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Stickied postModerator of r/PersonalFinanceCanada

Make a top-level comment if you want to brag about something regarding your personal finances!

Click here for the most recent past "Triumphant Thursday" threads

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86

Not sure if this is the right sub or not but using annon account for something that has really taken me by surprise and contemplating if I am dreaming or this really happened.

My parents and I bought a property ~3 years ago and I added my name onto the mortgage (and automatically onto the title) so it would be approved. Now I made myself 33% owner since I got the first time home buyer rebate and this was the largest I wanted. I was not placed as "tenant of occupancy' but "joint owner" as explained by the lawyer. Apparently, anything less than 33% would make a difference and I don't remember that much. All I know is there was a clear distinction between 33% to joint vs. <33% and not joint.

My parents and I had a falling out 2 years ago and I moved out. The mortgage was coming for renewal and my parents wanted me off the title. They visited an advisor who said they would need to apply for a mortgage again and see if they qualify without my income. They did and thus they wanted a new mortgage and remove me off the title. I said no since I paid equal parts of the mortgage when I lived there and did not sign any papers before and after this discussion.

I have recently contacted the bank to see the renewal status and was made aware the mortgage no longer exists. After digging around, it turns out my house was sold to another buyer without me ever being there! I am so lost in this situation. Do I not need to be present before a house can be placed for sale? What about the paperwork. Could my parents have just taken the forms back home and forged them? Wouldn't anyone have asked where I was the entire time? I do not know where to start. I searched up the real estate agent and he is no longer employed. I have called lawyers who all are going to call me back. I need to know what to do next. Who do I contact? My parents have stopped picking up my number and I do not know where they live now. Is this even possible? I did not sign any papers after moving out 2 years ago and thus am really confused on how the house could be sold without my consent as well.

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Hi r/PersonalFinanceCanada,

I am lucky to have received offers from a few great companies in the States, but my fiancee resides in Montreal and I wish to stay close by.

I am willing to take a substantial pay reduction in the process (250K US to ~100K CA), but even at this target level, I'm still struggling to find Canadian companies willing to pay this high for a new grad.

I've already spend a few dozens of hours talking with my network and doing researches online. The list of companies that could potentially meeting the criteria are few so far:

- Google Montreal office

- Shopify

- Autodesk

- SAP (?)

Are there any other local companies I'm missing and could be applying for?

I would appreciate any insight on this matter! Thank you in advance

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Hello PFC,

My wife and I (mid 30s) are just about finished filling using all available registered space (ccp style etfs at questrade). At that point we plan to continue investing in non-registered accounts and we are strongly considering paying down our mortgage and using a re-advancing HELOC as a tax deductible investment loan (smith maneuver). We plan to continue our jobs for a couple more decades so we feel this to be a good use of our equity and are comfortable with the associated risk.

My question is - I'll be coming into a commuted pension lump sum in about a year and a half, enough that we could entirely pay off our mortgage. I have only read of people borrowing against their home to invest in the form of a HELOC. In this situation where our mortgage is payed off, would it be possible to borrow against the value of our home at normal mortgage interest rates and still fit through all the hoops that result in tax deductible interest on that loan? Essentially, instead of borrowing from our HELOC at P +0.5%, borrow at P -1% or P-1.5%?

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21

Hi there,

I started a job back in Oct 31, 2017 that entitled me to a 3 week vacation every year:

"You will be entitled to begin immediately earning vacation time-off entitlement at the rate of three

(3) weeks per year and will be entitled to three and a half (3.5) days of vacation time-off during

the Company's vacation year beginning on January 1, 2018."

We recently moved systems and changed our vacation program and I noticed that there was an error and they only gave me 10 days this year. I then sent an email to HR to fix it and they said that they fixed the problem.

Issue is, they only gave me 3.5 days vacation for 2018 and said that I will get the full 3 weeks on 2019.

They explained that I have accrued the 3.5 days vacation from 2017 to use in 2018.

My boss got hired 2 weeks before I got hired and he went to a cruise for a week already few months ago. How did he get more than 3.5 days if he got hired the around the same time?

