The weekend was really nice.
Remember, I mentioned in previous post, I will work whenever work shows up?
That is what actually happened. Work showed up, and there I went. So, little more work last week and the funny thing is I really enjoyed the free time because of that.
This week is going to be regular week, I think. May be I will make more posts this week.
Financially speaking, I went to the bank to put back some money I took out in December. Since I was putting cash in the account, I opted to use the teller. The nice lady told me, I can escape the monthly fees of $4 by adding an investment account with the bank. May be $25/month to a TFSA will help me to escape from $4 monthly fee. Sounds good! But, I have to think about it.
OK: thinking out loud right now.
$4 per month is $48 in an year, right? That is an EXPENSE.
Now $25 in TFSA/month is $300 in an year. That is SAVING.
Now, look at the $48 expense: it is almost worth of two months savings, if I am going to take the $25/month TFSA option.
That is one school of thought.
The other thing is the bank told me to put $100 in RRSP to save on some kind of some fee before. It was may be a couple of years ago before I even thought about retirement. So, I cannot remember why I did that. I am afraid this will happen again... Now, you see my problem? RBC says they want more of my business and they will reduce my fee for using the bank.
Should I trust them? I haven't figured out the costs of closing off the account if my relationship with the bank gets sour in the future.
Don't think, my CIBC is doing better with the fees. My savings account has a monthly fee if I don't have a fixed balance in it. Then, most of my investments like RRSP and TFSA are with them. But, it don't give me a break from the monthly fee. They charge $3.99 /month on my account if I don't have a minimum balance. That is kind of fine, because, I have to keep some money as emergency fund anyway. This has to be my forced emergency fund.
so, what do you think of the bank fees? Do you think I should start a TFSA with RBC to get rid of the fees?