More COVID-19 Scams to Monitor

During this pandemic, it’s not just your physical health at risk, your financial health may be as well. Throughout times of uncertainty we are seeing fraudsters launch sophisticated scams, exploiting public fears for targeted attacks – and we’re definitely in uncertain times.  In addition to the scams we went over earlier, here are five more of the most prevalent COVID-19 scams we’re seeing used to attack people’s financial health and how you can protect yourself from being a victim.


You don’t think it can happen to you, until it does. We often think we will never fall victim to a scam, but it can happen to anyone. Fraud scams are under reported because victims are too embarrassed to admit they were exploited, and this perpetuates these crimes.

Fraud doesn’t discriminate and the tactics become more predatorial and sophisticated in health and economical crisis such as the COVID-19 pandemic. More than one million Canadians applied for Employment Insurance between March 16 – 22, 2020 because of COVID-19 job losses. The Government of Saskatchewan started introducing public health orders on March 17 that restricts social gatherings and business closure for non-essential services. People are more isolated than they’ve ever experienced, they’re feeling financially insecure, and their sense of normalcy has been disrupted. Criminals target these feelings and with the increase of information about COVID-19 in media coverage, on social media, and direct email, it can be difficult to know what is trustworthy. Let’s make sure you are aware and protected from the following scams:

Social Media Questionnaires

Have you ever used your first car or your pet’s name as the answers to security questions? I know I have. Although harmless at first glance, these questionnaires are an easy way for a fraudster to gain access to your personal information to either answer your security questions or even pose as you to gain financial access.

You might be thinking, “I would never post this”, but someone you care about might or maybe has already. You may also think “I trust everyone in my friend list to not share my information.” They may be trustworthy, but it just takes one of them to get hacked and all of a sudden your personal information is in the hands of a fraudster.

Here’s how you can protect yourself:

  • DO NOT participate in these questionnaires and delete any old ones that you’ve posted. Spread the word to your friends and family as well.
  • Do not accept any friend requests from people you do not know and remove anyone that somehow slipped through the cracks.
  • Restrict the privacy settings on your social media accounts
  • Use secure passwords that include letters, numbers, and characters. Change your password routinely
  • Avoid security questions that could be easily guessed

CRA Text Scam

Do you know the warning signs of a scam? With all the uncertainty in the world right now, it’s easy to want to believe the best in people. This is what fraudsters are thriving off – vulnerability. This news story from CBC, warns Canadians of a text scam exploiting the new emergency relief program.

However, this isn’t the only scam going around. Some other scams to be alert for are text messages or emails from fraudsters impersonating the Canada Revenue Agency. This article outlines what to actually expect when the Canada Revenue Agency contacts you.

Here’s how you can protect yourself:

  • If it’s an unfamiliar phone number or email, don’t automatically trust the source
  • Look for spelling and grammatical errors in the text
  • Ask yourself “Does the URL look credible?” If you have ANY doubt, contact the company and fact check the message.

For more information on how to protect yourself, here the CRA outlines how to ‘Slam the Scam’.

Work From Home Scams

The provincial government recently warned against a work from home scam during the COVID-19 crisis. Fraudulent ads by companies offering opportunities to work from home as securities traders are appearing on social media. These ads promise that traders can keep a large percentage of the profits and they don’t need experience or a license. They only need to pay fees to the would-be traders.

If you’ve experienced job loss from COVID-19 and you’ve lost childcare, this would seem like a good way to replace your income – which is exactly why this tactic is being used. In Saskatchewan, anyone in the business of trading securities must be registered with Financial and Consumer Affairs Authority (FCAA), unless an exemption applies. The FCAA expects that similar scams will continue to increase during the COVID-19 crisis.

Fraudsters Posing as Financial Institutions

In times of uncertainty or struggle is often when individuals turn to their financial institution for advice, services or products to help them navigate their financial situation.

A text message scam has been circling around where fraudsters are posing as a financial institution, using scare tactics to try and gain access to your information.

 

 

As seen in this message below, someone impersonating Scotiabank has used a scare tactic to make you think your access has been disabled to get you to click the link. As we touched on before, here are some things you want to look out for:

  • Unfamiliar phone number
  • Spelling and grammatical errors
  • Unusual links

Here’s how you can protect yourself:

  • Don’t click any of the links in the message – go directly to your financial institution’s website through your web browser
  • Always log in to your account directly online or through your mobile app
  • Double check the source of the text – when using scare tactics people often just react, but in reality, you may not even have an account with Scotiabank
  • If something serious was happening to your account, your financial institution would definitely call you, not text you.

Exploiting Grocery Delivery for seniors

As we all take measures to social and physical distance ourselves, common tasks such as grocery shopping have become difficult, especially for some of the most vulnerable in our communities. Unfortunately, fraudsters are posing as helpful citizens offering to deliver groceries to seniors who are socially isolated or are physically unable. These scams ask for e-transfers or credit card numbers in advance with the grocery list. They’ll also ask for your address – not so they know where to deliver the groceries, but so that they can list it as the billing address when they charge the card. Disgusting, right?

Here’s how you can protect yourself:

  • Utilize delivery services offered directly through grocery stores/business in your community. Many grocery stores have started offering special shopping hours for seniors
  • Rely on friends and family to shop for you
  • Be alert and aware of other scams that exist right now
  • Have conversations with your parents and grandparents to educate them on how they can protect themselves

Remember, fraud does not start and end here – it’s important that you remain alert even as the COVID-19 pandemic comes to an end. If you have been targeted or have fallen victim to an attack, it’s nothing to be ashamed or embarrassed about. It can happen to anyone.

For more information about protecting yourself from fraud and to learn about different scams out there right now, visit https://www.antifraudcentre-centreantifraude.ca/features-vedette/2020/covid-19-eng.htm.

Breaking Down the Emergency Support for COVID-19: Non-Profits & Charities

Managing a non-profit or charitable organization is very overwhelming right now. These services are needed more than ever but fundraising is difficult to access with physical distancing and the economic downturn.  Let’s break down the different federal and provincial emergency supports available to help you navigate these unsettling times. 

Updated: April 30, 2020


Non-profit and charity organizations are among those who have been most severely affected by the COVID-19 crisis. Necessary physical and social distancing measures to contain the infection and protect communities has created significant job loss for Canadians. This means these organizations are depended on more than ever to deliver basic human needs to vulnerable populations who depend on them, especially in a public health crisis and economic downturn. Non-profit and charitable organizations have lost major event fundraising streams, putting a strain on budget while the need for their support continues to rise. 

We’ve done our best to compile and simplify the financial support and professional resources for non-profit and charitable organizations. We’ve also included resources for professional fundraisers to help ease their financial burdens and continue helping our vulnerable neighbors and communities. 

