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Email this9:16 am
October 15, 2015
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What happens to gics at Hubert on maturity (not the quarterly deposit ones)? Do you have a grace period like at Peoples Trust to redeem it? Can you be notified when it is coming due?
9:36 am
February 27, 2018
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Normally upon setting up a GIC, you have a number of options.
1) Compound both the principal and interest. So both the interest and principal stay together in the GIC
2) move interest into account. So only the principal is locked in the GIC
3) upon maturity, if you picked (1). Move interest and principal into an account.
4) upon maturity, if you picked (1). reinvest the principal and interest into another GIC, same term length.
5) upon maturity reinvest only the principal into another GIC, same term length.
11:37 am
October 15, 2015
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Thanks. Thats nice it doesn't just rollover.
12:03 pm
February 27, 2018
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That all depends on how it was set up.
Outlook in manitoba automatially want to reinvest everything into a another GIC. I normally call them a week or so before hand with instructions.
Tangerine will ask all the questions when setting up the GIC.
Added edit... look on your statement. All the information is there.
1:36 pm
December 12, 2009
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christinad said
Thanks. Thats nice it doesn't just rollover.
Even if they did, most FIs (they might even have to) will give you a 30-day grace period to redeem if it was auto-renewed to a term you didn't want. 🙂
To be safe, I tell them to set the "maturity instruction" to either: (a) a 30-day GIC or (b) 1-year redeemable GIC cashable with interest after 30 days. Alternatively, I ask them to set the "maturity instruction" to redeem to my chequing account. All, or most, FIs have the ability to set maturity instructions, but you usually have to ask when you set it up.
Cheers,
Doug
3:28 pm
March 21, 2018
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They email before it is due. Also when I do mine I do the chat or email them and ask at maturity to collapse to the associated savings account. I do that for all FI’s. That way all is same. I keep a copy of reply with a paper copy of GIC.
5:09 pm
February 4, 2017
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Yes, they emailed me. I think GICs would roll over at the same rate if you did not act on them. Another CU I deal with does not warn you and automatically renews GICs at same rate. They used to call but can't be bothered anymore.
One should be aware of what is due when. They won't roll over at the new higher rate and they will roll over at the lower rate if rates went down over the period of time.
I have email setup to warn me of these events.
Yandex mail has the very handy feature of sending email at future dates.
5:22 pm
February 24, 2015
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mmlt said
Yes, they emailed me. I think GICs would roll over at the same rate if you did not act on them. Another CU I deal with does not warn you and automatically renews GICs at same rate. They used to call but can't be bothered anymore.
One should be aware of what is due when. They won't roll over at the new higher rate and they will roll over at the lower rate if rates went down over the period of time.
I have email setup to warn me of these events.
Yandex mail has the very handy feature of sending email at future dates.
I think you mean "roll over for the same term", not "roll over at the same rate". Are you seriously suggesting that if you had a 5 year 2% GIC that matured, and the rate at the time of maturity was 3%, that the FI would automatically renew for 5 years at 2%?
5:23 pm
December 17, 2016
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Here's what Outlook Financial says about GIC renewals
At maturity, principal and interest will be reinvested into a GIC of similar type and term length at the effective interest rate at that time. Changes to these instructions can be made within 14 calendar days from the maturity date.
6:10 pm
February 18, 2016
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- Hubert GIC (1year, paid quarterly) roll over after full year at the Current rates. If your initial year was 1% and after a year is 10% your new term will be 1year with 10%.
- There is no need for 'grace period' as you can withdraw funds at ANY time. You just lose interest from day 1 to day x (where x is quarter - 1 day) if you take your $.
- You get e-mail one month in advance your gic is to mature. You can call/chat and provide redemption instructions: if you do not, gic will start another year at the rate on that day. If you do, funds will be moved to your hisa.
This is all in regards redeemable 1year gic. I am not familiar with their 2-5 gic but if I am bank and you miss providing instructions after 5 years gic and new 5 years term start, well, tough luck. Talk to you in 5 years.
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