FAQ

Accounts

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Account types Opening an account Transferring assets and accounts Making deposits and transfers

Account types

How does a tax-free savings account (TFSA) work?

Here are few information about the TFSA:

A TFSA is a government-registered account that allows you to grow your savings tax free, whatever your annual income. You pay no tax on withdrawals either.
Unused contribution room can be carried forward to future years.
Withdraw from your TFSA any time, for any reason.
Any amount withdrawn is added to your contribution room in the following year. For example, if you withdrew $3,000 from your TFSA in 2015 and re-contributed that amount in 2016, you would still be able to contribute another $5,500 that year (your annual contribution room for 2016).
TFSA income and withdrawals from the account do not affect your right to income-based federal benefits or credits.

For more information, consult the National Bank's page on TFSAs.

I'm turning 71 this year. Do I need to convert my RRSP to a RRIF?

Your plan must be converted by December 31 of the year you turn 71 (not by your birthday).

For more information, consult the National Bank's page on converting RRSPs.

Why do I need to enter my spouse's age to calculate my RRIF withdrawals?

You can calculate your minimum required withdrawals using your age or your spouse's age. Making the minimum withdrawals allows you to grow your RRIF while spreading out your payments over a longer period. Your mandatory minimum withdrawals will be smaller if you use the age of the younger spouse for the calculations. Under Canada Revenue Agency regulations, this choice is irrevocable, even in the event of divorce or death. This option is only available when you open the RRIF.

How do I calculate the minimum withdrawal amount for my RRIF or LIF? Is there a maximum withdrawal amount?

NBDB calculates your minimum RRIF or LIF withdrawals at the start of each year. It is based on the fair market value of your plan as at December 31 and your age (or the age of your spouse, depending on your decision when you opened the account).

Maximum amounts:

No maximum RRIF withdrawal amount
Your maximum LIF withdrawal amount is calculated based on the same criteria as your minimum amount

The minimum and maximum (if applicable), as well as the frequency, are indicated on your portfolio statement and in your online brokerage account under Accounts > Registered Accounts.

N.B.: Make sure you have enough cash in your RRIF or LIF to make the withdrawals. If the cash held at the time of the withdrawal is insufficient, you will be charged interest on the debit balance and the equivalent of a telephone commission if we have to sell a product to cover the debit. See the commission and General fee schedule.

What are the differences between the various federal locked-in plans?

Type of plan	Jurisdiction	Withdrawal options	Transfers
LRSP	Federal	Withdrawal for financial hardship Shortened life expectancy	Amounts transferred into this type of plan must originate from a pension fund, another LRSP or a LIF.
RLSP	Federal	Withdrawal for financial hardship Shortened life expectancy	Amounts transferred into this type of plan must originate from another RLSP or a RLIF.
LIF	Federal	Withdrawal for financial hardship Withdrawal of small amounts Shortened life expectancy	Amounts transferred into this type of plan must originate from an LRSP or a LIF under federal jurisdiction
RLIF	Federal	Withdrawal for financial hardship Withdrawal of small amounts Unlocking up to 50% of funds Shortened life expectancy	Amounts transferred into this type of plan must originate from an LRSP, an RLSP, a LIF or another RLIF.

Type of plan

Jurisdiction

Withdrawal options

Transfers

LRSP

Federal

Withdrawal for financial hardship
Shortened life expectancy

Amounts transferred into this type of plan must originate from a pension fund, another LRSP or a LIF.

RLSP

Federal

Withdrawal for financial hardship
Shortened life expectancy

Amounts transferred into this type of plan must originate from another RLSP or a RLIF.

LIF

Federal

Withdrawal for financial hardship
Withdrawal of small amounts
Shortened life expectancy

Amounts transferred into this type of plan must originate from an LRSP or a LIF under federal jurisdiction

RLIF

Federal

Withdrawal for financial hardship
Withdrawal of small amounts
Unlocking up to 50% of funds
Shortened life expectancy

Amounts transferred into this type of plan must originate from an LRSP, an RLSP, a LIF or another RLIF.

How can I get additional grants or Canada Learning Bonds?

Complete the appropriate form available on our website and mail it to us. Please use the following forms:

SDE0093 – Canada Education Savings Grant and Canada Learning Bond application

ANNEX B – Primary caregiver* or their spouse and/or custodial parent/legal guardian

ANNEX A – Additional beneficiaries

Once your file is up to date, we will communicate all the information to the government.

*The primary caregiver is the person who receives the Canada Child Benefit (CCB).

For an RESP, who is the beneficiary's primary caregiver?

The primary caregiver is the person or organization primarily responsible for the care and upbringing of the child. A primary caregiver can be an individual or a public entity.

