Author Topic: I have $200 saved. Should I open a tangerine high interest savings account?  (Read 1477 times)

Redstone5

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I'm a beginner at investing. What's the best way to get started? I can possibly invest $400 per month right now. I'm in Canada.

ElleFiji

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Yes, and you should use my orange key... Wait for me to find it.

If it's your only savings, a TFSA high I terest account is good. Later we'll ladder up your investments

ElleFiji

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17514003S1

CowboyAndIndian

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I'm a beginner at investing. What's the best way to get started? I can possibly invest $400 per month right now. I'm in Canada.

Congratulations on starting your road to financial independence.

Do you have credit card debt, if so you need to pay it off before you start saving.

Have you got an emergency fund? If you do not, you need to save up 3 months (or more depending on your profession and how hard it is to get a new job) of expenses.

First, read this thread about investment order (https://forum.mrmoneymustache.com/investor-alley/investment-order/msg1333153/#msg1333153). This is US specific, but there are a lot of Canadians here who can give you advice on Canada specific investments.

Best of luck on your journey!

Redstone5

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Yes, and you should use my orange key... Wait for me to find it.

If it's your only savings, a TFSA high I terest account is good. Later we'll ladder up your investments

Thank you

I do have a TFSA but it's with the royal and I don't like banking with them. Do you know if I can close that one and open another one without a huge hassle?

Redstone5

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I'm a beginner at investing. What's the best way to get started? I can possibly invest $400 per month right now. I'm in Canada.

Congratulations on starting your road to financial independence.

Do you have credit card debt, if so you need to pay it off before you start saving.

Have you got an emergency fund? If you do not, you need to save up 3 months (or more depending on your profession and how hard it is to get a new job) of expenses.

First, read this thread about investment order (https://forum.mrmoneymustache.com/investor-alley/investment-order/msg1333153/#msg1333153). This is US specific, but there are a lot of Canadians here who can give you advice on Canada specific investments.

Best of luck on your journey!
[/quote

Thanks!

I don't have an emergency fund as yet. Any suggestions on where is the best savings account to build one? I'm at a credit union right now and the interest is super low.

ElleFiji

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To transfer out of rbc into tangerine might be a hassle. You'd have to talk to both banks. But you can easily start one at tangerine leaving your rbc money alone. You'll get a good intro rate at tangerine, and if you're well under your TFSA limits then you can easily dip into it as an e fund.  Once you have a few months saved for an emergency, you can start investing

The other option if it won't mess up your limits is to withdraw from rbc and deposit at tangerine. The risk is that if you did the math wrong, you'd have to wait until next year to deposit

Redstone5

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To transfer out of rbc into tangerine might be a hassle. You'd have to talk to both banks. But you can easily start one at tangerine leaving your rbc money alone. You'll get a good intro rate at tangerine, and if you're well under your TFSA limits then you can easily dip into it as an e fund.  Once you have a few months saved for an emergency, you can start investing

The other option if it won't mess up your limits is to withdraw from rbc and deposit at tangerine. The risk is that if you did the math wrong, you'd have to wait until next year to deposit

Well, the good news is, I don't actually have anything invested in the tfsa at rbc (I know, I know), so it would just be the annoyance of closing that one and opening one at tangerine, I guess?

CowboyAndIndian

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I'm a beginner at investing. What's the best way to get started? I can possibly invest $400 per month right now. I'm in Canada.

Congratulations on starting your road to financial independence.

Do you have credit card debt, if so you need to pay it off before you start saving.

Have you got an emergency fund? If you do not, you need to save up 3 months (or more depending on your profession and how hard it is to get a new job) of expenses.

First, read this thread about investment order (https://forum.mrmoneymustache.com/investor-alley/investment-order/msg1333153/#msg1333153). This is US specific, but there are a lot of Canadians here who can give you advice on Canada specific investments.

Best of luck on your journey!

Thanks!

I don't have an emergency fund as yet. Any suggestions on where is the best savings account to build one? I'm at a credit union right now and the interest is super low.

You need quick access for an emergency fund. So, I would suggest continuing with your savings account or maybe an online bank which provides a higher interest rate.

Maybe some Canadian can give you a specific type of account to get?

ElleFiji

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TFSAs are tax free and @CowboyAndIndian the tangerineoone that OP is suggesting is are easy to transfer money in a d out if you are using it as an e fund.

theolympians

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Awesome!  I recommend an emergency savings first.

Check out Dave Ramsey or Chris Hogan on youtube. That will get your priorities in line (at least in the beginning steps!

Redstone5

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Thanks! I opened a tsfa with tangerine and I just have to go into the post office to confirm my identity.  Than i can make my first deposit! My first goal is to get $1000 in savings as an emergency fund.

JAYSLOL

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Thanks! I opened a tsfa with tangerine and I just have to go into the post office to confirm my identity.  Than i can make my first deposit! My first goal is to get $1000 in savings as an emergency fund.

Good stuff, you may want to post a full case study if you are just getting going if you want help or input in all areas of saving and investing

Redstone5

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Thanks! I opened a tsfa with tangerine and I just have to go into the post office to confirm my identity.  Than i can make my first deposit! My first goal is to get $1000 in savings as an emergency fund.

Good stuff, you may want to post a full case study if you are just getting going if you want help or input in all areas of saving and investing

Thank you, I did post a case study recently but I'm not sure how to link it here. I received some very helpful suggestions.