Personal Finance

1Q Bank Dream Free Installment Deposit (FID) 3.0% interest (for 3 years)

  • Last Updated:
  • May 25th, 2020 8:43 am
[OP]
Deal Addict
User avatar
May 11, 2014
4020 posts
4260 upvotes
Iqaluit, NU

1Q Bank Dream Free Installment Deposit (FID) 3.0% interest (for 3 years)

Hey guys. For those who are looking for a way to save for say a down payment, this actually might be a decent product. 1QBank is an online bank owned by KEB Hana Bank (Korean bank) operating in Canada. They have OK chequing and savings accounts, customer service can be hit or miss but once the product is setup, you are good to go.

https://www.1qbank.ca/ca/ib/pu/getProductInfoList

You can set the goal between $10-$1000/month for 36 months. How it works is you transfer in or deposit the money each month what you can. There is no obligation to make a deposit, however you must make at least 90% of the deposit amount and 90% of the months have to have a deposit to qualify for the boost rate.

In simpler terms for the max $1000 per month max, you need to contractually make $32400 of the $36000 goal in deposits and a deposit in 33(32.4 is rounded up) of the 36 months.

The nice feature? This rate is guaranteed for the 3 years. So if interest rates drop further from here, this can help protect you from interest rate drops. Also because you are allowed upto 4 accounts per person, you can also hedge your deposit risk. Say your plan is to save $1000 per month, but unsure whether you can actually commit and get 90% of your deposits. You could split them into smaller $250 goals in 4 accounts so that way if you do have a short fall, you can spread the shortfall across 4 different accounts and make sure the 90% goal is reached. And because there is no obligation to deposit money, you are safe if you can't make the deposits, plus you are still earning 2.4% should you fail to meet the 90% goal.

I have used this product previously, and it is pretty flexible although I did close the account in the end as I no longer decided to save for a downpayment. But I figured I'd put it out there for people who are in this situation.
Support your local Credit Union!

Sask Pension Plan Upto $6300/yr in Credit Card spending on RRSP contributions
http://forums.redflagdeals.com/sask-pen ... ns-2167222
8 replies
Deal Addict
User avatar
Apr 2, 2010
2024 posts
1480 upvotes
GTA
I like these unique products, it helps to have the flexibility and it beats fixed GICs for scenarios you mentioned.
The only other unique product like this is Hubert's 1 year redeemable GIC but the rates have dropped for a while now.
Thanks for sharing.
Sr. Member
Nov 16, 2013
624 posts
156 upvotes
GTA
This looks good as A starter saving strategy for teenagers. I am planning to open one for my son.

Guess the minimum age to open the account would be 18.
Deal Addict
Dec 25, 2017
1835 posts
1289 upvotes
I imagine the deposits would have to be split up right? Otherwise, I’d just move my whole savings balance over from the Simplii 2.8% promo but that doesn’t seem to work.

Still a great product!!! Glad these banks are doing it differently and KEB bank has been here for a while and is a major bank in Korea!
[OP]
Deal Addict
User avatar
May 11, 2014
4020 posts
4260 upvotes
Iqaluit, NU
IEpicDestroyer wrote: I imagine the deposits would have to be split up right? Otherwise, I’d just move my whole savings balance over from the Simplii 2.8% promo but that doesn’t seem to work.

Still a great product!!! Glad these banks are doing it differently and KEB bank has been here for a while and is a major bank in Korea!
Yeah, that's the only big draw back. You can't make a lump sum deposit. I'd say Laurentian would be better for you.
Support your local Credit Union!

Sask Pension Plan Upto $6300/yr in Credit Card spending on RRSP contributions
http://forums.redflagdeals.com/sask-pen ... ns-2167222
[OP]
Deal Addict
User avatar
May 11, 2014
4020 posts
4260 upvotes
Iqaluit, NU
Hmm, this product ended up being decent to start in December. People could have had a guaranteed 3% return.

Now it's only 1.7%
Support your local Credit Union!

Sask Pension Plan Upto $6300/yr in Credit Card spending on RRSP contributions
http://forums.redflagdeals.com/sask-pen ... ns-2167222
Deal Addict
User avatar
Mar 25, 2012
1858 posts
1031 upvotes
Kelowna
xgbsSS wrote: Hmm, this product ended up being decent to start in December. People could have had a guaranteed 3% return.

Now it's only 1.7%
On 1Q, I agree with you. The rate is meh now, but so is everything. Actually, you can order 100 cheques for $8 including taxes, so on that basis, one could argue, assuming they have access to deposited funds limits, 1Q is superior to Motive Financial, LBC Digital, and Motusbank, at least as far as the chequing account is concerned.

Cheers,
Doug
[OP]
Deal Addict
User avatar
May 11, 2014
4020 posts
4260 upvotes
Iqaluit, NU
dmehus wrote: On 1Q, I agree with you. The rate is meh now, but so is everything. Actually, you can order 100 cheques for $8 including taxes, so on that basis, one could argue, assuming they have access to deposited funds limits, 1Q is superior to Motive Financial, LBC Digital, and Motusbank, at least as far as the chequing account is concerned.

Cheers,
Doug
As per title and my posts, I never have talked about their other products in this OP. I only introduced the FID Dream deposit which is the focus of this post.
Support your local Credit Union!

Sask Pension Plan Upto $6300/yr in Credit Card spending on RRSP contributions
http://forums.redflagdeals.com/sask-pen ... ns-2167222
Member
May 24, 2018
286 posts
171 upvotes
Ontario
I remembered seriously considering the Dream FID account during 3% days. For some reason, you have to apply via their mobile app & not a browser.

Top