Relief for Non-Profit and Charity Organizations 

Temporary Wage Subsidy for Not-for-Profit Organizations, Charities, and Small Businesses

Government of Canada
The federal government’s temporary wage subsidy is providing not-for-profit organizations and charities a 75% wage subsidy for up to twelve weeks, retroactive from March 15, 2020 – June 6, 2020 if their March revenues are down by at least 15% compared to January and February, from COVID-19. For the months of April and May, businesses will need to demonstrate a 30% loss. Employers will also be allowed to measure their revenues either based on as they are earned or as they are received. Charities are being granted the ability to choose whether or not to include government revenues in their calculations of lost revenue when applying. Applicants can use this wage calculator to understand the amount you would be able to claim under the temporary wage subsidy program.

This subsidy will be on the first $58,700 earned, meaning up a maximum of $847 per employee per week, retroactive to March 15, 2020. Employers benefiting from this measure would include corporations eligible for the small business deduction, not-for-profit organizations and charities. This replaces the 10% wage subsidy that was announced early in the COVID-19 Economic Response Plan.

Applications for the temporary wage subsidy are now open.

Canada Summer Jobs Program

Government of Canada

Temporary changes to the Canada Summer Jobs Program will see an increase to the wage subsidy, so that private and public sector employers can also receive up to 100 per cent of the provincial or territorial minimum hourly wage for each employee. This will continue to allow students to find meaningful employment during the summer and develop critical skills to transition into the labour market.

Additional ways the 2020 program has been adjusted to allow flexibility to both applicants and employers include:

  • end date for employment is now February 28, 2021;
  • employers can adapt their projects and job activities to support essential services; and
  • hiring can now include part-time positions.

Youth will be able to search for jobs available in their communities through the Job Bank website and app.

More Time to Pay Income Taxes

Canada Revenue Agency (CRA) has extended the income tax filing and payments for charities to December 31, 2020, for all charities with a Form T3010, Registered Charity Information Return due between March 18, 2020 and December 31, 2020. This relief applies to tax balances due, as well as installments, under Part I of the Income Tax Act. No interest or penalties will accumulate on these amounts during this period. 

Bill-Deferral Program on Provincial Utilities

Saskatchewan Crown Corporations that operate utilities in the province will offer a zero-interest deferral on all utility payments for a period of 6 months. 

SaskTel – waiving data overage charges, offering news and family channels for free 

SaskPower – stopped active collections and won’t be limiting power supply to customers 

SaskEnergy – deferring payments and not limiting natural gas supply 

ISC Suspension Order for Strike Off Provisions

The Information Services Corporation (ISC) has suspended the strike off provisions for non-profit corporations, co-operatives, and new generation co-operative entities. The suspension is meant to assist organizations that are not in a position to file annual returns and financial statements at the Corporate Registry due to delays in annual meetings caused by the restrictions and recommendations on public gatherings. To further lessen the impact of being unable to file in a timely manner, annual return late filing fees for not-for-profit corporations and co-operatives will be suspended. 

Relief for Human Services  

Emergency Shelters

Government of Canada

The federal government is directing $350 million to charity and non-profit organizations who deliver basic human needs, through the Emergency Community Support Fund. The fund will flow through national organizations that have the ability to distribute funds quickly to local organizations that serve vulnerable populations. Some of the services the Fund will support include:

  • increasing volunteer-based home deliveries of groceries and medications;
  • transportation services, like accompanying or driving seniors or persons with disabilities to appointments;
  • expanding capacity for help-lines to manage call volumes and wait times for information and support;
  • training, supplies, and other required supports to volunteers; and
  • replacing in-person, one-on-one contact and social gatherings with virtual contact through phone calls, texts, teleconferences, and the Internet.

Emergency Shelters

Government of Canada
The Reaching Home program will provide $157.5 million to continue supporting those who are homeless. The funds can be used for needs such as purchasing beds and physical barriers to improve social distancing in shelters. It’s also available to secure accommodations during the outbreak to reduce overcrowding in shelters.  

Government of Saskatchewan
The Government of Saskatchewan is providing one-time additional funding of $171,000 targeted to meet the extra cost pressure emergency shelters are experiencing as they continue to serve those in need during the COVID-19 pandemic.  These organizations currently provide more than 300 beds for individuals who need emergency shelter and supports. Organizations receiving the increase are: Lloydminster Men’s Shelter; YWCA Regina – My Aunt’s Place; YWCA Prince Albert; YWCA Saskatoon; Lighthouse Saskatoon; Lighthouse North Battleford; Salvation Army Saskatoon; Salvation Army Regina; Soul’s Harbour Regina and Soul’s Harbour Moose Jaw.   

Modified Emergency Shelter Response

Government of Saskatchewan
When emergency shelters are unable to meet the needs of an individual or family because of capacity pressures, Social Services will support those in need with funds for emergency hotel stays and will work to transition clients to permanent housing. 

If an individual is required by Public Health to self-isolate due to COVID-19 symptoms or exposure, that person will be transitioned to a safe accommodation such as a hotel or an individual housing unit. 

There are approximately 1,700 vacant Saskatchewan Housing Corporation units located in 29 larger communities that will be leveraged to ensure those impacted by COVID-19 are able to access housing or an individualized space to self isolate.  An additional 1,200 units are available in smaller communities across Saskatchewan. 

Support for Children, Youth & Families

Government of Saskatchewan
Transitions to independence for young people will be delayed, so that any youth that “ages out of care” during the COVID-19 pandemic will not be transitioned out of their current housing.   

Child Care Subsidy

Government of Saskatchewan
To help families receiving the Child Care Subsidy (CCS), any families who were receiving part-time benefits because their children were attending school will receive full-time benefits, retroactive to March 1, 2020.  The CCS helps parents with low to moderate incomes with the costs of licensed child care. 

Income Assistance (IA)

Government of Saskatchewan
All Income Assistance clients will continue to receive their benefits even if a client is late reporting, effective March 19, 2020.

Social Services Physical Distancing and Eased Reporting Measures

Government of Saskatchewan
Social Services offices remain open with the first hour of the day reserved for more vulnerable individuals, including those with a disability or health issues such as a compromised immune system. Clients are asked not to visit the offices unless it’s an emergency and you’re unable to call your social worker or you are asked to visit an office. 

Saskatchewan residents who may need income support can apply here or call the Client Service Centre at 1-866-221-5200.  More staff have been shifted to the Call Centre to help serve those in need.

Domestic & Family Violence

Government of Canada
$50 million will be given to women’s shelters and sexual assault centers to help ease capacity and prevent outbreaks among women and children fleeing interpersonal and domestic violence. This funding will also support facilities in Indigenous communities.  

