I write certain articles yearly, as an update on previous articles. Not many things change in my financial world, unfortunately, my ability to deposit in my son’s RDSP is one of those.
Some of my yearly, rants:
- Yearly CPP and EI Maximum updates
- RDSP Grant levels for my son (i.e. Grant entitlements)
- My somewhat irregular Moneytalk posts
RDSP Deposit for a TD Direct Investing Account
For those unsure let me recap. I cannot make a deposit directly to my son’s RDSP (a TD Direct Investing account). I must first put money in my Direct Investing trading account. Once the money is in the trading account, I must then call Direct Investing phone service, to then transfer the money to my son’s RDSP.
Over the years I have had many reasons given. I received an update from someone who has an RDSP where he is the beneficiary, who can directly deposit to that account. This confused me, so I continue to ask yearly, to Direct Investing, why I cannot do the deposit.
This years response follows:
Only the account holders can transfer cash to the RDSP account.
This would be the same for any registered plan account.
Due to online privacy and security concerns, trade and account related inquiries are handled by our investment representatives. By phone, we can securely access your profile to assist accordingly. If you feel that the representative has not adequately addressed your concern, you may ask to speak with a Manager.Response from TD Direct Investing
This seems to line up with what I have found out. It does not make me very happy, as I think I can easily deposit into any RESP directly. I did that for my daughters, and am doing it for my son as well.
Given my son now has a TD savings account, I will test the validity of this explanation. I will attempt to set up a transfer to his RDSP. I will also need to file his taxes for next year, but that is for another story.
Addendum, I forgot that last year two smart folks Bobby Vu and Steven Reeves commented that I could try “Paying it as a Bill”. This would entail setting up a bill payment to TD Direct Investing with my son’s RESP account number. I have set this up and am attempting to see if it works.
Previous Discussions on Topic
- RDSP : Laying the Ground Work (first things first) What needs to be done BEFORE you can apply for a Registered Disability Savings Plan? A major aspect of this is the Disability Tax Credit (DTC), make sure you click on this page to get started.
- RDSP and TD Aggravations pretty much the day after I opened the account, I noticed the deposit issue.
- Not a very big step taken, in fact none at all, really, RDSP with TD Direct Investing a Step in the Right Direction
- RDSP update and a TD Explanation in 2013 TD claimed they would “fix” the deposit issue, as you have read, they didn’t.