From what I understand, I was able to get 3.5 days 2017 and come 2018, I should be entitled to 3 weeks. Please explain how I am misunderstanding this.

28

I am a student and I have about 10000 that is sitting my bank account. I dont need it for my school because I have scholarship that paid for my tuition and i'm working so I don't need it to live. I have some cash in stocks and right now I had a good return on it. Now I don't know if I should put more cash in stocks or keep it for emergency fund. Any advice would be appreciated

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Hi r/PersonalFinanceCanada!

We’re CanadaHelps and we’re excited to answer your questions today! We’re both a technology platform dedicated to increasing charitable giving across Canada and a registered charity, too. At CanadaHelps.org, you can donate to or fundraise for ANY Canadian charity. We also provide affordable, easy-to-use tools for charities to fundraise on their own website: over 18,000 of Canada’s 86,000 charities use them. In 2017 alone, Canadians donated over $154 million to charities using CanadaHelps!

Whether you are a Canadian interested in charitable giving or from a Canadian charity, we’re here to answer your questions. Start submitting your questions now and we’ll answer questions from about 2-4PM EST.

Ask us anything about donations and charitable giving in Canada, fundraising questions, our services including all the ways you can support charity from your own personal fundraiser to donations of securities, or anything else you can think of. Since there are 86,000 registered charities in Canada we probably can’t answer specific questions about a particular charity but we will do our best to help point you in the right direction to find any answers we don’t have.

P.S. If you’re interested in trying out CanadaHelps, this is a good time to give it a try. Our 4th annual Great Canadian Giving Challenge is on right now. Until June 30th, every dollar donated at www.CanadaHelps.org is a chance to win $10,000 for the charity you donate to! (Full terms available on our website)

UPDATE @ 4:15PM EST WED JUNE 20, 2018

Thank you for all your questions and the great discussion below. We're signing off for now but we'll be back over the next couple of days to try to answer any additional questions that trickle in! 

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Ontario based, I'm curious at the different types of student accounts from different banks and how they matchup vs Tangerine or Simplii.

From what I can see there's mainly minor differences, maybe special deals like the BMO SPC card but otherwise I can't really decide. I have a TD account now but I'm not sure if I'll be fine with the 30 transaction/month limit.

FWIW the uni I'm planning on going to has mostly CIBC ATMs, if that factors in to it at all.

Thanks for all the help!

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So I know that you have a max contribution room every year for your TFSA and RRSP.

In my investment account, I invest through TFSA or RRSP.

What happens if I contribute my max and then gain money from an investment?

Does that mean I can't pull my money out of that stock? Will I be penalized? Because technically I'd be going over max contribution right? Also, the same with employer matching if an employer matches my max contribution at like 10% or something like that do I get penalized for the extra 10% of contribution?

Sorry if this seems like a dumb question but I haven't much time to search it up due to my summer course load so I thought I'd ask here.

3
7

Couple years back I've opened RRSP account.

From the last statement I saw this:

Management expense ratio (MER) - 2.44%

is it High / Normal / Low, Should I keep it or look for another ?

From the statement

Fund expenses

You don't pay these expenses directly. They affect you because they reduce the fund's returns.

As of June 30, 2017, the series' expenses were 2.47% of its value. This equals approximately $25 for every $1,000

invested.

Annual rate (as a % of the series value)
Management expense ratio (MER) This is the total of the fund’s management fee (including the trailing commission), administration fee and operating expenses. 2.44%
Trading expense ratio (TER) These are the fund’s trading costs. 0.03%
Fund expenses 2.47%
4

Hey guys, coming here to hear your opinions and get some advice on my situation. Almost 2.5 years ago I started a retail business that ended up going bad, in the process ended up charging up a few credit cards that ended up in collections.

I now have a full time job, put all the debt that was not in collections onto a low interests LOC, and am trying to figure out what to do with the debt in collections.

For the AMEX with $5000 balance, I received a settlement offer for 50% of the amount stating that "We will report this account to credit bureau agencies as settled. It will not be reported as paid in full."