Youth Mental Health Care

Government of Canada
Kids Help Phone is experiencing increased demand for its 24/7 confidential online, telephone, and text counselling services across Canadaas a result of school closures and reduced access to community resources. The Government of Canada is giving $7.5 million in funding to Kids Help Phone to provide young people with the mental health confidential support. 

Caring for Vulnerable Seniors

Government of Canada
Canadian seniors are among the most impacted by COVID-19, and often rely on caregiving support from people who live outside of their homes. The Government of Canada will contribute $9 million through United Way Canada for local organizations to support practical services to Canadian seniors. These services could include the delivery of groceries, medications, or other needed items, or personal outreach to assess individuals’ needs and connect them to community supports. If you are planning to donate to these charities, be careful as there are a lot of scams pretending to be these reputable organizations. Visit this MONEYTALK blog on COVID-19 scams to monitor and how to ensure you are contributing to a valid organization.

Resources for Fundraising Professionals 

LINK: COVID-19 resource guide for fundraising professionals

The Association of Fundraising Professionals has gathered educations and resources to help non-profit and charitable organizations navigate fundraising, donor communicationsand what it means to engage with donors during a time in which social distancing and staying home is more important than ever. 

Conexus Member Support for Non-Profit Organizations and Charities

Conexus can help assess your situation and determine the best options to provide some relief including working with you to activate a skip-payment plan, to defer monthly payments, or to create an interest only payment plan to help your business navigate the economic downturn. 

 This relief is available to members, non-profit and charity organizations, small business members, commercial members, and agricultural members in good standing who are feeling a financial impact and are looking for a temporary relief from mortgage, line of credit and loan payments.  Please avoid coming into a branch and call your financial advisor or our Member Contact Centre at 1-800-667-7477.  

Conexus Business Accelerator

In partnership with Meyers Norris Penny, Conexus Credit Union offers free business webinar courses for non-profit and charitable organizations and business owners in Saskatchewan. Protecting Your Business and Employees, Managing Cash Flow and Stress Management are just a few of the courses that are relevant to this time. 

 Do you work or volunteer in the non-profit and charity sector and are looking to view the complete action plans from both governments? Visit the following:

FEDERAL   |   PROVINCIAL

What Emergency Funding is Available for Businesses & Ag Producers

The COVID-19 pandemic is making a significant impact on the Canadian economy, especially with small and medium sized businesses. The federal and provincial governments have announced different support efforts to relieve businesses and agricultural producers during these anxious times. Let’s help you break down these different measures so that you can brave this storm and best protect your business’ financial well-being.

UPDATED: May 21, 2020


Due to the nature of COVID-19, how it spreads, and how self-isolation is the best way to fight against it, businesses across Canada are facing difficult decisions. Over the last week, many provinces and municipalities have announced measures to stop the spread of the virus that resulted in business closures and massive layoffs. The Government of Canada has also announced multiple initiatives to support businesses to provide economic stability during this time. Agricultural producers are also feeling the weight of the pandemic as they approach the beginning of spring seeding and how to get their goods from a difficult 2019 growing year to market. Most of the information below and how to apply for benefits from the Government of Canada can be found here.

Supports for Businesses

Canada Emergency Wage Subsidy (CEWS)

Canadian businesses, including non-profit organizations and charities, whose March revenue has decreased by at least 15% due to COVID-19 and facing employee layoffs can access a temporary wage subsidy. Business owners can receive 75% of wages per employee to a maximum of $58,700 during the 3-month period, to a maximum of $847/week per employee. These payments will be back dated to March 15, 2020. Businesses will have to apply for the program through the My Business Account portal on the Canada Revenue Agency’s website. They will also need to apply each month. To qualify, they will need to prove that their revenues have fallen at least 15% in March, as compared to January and February’s revenues.For non-profits or charities where revenue verification will be more difficult, may be able to access the subsidy by proving donations have reduced. However, the specific details for these organizations is still being worked out.

The 10% wage subsidy that the government announced earlier this month is still in effect. Small businesses can continue to claim the 10% wage subsidy, to a maximum of $25,000 or $1,375/employee. Businesses do not need to have experienced a decrease in revenue for this and can access this support immediately by adjusting the remittances of income tax that they withhold from employee pay. If a business is already receiving the 10% wage subsidy, they can also receive the CEWS, however the amount they receive will  be adjusted down accordingly so that they receive a maximum of 75% subsidy between both programs.

To create some balance between employers and employees, the Government of Saskatchewan will allow businesses to not have to provide notice or pay in lieu in the event of a public emergency when the layoff is 12 weeks or less during a 16-week period. Additionally, if an employee is laid off for more than 12 weeks in a 16-week period, they will be considered terminated and entitled to access federal employment insurance programs.

Businesses also qualify for payment deferrals on loans, skip-a-payment, and interest only payment plans. You are encouraged to reach out to your financial institution to determine what supports are available to you and what makes the most sense with your financial situation.

Canada Emergency Commercial Rent Assistance

The Government of Canada has announced the Canadian Emergency Commercial Rent Assistance (CECRA) program, in co-operation with Canada’s Provinces to provide much needed commercial rent relief to small businesses during this unprecedented time. This program will lower rent by 75% for small businesses that have been affected by COVID-19, in co-operation with the property owner. The program provides commercial property owners access to forgivable loans if they cover 50% of the rent payments for eligible small business tenants.

The commercial property owner must agree to reduce the tenants rent by 75% for the months of April, May and June under a Rent Forgiveness Agreement. The property owner would not be able to evict the tenant under the agreement, and the tenant would cover the remaining 25% of rent owed. Tenants must be paying less than $50,000 a month in rent, have ceased operations or experienced a 70% decline in revenues due to COVID-19. Non-profit and charitable organizations also qualify for the program.

To apply and find more information, visit the CMHC website.

Saskatchewan Small Business Emergency Payment

The Saskatchewan Small Business Emergency Payment program provides much needed financial assistance to Saskatchewan’s small businesses that had to close or reduce operations due to the public health order during COVID-19.

The payment can be used for any purpose, including covering fixed costs or the costs associating with re-opening after the public health order has lifted restrictions. Payments are based of 15% of the businesses’ monthly revenue in April 2019 or February 2020 to a maximum of $5,000. Seasonal businesses 15% payments are based off the average monthly sales revenue for their 2019 operational months.

To be eligible, a Saskatchewan business or not-for-profit must:

  • Have been carrying on business in Saskatchewan on February 29, 2020;
  • Have been ordered to temporarily close or curtail operations through a COVID-19 public health order;
  • Have less than 500 employees:
    • Seasonal businesses:
      • In the year before the COVID-19 public health order; or
      • When averaged for the 3 years before the year in which the COVID-19 public health order;
    • Attest that they:
      • have experienced a loss in sales revenue from business activities due to a COVID-19 public health order;
      • plan to reopen operations following the cancellation of the COVID-19 public health order; and
      • have not received any payments or amounts from any other sources, including insurance, to replace or compensate for the loss of sales revenue other than amounts from other government assistance programs; and
    • Apply on or before July 31, 2020.

