How does it rate?
You may have noticed that earning interest wasn't mentioned at all in the previous section on banking. That's because most Canadian banks won't pay you more than pennies in interest on your money. Even their "high-interest" savings accounts generally come with minimum balances and relatively low rates. There are smarter options.
Yes, they'll pay YOU. Interest-ed?
In the past, we've spoken about "INGdirect," however INGdirect was purchased by Scotiabank, and is now called Tangerine. So far, after the sale, the way the bank works has remained the same. Tangerine is a bank that pays a relatively good rate of interest, calculated daily and paid monthly. They're a real, government-insured bank, so there's no risk. They "don't have branches", but there's a "café on deMaisonneuve W., between Stanley and Peel, where you can talk to them. You transfer your money between your Tangerine account and your bank's checking account by phone, with their mobile app, or online, and you can also withdraw money from or deposit to National bank ABMS, or the Café on deMaisonneuve W. Electronic transfers between accounts generally take 1-2 business days (in our experience, one). Tangerine never charges any fees, although a transfer from your bank account counts as one of your banking transactions.
Earn $25 or $50 on the first day! Up to $150 total!
Tangerine is currently running a promotion where they will give you $25 just for opening an account and depositing $100, and $50 if you deposit $250! Sign up here, enter orange key code: 13861309S1, and get your reward. Very nice! The current promotion will also offer you another $50 for opening a free Chquing account with another $250, and yet another $50 if you transfer a payroll preauthorized payment to your Tangerine chequing account. Feel free to take advantage of any or all of these offers before Juily 31, 2014.
But don't I need to have money to make money?
I know, I know, you have no money. Except when you have to buy that new DVD. Or when that new movie comes out that you have to see. Or when you have to buy a pack of cigarettes (just think how much you'd save if you quit!) Can you really not find ten bucks a week to throw into a savings account? Would it help if we pointed out that if you open an account with $100 now and deposit $10 a week, in 3 years you'll have over $1,600? (based on Tangerine's current rate of 2.5%, including $25 bonus). Can you really not find $10? Well, after we show you how to save money on other things, you won't have any excuses :).
