Expired Hot Deals

[Coast capital savings] 4% convertible term deposit

  • Last Updated:
  • Mar 20th, 2018 3:34 am
37 replies
Deal Addict
Dec 12, 2003
1680 posts
167 upvotes
Terms

]Interest rates are subject to change without notice and are calculated on a per annum basis. Product change is one-time only and must be to a non-redeemable term of equal or greater remaining length of original term. Minimum investment of $500; maximum investment $25,000,000; eligible for non-registered, TFSA, RRSP, RRIF, and RESP contributions. Offer ends March 20, 2018.
Offer available for new money only which must come from non-Coast Capital sources. New money is defined as dollars not currently on deposit with Coast Capital Savings or money that has been on deposit for 60 days or less.
Sr. Member
Oct 29, 2004
931 posts
40 upvotes
I like how it says, Get a guaranteed 4.00% interest rate1. Sometimes bigger is better.
Then look at the fine print.
33 months is quite a while too.
Deal Addict
Sep 4, 2007
1141 posts
518 upvotes
Edmonton
Seriously. What does "guaranteed" even mean if they can change the interest rate at any time AND without notice? It's like something out of a cartoon.
Sr. Member
User avatar
Nov 23, 2004
737 posts
205 upvotes
Edmonton
frozenmelon wrote:
Feb 9th, 2018 3:42 pm
Seriously. What does "guaranteed" even mean if they can change the interest rate at any time AND without notice? It's like something out of a cartoon.
Right.. are we reading this wrong?
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Deal Addict
May 2, 2010
2541 posts
1882 upvotes
Markham
5abi wrote:
Feb 9th, 2018 2:37 pm
Friend just told me his bank is offering this rate plus 2.5% redeemable term deposit as well if anyone interested
OP could refine the title. This product is for BC residents.

Also, there is no online account opening available to non-BC residents.
Newbie
Apr 20, 2004
46 posts
11 upvotes
wilbrod wrote:
Feb 9th, 2018 6:10 pm
Right.. are we reading this wrong?
Yes, I think you're reading this wrong... it is saying the 4% rate (annual) is what you get for the 33-month term. The rate being subject to change means "Hurry up, this rate won't last!" The convertible option means that in case rates go up in the future, you can take advantage of the higher rates by converting your term, and you'll then also get an additional 0.1% on top of the higher rate...

This is a crazy deal since you can get a mortgage for less than this... For example, Tangerine has a 3-yr fixed rate mortgage for 3.14%... even getting a mortgage and take this term deposit it like getting FREE MONEY!
Member
Apr 10, 2017
335 posts
125 upvotes
Toronto
DealWarrior wrote:
Feb 11th, 2018 12:12 pm
Yes, I think you're reading this wrong... it is saying the 4% rate (annual) is what you get for the 33-month term. The rate being subject to change means "Hurry up, this rate won't last!" The convertible option means that in case rates go up in the future, you can take advantage of the higher rates by converting your term, and you'll then also get an additional 0.1% on top of the higher rate...

This is a crazy deal since you can get a mortgage for less than this... For example, Tangerine has a 3-yr fixed rate mortgage for 3.14%... even getting a mortgage and take this term deposit it like getting FREE MONEY!
I dont think a bank will let you invest money from a mortgage this way. That being said you'd earn more in the real estate.

I reached out to one of the reps @ coast capital. Here are some more details about the GIC.

Thank you for reaching out about our current GIC promotion. The 4% offer is available on our 33 month convertible term for new funds deposited to Coast Capital Savings. The 33 month convertible is a locked in GIC, which does have the flexibility to be converted to another GIC of equal or greater length to that of the remaining term at any point during your term if rates were to increase. Please be advised that you can only convert once during the life of the term.

I hope this helps. Please let us know if you have further questions. Thank you,
Member
User avatar
Apr 5, 2016
411 posts
550 upvotes
BC
I'd be all over this.

If you get the 33 month GIC, they can NOT change the rate on you. It's fixed. You can change the rate once if their rates increase above 4%.

My challenge is that Coast Capital is applying to change to a Federal Institution, and if this is approved, you will not receive the 'unlimited' coverage provided by the Credit Union Guarantee Corp, and instead only the 100K by the CDIC. Why they would be doing this is beyond me. They might be having some problems (possibly also the reasoning that they are offering this high of a rate)

For information on changes to deposit insurance and the transition period if we become a federal credit union, see the notice pursuant to the [PDF]
Disclosure on Continuance Regulations (Federal Credit Unions).
Fido Public Mobile Shaw Tangerine
Newbie
Apr 20, 2004
46 posts
11 upvotes
ChiliPalmer wrote:
Feb 11th, 2018 3:04 pm
My challenge is that Coast Capital is applying to change to a Federal Institution, and if this is approved, you will not receive the 'unlimited' coverage provided by the Credit Union Guarantee Corp, and instead only the 100K by the CDIC. Why they would be doing this is beyond me. They might be having some problems (possibly also the reasoning that they are offering this high of a rate)

For information on changes to deposit insurance and the transition period if we become a federal credit union, see the notice pursuant to the [PDF]
Disclosure on Continuance Regulations (Federal Credit Unions).
In the document you linked to, it says that any term deposit would be fully covered until it's maturity date... and it would be transitioning to CDIC anyways, which is like the coverage you get at Tangerine or any of the big banks...

I'm totally in on this deposit, it is the best available in Canada (and I don't have to play the games that Tangerine has with its special "targeted" rates), and is fully insured for it's duration, even over $100k. With the volatility in the market right now, this is the best place for my money...
Deal Fanatic
User avatar
Sep 8, 2007
5346 posts
3545 upvotes
Way Out of GTA
Ychanceit wrote:
Feb 9th, 2018 7:16 pm
BC ONLY?
It’s very provicialophobic.

I’d be all over this like a fat kid on a smartie.
Newbie
Dec 23, 2007
22 posts
3 upvotes
Burnaby
They have been approved to go federal but is not official yet so unfortunately this deal is only good for those in BC. Best offer in the industry right now! As someone else mention even higher than mortgage rates. I would be all over this if I had extra funds or not happy with the stock market! Guaranteed 4% with option to convert to higher rate seriously!!??

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