Deposit insurance and other mail from the reader

Deposit insurance and other mail from the reader

Questions are piling up in my inbox, allow me to address a few here for the benefit of all.

Jocelyn first.

“A retired financial friend recently told me that it is becoming less and less advisable to have GICs on accounts of $100,000+ in the same financial institution because the excess is not protected by deposit insurance. […]. I hold investments in GICs in a Desjardins-Caisse valued at more than $100,000. What do you think ? »

If there were a catastrophe so great that Desjardins could no longer honor its GICs, money would probably be the least of our worries. I would advise you to bet on gold, a garden, some chickens, barbed wire and a gun.

Distribute to several

Canada Deposit Insurance Corporation (CDIC) protects up to $100,000 in deposits or GICs per account type (TFSA, RRSP, RESP, etc.) and per financial institution. If the money is split equally between an RRSP and an unregistered account at the same bank, $200,000 is insured. If you fear the apocalypse, spread your holdings across multiple institutions to expand protection.

Note that CDIC coverage does not apply to mutual funds or stocks.

Form ISP-3041

In my Saturday column, I reported on a retiree’s difficulties in getting her hands on Service Canada’s ISP-3041 form, which would allow her to reclaim her Guaranteed Income Supplement. I wrote: “Only the document does not exist in PDF format, it cannot be downloaded anywhere. »

Some thought that statement a challenge! Not a little proud they sent me the form in PDF format. In any case, it was the 2017 version hosted on the Quebec Center for Training in Taxation (CQFF) website.

The idea defended in the column was that we can easily access it on Service Canada’s website, not that we have to search the web.

Consultant wanted

Question from Chantal who has just inherited and is trying to invest her money wisely to preserve capital: “Can you explain to me the difference between a financial advisor, a wealth manager and a financial planner? »

“Financial Advisor” is not a recognized title, although I often use it as a general formula to designate an Expert (whom I previously designated by their proper title). “Money Manager” is also not an official term, but a marketing term used primarily by some financial services companies. It’s more “upscale” without actually being.

“Financial Planner,” on the other hand, is a recognized title. In order to be considered as such, you have to study, pass an exam, continue your education. The planner is a generalist. He often combines other titles, either representative of mutual fund dealers, which is required to offer mutual funds, or financial security advisor, which is required to offer insurance products.

The majority of them make their living from commissions from the sale of financial products, which allows them to offer their advice “for free”. Fees are rarer. Each formula has its advantages and disadvantages, but above all we must associate ourselves with a professional compatible with our values, our vision of life.

Chantal, you could invest your money in short-term guaranteed investment certificates (one year and two years), time to find a financial planner that you get along with.

flaws in the person

A question from Monique: “Did you work at Provigo’s parent company in Laval? I worked there for a few years and held various positions, including at Daniel Germain. I then made the payments. »

This colleague, did he wear a mascot uniform as part of his duties?

My photo in Le Journal isn’t the most similar, even my mother thinks I’m someone else.

next morning.