An individual primary caregiver is the person eligible to receive the Canada Child Benefit (CCB) for the child, as defined in the Income Tax Act. This can be the mother, father, grandparent, or a guardian.

A public primary caregiver is a department, agency, institution or organization eligible to receive payments under the Children's Special Allowances Act for a child in its care.

Does the same process apply for a family RESP?

Yes, the process is the same for individual and family RESPs. You will have to complete one form per child (beneficiary).

What's the maximum RESP contribution?

The maximum contribution is $50,000 per beneficiary for the duration of the plan.

I'm not the child's primary caregiver. How do I determine net family income?

Always use the net family income of the child's primary caregiver.

When will the Canadian Education Savings Grant (CESG) be deposited into my account?

Grants are paid at the end of the month for the previous month's contribution. For example, if you make a contribution in June, the corresponding CESG payment will be deposited into your account at the end of July.

The government will use your latest income tax return to determine if you are eligible for additional grants.

To receive the Canada Learning Bond (CLB), am I required to make additional RESP contributions?

No. Even if you do not contribute to the RESP, the government of Canada will deposit an initial CLB payment of $500 and subsequent CLB payments of $100 a year as long as you remain eligible (until the child reaches age 15).

The lifetime maximum CESG contribution for each child is $7,200. Does the CLB count towards that amount?

No. The CLB is not included in the $7,200 maximum. The child is entitled to $7,200 in CESG payments, plus an initial CLB payment of $500 and subsequent CLB payments of $100 a year for 15 years, as long as he or she remains eligible. The child can also receive up to $2,000 in additional grants over the duration of the plan.

Opening an account

How do I open an account?

There are 3 ways to open an account:

Online
By phone
At a branch

Interested in learning more? See our page Opening an account.

What types of accounts can I open?

We offer a variety of registered and non-registered accounts and a full range of investment products. Individual, joint and business accounts are available.

For more information, see our page Types of accounts.

Do I have to make a minimum deposit when I open an account?

No minimum deposit is required to open an account at NBDB.

Is there an account opening fee?

There's no fee to open an account at NBDB, but certain accounts do have annual management fees.

For more information, see our fee structure.

How do I transfer an account held at another financial institution to NBDB?

Simply complete the relevant transfer form and send it to us along with your latest portfolio statement.

To access the forms or get more information about the transfer procedure, see our page on transferring assets and accounts or contact a representative.

Is NBDB's online account opening form secure?

Yes. NBDB uses the same level of encryption as the National Bank. A closed lock will pop up in the lower right-hand corner of the screen to confirm that the form is secure.

Can I open more than one account by completing a single account opening form?

Yes. You can open several accounts by completing a single account opening form. However, they must be different types of account and the account category (individual or joint) must remain the same. For example, you could open an RRSP, a TFSA and a margin account by completing a single application.

I don't see the type of account I want to open. Why?

At this time, only personal accounts and accounts with spousal contributions can be opened online. To open a business account or a non-personal account, contact a customer service representative.

Do I have to be a National Bank client to open an NBDB account?

No. You don't have to be a National Bank client to open an online brokerage account with NBDB. Interested in learning more?

See our page Opening an account.

Do I have to be a resident of Canada to open an account?

Yes. NBDB is not registered as a securities broker outside Canada.

Why do you need to know how many dependents I have?

This information is required by Canadian securities regulators. It also helps us understand your personal situation and needs.

Why do I have to provide information about my job?

This information is required to assess your creditworthiness and determine if you are employed in the securities industry or a reporting insider.

We need to collect this information because specific regulations apply to transactions in accounts belonging to employees of securities firms and reporting insiders.

Why are you asking me for a banking reference?

The Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations require the broker (NBDB) to obtain a banking reference for each brokerage account holder. This information is required even if you have a National Bank account.

Why are you asking me how I plan to use my accounts?

The Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations require the broker (NBDB) to identify the intended use of every brokerage account.

The following options are available:

Short-term savings: You want to use the account to save over the short term (e.g., cash account).
Specific project: You are saving up for a specific goal (e.g., real estate investment, education, buying a car, retirement).
Long-term investment in the market: You plan to maintain the investment in your account over the long term.
Speculating: You plan to trade frequently to get results over the short term.

Why are you asking for my previous address?

When you state that you have lived at your current address for less than 12 months, we are required to verify your identity in accordance with the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations by obtaining your previous address.

Where can I find my banking information (bank account, transit and institution numbers)?

Your bank account information appears on your personal cheques.

The transit number is the 5-digit number immediately after the cheque number (the first number at the bottom of the cheque).
The institution number is the 3-digit number after the transit.
The account number is the 7-digit number after the institution number.

Why do I have to print my account opening application?

