PC Financial and CIBC Divorcing this Fall
To clients of PC Financial banking, have you heard the news?
PC Financial and CIBC have announced they are ending their business relationship, effective this fall. While PC Financial will continue its Mastercard program, as well as hold on to the PC Points rewards system, the end is near for the No Fee Bank Account and other banking products.
This brings nearly two decades of the No Fee Chequing Account to a close! This account was a very popular and extremely useful low-fee bank account. It will surely be missed by many Canadians.
The loss of PC Financial banking affects me, too. I’ve had a No Fee chequing account, Interest Plus savings, plus a Tax Free Interest Plus Savings account all with PC Financial! The chequing account has been my primary chequing account for a good six years. I opened it in university to cut back on the ridiculous transaction and monthly fees so standard for your typical account with one of the “Big 5” banks. I continued to use it after moving to Quebec, too (where PC Financial banking products don’t exist, just the Mastercard and PC Points) because of the lack of fees. Even re-ordering cheques was free of charge.
Introducing Simplii Financial
Of course, not to alarm their clients with the news, PC Financial assured us that the decision would in no way affect our daily banking. Beginning in November, PC Financial banking will cease to exist. Our accounts will be rebranded to the new Simplii Financial. CIBC has added that customers will continue to enjoy no-fee banking. All of their rates, account numbers, and PINS will remain the same.
It will be interesting to see what the clients of PC Financial banking ultimately choose to do. Who will stick with Simplii, who will look elsewhere? Personally, I’ve decided to make a switch. Earlier this year I had opened a No Fee Chequing account with Tangerine. Since my PC Financial account was also no-fee, I never had much of an incentive to switch over fully.
Unsurprisingly, the account was largely underutilized. Nevertheless, I don’t feel that CIBC has any incentive to keep the “no fee” running with these new Simplii accounts. It’ll only be a matter of time before the fees start trickling in. That being said, I just got my first direct deposit in the Tangerine account on Friday.
(PSSST…and, just for switching my payroll direct deposits to Tangerine, they’ll give me $100 FREE after 3 months of direct deposits! Sweet deal, huh?)
I’m sure that PC Financial banking will be missed by many in Canada, myself included. While other no fee options exist, few are so well-known or established as PC Financial was. I’m curious to know what others with a PC Financial banking account are choosing to do. Will you give Simplii Financial a whirl, or are you deciding to change shop like I did? Let us know in the comments!
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