Tax-Free Savings Account (TFSA)
An SCU TFSA allows you to put money into eligible investment vehicles and watch those savings grow tax-free. There are no restrictions on the way you use TFSA funds (contributions and earnings). You can purchase a car, renovate a home, start a small business, take a family vacation, or just save for a rainy day.
Types of TFSAs
There are three basic types of TFSAs: deposit-type plans, mutual funds*, and self-directed plans.
Who is Eligible for a TFSA?
Any individual person (not trusts or corporations) who meets all of the following three requirements is eligible to open an SCU TFSA:
- Resident in Canada, and
- 18 years of age or older, and
- Hold a valid Canadian Social Insurance Number.
The individual owning the TFSA is called the Holder. There is no maximum age limit to open or hold a TFSA and a person may hold more than one TFSA.
PLEASE NOTE: Effective January 1, 2013, the TFSA contracts with our credit union now operate under the Steinbach Credit Union Tax-Free Savings Account trusteed by Concentra Trust. This change does not impact the holdings under the TFSA contracts. A copy of the amended TFSA Declaration of Trust (01/13) is available by clicking here or by contacting us at 1.800.728.6440.
*Mutual funds are offered through Credential Asset Management Inc. and mutual funds and other securities are offered though Credential Securities Inc. and Credential Direct®, a division of Credential Securities Inc., which operates as a separate business unit. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Unless otherwise stated, cash balances, mutual funds and other securities are not covered by Canada Deposit Insurance Corporation or by any other government deposit insurer that insures deposits in credit unions. Mutual funds and other securities are not guaranteed, their values change frequently and past performance may not be repeated. Credential Securities Inc. is a Member of the Canadian Investor Protection Fund.