For MBNA card with $2000 balance the settlement offer is for about 45% of the total and says "your account will be reported as bad debt write off. Account paid in full for less than the full balance.

My question is - is it worth paying or better to wait for this to fall off my credit report? Will this affect my ability to renew my mortgage in 2 years when the term ends?

Already 90% of my income is going towards paying other debts, I am living on the bare minimum to get myself out of this situation.

Thanks for your time.

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Hey PFC,

I recently graduated from university, and am extensively hunting for a job (Finding employment sucks). Anyways, I am looking to jump banks before I get payroll and such going.

I am currently with TD, but am not really happy with there nickel and diming me during school and don't want to pay a fee once my student account expires.

I'm hoping to go to a credit union, and was wondering what thoughts where on envision, and coast capital (I'm B.C based)

I'm really looking for a chequing account (Basic, nothing fancy), a high interest savings account (One to just have my emergency fund sit in), a normal saving account (For big purchases) and then a credit card (Looking for no fee, travel insurance, and rewards)

Less fees the better

Any help or guidance would be greatly appreciated

3

So here is the situation. I am starting uni this year and I have an RESP with enough to cover my first two years of my undergrad (tuition, res., food, etc.) and I’ve also been approved for almost the full amount of student loans for my first year (no matter what, I’ll take the money and just keep it in a HISA until I need/use it).

So my question is should I use up my RESP first before using the student loan money, or should I mix and match the funds? Or should I do something else?

2

Referring to the 9 simple money rules on 1 index card by Harold Pollack. I'm a big fan of it but I'd like to know if there's anything that could be adopted for living in Canada.

16

As a Canadian I would like to invest in China's economic future as well as the surrounding regions. With China's new silk road and belt and road initiative, their economy and those countries in which are a part of this will grow quite a lot in the coming decades. As a Canadian what would be the best way to go about investing in this?

Here is a link to a Caspian Report video taking about the Belt and Road Initiative https://www.youtube.com/watch?v=mOmEFOaWjI8

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Hi PFC,

My question is for couch potato investors who also invest in stock, or those of you who invest regular amounts (i.e. reserve a portion of paycheques for stock investing).

  • When buying for medium- to long-term holds, what is your minimum cash amount at which you buy stock?

  • If you are saving a regular amount to buy stock, do you purchase at regular intervals, or when you hit your minimum amount?

2

I was making minimum wage and in 2017 I bought the small business I was working at from my boss. I now make around 200k pretax (16.5k/m). I own a home without a mortgage (worth about 250k, not a big city and not an extravagant house). I lease a car for $1000 a month + 150 insurance (this is my ONE guilty pleasure), and I have zero in debt. I'm 29 years old. My mother died years ago, and my father just recently died. My share of the inheritance after recently selling everything is leaving me with about 300k.

I once read when you happen across a windfall you should sit on it for 6 months to a year. I understand this is to prevent bad decisions or reckless spending. Currently I don't need to spend it, I don't even come close to spending my income. However, I have no idea at all what to do with money. My TFSA is empty, I can speak to someone to figure that out. I refuse to invest in RRSPs (under the belief of dying early and half of it being taxed at once for anyone inheriting my money).

I plan to just leave my money and continue saving for a year or so before making any decisions. I know I am basically throwing money away but I'm afraid to actually do anything with it because of horror stories about blowing through windfalls with bad investments or other poor choices. What should I do? I'd like to purchase houses over the next few years while prices are still reasonable in this area. Any tips, advice, and insights would be great.

What are the best things to do within the next year? Should I just not touch it and try and wrap my mind around recent changes? What are some common/uncommon mistakes I should avoid?

2

I'm helping my relative search for car insurance as it appears they are in a high risk category. Advise would be greatly appreciated.

I used ThinkInsure.ca which appears to search through Coachman, Echelon, Jevco, Pafco, and Perth.

Based on their information, I got a quote for 4300/year Perth, and 6000/year with Coachman / Jevco. The fact that Perth is so much cheaper is definitely attractive, but raises an eyebrow for sure as I'm not sure how they can offer much lower. Online does not have a great sample size of reviews. Can anyone shed some insight on this company?

