HSBC TFSA Rate Sitting At 1.2%

It looks like for this year so far in 2014 HSBC is going to offer a TFSA rate of 1.2%.

HSBC Rates Takes A Dip

Been awhile since anything really changed in the TFSA scene. HSBC’s TFSA rate fell by 0.2% not too long as you can see here:

Guess it doesn’t really make too much of a difference, but a drop is a drop.

Bank Wide Interest Rate Drops To One Percent

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.

HSBC TFSA Interest Rate Slips Down

It was inevitable that everyone’s rates dropped and I must say it took awhile for HSBC to drop its TFSA interest rates. It seems as though its highest offering now has shrunk to the 1.5% rate level.

This is the bank with what I find the confusing plans still with its “TFSA High Rate Savings Account” and “Direct TFSA” plan. How many people can use an option of a 1.5% interest rate on balances over $100,000 considering the limit is $5000 for the year?

HSBC TFSA Interest Rate

HSBC offers two different types of savings account for TFSA shoppers. As you can see here, they have a “TFSA High Interest Savings Account” where you can earn a regular maximum of 2.5% or with its “Direct TFSA” account where the regular figure is 2.75%.

Now the main difference between the two to justify the difference is that the high interest savings account has traditional banking features where you can walk into a branch to do your transactions. However, with the Direct TFSA option you don’t have an in-branch option. Therefore, you must do your banking online, through the phone or an ATM machine.

As well, the bank’s interest bonus is still going on it seems where new accounts can earn an additional 1% interest until March 16, 2009. For example, the 2.75% rate will be 3.75% instead for a limited time.

The Direct TFSA seems to make the most sense for people considering HSBC. For the High Rate Savings Account, it mentions that you need a balance of $100,000+ to earn a 2.5% rate. Considering the limit is $5000 a year it seems, that plan makes no real sense to me other than to sway people to use the Direct TFSA option, in my opinion.

HSBC One Percent Interest Bonus

I was reading over the HSBC site and was reading how they are offering a 1% interest bonus on new deposits until March 16, 2009. You can read about it too at https://www.hsbc.ca/1/2/en/personal/chequing-savings/savings-accounts .

That offer should be valid for the upcoming TFSA accounts too as I read the line on the page stating “With several account options, like our High Rate Savings Account, Direct Savings Account and Tax-Free Savings Accounts, we can help meet your savings goals.”

I guess that can be a good incentive for anyone who is still debating about which bank to open up a TFSA account with.