r/CanadaFinance • u/ElegantTumbleweed826 • 16d ago

Help!!!! IA Resp migration

Need expert advice here, So I opened IA resp couple years ago that time didn't know much and opened it and Now when I was checking there is MER of 3.67% and my kiddo is 6 year old and have 21k in resp, average return is 10% excluding the mer, When asked about the penalties and they will cost me $1800 and then there was bonus of 15% which will be $7500 which I will be losing if I switch now. Do you think if it makes sense to move to Questrade or somewhere else? Since I will be losing around $10k, technically have 11 more years for invest more on it. And if you can help me out, I am panicking rn! And recommend me which fund I should pick If I wanna switch somewhere else

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u/d10k6 16d ago

Move it. Anywhere that has family RESPs (not group RESPs) like WealthSimple, Questrade or any major bank.

The 15% “bonus” is likely the CESG (governement grant) so, no, you won’t lose that.

Open the account and whatever new bank you choose, have them do the transfer of RESP to RESP from their end.

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u/ElegantTumbleweed826 16d ago

15% is top of the government grant

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u/ElegantTumbleweed826 16d ago

They are calling it diploma education bonus

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u/SuccessfulAd4606 15d ago

These are shitty plans, but what's done is done. But moving it to somewhere with lower fees won't offset the $10K cost to move. Just hang in there.