This is a good update for Scotiabank TFSA customers as the rate climbed up to 1.5%
While the highest rate initially was about 2%, this is a pretty good increase considering almost everyone else seems to be dropping its rates. This could be a sign that the bigger banks are going to increase its rates as well.
I was checking a lot of the banks TFSA intrest rates today and it looks like interest rates have dropped throughout many of the banks to 1%. PC Financial, RBC, BMO, CIBC, Scotiabank and HSBC all seem to share the same rate now as you can see below:
Although, for HSBC’s Direct TFSA it is 1.05%. Insanely low rates though regardless. Guess there is no such thing as the one king of low interest rates now as it is a party.
Looks Scotiabank has finally dropped it’s rate back to the initial 1.75% rate as you can see here:
I can’t see how the rates can continue to drop across all the banks after the next wave of drops I see as it’s almost at a point where you would think that it can only go up.
Scotiabank has adjusted its TFSA interest rate to 2% as you can see here:
Looks like the rate is getting closer and closer to the initial 1.75% rate. I’m actually surprised that banks aren’t holding out a little longer to maintain a better image to the customers.
I’m not sure how I missed this before, but Scotiabank is holding a contest where everyday it is giving away $5000 through random draws. You can enter the contest at this page https://5000aday.scotiabank.com/
From what I see you don’t have to have a TFSA account with them initially to enter the contest. As well, the terms seem to indicate that they simply cut you a cheque payable to your name. So in that sense I guess you could use it for anything and not necessarily just for a TFSA account. I personally never won that much money before, but I suppose since they are choosing a winner everyday it doesn’t hurt to try and I got the following e-mail afterwards:
“Thank you for entering the $5,000-a-day TFSA Give-away. Your entry has been successfully submitted and your name entered into the draw.
Whether you’re just starting a savings plan, have taxable investments or are retired, there’s something for everyone with a Tax Free Savings Account. You can:
- Contribute up to $5,000 each year starting January 2009.
- Choose from a range of investments like mutual funds, savings accounts, and GICs.
- Withdraw from your TFSA at any time, for any reason and all withdrawals are tax-free.All income (interest, dividends and capital gains) earned in your Scotia TFSA is tax-free for life.
Learn more about how a Tax Free Savings Account can work for you, and open yours today!”
If you ever wanted an example of a very fast interest rate drop and how they can change at anytime, I guess Scotiabank is a good example of that. It has been a little over a week since I posted about its initial interest rate increase from 1.75% to 2.6%. Just today, I was told that it dropped to 2.4% as you can see here:
Now you might be asking if there is anything you can do about these crazy fluctuating rates when it comes to a TFSA plan correct? Well, one immediate thing that comes to mind is that a lot of the banks and financial institutions actually offer you the option to get a TFSA GIC plans which would lock the interest rate.
Course, the main drawback is similar to a regular GIC the intent is to keep it locked in for X amount of years. But it’s an option.
I was just looking at the interest rate for Scotiabank and apparently the rate has gone up from 1.75% to 2.6% which was a please surprise as you can see here:
I guess that makes the Scotia Tax-Free Savings Account go from one of the lowest interest rate to one of the higher ones now. This is one of the few banks who are trying very hard advertising wise I think as I keep seeing its commercials on TV all the time.
Should be good for everyone who are considering or are currently using them.
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