Applications can be completed on the Government of Saskatchewan website.

Business Tax Filing

Like the measures taken for filing personal income taxes, businesses will be able to defer the payment of income tax until September 1, 2020. No interest or penalties will accumulate on these amounts owing. The Canada Revenue Agency will also pause most of its audit interactions for businesses for the next 4 weeks. For businesses requiring assistance understanding your tax obligations, help will be administered over the phone or through webinar.

Businesses and self-employed individuals can defer payments of the Goods and Services (GST)/ Harmonized Sales Tax (HST) until June 30, 2020. Businesses will also be able to defer customs duties owing on imports until June 30, 2020. Details about remittance schedules and how they qualify can be found here.

The Saskatchewan Government is also providing relief for you if you own a business and are unable to submit your Provincial Sales Tax (PST) remittance over the next three-months. You can submit a request for relief from penalty and interest charges here. Like the federal government, they are also pausing audit and compliance programs for businesses.

Credit Services

Canada Emergency Business Account (CEBA)

This emergency loan program will allow businesses to access interest-free loans of up to $40,000 to cover operating costs while revenue is down due to COVID-19. Contact your business advisor or financial institution to learn more about the CEBA and what it means for your business.

What is the CEBA loan?

  • $40,000 interest-free loan to help you cover operating costs you were not able to defer because of COVID-19
  • $10,000 (25%) of the $40,000 loan is eligible for complete forgiveness if $30,000 is repaid on or before December 31, 2022
  • If the loan cannot be repaid by December 31, 2022 it can be converted into a 3-year loan with an interest rate of 5%
  • Once your loan application has been reviewed and submitted the process for funding will take up to 7 days from completion.

How does the CEBA loan work?

  • The loan will be funded as a $40,000 term loan, 0% interest and no payments until December 31,2022
  • No interest will apply until January 1, 2023
  • Beginning January 1, 2023, interest accrues on the balance of the term loan at the rate of 5% per annum, payable monthly on the last day of the month
  • If you pay 75% of the balance of the term loan on or before December 31, 2022, the remaining balance of your term loan will be forgiven. For example, if your balance is $40,000 on January 1, 2021 and you repay $30,000 on or before December 31, 2022, the remaining $10,000 will be forgiven
  • If you do not repay the 75% of the balance of the term loan on or before December 31, 2022, the full loan balance and all accrued and unpaid interest will be due and payable on December 31, 2025.

What’s the eligibility criteria?

The eligibility criteria are as follows, per the Government of Canada’s requirements:

  • You are a Canadian operating company (ie. not a holding company) registered and in operation on or before March 1, 2020
  • Your Annual payroll expense is between $20,000 and $1.5 million, as evidenced on your 2019 T4 Summary of Renumeration Paid (T4SUM). If you cannot locate your T4SUM contact Revenue Canada for reissue
  • A 15-digit Canada Revenue Agency Number also shown on your T4SUM
  • Conexus is your primary financial institution – meaning your everyday business banking account and cash management activities are held with Conexus, and opened on or before March 1, 2020
    • If your everyday business banking account is held elsewhere, please apply for funding through the Financial Institution that holds your primary Business Operating Account
  • Your account must be in Good Standing as an existing member

Expanded eligibility as of May 19, 2020

The criteria for access to the CEBA Loan Program has been expanded to include businesses with sole proprietors, those that rely on contractors or family owned businesses that pay employees through dividends. To be eligible, applicants with payroll less than $20,000 must meet the following criteria:

  • Have a business operating account at a participating financial institution
  • Have a Canada Revenue Agency business number
  • Filed a 2018 or 2019 tax return
  • Have eligible non-deferrable expenses such as rent, property taxes, utilities and insurance that equal between $40,000 and $1.5 million

Business Development Bank of Canada (BDC) Co-Loan

On March 27th, the Federal Government announced the BDC Co-Lending Program to support Canadian businesses of all sizes that have been negatively impacted by COVID-19.  Eligible applicants can access up to $6.25 million CAD (max loans amount dependent on business size) in loans to cover operating expenses such as rent and payroll and working capital needs such as inventory.  The loan will be jointly funded by BDC and your financial institution.

 

Business with less than $1 Million in Annual Revenue

Businesses with $1-50 Million in Annual Revenue

Businesses with over $50 Million in Annual Revenue

Up to $312,500 Up to $3.125 million

Up to $6.25 million

How does the BDC Co-Lending Program work?

  • Eligible business members can apply for financing to support their operational and liquidity needs
  • Term Loan
  • First 12 months to be interest only

What’s the eligibility criteria?

  • Been a member with your financial institution as of March 1, 2020
  • Been a viable business as of March 1, 2020 prior to COVID-19 impact
  • Meet the necessary requirements that will form part of the application process

More information can be found on the BDC website here.

To further ensure Canada’s businesses have access to credit services during this time, the Government of Canada is relaxing its parameters for certain funding:

  • The Canada Account ensures Canadian Exporters have access to loans, guarantees, and insurance policies during this time.
  • The Business Credit Availability Program (BCAP) is allowing the Business Development Bank of Canada (BDC) and Export Development Canada to support small and medium businesses with an additional $10 billion. In addition, BCAP and BDC will work with private sector lenders to ensure credit solutions are offered for individual businesses, specifically businesses that operate in the oil and gas, air transportation, and tourism sectors.
  • Canada’s individual banks will be able to access $300 billion for the economy by lowering the Domestic Stability Buffer of risk-weighted assets by 1.25%. This is in addition to the Bank of Canada reducing its interest rate to 0.75% to support the economy. Further reductions to the interest rate are expected, but not known at this time.

More details on market support measures taken by the Government of Canada can be found here.

Export Development Canada Business Credit Availability Program Guarantee

As part of the federal government’s new $65 billion Business Credit Availability Program (BCAP), Conexus Credit Union and Export Development Canada (EDC) are partnering to provide small-and medium-sized Canadian businesses with financing during the COVID-19 pandemic. Access the credit you need to cover payroll and other operating costs during this global health crisis. The EDC BCAP Guarantee provides businesses with up to $6.25 million in credit to cover operational costs like payroll and rent. Proceeds from the BCAP-supported loan cannot be used to repay or refinance existing debt (further restrictions apply to other non-operational costs). Export sales are not required to qualify for the program.

