When you need to borrow to purchase RRSPs up to the maximum of your limit, you need to do it quickly and conveniently. KCCU has developed the RRSP Line of Credit for just that purpose. Put your RRSP purchase on your Line of Credit just in time to take advantage of the tax savings. You pay interest only or a fixed payment and you have up to one year to pay it off. You might even use your tax refund to pay all or part of it off. Convenience and a sensible solution to save you money!
When you compare the tax savings from purchasing an RRSP against the interest costs of your RRSP Line (with rates as long as KCCU base rate), you can see it makes sense to borrow. It is also important that you prepare for your retirement by saving every year. Use you RRSP line for top ups and supplement your contribution by talking to your KCCU lending/investment specialist about a monthly pre-authorized savings plan. Talk to us today about options to get you where you want to be in the long term. It is important to start saving as soon as possible and to keep doing it. make your financial blueprint one of success by starting good habits today!