Which banks are in the running?
Here's a list:
- Achieva Financial Achieva Savings
- Ally High Interest Savings Account
- Canadian Direct Financial KeyRate Savings Account
- Canadian Tire Financial Services High Interest Savings Account
- HSBC High Rate Savings Account
- ICICI Bank HiSAVE Savings Account
- ING Direct Investment Savings Account
- Manulife Bank Advantage Account
- MAXA Financial Savings
- Outlook Financial High Interest Savings Account
- People's Trust Interest First Savings Account
- President's Choice Financial Interest Plus Savings Account
- Royal Bank High Interest eSavings Account
Which one is right for me?
There are many things to consider before signing up for an account. Here are all the different factors to be discussed:
- Signup Requirements: There's no point in even bothering if you can't sign up.
- Interest Rates: After all, isn't that the reason you'd choose one of these over your usual chequing account?
- Access Methods: Some accounts offer great interest rates, but what happens if you're paying more in withdrawal fees than you're earning?
- Signup Bonuses: With such similar interest rates, some banks really want to set themselves apart.
Most of these banks ask for identification to comply with within money-laundering legislation. Some banks offer extras like overdraft protection, so they need more ID to be able to check your credit rating.
|Achieva||Personal Cheque mailed to them, SIN Number.|
|Ally||Personal Cheque mailed to them, SIN Number. Not available in Quebec. Must be over the age of majority.|
|Canadian Direct Financial||Personal Cheque mailed to them, SIN Number, employment info. Not available in Quebec. Must be over the age of majority.|
|Canadian Tire Financial Services||Personal Cheque mailed to them, SIN Number. Must be over the age of 12.|
|HSBC||Personal Cheque mailed to them, SIN Number. Must be over the age of majority.|
|ICICI||Personal Cheque mailed to them, SIN Number, Employment info. Must be over the age of majority.|
|ING Direct||Personal Cheque mailed to them, SIN Number, Physical home address|
|Manulife||Personal Cheque mailed to them, SIN Number, two pieces of ID (one must have photo) photocopied and sent to them|
|Maxa Financial||Personal Cheque mailed to them, SIN Number, employment info.|
|Outlook||Personal Cheque mailed to them, SIN Number|
|People's Trust||Personal Cheque mailed to them, SIN Number|
|President's Choice||SIN Number, visit to a PC Financial Pavillion with 2 forms of ID (one with a photo) OR a personal cheque mailed to them.|
|Royal Bank||Personal Cheque for at least $25 mailed to them (or a visit to a branch), photocopies of two pieces of ID (one must have a signature). Must be over the age of majority.|
You can't argue with the facts, a better interest rate is a better interest rate. I've included some old interest rates this time just to show how much things have changed in the last 9 months. Here's the lineup:
|Bank||Interest Rate as of September 19, 2009||Old Interest Rate as of December 30, 2008|
|Canadian Direct Financial||2.00%||N/A|
|President's Choice Interest Plus||0.75%*||2.75%*|
*On accounts containing more than $1000 (calculated daily, so you'll only lose a day of interest if your account drops below the threshold). Balances below $1000 collect 0.50% interest. Also, PC will raise your interest rate depending on how much you've kept in the account for how long. See PC's site for more details.