EDC fees related to this guarantee will be deferred for the first six months, giving some short-term relief to your business. EDC will provide a guarantee to Conexus Credit Union on 80% of the value of your loan. By sharing risk with EDC, we can help your company access the financing it needs. Note that the guarantee is to our institution, not your business, so you remain responsible for the full value of the loan.

For more information on the loan and the eligibility criteria, contact your business advisor.

Information can also be found on the EDC website.

Regional Relief and Recovery Fund

The Government of Canada has announced additional funding for small and medium businesses who need additional relief due to the COVID-19 pandemic. The Regional Relief and Recovery Fund (RRRF) provides $962 million in relief funding delivered through regional development agencies. Specifically, $304 million is allocated to Western Economic Diversification Canada to assist Western Canadian businesses specifically in the tourism sector.

The objective of the RRRF is to assist Western Canadian businesses that do not qualify for other programs such as the Canadian Emergency Business Account (CEBA) or the Community Futures Emergency Loan Program. The RRRF will support businesses in two ways:

  • Provides up to $40,000 in repayable contributions to businesses that are not eligible to access other federal support programs. Businesses that receive funds from the RRRF and repay 75% of the contribution (up to $30,000) on or before December 31, 2022 will result in forgiveness of 25% of the contribution (up to $10,000).
  • Provide up to $1,000,000 in repayable contributions to businesses that can demonstrate a meaningful contribution to the Western Canadian economy and are experiencing liquidity issues. These companies may not have accessed other Government of Canada relief programs, or may have accessed them, but require additional funding to mitigate cash flow pressures. This contribution is fully repayable.

Further details, including eligibility criteria for each stream, and how to apply, can be found here.

Examples of business that are eligible to apply to the RRRF:

  • Pre-revenue firms (e.g. a company that has not had any sales to date)
  • Businesses that do not have salaried employees (e.g. a company with a workforce of contract employees)
  • Businesses with no payroll that do pay their owners a salary (e.g. a company that pays its owners through dividends)

Examples of businesses that are not eligible to apply to the RRRF:

Applications are being accepted through Western Economic Development Canada and can be found here.

Large Employer Emergency Financing Facility

The Large Employer Emergency Financing Facility (LEEFF) is a program to support large employers through COVID-19. The program provides short-term liquidity assistance in the form of interest-bearing term loans through the Canada Enterprise Emergency Funding Corporation, a subsidiary of the Canada Development Investment Corporation. The assistance is available to large Canadian employers who meet the following criteria:

  • Make a significant impact on Canada’s economy by:
    • Having significant operations in Canada
    • Supporting a significant workforce in Canada
  • Have annual revenues of $300 million or more
  • Require a minimum loan of $60 million
  • Have never been found guilty of tax evasion

Assistance is available to large for-profit enterprises in all industries, except those who operate in the financial sector, as well as certain not-for-profit businesses. They must commit to minimizing loss of employment by sustaining their business operations through COVID-19 and provide an overall plan to return to financial stability.

For full information on LEEFF, visit the Canada Development Investment Corporation fact sheet here.

Canada Summer Jobs Program

On April 8th, the federal government announced changes to the Canada Summer Jobs Program to do more for students and small businesses that rely on the program to deliver essential services. The program creates almost 70,000 jobs for Canadians aged 15 to 30. Temporary changes to the program for this year include:

  • Increase to the wage subsidy so that employees can receive up to 100% of the minimum hourly wage for each employee
  • End date for employment is now February 28, 2021
  • Employers can adapt their activities to support essential services
  • Hiring staff on a part-time basis

Supports for Agricultural Producers

Farmers and the agri-food sector will be supported by Farm Credit Canada and an additional $5 billion dollars provided by the Government of Canada. You are encouraged to contact Farm Credit Canada to discuss the supports available to you.

Eligible farmers who have an outstanding Advanced Payments Program (APP) loan that comes due on or before April 30 will receive an automatic stay of default, giving farmers an additional 6 months to repay the loan. Those farmers with outstanding interest free loans, under the $1 million cap, can also apply for an additional $100,000 interest free portion for the 2020-21 year.

Agriculture and Food Business Solutions Fund

Farm Credit Canada will be running the Agriculture and Food Business Solutions Fund, providing agribusinesses and producers much needed relief during the COVID-19 pandemic. $100 million dollars will be available in the form of convertible debt investments and other flexible financing options. Companies that have experienced business disruption can apply for up to $10 million.

Fish Harvesters Benefit

Fish harvesters facing a 25% drop in income due to COVID-19, will have access to $470 million in relief from the Federal Government. The Fish Harvesters Benefit covers up to 75% of losses to a maximum of $10,000. Additional relief in the form of non-repayable grants will be available and the rules for Employment Insurance claims in 2021 will be changed to reflect previous years income.

AgriRecovery Set-Aside Program

The Saskatchewan Government announced an additional $5 million dollars for participation in the AgriRecovery Set-Aside Program, supporting producers in the livestock industry that need to hold their livestock back from markets. Saskatchewan Livestock producers will be able to access a total of $12.5 million under the program. 40% of the program is funded by the Saskatchewan Government, with the remaining 60% funded by the Federal Government. The program will be delivered to Saskatchewan producers through Saskatchewan Crop Insurance Corporation.

Western Livestock Price Insurance Program

The Western Livestock Price Insurance Program (WLPIP) supports livestock producers by reducing the price of livestock insurance purchased through WLPIP. $5 million is being provided by the Saskatchewan Government to offset the premiums producers are facing due to the COVID-19 pandemic. 40% of the increased premium costs, back to February 25, 2020 will be covered by the government. Additionally, the deadline for obtaining calf price insurance through WLPIP is being extended to June 18, from May 28, 2020. Premium adjustments will be in place until September 1, 2020, and reviewed at that time.

Producers may also qualify for payment deferrals on loans, skip-a-payment, and interest only payment plans. You are encouraged to reach out to your financial institution to determine what supports are available to you and what makes the most sense with your financial situation.

Breaking Down the Emergency Funds for COVID-19: Individuals & Families

The COVID-19 crisis has produced a lot of federal and provincial government action in order to support Canadians through these unsettling times. However, unless you are already familiar with these supports, a lot of the terms and relief options can sound intimidating and may go unused if you do not understand them. Let’s break down the different emergency fund options for individuals and families, the qualifications for each and how you can utilize them to protect your financial well-being.

UPDATED: May 21, 2020


Over the last week, there have been countless announcements about financial support for both families and businesses across Canada. The increase in information can be a lot to take in when you are worrying about your job, family, and finances. Most of the information below and how to apply for benefits from the Government of Canada can be found here. I’ve done my best to compile and simplify the essential information so you can understand how local governments in our province and the provincial and federal governments are stepping up to help Canadians.

