ING DIRECT changes name to Tangerine and 2.5% offer on new deposits | Tangerine Bank | Discussion forum

So if I deposit funds into my existing ING/Tangerine Investment Savings Account tomorrow, am I correct in assuming that the new deposit will earn 2.5% interest until June 30/14?

Zipper,
see the fine print details:
http://www.tangerine.ca/en/lan.....tions.html

I also need to confess, that while I said I was done participating in these bonus promotions, Tangerine's 2.5% caused me to move $65,000 this afternoon.

I guess I can still be bought.

Greg

At first blush, I had originally thought this "net new money" promotion (when I first saw it yesterday morning) was only for new clients (which would've been a fairly significant change in policies from the previous ING DIRECT Canada regime). However, upon reading further, only the $150 in bonuses ($50 for opening a first Tangerine Chequing Account, $50 for opening a first Tangerine Savings Account and $50 for the first payroll direct deposit switch) is for new members. And, in speaking with Tangerine representatives, the new Tangerine chequing & savings accounts don't have to opened & each funded with $250 on the same day so long as they are done by June 30th. The payroll direct deposit switch must be done by July 31st in order to qualify for the final $50 promotion.

A quick tip that I and two family members that I'd been wanting to refer but waited until the Tangerine launch date learned the "hard" way, despite conflicting information from Tangerine staff: when opening a new joint account, despite the fact that they specify on their website that you can write two (or more) separate cheques that together total $250 payable to & signed by each of the joint account holders and then subsequently use ChequeIn to deposit each of those initial cheques, due to limitations in their system and referral tracking, you must call in to the Tangerine contact centre in order to apply to their Marketing Department to manually credit you for the initial $50 bonus and also to ensure you & your referrer each receive the $25 bonus. Similarly, if you were to write a cheque payable to & signed by both parties equal to or greater than $250, that can't be deposited via ChequeIn, again despite information to the contrary, it must be mailed. I have verbage changes and system improvement requests in to Tangerine's Social Media Team in these regards and will let you know what transpires.

Despite this minor hiccup, the fact the entire account opening process can be done online, including initial deposit, is a huge 'boon' for Tangerine. Only they, and perhaps a few credit unions (and even for the credit unions I'm thinking of, that still requires a 'mobile sales specialist' to visit you at your home to open an account using their tablet device and paperless records), in Canada are the only ones that can boast this. It went pretty smoothly, I have to say!

Getting back to the "net new money" promotion, I was going to mention, Greg, you may want to seriously consider this promotion as I snapped at the opportunity and transferred in just over $83,000 of my non-registered liquid cash from Implicity Financial (a division of Entegra Credit Union), leaving $100 there as a "placeholder". I did the calculation and, depending on average daily closing balance, it means an extra $45-55 per month in additional interest for the next two and a half months or so. That's substantial, based on the 1.3% posted+1.2% bonus rate for a combined 2.5% "total return" rate for Tangerine versus 1.9% with Implicity Financial.

As for the PC Financial "net new money" promotional "total return" rate of 2% versus Implicity's 1.9%, it meant an extra $5-6 per month on the same transfer in value and not worth rushing to open up a PC Financial account. That said, they have a compelling customer value proposition based on their ancillary services (i.e., unlimited free cheque orders, surcharge-free CIBC & PC Financial ABM use including no fee US cash access via select CIBC ABMs, hold release/cashback ABM deposit limits and the PC Points/Superbucks on PC debit card/MasterCard purchases, to name a few of the key points) and it may make sense to open at least a chequing & a savings account with them in the next year as I do intend to close my HSBC Bank Canada and Hubert Financial accounts given the former's likely exit from retail, branch-based banking in Canada within the next several years and the latter's somewhat "clunky" archaic-looking online banking user interface (though Hubert's customer service is impeccable, it just doesn't "make the grade" and closing that additional account would consolidate my banking and investment accounts quite a bit).

Quick question on that front, Greg, how many external bank accounts can one conceivably have linked to one's PC Financial online banking access?

Cheers,
Doug

P.S. Don't pay much attention to the "terms & conditions". The "system failure" is just a legal clause - they all have something similar that they don't have to pay any interest in that event. Similarly, at my urging after the last "net new money" promotion, then-ING DIRECT Canada said they'd adjust their legal wording to clarify specifically what sort of transactions qualify and transfers in from an external bank account do qualify, provided the "total relationship balance" is higher than their effective date.

Your story reminds me, Greg, of a full service investment house that I had some dealings with briefly some years ago. I was looking for a place to park some money. ING was new at the time. I told the person at the investment house what it was and what they were offering, as he had never heard of it. His response was, "if you can get that, then you should take it, because I can't get that for you."
Them were the days...

zipper said

Thanks for the clarification........ I made the switch which seemed like a "no brainer" to me.
80k for 83 days = a profit of $220 compared to what my CU was paying!
Let's see what Tangerine offers after June 30......probably 1.35%.

If it's exactly the same as pre-promo, then it'll be 1.3%.

In regards to the $50 bonus for initiating direct payroll deposit to chequing account, I received a response by email from Tangerine confirming that this would apply to CPP and OAS payments.

George said
Here's why I won't be taking advantage: the offer doesn't apply to chequing accounts, only to the savings account types. As Tangerine doesn't allow savings account access via ABM it isn't possible to deposit directly to the savings account. That leaves two ways of getting the money in. One, deposit a cheque to the chequing account, wait for it to clear while earning no interest, then transfer to savings account. Two, transfer in from a linked account at another financial institution. Unfortunately the funds I had considered moving are not in a linked account. PCF will be getting my money instead.

While it's true that the Tangerine Chequing Account does not appear to be included in the "new money" promo interest rate calculation, its balances are also therefore excluded from that calculation. So, if you had a bunch of money sitting in that account, any funds transferred to one of the "eligible accounts" would count as "net new money". Have you thought of calling Tangerine and looking at having your "hold limit" or "cashback limit" increased? This will apply to ABM deposits as well as "funds transferred in" and give you immediate access to said funds, up to your weekly maximum "hold release limit" or "cashback limit". Mine just got upgraded from $2000 to $5000 this spring (it had been $2000 for about 18-24 months and was $1000 before that). I think their maximum is either $5000 or $10,000 and they don't lower those limits just because you transfer funds out of Tangerine; only will they lower the limit due to persistent negative transactional activity (i.e., multiple bounced EFTs or cheques you didn't advise them about in the past, cheque kiting, etc.). If you're a new client and have a good credit rating, they'll probably give you $500 or $1000 on the spot. Even if you're an existing client with average or slightly "less than stellar" (though not terrible) credit but have been with Tangerine for a long time, have substantial funds on deposit, have your payroll direct deposited or no negative transactional activity, they'll probably give you at least $500, I would think.

A "soft" credit inquiry is done and, by "soft", that means it is not reported on your public credit report and does not impact your credit score.

Hope that helps,
Doug