Snake oil from Royal Bank

[Cory1]

Originally Posted by From The Hip

OP Here

I did ask several pointed questions to the guy I was talking to.I asked about yearly interest yield/TFSA/RRSP and on and so forth.The basic parrot answer I got was that the RBC had no specific financial product on OFFER that could back up the advertisement.I was told "it is a possibility" but when asked for a specific financial investement the guy had no effing clue.

FTH

What were you expecting walking in there? That RBC has a magical investment vehicle that will give you those returns guaranteed and at no risk to you?

The intent of the advertisement in my opinion is to inform people to save and invest some of thier money and showcase the potential of compounded interest.

[Canehdianman]

Yay, another raving lunatic old fart who doesn't know anything but expects to be right about every assumption he makes.

*yawn*

[mooseknuckle]

Okay now that's funny stuff.

[Freedom55]

Originally Posted by Canehdianman

Yay, another raving lunatic old fart who doesn't know anything but expects to be right about every assumption he makes.

*yawn*

Yay, another raving lunatic young turk who doesn't know anything...

*yawn*

[mercury001]

Do you seriously think their defined benefit plans are fully funded by their contributions? No, there are top ups and at the end of the day the pensions are a line item in the province's spending. I still remember "Special" Ed's $2billion top up to Alberta teachers' pensions.

[Freedom55]

how are you able to confuse "retired municipal workers" with provincial school teachers? How many other cases can you cite where public funds were used to top-up unfunded liabilities in any defined benefits pension plan in Alberta? How many dollars came out of your pocket to resolve the school teacher's strike and what year did that happen?

Yay! Another young turk...

Free

[blackonblackfx4]

Originally Posted by Nova316

I think there only good one was that $50 card prepaid.
Come talk to a specialist for an RRSP account and get $50.

Walked in talked to an "Adviser",
How high are your MER for these funds? You don't know?
Average %? Don't know that either?
Want to sign me up for a credit card? Annual cost?

Okay were done wheres my $50

Advisor lol not adviser

[chanter]

This thread confirms that a good portion of Canadians don't have a clue about personal finances. If your investment experience is limited to GICs then you really shoudn't chime in when you are faced with a product that god forbid- has more than one variable. This isnt the 90s anymore you need to do some digging to keep up with inflation at these rates.

What I find funny is people who wont take time to educate themselves or let someone work with them to help them understand some basic math and or financial concepts. If you only buy GICs and are actually concerned about CDIC insurance- good luck to you, your capital is eroding.

Naturally when people don't understand or are too proud to admit it, they go on the defensive-which is what jumps out to me when reading these comments.

Everyone works so hard for their money-but wont learn about money, makes no sense to me.

[Sushi]

high interest rate, guaranteed returns are ancient history. Simple as that.

[From The Hip]

Originally Posted by chanter

This thread confirms that a good portion of Canadians don't have a clue about personal finances. If your investment experience is limited to GICs then you really shoudn't chime in when you are faced with a product that god forbid- has more than one variable. This isnt the 90s anymore you need to do some digging to keep up with inflation at these rates.

What I find funny is people who wont take time to educate themselves or let someone work with them to help them understand some basic math and or financial concepts. If you only buy GICs and are actually concerned about CDIC insurance- good luck to you, your capital is eroding.

Naturally when people don't understand or are too proud to admit it, they go on the defensive-which is what jumps out to me when reading these comments.

Everyone works so hard for their money-but wont learn about money, makes no sense to me.

I am well aware of investment types etc and no I do not invest in GIC's.The point I raised was the huge advertisement by RBC for a specific investment they dont actually sell/offer.In the tiny fine print on that gigantic poster it says $75 deposited weekly over 25 years and compounded at 6.5% will yield $225,000.RBC does not offer anything like that,it is "just an example" per the sales rep.It is a sales pitch and all of the banks do it but RBC are pretty blatant about it.