GST Credit

If you are a low-income single adult or family, you will receive a special top-up payment under the Goods and Services Tax (GST). This will double the maximum annual GST credit you will receive for the 2019-2020 benefit year. Payments will increase by almost $400 for single low-income adults, and almost $600 for couples. The one-time payment will arrive in early May 2020.

Canada Child Benefit

If you are entitled to the Canada Child Benefit, you will see payments increase for the 2019-20 year by $300 per child. On average, this will mean an additional $550 increase for families. This will be issued on the May 20, 2020 CCB payment.

Students

Student Loans

Canada Student Loans payments will be deferred for a period of 6 months. Payments will be paused, and no interest will accrue on the amount owing. If you also have student loans with the Government of Saskatchewan, a 6-month loan payment deferral has also been implemented, mirroring the federal relief. Student loans from your financial institution may also qualify for a skip-a-payment plan, but you should contact your financial institution to find out the options available to you and what makes the most sense with your financial situation.

Canada Summer Jobs Program

Students across Canada rely on the Canada Summer Jobs Program to find meaningful employment during the summer and develop critical skills to transition into the labour market. The 2020 program has been adjusted to allow flexibility to both applicants and employers in the following ways:

  • End date for employment is now February 28, 2021
  • Employers can adapt their activities to support essential services
  • Hiring can now include part-time positions
Canadian Emergency Student Benefit

On April 22, the Federal Government announced the Canadian Emergency Student Benefit which provides funding for Canadian students who do not qualify for the CERB benefit. This provides $1,250/month to students through the months of May to August. The amount increases to $2,000/month if you have a disability, have dependents or provide care for others. Students who are working and make less than $1,000/month also qualify for the benefit.

Eligibility criteria is as follows:

  • You have not received the CERB or Employment Insurance benefits
  • You are a Canadian citizen, registered Indian, permanent resident or protected person
  • You are studying in Canada or abroad
  • You are enrolled in a post-secondary educational program or completed your post-secondary program December 2019 or later, or completed or expect to complete high school in 2020 and have applied for a post-secondary program that starts before February 1, 2021
  • You are unable to work due to COVID-19 or your income is less than $1,000/month due to the pandemic

Applications can be submitted here and need to be submitted every four weeks. You can receive your money faster by signing up for direct deposit through your My CRA Account.

Canada Student Service Grant

The Federal Government also announced funding of up to $5,000 for students who choose to volunteer instead of work during this time. The grant depends on the amount of volunteer hours but can provide between $1,000 -$5,000 towards tuition for the 20-21 year.

Other Supports

Students will also see their Canada Student Grants double for all eligible full-time students to up to $6,000 and up to $3,600 for part-time students in 2020-21 school year. The Canada Student Grants for Students with Permanent Disabilities and Students with Dependents are also being doubled.

Funding will be increased by $75.2 million to support First Nations, Inuit and Metis Nation students, although there is no information about how that assistance will be handed out.

Old Age Security and Guaranteed Income Supplement Payment

Seniors who receive Old Age Security (OAS) and Guaranteed Income Supplement (GIS) payments from the Federal Government will receive up to $500 in a one-time payment to offset increased costs during the COVID-19 pandemic. Seniors will see an additional $300 for OAS and $200 for GIS automatically applied on the next payment they receive.

RRIF and RPP Withdrawals

Withdrawals from Registered Retirement Income Funds (RRIFs) are being reduced by 25% for the 2020 year. This also applies if you are receiving benefit payments from a defined Registered Pension Plan (RPP). You can view the minimum withdrawal percentage as of 2018 here.

Mortgages

The Canadian Government is providing $50 billion for the Ensured Mortgage Protection Program to support Canadians who are affected by COVID-19. The Canada Mortgage and Housing Corporation (CMHC) and other mortgage insurers are offering payment deferrals and special payment arrangements effective immediately on all CMHC insured mortgages.

In addition, many financial institutions in Canada are committed to working with customers to provide flexible solutions to your financial needs. This includes payment deferral on mortgages, auto loans, and personal loans for up to 6 months. You are encouraged to contact your financial institution to better understand your options during this time and what makes the most sense with your financial situation.

Utility Deferrals

Saskatchewan Crown Corporations that operate utilities in the province will offer a zero-interest deferral on all utility payments for a period of 6 months.

SaskTel – waiving data overage charges, offering news and family channels for free

SaskPower – stopped active collections and won’t be limiting power supply to customers

SaskEnergy – deferring payments and not limiting natural gas supply

City Supports

Specific measures for major municipalities in Saskatchewan can be found here:

Saskatoon     |     Regina      |      Prince Albert      |     Moose Jaw      |     Humboldt

Groceries

If you’ve visited a grocery store in the last two weeks, you’ll know that essentials like toilet paper, bleach, and disinfecting wipes are scarce. The major grocery stores in Canada have assured the public that the supply chain to keep stores stocked is strong. This has also been supported by the United States and Canadian governments’ commitment to keep the borders open to commercial traffic to ensure the flow of these goods.

In addition, major grocers have also committed to maintaining the price of goods instead of increasing prices as we usually see with an increase in demand. The President and CEO of Loblaws released this statement.

Childcare

The Government of Saskatchewan has announced that childcare facilities that are located within Saskatchewan’s schools will be re-purposed to assist with the childcare demands of health-care workers and essential services workers. This includes those employed in healthcare, child services, and emergency services. Read more here.

Personal Income Tax Filing

The date for filing personal income taxes for the 2019-20 year has been extended to June 1, 2020. However, to receive the new Canada Child Benefit payment and the GST one-time payment, you are encouraged to file your personal income taxes as soon as possible to ensure the amounts you will receive for the 2020-2021 year are correct. The Canada Child Benefit and GST payments are based off your 2019 taxes, and the amounts take effect in July 2020.

If you file your 2019 personal income tax, and owe money, you have until September 1, 2020 to make a payment on the taxes you owe. No interest will be accrued on any balances owing.

Where it applies, electronic signatures will be recognized instead of in-person signatures, to encourage social distancing. Measures will also be taken to encourage the public to file your income tax electronically and they have provided help with understanding your personal income tax over phone and webinar.

Trusts that operate on a December 31, 2019 taxation year, such as family trusts, have until May 30, 2020 to submit your 2019 trust income tax returns. This is extended from the March 30, 2020 deadline.

Employment Insurance

If you qualify for Employment Insurance (EI) Sick Leave Benefits, the requirements for EI are as follows:

Unemployed due to work closure?

REQUIREMENT TO QUALIFY: 700 hours worked in the last 52 weeks

  • Your employer will need to submit a Record of Employment to the Government of Canada.
  • The one week waiting period remains in effect.
Unemployed due to self-quarantine?

