RRSP account for non-resident?

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May 5th, 2019 10:53 am

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May 4th, 2019 11:34 am

thisismyid [OP]: Sr. Member; Jun 5, 2015; 969 posts; 19 upvotes; Toronto, ON

May 4th, 2019 11:34 am

RRSP account for non-resident?

I recently relocated out of Canada and found my mutual fund account with TD has been frozen ever since I changed my address - I called TD and was told once you don’t live in Canada you can no longer do anything about your account until you move back ... that really sucks, what if there is a market meltdown like in 2008, and I won’t be able to do anything other than watching the money going down the drain? I also have a RRSP account with Questrade, and so far it still seems to let me place trade orders , can I transfer my money out of TD mutual fund and put them in Questrade RRSP?

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May 4th, 2019 9:47 pm

sckor: Sr. Member; Jul 1, 2006; 689 posts; 472 upvotes

May 4th, 2019 9:47 pm

Each bank is different - it sounds like TD sucks in this regard. Or at least, the mutual fund account side of the house does.

According to this TD Direct will open an account for you... though it seems like they want you to physically show up.

http://td.intelliresponse.com/cbaw/?req ... +Investing

Depending upon what funds you have invested in, you may or may not be able to transfer them in-kind to a non-TD based brokerage.

For RRSP's, most brokerages will let you transact as a non-resident. This is probably something that should have been dealt with before leaving the country... you may try calling some of the other major brokerages to see if they will do something for you without having to set foot in a bricks and mortar building in Canada. But I'd start with TD direct, since you are already a TD customer and go from there.

May 5th, 2019 2:01 am

yvrbanker: Member; May 2, 2019; 429 posts; 487 upvotes; Vancouver

May 5th, 2019 2:01 am

Canadian mutual funds are not allowed to be sold to non-residents, RRSP or not, period. Many banks are implementing this by not allowing any transactions from abroad (other than maybe a redemption).
There is no law preventing you from trading stocks in RRSP accounts, though brokers/banks may have their own restrictions for non-residents. Transfers between RRSP accounts should be fine too.

Depending on the amount, Questrade could even compensate you the transfer out fee that TD would likely charge. You could request the transfer from Questrade side, just make sure the transfer is "in cash", not "in kind". I assume Questrade know you are non-resident. It's better to keep everybody on the same page, as transfers may require some extra paperwork to avoid non-resident tax on withdrawal.

May 5th, 2019 10:53 am

thisismyid [OP]: Sr. Member; Jun 5, 2015; 969 posts; 19 upvotes; Toronto, ON

May 5th, 2019 10:53 am

yvrbanker wrote: ↑ Canadian mutual funds are not allowed to be sold to non-residents, RRSP or not, period. Many banks are implementing this by not allowing any transactions from abroad (other than maybe a redemption).
There is no law preventing you from trading stocks in RRSP accounts, though brokers/banks may have their own restrictions for non-residents. Transfers between RRSP accounts should be fine too.

Depending on the amount, Questrade could even compensate you the transfer out fee that TD would likely charge. You could request the transfer from Questrade side, just make sure the transfer is "in cash", not "in kind". I assume Questrade know you are non-resident. It's better to keep everybody on the same page, as transfers may require some extra paperwork to avoid non-resident tax on withdrawal.

Yes Questrade knew - I have an existing RRSP account with them too, along with my individual non-registered account, which they urged me to close as soon as I changed my address and I did

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