Sunova CU Dividend Payout | Hubert Inactivity Fees | Hubert Financial | Discussion forum

Their rationale about inactive accounts doesn't make sense to me. If inactive accounts that are not being monitored are a concern for fraud, wouldn't the ones with MORE than $1,000 be the preferred targets?

However, all they are asking you to do is sign in every six months, which is not onerous. Really, everyone should check in monthly to make sure they have not been hacked.

I've been with Hubert since February 2017 (own the USD account), I was aware that they monitor the account for inactivity every 6 months, but I do not recall the stipulation that the account has to have a minimum of $1,000. Is this new?

I am a bit concerned because currently I have a few K (USD) in there so there is no problem, for the moment, but the main reason that I opened this US account was due to the rate and a place to park some of my US cash earned from dividends, but they are there with the full intention of being used, so there will be a time when the balance will fall well below $1K and even longer than 6 months at a time.

I have no problem initiating a transaction every so often to keep the account active, but again, my concern is with this $1,000 minimum required balance.

For example, can I not keep a $500 balance in the account with the occasional transaction every 3 or 4 months to keep the account active?

Am I missing something here?

I am similar to others. I usually only have 0 - 2 dollars in my savings account as funds flush in and out. So I could have had 2 dollars or less but have never been charged for inactivity. So this year I will have an RRSP Account with 0....as I had as well, last year and no charges. And will have a RRIF Account with 200 or so till next year for TFSA ....so how will I swing that one...take a dollar out?

moneyhelp said
Okay, so if I understand both Doug and GICInvestor, you can have less than $1,000 in the account as long as there is activity in the account less than every 6 months, then you won't be charged $25 inactivity fee.

For example , let's say I have $10.25 in the account for 5 months with NO transactions, then I transfer $1.00 into my Hubert account, now making my balance $11.25 and again no other transactions for another 5 months AT ALL (10 months passed with only 2 transactions), then I won't be changed $25 inactivity fee, correct?  

Heck....I don’t know!

All I can tell you or can assume is that when you have RRSPs all in GICs you also have a RRSP savings account. My RRSP savings account had no cash at all in it for a year and no inactive charge.

The question I now think that needs to be asked....what is the definition of an account? Does my RRSP GIC Account(s) and RRSP savings account count as one RRSP account or 2?

moneyhelp said
Okay, so if I understand both Doug and GICInvestor, you can have less than $1,000 in the account as long as there is activity in the account less than every 6 months, then you won't be charged $25 inactivity fee.

For example , let's say I have $10.25 in the account for 5 months with NO transactions, then I transfer $1.00 into my Hubert account, now making my balance $11.25 and again no other transactions for another 5 months AT ALL (10 months passed with only 2 transactions), then I won't be changed $25 inactivity fee, correct?  

That's exactly it, moneyhelp, you've correctly summarized my interpretation. Basically, to be absolutely safe, initiate a manual debit or credit from/to your Hubert Happy Savings Account once every six months if your balance is less than $1,000, and you won't be charged an inactivity fee. Note, though, Hubert won't immediately charge a $25 fee right at 6 months - they don't say when it would be charged, but I suspect it would be at the 12 or 18 month mark. If your balance is above $1,000, you won't be charged an inactivity fee but your account can still go inactive and they usually mail you a letter and/or send you an e-mail after 12 months to warn you.

The dividend payment and calculation methodology is definitely paid on your share account(s). You can buy up to $1,000 in shares at any time and, during special offerings such as the one opening up Monday, June 3, 2019, amounts in excess of that. The shares should be held for the longer term, at least 5 years; however, the Board can approve you to redeem a portion (usually 20%) of your shares each year on amounts above $1,000. If you own $1,000 or less in shares, though, the only way to redeem them is to fully close your accounts and membership.

Cheers,
Doug

Doug said

That's exactly it, moneyhelp, you've correctly summarized my interpretation. Basically, to be absolutely safe, initiate a manual debit or credit from/to your Hubert Happy Savings Account once every six months if your balance is less than $1,000, and you won't be charged an inactivity fee. Note, though, Hubert won't immediately charge a $25 fee right at 6 months - they don't say when it would be charged, but I suspect it would be at the 12 or 18 month mark. If your balance is above $1,000, you won't be charged an inactivity fee but your account can still go inactive and they usually mail you a letter and/or send you an e-mail after 12 months to warn you.

The dividend payment and calculation methodology is definitely paid on your share account(s). You can buy up to $1,000 in shares at any time and, during special offerings such as the one opening up Monday, June 3, 2019, amounts in excess of that. The shares should be held for the longer term, at least 5 years; however, the Board can approve you to redeem a portion (usually 20%) of your shares each year on amounts above $1,000. If you own $1,000 or less in shares, though, the only way to redeem them is to fully close your accounts and membership.

Cheers,
Doug  

Great, thanks Doug, appreciate you taking the time to clarify and explain.

I can confirm Hubert told me the same thing as GICInvestor mentioned above, a couple years ago.