REQUIREMENT TO QUALIFY: 600 hours worked in the last 52 weeks

  • You do not need to provide a Record of Employment or doctor’s note.
  • The one week waiting period is waived

If you qualify for either of these situations, you can apply here. You can also call to apply, but wait times will be much higher than normal.

Canada Emergency Response Benefit

The Canada Emergency Response Benefit will provide up to $2,000 a month for the next four months if you don’t qualify for Employment Insurance. Administered through the Canadian Revenue Agency (CRA), you may qualify if you are one of the following:

  • self-employed, quarantined, or sick with COVID-19
  • self-employed and caring for a family member who is sick with COVID-19
  • a parent of children and cannot work due to school or daycare closures, whether you qualify for Employment Insurance or not
  • have not received any income in the last 14 days including provincial or federal benefits
  • have not quit your job voluntarily
  • have earned $5,000 in income in the last 12 months or 2019, including benefit payments from Maternity or Parental leaves
  • facing reduced income due to the pandemic, working less than 10 hours a week
If you are facing unemployment and don’t qualify for EI:

You will not need to provide a doctor’s note to access these benefits and are encouraged to sign up to receive the benefit through direct deposit. The application will be available in early April, and applicants will need to confirm they meet the requirements when they apply. You will also need to reconfirm your eligibility every four weeks. You can apply in one of two ways:

  • Applying online
  • Calling toll-free at 1-833-381-2725

You can speed up your application by signing up for direct deposit through the Canada Revenue Agency and online banking. More information on how to sign up through Conexus online banking can be found here. When applying through My CRA or My Service Canada, you will need a secure PIN code. If you feel you qualify for this benefit and do not have access to either of these accounts, you can request your PIN here. It can take up to 10 business days before you receive it in the mail, so requesting it now ensures you’re ready to apply when the application opens.

It is important to note, that if you receive the CERB benefit, you have to re-apply every four weeks to continue to receive the benefit if you need it. The CERB program provides relief until October 2, 2020. If you are still facing unemployment after that, you can apply for Employment Insurance.

EI Work Sharing Program

If you’ve agreed to reduce your normal working hours because of your employer’s efforts to curb the impact of COVID-19, you can also take advantage of the EI Work Sharing program. This provides Employment Insurance benefits to you if you’re still employed but working less than you normally would. In order to qualify for these benefits, you will have needed to work 76 weeks (an increase in the standard 52 weeks).

The Government of Saskatchewan also passed legislation ensuring that if you need time off work because you are sick with COVID-19 or are required to care for a family member who is sick, you will not experience job loss. Even if you have been working with your employer for less than 13 weeks, you qualify for job protection under this legislation.

Self-Isolation Support Program

If you have contracted COVID-19, have been in contact with someone who has COVID-19, or recently returned from international travel, you are required by law to self-isolate for 14 days. In this instance, the Government of Saskatchewan has announced the Self-Isolation Support Program that provides you with $450 a week, for a maximum of two weeks as income support. To qualify, you must also meet the following criteria:

  • you are ineligible for compensation from your employer through sick or vacation leave
  • you do not have access to private insurance to cover labour disruptions
  • you are not covered by the other federal income support programs that have been announced

Saskatchewan Temporary Wage Subsidy

The Government of Saskatchewan announced a $56 million program to provide a temporary wage subsidy to those who are currently working with vulnerable citizens. Those workers who are earning less than $2,500/month can access an additional $400/month for up to 16 weeks. The 16-week period is retroactive to March 15 and runs until July 4.

Workers who are considered essential workers, working as caregivers, cooks and cleaners in senior-care facilities, including private care homes and home care are eligible for the subsidy. Those who work in the same positions, caregivers, cooks and cleaners in licensed childcare facilities, group homes and emergency shelters are also included.

Applications will be accepted online, and more information can be found on the government website here.

When should I ACTUALLY start saving for retirement?

Whether it’s sunny beaches, cruising the open road, traveling the globe or just relaxing and taking time to enjoy your life – retirement looks different for everyone. No matter what it may look like for you, the one thing we all have in common is that one day we’d like to retire and we need money to make it happen. Whether you’re just starting your career, counting down the days, or somewhere in the middle, there are things you can do to ensure your retirement is exactly what you want it to be.


“What do you mean retirement? I just started working!” That may be true, but ideally, you’ll want to start saving for retirement as early as possible. We know that’s not always possible, so wherever you are in life’s journey, the best time to start saving for retirement is RIGHT NOW!!!

Here are some tips for you, wherever you are on your retirement journey:

Start early and contribute often

The earlier you start saving, the more interest you will earn and the more money you will have when you’re ready to retire. For example:

Age 20 years old 40 years old
Monthly investment $200 $800
Interest rate 6.5% 6.5%
Retirement age 65 65
Total invested $108K $240K
Interest earned $522K $362K
Total retirement savings $630,000 $602,000

Although both people ended up with a similar amount, the person who began saving at 20 years old, put in less than half of their own money – it mostly came from interest (i.e not your pocket).

Make it automatic

The easiest way to reach a savings goal is to set up automatic transfers to your retirement accounts. That way, it is coming out at a consistent rate and you don’t have to bid an emotional farewell to your money every month as it will be automatically transferred or deducted from your pay cheque.

Don’t touch your retirement fund. View it as money that is not at all accessible

There are lots of different types of accounts you can use to save for retirement, but the best ones are those you can’t touch. For example, there are TFSAs and RRSPs, and other special savings account you can use to meet your different retirement savings goals. The best thing to do if you’re not sure what accounts work best for you is to talk to a Financial Advisor. You can also check out our investment terminology blog to find out more information about different options and what those acronyms mean. By locking in these inaccessible accounts, it removes the temptation to pull from these savings accounts when you just NEED that new pair of shoes and sets you up for success when you retire.

Get rid of debt before retirement

Simply put, you don’t want to owe money when you are no longer making money.

Annually review your retirement plan to see how you’re doing and if it will still meet your needs

Just like a doctor’s check-up, a financial check-up is important to do every year. Work with  your financial advisor to make sure you’re on track and make any changes to your plan as you need. A great tool you can use to see how much you may need to be set up for retirement is our Retirement Planner Calculator.

Make sure you understand at tax time what your RRSP and TFSA contribution limits are

Every year, Revenue Canada will send you a Notice of Assessment after you’ve filed your taxes. On there, you can see how much you can contribute for the next year, based on your previous year’s income, plus any unused amounts from previous years. There is also a limit as to how much you can contribute to your TFSA, starting from the age of 18. A great tool for understanding your TFSA limit is this calculator.

No matter where retirement fits into your plans, it’s going to be a great time and being financially prepared will help ensure you can enjoy your golden years. So when is the right time to start saving? There is no better time like the present and it will save you down the road!

