The Best TFSA Plans So Far

So I was asked by a few people on what I personally think the best banks to open up a tax free savings account plan with is so far. In my personal opinion, based on what I see I would say the Bank of Montreal and ING Direct seems like the best choices overall so far.

The reason is pretty straight forward. Both of these financial institutions actually offer the same interest rate at 3%. When you compare that to others overall, it is a very good rate as most others that have a higher rate currently will drop it after the promotional period as its regular rates are say 2.75%. While that doesn’t guarantee that these two places won’t drop its rates too, 3% is the regular rate for them.

Another big reason for selecting these two is that they both indicate that they do not have fees associated with the account including not having a transfer fee should you decide to use a different bank/provider. That way, you can be more assured that you won’t have to go through a costly process should you decide that you would like to change it up with a different provider.

While there may be different and better incentives coming in the future for those who are still holding out, in my opinion the best choices for a tax free savings account plan right now based on rates and fees is the Bank of Montreal and ING Direct.

2 responses to “The Best TFSA Plans So Far”

  1. i believe ING is the way to go. but i check their website over and over and they never printed how much is the closing fee? we have to know it guys. like i wanna withdraw all my money after some time coz i wna spend it on study or buy new pc/ps3 whatever…
    for example, coast capital charges 1.5% on their TFSA and closing fee of $55. cibc charges higher, 2% interest but also higher closing fee, $100. hence in the end coast capital beats cibc. scotiabank is pathetic 1.25% and they never tell in their website how much is the closing fee! darn. transparency pls. now, so its obvious that ING direct is the best to invest for tfsa, but how much is the closing/withdrawal fee? once we know that then we can decide…

  2. Sir, you forget that with being with ING Direct,you must need another banking institution that will transfer the money to ING, which usually incurs a fee of 1 dollar every transaction. The rates may have gone up since i have been with ING and Royal respectively. That cuts into your percentage of return.

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