I’ve written about Ally before and for the most part they have performed in a minimalistic manner, which is what they should be doing. They still have a fairly high short term savings rate (2.00%) and this is only overshadowed by a couple other obscure institutions offering 2.1%.
On their high interest savings page, I saw the following:
So is it 2% or 1.75%? I logged into my account and indeed, it was 2%.
Stuff like this makes me look at the CDIC page and read out the following passage to myself:
CDIC automatically insures many types of savings against the failure of a bank or financial institution that is a CDIC member. However, NOT all savings are insured and CDIC deposit insurance does not protect against fraud, theft or scam.
I’m really beginning to wonder if a bank failure was caused by fraud whether that would count. I don’t think it is the case for Ally, which is owned by ResMor Trust Company. In the USA, the Ally brand used to be backed by the General Motors Acceptance Corporation, while in Canada, ResMor Trust Company is a mortgage firm – very similar to ING Direct’s business model except that ING Direct uses the same name for both savings and loans.