Although you can submit the account opening application online, we still need your original signature on the form. Online applications do not comply with the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations.

Can I submit an application by fax?

No. We need your original signature, so you are required to mail us your account opening application or bring it to a National Bank branch. Applications received by fax do not comply with the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations.

How long will it take to open the account?

NBDB will open personal accounts within 24 hours of receiving your application. You can then obtain a username and password for the trading platform. We will email you a confirmation when your account has been opened.

If you are opening an account for a legal entity (company, trust, etc.) or a margin account, or adding options trading to an account, allow 72 hours following the reception of the original signed documents.

Please note that you won't be able to carry out trades or transfer funds to the account until we have verified your identity.

What happens if I don't consent to the disclosure of my personal information for solicitation purposes?

If you don't consent to disclosure for solicitation purposes, NBDB will not offer you other products and services that may be of interest and will not communicate your personal information to affiliated companies or to the National Bank so that they can offer you products and services.

Can I access my online account opening application at any time?

Once you've saved your application, you have 30 days to modify and complete it. Once the completed application is submitted, it can no longer be accessed.

Transferring assets and accounts

What documents do I need to complete an account opening application?

You will need your portfolio statement from the delivering institution (the financial institution that currently manages your assets), which contains the following information:

Address of delivering institution
Type of account (RRSP, spousal RRSP, LIRA, RRIF)
Account currency
Full account number (at NDBD, the first six digits are the root and the seventh indicates the account type. The same may apply at other financial institutions. Be sure to check before you submit your application.)

We recommend including a recent copy of your portfolio statement from the delivering institution with the transfer form.

Which form should I use?

Access all the documents and forms you'll need to open and run your brokerage account, transfer funds, designate a beneficiary, revoke a power of attorney, and more on our Forms page.

Is my transfer form properly completed?

Here are a few things to check:

Did you enter your name, the account currency and the full NBDB account number (7 digits)?
Did you enter the currency and number of the account to be transferred, as well as the name and full address of the delivering institution?
Did you specify the type of transfer (in assets or in cash)? A cash transfer means that all positions will be liquidated before transfer. Commissions may apply.
Did you specify if it is a transfer in part or in full? If it is a transfer in part, did you specify the assets to be transferred?
Did you sign and date the form?
If there is an irrevocable beneficiary, did they sign the form?
Did you include your most recent portfolio statement?

If you need help, one of our representatives will be pleased to answer your questions.

How long will it take to transfer my account?

The timeframe for transfer can vary depending on the delivering institution and the type of investments transferred.

N.B.: Timeframes provided are for information only. In peak periods, transfers may take longer than expected. Missing or incomplete documents may also delay processing.

ATON transfers

The ATON system, used by numerous brokers, allows for automated transfers. Contact a representative at 1-800-363-3511 (toll-free) or 514-866-6755 for a list of participating institutions. Estimated timeframe in business days (after a request is initiated).

Canadian securities	U.S. securities	Options and Mutual Funds	Foreign and OTC securities	Guaranteed investment certificates
4 days	7 days	7-12 days	20 days	20-30 days

Canadian securities

U.S. securities

Options and Mutual Funds

Foreign and OTC securities

Guaranteed investment certificates

4 days

7 days

7-12 days

20 days

20-30 days

Non-ATON transfers

Transfers from institutions that do not use the ATON system (around 60% of requests) require manual processing. Estimated time to transfer assets (after a transfer request is sent to the delivering institution or after a GIC matures).

Banks/Credit Union	Mutual Fund Companies	Trust / Insurance Companies	Employers / Pension Funds/ Government Agency
4 days	7 days	7-12 days	20 days

Banks/Credit Union

Mutual Fund Companies

Trust / Insurance Companies

Employers / Pension Funds/
Government Agency

4 days

7 days

7-12 days

20 days

How can I transfer my assets more quickly?

Your transfer could be delayed or interrupted for various reasons. Here are a few situations that could cause problems:

Situation	Comment
The two accounts must be in the same name	The names and social insurance numbers must match. For instance, assets cannot be transferred from a joint account or a business account to a personal account.
An account in good standing	For instance, the transfer could be delayed if a margin call is triggered.
The accounts must be of the same type	For instance, you can't transfer assets from a non-registered account to a TFSA.
A transfer in full cannot be carried out if the account contains a non-transferable product	The transfer will be rejected and you will have to submit another request.
Transfer of a RRIF	RRIF: The delivering institution must make the minimum payout before the transfer can go through.
Transfer of a LIF	LIF: The delivering institution must make the minimum annual payout before the transfer. We will not be able to make any further payouts for that year.
Transfer of a locked-in plan	Before submitting a transfer request, make sure the account is opened under the correct legislation.
Your mutual fund is held directly via the mutual fund company, not through a broker	You must submit a signed transfer form for each mutual fund company.
Transfer of a GIC	Some financial institutions require you to submit a request two weeks before the GIC matures.