How To Break Up With Your Bank

To switch or not to switch… that is the question! Switching banks has never been described as an easy or fun task. But what if I could help make the process a bit easier for you? I can’t promise it will be fun, but if you’re already feeling that itch to switch – it will be worth it in the long run.


Got the itch to switch?

So what would make someone get the itch to switch? There are many reasons why someone would want to make a break from their current bank. You could be going through a big life change that challenges you to review your relationship with your current bank. For example, moving to another city for that new job opportunity might make you switch if  you want to do your banking close to home. If you’re recently married like me, you and your hubby would have gone through a debate to decide whose bank gets the honour of opening your joint account.  You could also be looking for better rates because who doesn’t love a good deal? Honestly, as much as a good deal gets me going, the real value is finding someone that treats you like a person and not an account number. Whatever the reason may be, if you’re not happy then it is time to make a change!

How do you do that? I don’t know about you but I like a good checklist so let’s break it down step by step.

Step 1: Browse the options

You wouldn’t buy a book without reading the back and you wouldn’t buy a car off the lot without taking it for a test drive. Your bank shouldn’t be any different. Browse your options and ask yourself want do you want from your financial institution. Things to consider:

  • Would you rather a bank or a credit union? Don’t think there is much of a difference? There is and we’ve broken it down for you in a previous MONEYTALK blog.
  • What is your banking style? In a branch, online, or maybe a mixture of both? Check out what each financial institution specializes in.
  • Is it important that your financial institution is involved and supports your community in which you work, live and play? Take a look at what/how much they support.
  • Most importantly, ask what’s in it for you!

Evaluate your options and take a couple of your top draft picks out for a test drive. I recommend meeting with a representative from the option you are considering to see if they are a right fit for you and can provide what you are missing from your relationship with your current financial institution.

Step 2: Open a new account

You’ve done your research, played the field and now you’re ready to commit… what’s next? Jump in with both feet and open a new account. Most financial institutions offer a variety of ways to open up an account. If you want the human interaction, visit your local branch in your community or if you want the ease and convenience from your couch – there are typically online options (if there isn’t and that is something you value most – return to Step 1).

Pro Tip: Once the account is opened – make a small deposit into your new account to make sure everything is running smoothly.

Step 3: Identify monthly expenses and set up automatic payments

Make a list of your automatic payments that come out of your account on a bi-weekly, monthly and yearly basis. You’ll want to set these up on your new account. Some common automatic transactions to think about:

  • Your hard earned dollars: Direct deposits
  • The roof over your head: Mortgage payments
  • Subscription to chill: Netflix account
  • One more song: Apple Music/Spotify Premium
  • Connection to the world: Cellphone payments
  • License to Leg Day: Gym Membership fees 

Step 4: Transfer majority of your money

You’ve set up your automatic payments and now you have to make sure you have money in there to pay them. Time to transfer the majority of your money into your new account. Key word here is “majority” of your money.

Pro Tip: It’s a good idea to keep some of your money in your old account just in case that pesky internet bill slipped through the cracks.

Having said that, keep your old account open for at least a month to ensure you haven’t missed any of those automatic transactions. When all is clear, transfer the rest of your money into your new account.

Step 5: Closing time

Last, but definitely not least, is to close your account, I repeat CLOSE your account! Just because the balance is zero doesn’t mean it is closed and your bank will continue charging you fees until it is officially closed. Avoid having a “fee”k out when you realize the account was reopened and you now owe your ex-bank money. Contact your bank to ask how to officially close your account and get the closure you need.

 

If you’re feeling that itch to switch don’t be afraid to make a change. At the end of the day, your finances are one of the most important aspects in your life and you should feel safe, valued and confident with your financial institution.

Have any tips for the switch? Let’s hear ’em! Share by using the comment section below to save any headaches for those looking to break up with their bank.

 

4 Quick Tips to Save on Insurance

Home insurance. Life insurance. Car insurance. All important to have, ensuring you’re financially protecting yourself in case of emergency. With each insurance type comes many different options as well as a number of ways you can save. Here are a few savings tips and advice to look into when purchasing (or renewing) insurance.

Home savings that can be spent elsewhere

A part of homeownership includes purchasing home insurance to ensure you’re covered for loss or damage to your property due to unforeseen situations. Home insurance is a must, especially if you live in a condo, townhouse or apartment and share walls with a neighbour. You may trust yourself to not start a fire but you never know when your neighbour will find a way to set a bowl of ramen noodles ablaze. Some insurance companies offer different discounts to help reduce the cost of your home insurance including discounts for:

  • Having a monitored security system
  • Being claims-free for several years
  • Your age and the number of years you’ve been with the company
  • Having a good credit score

A big misconception that comes with buying insurance is that it is a standardized rate among all suppliers. When choosing home insurance, be sure to shop around for the best rates and ask what discounts each company can offer you.

Safe driving does pay off

SGI’s Safe Driver Recognition program rewards drivers with a discount on their vehicle insurance for safe driving. For each year you drive without an incident, you earn a safety point that corresponds to a discount on your vehicle’s plate insurance. As you can earn safety points, you can also lose points for unsafe driving such as speeding, accident, etc. If your safety wasn’t enough motivation to put the phone away while driving, one texting and driving ticket wipes away the points that would have taken you four years to accumulate. That could mean an additional $200 on top of the $280 ticket.

Bundling up

Some insurers will offer discount incentives if you purchase multiple insurances from them. The most common insurance bundles include home insurance and car insurance. When you are shopping around, check how much money you can save by bundling. It’s also very convenient for when renewal time comes around to do it all at once so you don’t have to wonder all year “Wait… is my car insurance due in March? Or is that home insurance?”

Improving your health

Life insurance prepares you for the unexpected and helps protect the people you love if something were to happen to you. When choosing life insurance, consider your family and work situation, life goals and your budget.

If you’re a smoker, your insurance premiums will be higher than a non-smoker. Now you may be thinking, well I just won’t tell my insurance provider that I smoke so I don’t pay as much. Wrong – don’t do this because if you hide it and it’s discovered you’ve been lying, your insurance could be rejected. On a positive note, if you need that extra reason to quit smoking, some insurance companies will consider you a non-smoker if you’ve been smoke-free for a year and will reduce your premiums. Not only will you be able to save on insurance, you’ll also be saving money due to no longer buying your cigarettes. Bonus, Smoker’s Helpline has a Quit to Win Contest where you can enter to win $500 cash if you quit smoking.

 

Whenever you’re purchasing insurance of any kind, be sure to do your research and shop around for the best rate. Always ask questions and inquire about any discounts your provider may offer.

Know of other discounts or incentives to save money on insurance? I’d love to hear them – share with me by using the comment section below.