, 2013
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I'm confused.. Didn't you say the five year rate was now 2.75?
https://www.highinterestsavings.ca/forum/gic/parama-gic-1-yr-1-5-2-yr-1-75-for-a-limited-time/#p66737
10:35 am
November 7, 2014
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Loonie said
I'm confused.. Didn't you say the five year rate was now 2.75?
https://www.highinterestsavings.ca/forum/gic/parama-gic-1-yr-1-5-2-yr-1-75-for-a-limited-time/#p66737
Yes. What are you confused about? I reported it in 2 threads.
3:22 pm
October 21, 2013
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I think I was confused by the rates for registered accounts, which are not in the same league.
I am making more misreadings now that my vision is failing, alas. Sorry
4:24 pm
November 7, 2014
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Loonie said
I think I was confused by the rates for registered accounts, which are not in the same league.
I am making more misreadings now that my vision is failing, alas. Sorry
No need to apologize. Many of us are having seniors' moments more often now. I kinda thought you may have misread the chart.
Regarding that 2.75% rate, it's interesting that we have a 5 year investment maturing at the same rate. Impeccable timing. Oh yeah, there is that issue of inflation. Never mind.
6:48 pm
October 21, 2013
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Yes. I had a similar experience. My Oaken GIC at 2.75 matured and I bought one at Wealth One at 2.88 for same term.
Personally, I do believe inflation will continue to rise, but that's a personal view and I could be wrong. It doesn't really impact my financial plan. What else is one going to do anyway? Delve into an overpriced market at my age? No way. The only change I am planning to make is to probably reduce my ladder to 3 or 4 years, from 5 or at least reduce the proportion that is in five years, as a concession to age.
As long as I continue to have more than I need, I'm happy. By following some of the leads presented in this forum, I have increased my wealth by at least many tens of thousands of dollars at no additional risk.
8:04 am
November 7, 2014
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Monarch Rates Up
TERM OPEN RRIF RRSP TFSA
1 Year 1.72% 1.18% 1.58% 1.18%
2 Year 2.00% 1.65% 1.81% 1.65%
3 Year 2.50% 2.50% 2.50% 2.50%
4 Year 2.60% 2.60% 2.60% 2.60%
5 Year 2.80% 2.30% 2.30% 2.30%
9:10 am
November 7, 2014
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Yet Another Rate Increase!
TERM OPEN RRIF RRSP TFSA
1 Year 1.77% 1.18% 1.58% 1.18%
2 Year 2.07% 1.68% 1.81% 1.69%
3 Year 2.50% 2.50% 2.50% 2.50%
4 Year 2.60% 2.60% 2.60% 2.60%
5 Year 2.85% 2.30% 2.30% 2.30%
7:33 pm
November 7, 2014
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Newer rates:
TERM OPEN RRIF RRSP TFSA
1 Year 1.99% 1.60% 1.94% 1.82%
2 Year 2.29% 2.09% 2.16% 2.09%
3 Year 2.59% 2.37% 2.52% 2.42%
4 Year 2.79% 2.40% 2.62% 2.50%
5 Year 2.99% 2.55% 2.92% 2.80%
7:03 am
September 15, 2017
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New rates today range from 2.08% for 1 yr. to 3.05% for 5 yrs.
6:34 am
November 7, 2014
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Today's Newer Rates:
TERM OPEN RRIF RRSP TFSA
1 Year 2.10% 1.60% 1.98% 1.82%
2 Year 2.40% 2.17% 2.25% 2.17%
3 Year 2.70% 2.45% 2.52% 2.45%
4 Year 2.90% 2.65% 2.75% 2.65%
5 Year 3.10% 2.70% 2.96% 2.80%
6:54 am
November 7, 2014
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Rates Update:
TERM OPEN RRIF RRSP TFSA
1 Year 2.31% 1.60% 2.00% 1.82%
2 Year 2.51% 2.25% 2.35% 2.25%
3 Year 2.77% 2.55% 2.60% 2.55%
4 Year 2.97% 2.65% 2.80% 2.65%
5 Year 3.17% 2.85% 3.00% 2.85%
6:24 am
November 7, 2014
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Latest Update on Rates: 5 years @ 3.20%, 4 years @ 3.05%
TERM OPEN RRIF RRSP TFSA
1 Year 2.37% 1.60% 1.98% 1.82%
2 Year 2.57% 2.25% 2.35% 2.25%
3 Year 2.80% 2.55% 2.60% 2.55%
4 Year 3.05% 2.65% 2.75% 2.65%
5 Year 3.20% 2.85% 2.92% 2.85%
7:15 am
September 30, 2017
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Wonder if GIC rates in general is going up too fast now ? Would a mortgage rate (e.g. 5-yr fixed) be an influencing factor on GIC rates ?
7:30 am
September 7, 2018
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hwyc said
Wonder if GIC rates in general is going up too fast now ? Would a mortgage rate (e.g. 5-yr fixed) be an influencing factor on GIC rates?
Probably various factors in the background which are influencing the increase in GIC rates. Issuers act on future expectations.
1. the Canadian inflation rate for January which is to be announced on Feb 16th - likely to be somewhat higher than the 4.8% reported for December
2. the BoC rate which is to be announced in March - likely to be increased.
11:21 am
February 16, 2013
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hwyc said
Wonder if GIC rates in general is going up too fast now ? Would a mortgage rate (e.g. 5-yr fixed) be an influencing factor on GIC rates ?
I also think that some people whose mortgages are renewing may be opting to lock in for 4 or 5 years now. This way they know what their monthly payment will be instead of riding it up with a variable mortgage tied to the prime rate. So the financial institutions need to lock in longer term deposits to "match" the maturity of these mortages.
Please write your comments in the forum.