The demise of regular CSB’s was a decision of the Chartered Banks NOT to sell they.
I feel that they should have been the base for most families savings. There were and are two many instruments with banks that do not compare and offer flexibility.
I am a former Bank Manager , whose advice to customers as to rates etc., got him fired as ” not suitable for banking”
By C.K.Inches on October 18, 2017
CSB’s have not been a pivotal savings stream for a long time. TFSA’s ought to take over. The challenge here is that small “savers” are rarely sophisticated enough to make sure that their investments are in solid investments. I would dearly hate to hear that people put away $50 to $100 monthly, only to find that there has been no accruing happening in their TFSA’s.
In any case, financial literacy being our goal, I have great conversations with everyone I meet.
By Sandra Gibbs on October 12, 2017
I agree to stop them. Clients could have automatic transfers to a TFSA from their deposit account and have both the interest income and no tax liability. They still wouldn’t miss it; It would be available to them if needed.
By Val on October 11, 2017
Each employer could set up payroll deductions into local online CUs or Equitable Bank or similar. Also TD or B2B Bank high interest savings on FundServe.
By Denzil FEINBERG on October 06, 2017
So sad, I know the interest rates were unbelievably low but the payroll savings was a good way for people to put money away without missing it. A lot of these people would not have saved if they didn’t have the bonds coming directly off their pay. This is another failure in governments to allow a lower income person to save.
By Gale on October 05, 2017
When CSB were brought on to the scene, they provided the average Joe, an investment vehicle, other than the banks.
As interest rates are almost zero for all intents and purposes, the CSB structure now is simply a jobs creation project. The funds could now be put to much greater use, like renovating the Prime Ministers residence or at least the Leader of the oppositions residence. These properties never seem to be in good repair or suitable as living spaces for any politician worth their salt.
By Ken on October 05, 2017
Yes, I am in agreement with this since the interest rates earned by these bonds was very low in comparison to other investment possibilities. I have had a few clients not remember to cash these in at the appropriate time, thus making the investment results even worse. Investors were moving away from these as a good idea over the last few years and the management expenses from the controlling government office was possibly not cost effective.
By Diane on October 04, 2017