2

Browsing around people's linkedin profiles I've noticed this. Wouldn't a finance degree from a university in Canada teach you more about Canadian securities compared to one course?

8

I've just upgraded two credit cards to Mastercard World Elite (Rogers and Triangle). I have the lesser versions of both cards and will cancel the older cards when the new cards are activated. Will this affect my credit score, which is presently very good?

I'm asking because we are looking to replace our van with a new vehicle and want the option of 0% financing, if available. Should I hold off on cancelling the old cards until we purchase our new vehicle?

15

I just opened a Tangerine account and in the process of transferring funds over from my RBC account.

As title says, I was just denied a Tangerine Credit Card within 2 minutes of applying for it last night. The follow-up email said it had to do with my credit or credit history.

I’m an RBC client and use the free TransUnion partnership app within RBC to view my credit score on a monthly basis. It says I’m currently around 708 which I assumed was decent credit but maybe I’m wrong.

The only outstanding credit pulls I’ve done were applying for a loan for a vehicle last year. Which I received but have since sold and no longer own the vehicle. And before that I’ve had one of those FutureShop cards (2012 or so) which has been fully paid and cancelled for some time. The only other outstanding credit is my revolving student loan payments which are always on time.

Is there any indication of what caused Tangerine to deny my application? Was it due to the vehicle loan inquiry over a year ago?

Is there a way to see if I I have any outstanding payments anywhere I don’t know about?

Edit: also have a CC with a 7k limit. Less than $700 owed at the time of applying.

Edit2: Thanks for all the responses and feedback. It’s very helpful knowing that others have come across similar issues and some of it appears seemingly random/due to timing.

4

I got one email this afternoon about it and swore I didn't make one recently. I changed my password as a precautionary measure and called TD to inquire. They said it was a system error on their side that resent notifications if you made one since January. I did make one back in March before my Europe vacation in April. I hope I'm not the only one who got this email.

3

I am buying a 2013 Ford Explorer tomorrow after work, I have never had to finance a car before,always bought cash. I need to finance 15k worth, this is a used car dealership that mostly does high end cars, so I am not sure how financing would work through them. What is my best option to finance 15k worth of a car loan? I have the other money in cash without hurting my savings or e-fund.

I am 20 and 50k income, guessing that makes a major difference. I currently bank with Tangerine, EQ and CIBC. Would prefer to keep the loan with one of them if it is a decent interest rate.

3

Hi,

Thanks for reading, and for any assistance you can offer

See this earlier thread for context to this post.

My father has been unemployed. He has two mortgages on his home. Despite being repeatedly advised to list his house for sale, he has dragged his feet and refused, and now is having his house foreclosed on by its second mortgage holder.

I had been told before that he owes approximately $500,000 on the house, although I was told today (by him) that he owed approximately $ 7 or 800,000. I don't really trust his knowledge of anything, so I don't know which of these numbers is accurate.

The market value of the house is probably approximately $900,000.

When he is kicked out, he will have no money, and no place to go. I will not let him stay with me--as soon as I do that, he will thereafter refuse to be self-sufficient.

What do I need to convince him to do in order to result in the best possible outcome for him? Is filing for bankruptcy a viable option? What will happen if he files for bankruptcy? What options do I need to consider?

2

I was asked to hold onto $20k cash by my family, I was thinking of putting it into Zag Bank's 1.65% interest rate. Is there anywhere better that I can keep the money? Just looking for the best interest rate. I'd prefer not to keep it locked in, but I could probably lock it in for a year.

I used to do Tangerine but it doesn't seem that my savings account currently has a promotional interest rate.

1

I recently heard about transferwise from forums and reddit and I am thinking about using it. I have about $10,000 USD in a CIBC US$ Personal Account. I want to transfer the USD in the account to cash. I am assuming CIBC rates will not be good. Am I able to transfer USD from my USD CIBC Account to my Canadian Chequing Account?

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