Situation

Comment

The two accounts must be in the same name

The names and social insurance numbers must match. For instance, assets cannot be transferred from a joint account or a business account to a personal account.

An account in good standing

For instance, the transfer could be delayed if a margin call is triggered.

The accounts must be of the same type

For instance, you can't transfer assets from a non-registered account to a TFSA.

A transfer in full cannot be carried out if the account contains a non-transferable product

The transfer will be rejected and you will have to submit another request.

Transfer of a RRIF

RRIF: The delivering institution must make the minimum payout before the transfer can go through.

Transfer of a LIF

LIF: The delivering institution must make the minimum annual payout before the transfer. We will not be able to make any further payouts for that year.

Transfer of a locked-in plan

Before submitting a transfer request, make sure the account is opened under the correct legislation.

Your mutual fund is held directly via the mutual fund company, not through a broker

You must submit a signed transfer form for each mutual fund company.

Transfer of a GIC

Some financial institutions require you to submit a request two weeks before the GIC matures.

What products cannot be transferred to NBDB?

Certain products cannot be transferred to NBDB. Here are a few examples:

Segregated funds
Products from certain mutual fund companies not distributed by or transferable to NBDB. See our complete lists of accepted mutual funds (with and without transaction fees).
Private investments
Term contracts
Certain guaranteed investment certificates (GICs)

To check if a product can be transferred, call a representative au 1-800-363-3511

Will I have to pay a fee when I transfer my account to NBDB?

NBDB does not charge any fees for transferring an account. However, the delivering institution may charge a transfer out fee.

Will NBDB refund transfer fees?

If you transfer at least $10,000 into an InvestCube account or at least $20,000 into a brokerage account, we will refund your transfer fees up to $135. For more information, consult our page on transferring assets to NBDB.

Making deposits and transfers

How can I transfer funds to my brokerage account?

There are four ways to quickly and easily transfer funds:

Online transfer

Already a National Bank client?

Call us at 1 800 363-3511 to link your bank account to your brokerage account.

Not a National Bank client?

Make your first deposit by cheque so that we have your banking information on file.

Cheque

The cheque must be made out to NBDB. Be sure to indicate your brokerage account number (7 digits). You can send it to us by mail, bring it to a branch or give it directly to us.

By calling a representative

Our representatives are available Monday to Friday from 8 a.m. to 8 p.m. ET at 1 800 363-3511.

From another NBDB brokerage account

Go to the Monetary Transfers section of your brokerage account.

How can I link a bank account to my brokerage account for deposits and withdrawals?

If you have a National Bank account, just call a representative and ask them to link the accounts. It will take 24 hours for the new bank account to appear in the online platform.

If you have an account at another financial institution, complete the form 27058 and submit it by email, by regular mail or by fax. Your bank account will be linked to your brokerage account within 72 hours of your banking information being verified.

How long will it take for money to be transferred to my account?

You have used the trading platform: funds will be deposited the same day if you made the request before 3 p.m. ET.

You sent a cheque: if received before 3 p.m. ET the funds will be deposited the same day

You called a representative:

Transfers from a National Bank account requested before 3 p.m. ET will be deposited the same day.
Transfers from another institution will take from 24 to 48 hours.

What types of transfer are available on the trading platform?

Transfer to a bank account (held at the National Bank or with another institution, linked to your borkerage account)
Transfer to a brokerage account from another brokerage account or a bank account
TFSA, RRSP or RESP contribution (from a brokerage of bank account)

Can I withdraw from a registered account (RRSP, RRIF or TFSA) via the trading platform?

Only withdrawals from your TFSA account can be carried out via the trading platform. To withdraw from any other registered account, please call a representative. Fees may apply for certain withdrawals.

How do I deposit a stock certificate?

Bring your stock certificate to a National Bank branch. Sign the back of the certificate or complete the power of attorney form (F.11511). The branch will send us the certificate, and we will deposit the stocks into your brokerage account (for $100 fee).

Please note that physical certificates for stocks traded on the TSX Venture Exchange cannot be deposited. Only electronic certificates (DRS) can be accepted for such stocks.

Certificates for stocks traded on U.S. or Canadian over-the-counter markets will also be refused, as will restricted securities, warrants and rights.

Ready to open an account?

Complete the steps online or call us for assistance.

Open an account

1-800-363-3511

FAQ

Account types

Opening an account

Transferring assets and accounts

Making deposits and transfers

Ready to open an account?

1-800-363-3511

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