CIBC LIF Daily Interest Savings Account
The CIBC LIF Daily Interest Savings Account (DISA) provides you access to your retirement income savings at any time (subject to the legislated limits on how much may be withdrawn each year).
A Life Income Fund (LIF) is a retirement income option for locked-in RRSPs and LIRAs and offers a flexible alternative to a life annuity. Like a RRIF, you must withdraw a minimum amount each year. But, there is also an annual maximum on your withdrawals. The aim of this legislated amount is to ensure that the LIF provides income for life.
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Call Telephone Banking or visit your branch. | |
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| Minimum investment | There is no minimum investment amount; however, a minimum balance of $5,000 is required to open a CIBC LIF account |
| Access to funds | Any time (as long as you withdraw at least the minimum amount you are required by law to withdraw each year and do not exceed the maximum annual withdrawal limit set by law) |
| Interest | Interest is earned on each day's final balance and paid semi-annually, with tax deferred compounding |
| Fees | There are no fees, unless you transfer all or part of your LIF funds to another financial institution, in which case a $100 fee will apply |
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Consider a CIBC Flexible GIC. | |
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Consider a CIBC TFSA Tax Advantage Savings Account or a CIBC Flexible TFSA GIC. | |
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Is it for you?
The CIBC LIF DISA could be for you if any of the following apply:
- You want to earn competitive daily interest savings rates
- You prefer to manage your own investments
- You want to be able to change the amount you withdraw at any time, or take out a large lump sum if you wish (subject to the legislated minimum and maximum annual amounts)
Key benefits
| Saves you money |
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| Convenient | Easily keep track of your account with quarterly statements sent to you |
Useful information
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Choose the schedule for your regular income LIF payments so that your cash flow needs are covered.
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Income payments are first drawn from your LIF Daily Interest Savings Account, then from the CIBC LIF GIC (Redeemable) or CIBC Bonus Rate LIF GIC that has the lowest rate of interest, without an interest rate penalty.
Income payments will then be drawn from CIBC Escalating Rate LIF GICs, beginning with the GIC that has the lowest effective yield of the remaining term based on the number of days left to maturity.
Stock Market Advantage LIF GICs will be redeemed last; if there is more than one such GIC, the GIC with the shortest term to maturity is redeemed first; no interest or earnings will be paid on the portion of any Stock Market Advantage LIF GIC that is redeemed before maturity.
Disclaimers
Products and their features may change at any time. This is a general description only. For more information and product terms and conditions, consult product brochures or call 1-866-525-8622.
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