|
|
RRIF GICs
Your clients have made it. They’re ready to convert their Registered Retirement Savings Plan (RRSP) to a Registered Retirement Income Fund (RRIF) and start enjoying their hard-earned savings.
To help them decide which product is right for them, here are some of the details of the RRIF GICs issued by B2B Trust, Laurentian Bank, Laurentian Trust and LBC Trust:
Highlights:
|
|
Accounts |
- Individual RRIF: transfer your client’s Individual RRSPs into Individual RRIFs
- Spousal or Common-Law Partner RRIF: matured Spousal or Common-Law Partner RRSPs get converted into this account in which clients base their payments either on their age or the age of their spouse or common-law partner
|
Terms & amounts |
- Short-term deposits:
30 to 89 days, minimum amount: $25,000
90 to 364 days, minimum amount: $5,000
- Long-term deposits:
1 to 5 years, minimum amount: $1,000
(Note: the minimum account value is $7,500) |
Interest payments |
- Interest is compounded annually until maturity
- For terms of less than a year, interest is paid at maturity (simple interest is paid for terms of less than 2 years)
- At maturity, the principal and interest amount is deposited into the RRIF savings account
|
Rate guarantees |
Interest rates on RRIF transfers-in are guaranteed for up to 30 calendar days from the date your client signs the transfer authorization form and application; renewal rates are guaranteed for up to 15 days from the renewal commitment date |
Payment information |
- If the account has insufficient funds to meet payments, these funds will be taken from the GIC term closest to maturity
- In the province of Quebec, payments are funded from the GIC term with the lowest interest rate
- RRIF payments can be deposited directly to your client’s bank account through EFT – either monthly, quarterly, semi-annually or annually on the 15th, or the last day of the month
|
|
|
|
|