FTH

[Clgy_Dave2.0]

Originally Posted by From The Hip

I am well aware of investment types etc and no I do not invest in GIC's.The point I raised was the huge advertisement by RBC for a specific investment they dont actually sell/offer.In the tiny fine print on that gigantic poster it says $75 deposited weekly over 25 years and compounded at 6.5% will yield $225,000.RBC does not offer anything like that,it is "just an example" per the sales rep.It is a sales pitch and all of the banks do it but RBC are pretty blatant about it.

*sigh*

[abhunter8]

Originally Posted by avb3

Years ago, my first job was in a bank. Then it was all about customer service, keeping deposits and lending out money, after most of the banks money was made on the interest spread between deposits and loans.

Staff at that point interacted with customers and knew who they were. Bank managers had overall authority depending on the size of the branch on making loans and other financial arrangements with customers.

In today's world, the vast majority of bank employees are actually salespeople and are paid at least partially on their sales performance. Many branches do not have an actual branch manager other than an administrative manager, and decisions are made electronically, and at regional and head offices.

Some of their sales tactics are as slick as the proverbial used car lot. A significant if not major portion of their income in today's world come from fees, not the spread in interest rates.

Bang on! I was a banker for 17 yrs until I couldn't ethically put up with the fact that they really don't give a crap about customers. I took pride in the fact that I could HELP people with every aspect of the bank, provide great service and I told them the facts when something was not in their best interest. Banks and the financial sector today have fewer knowledgeable employees, make mistake after mistake, mislead people to make a sale and provide the worst service I have ever seen!

[Dean2]

Originally Posted by abhunter8

Bang on! I was a banker for 17 yrs until I couldn't ethically put up with the fact that they really don't give a crap about customers. I took pride in the fact that I could HELP people with every aspect of the bank, provide great service and I told them the facts when something was not in their best interest. Banks and the financial sector today have fewer knowledgeable employees, make mistake after mistake, mislead people to make a sale and provide the worst service I have ever seen!

You clearly worked for the wrong bank. I have worked for four of them over 35 years, including the Royal, and all of them except one was completely interested in doing the best job it could for their customers. You can't get to be number one in the banking industry or be successful long term if you don't care about the customer. (The one that I left because they didn't care about their customers, or staff for that matter, eventually went out of business a few years later).

As to the OP's comment, why didn't you just read the fine print in the first place. A good advisor, if you will work with them, can show you how to get a pretty consistent 7% rate of return over a long period of time. It will fluctuate and it won't be in GICs. If you are unsophisticated enough to believe there is a "guaranteed" product that will do that in the current interest rate environment then there is no one that can really help you.

In the example on the poster, you invest $78,000 over 20 years and it turns into more than $200,000 due to compounding. That is what the poster is trying to get people to understand. No matter what the yield, there is no substitute for the effect of compounding over many years. It is amazing how few people understand the rule of 72s.

[Map Maker]

Originally Posted by From The Hip

I am well aware of investment types etc and no I do not invest in GIC's.The point I raised was the huge advertisement by RBC for a specific investment they dont actually sell/offer.In the tiny fine print on that gigantic poster it says $75 deposited weekly over 25 years and compounded at 6.5% will yield $225,000.RBC does not offer anything like that,it is "just an example" per the sales rep.It is a sales pitch and all of the banks do it but RBC are pretty blatant about it.

FTH

You should get your blood pressure checked out. You get so bent out of shape over the smallest things.

[sillyak]

Originally Posted by Nova316

I think there only good one was that $50 card prepaid.
Come talk to a specialist for an RRSP account and get $50.

Walked in talked to an "Adviser",
How high are your MER for these funds? You don't know?
Average %? Don't know that either?
Want to sign me up for a credit card? Annual cost?

Okay were done wheres my $50

I have my doubts an advisor didn't know the MER or the average rates of return on their products considering it is part of their sale pitch and extremely easy to access.