In recent years, Canadian banks and credit unions have launched savings accounts that provide higher interest rates to enable customers to invest additional funds with their respective institutions. These high-interest savings accounts come with a range of advantages and incentives, such as interest rate incentive offers, no withdrawal charges or maintenance fees, and unlimited e-transfers.
Specifically, Toronto-Dominion (TD) Bank Savings Account alternatives provide easy ways to create savings and generate returns from your money that would have been left idle. This in-depth analysis of the TD Bank interest rate will eliminate a lot of guesswork and help you determine which of the savings account option is ideal for you.
About Toronto-Dominion (TD) Bank
Toronto-Dominion (TD) Bank has undoubtedly grown to be one of Canada’s biggest and most profitable banks, featuring on our list of Canada’s top five newcomers’ banks and holding a spot on our multiple credit card checklists.
TD Bank offers a variety of financial products and services that contend with other major banks. These services are available to more than 10 million Canadian clients across more than 1,100 branches and 2,600 Green Machine ATMs.
TD Bank Personal Savings Accounts
A savings account comes in handy when you have a foreseeable financial obligation. Saving is a lot simpler if you can open a savings account with a reliable financial institution, make frequent deposits and watch your money grow. TD Bank has Personal Savings Accounts options and resources to help you increase your savings and meet your goals faster with different interest rates.
All TD Bank savings account types guarantee access to online and mobile banking and 24/7 live customer support. Also, every deposit is insured by Canada Deposit Insurance Corporation (CDIC). TD Bank includes savings account options: TD ePremium Savings Account, TD Every Day Savings Account, TD Youth Savings Account, TD Bank High-Interest TFSA Savings Account, and TD High-Interest Savings Account.
TD ePremium Savings Account
The TD ePremium Savings Account is a high-yield savings account that helps you accrue a specific interest rate on balances above $10,000. You receive a 0.1 percent interest return on balances above $10,000 – the amount of interest is determined and accumulated daily.
This account also comes with available free transfers to other TD bank accounts, making it easy for you to move your money around with ease. If you prefer online banking, you will enjoy the process of saving with the TD ePremium Savings Account.
Although the TD ePremium Savings Account features a reasonably good interest rate, you should note that it won’t be so beneficial if you are always withdrawing from your savings or if you can’t maintain a $10,000 balance consistently. This account discourages withdrawals by charging a $5 fee for debits.
TD Every Day Savings Account
The TD Every Day Savings Account offers a small return on interest with no monthly charges. You earn 0.01 percent interest on every dollar you deposit in your account. This type of savings account gives you access to one free debit transaction every month and free unlimited internal transfers to other TD bank accounts.
You will be charged a standard fee of $3 for every subsequent debit transaction you initiate.
This account is ideally tailored to consumers who are either just beginning to build their savings or want to have frequent access to their account balance. You receive daily interest on every dollar deposited and held in this account.
There is no service charge on the Every Day Savings Account, and you can make multiple transfers to and from this account to other TD accounts.
TD Youth Savings Account
TD Youth Savings Account is the perfect way to help the youngsters understand the importance of saving money. The TD Youth Account is a combination of chequing/savings account that comes with no recurring payments and allows young people access to a range of unique banking privileges.
As long as you are under the age of 19, you can take advantage of free unlimited transactions and a fair interest rate on your savings.
You will start getting 0.01 percent interest on every dollar you deposit in your account as soon as you sign up. Also, you’re not going to pay anything extra to send money, make debit payments or pay bills online with this account. This account allows parents to send money from their account to their TD Youth Account at no added expense.
Making deposits and withdrawals from the Youth Savings Account follows the same processes and channels as with the other accounts. There is also no minimum account balance requirement here and an unlimited number of transactions per month.
TD Bank High-Interest TFSA Savings Account
The TD Bank Tax-Free Savings Account (TFSA) is a form of certified initiative that helps you save on short or long-term goals and help develop your savings faster with tax-free interest. The High-Interest TFSA Savings Account puts you in charge of your cash. It gives a fair interest rate of 0.050 percent for whatever balance you have on your account.
This account’s highlight is the promise of an unlimited right to experience tax-free growth in a registered savings account. Other features include flexible access to your money, stable and consistent returns, eligibility for coverage under the Canada Deposit Insurance Corporation (CDIC), and ease of the Pre-Authorized Transfer Facility.
TFSAs are open to any Canadian citizen 18 years of age or older with an authorized Social Security Number (SSN). To open a TFSA with TD, you must be the age of majority in your province of residence.
If, after opening the TFSA, you become a non-resident of Canada, you can retain the TFSA and will not be charged in Canada on any interest or withdrawal from the account. However, if you make a deposit when you are a non-resident, you will be liable to a 1% tax on each month in which the deposit stays in the account. You could also be responsible for additional taxes.
TD High-Interest Savings Account
The TD High-Interest Savings Account is a mid-level savings account that helps you to gain interest on any balance of more than $5,000. You will get unlimited free transfers on this account, provided you can hold a minimum balance of $25,000. If you cannot do so, you will be subjected to charges of $5 per transaction.
Other highlights of this account include earning interest (0.050%) -which is calculated daily once you have up to the minimum required balance, free online statements, paperless record-keeping, automated saving, and flexibility to manage your savings.
Developing a healthy saving culture is undoubtedly one of the best things you can do to secure your financial future. Savings accounts are suitable for short-term savings objectives such as an emergency fund for unforeseen costs, accidents, and everything else that life might throw at you.
TD Bank provides a strong brick-and-mortar presence and a variety of savings account alternatives. TD Bank is indeed a good choice for customers who appreciate banking with a reputable brand with a broad physical presence and those that give preference to saving accounts that deliver attractive sign-up and deposit incentives.
Are savings accounts ideal for a long-term goal?
Savings accounts generally do not pay a high-interest rate on deposits. They are a safe way to invest for short-term goals or to store cash for emergencies. After you have made some savings, it is better to look for more long-term investment to yield more investment incomes.
Is my money secure with TD?
Well, to a considerable extent, yes. TD is one of Canada’s top five banks and has several protections to secure your assets and confidential information.
How can I deposit or withdraw my money?
Access your TD Bank Quick Savings account in one of four ways:
1. In person: Visit the TD Bank branch to control your money in person.
2. App Check Deposit: From TD’s Android and iOS Mobile Banking app, check your account with your mobile computer.
3. Online deposit: Movement of funds electronically to and from an externally connected account.
4. ATM: Deposit money and withdraw cash from any TD ATM using your debit card.
Does the TD Bank Savings Account come with cheques?
No, the TD Bank Savings account doesn’t come with any cheques. If you need a checkbook, you might want to convert your account to a cheque account.
What are TD Savings Account fees?
TD Bank’s monthly savings account charge varies from $5 to $15, depending on the account type. Besides having fees waived by meeting specific criteria, you can offset them with an interest-rate that accrues from satisfying minimum deposit requirements.
How does TD Bank’s account payments compare to other banks?
TD bank fees are on par with the fees of rival banks.
What are the main characteristics of the TD Savings Account?
TD Bank allows you to pick a personal savings account that’s perfect for you. Choosing and opening any savings account is fast, convenient, and inexpensive. All TD savings plans can come with little charges that can be waived, plus tons of other incentives to meet your savings goals.