🚀 go-pugleaf

Greg Bennett (gregbenn@nortel.ca) writes:
>> Patrick Coghlan (bn207@FreeNet.Carleton.CA) wrote:
>> : I've heard that some banks will either offer to wave monthly
>> : and/or transaction fees for cheques and debit card purchases.
> 
> I have a Power Chequing account with Bank of Nova Scotia. So long
> as I keep the balance above $1000, I have never paid charges, period.

Maybe not "explicit" charges, but it is costing you over $10 per month in
"implicit" charges.  If you had $1000 and used it to pay down a credit
card balance or invested it in a GIC, mutual fund etc. you would save or
earn yourself $10 per month or more (especially if you paid off a
high-interest credit card balance).

At Bayshore Trust in Ottawa, they offer free unlimited chequing -
including preauthorized chequing for bill payments - and pay you GIC
interest rates on your bank balance.  They don't have debit cards though,
but if you are just using the account to pay bills as I am then that's ok.

They also don't have very many ATM machines, but again, if you are only
using the account to pay bills then that won't matter either.

> I will write at least 3-4 cheques a month, plus some preauthorized
> withdrawals, a couple of trips to the banking machine, interac, etc.

Well, if you don't have any outstanding credit card balances etc. and have
$1000 to spare, then this is probably the best arrangement for you, as
long as you realize that there is a cost (to you) involved in leaving
$1000 in your account doing nothing.

>  > Drawbacks:  > 
> - I still have to pay for cheques when I periodically run out.
> 
> - Not sure if this applies to other bank machines (I live practically
>   next door to my bank).
> 
> - If the balance slips below $1000, even for a small period, you get
>   dinged for the entire month's transactions.
> 
> - A whopping 0.25 % interest!
> 
> Hope this helps. I'd venture a guess that other banks have similar 
> set ups, but I haven't shopped around ...

I'd like to find out what fees Canada Trust charges.  Anybody?

--

-Pat  

bn207@freenet.carleton.ca