New to Canada? Don’t worry. Banking here can be a little different from the way it was back home. Thankfully, here are many of the answers to your banking questions, from your trusted bank. Ab banking hua bahut aasaan. See if your question is covered in one of these popular topics.

Ways to Bank
Investing
Accounts
Mortgages
Lending/Credit

Q: What is a PIN?
A: A PIN stands for a Personal Identification Number (PIN), which is a unique number or pass code entered by a customer when using an Automated Banking Machine (ABM), or when making an Interac Direct Payment, that gives a customer access to his or her account.

Q: What is pre-authorized debit?
A: A means of authorizing recurring payments (e.g. mortgage payments, insurance premiums) to be withdrawn from an account.

Q: What is Interac?
A: Interac is Canada’s sabse bada shared network of ABMs. It allows cardholders to access their accounts from any ABM on the network regardless of which financial institution owns the machine. Interac Direct Payment is a method of paying for goods and services electronically. When you make an Interac Direct Payment the funds are immediately and directly debited from your bank account. You use your debit or access card to do this.

Q: What are telephone and Internet banking?
A: Telephone ya Internet se banking karne ki suvidha – that’s the covenience of EasyLine telephone banking and EasyWeb Internet banking with TD Canada Trust. EasyLine telephone banking allows you to perform most banking transactions over the telephone. TD Canada Trust EasyWeb Internet banking is a safe, secure and convenient way to do banking online. It’s a very simple way to manage your finances. You can bank when it’s convenient to you, from virtually anywhere you have a computer.

Q: What are similarities and differences between the way a cheque is written in Canada vs. the way it’s done in India?
A: Back home cheques are very often crossed for additional security and it is customary to write the full amount in letters (both rupees and paise). It is slightly different in Canada.
The similarities: It is important to write the date legibly and to use a future date if writing a post-dated cheque. Fill in the name of the person or company receiving your cheque on the "Pay to the Order of" or "Payable to" line. Enter the dollar amount of the cheque numerical in the small space or box with a dollar sign ($) so that it reads like this: $7.86. Sign on the signature line. Note the cheque number, date, payee and amount on the cheque stub or in the cheque ledger at the front of your chequebook.
The differences: In Canada, when you write out the amount of the cheque using words, you only need to write out the whole dollar amounts. For the portion of the amount less than a dollar simply write the fraction numerically in the space provided (on the line ending with the word "Dollars”). The result will look something like this: Seven and 86/100 Dollars. You do not need to cross your cheque in the upper left corner.

Q: How do I open an account for the first time?
A: To open an account with us for the first time, you must present two pieces of identification from those listed below, with at least one piece from Part A. Alternatively, you may present only one piece of identification from Part A, if your identity is confirmed by a client in good standing with the bank or by an individual of good standing in the community where the bank is located.

PART A

• Driver's license issued in Canada, as permitted to be used for identification purposes under provincial law
• Canadian passport
• A Certificate of Canadian Citizenship or Certification of Naturalization, in the form of a paper document or card but not a commemorative issue
• A Permanent Resident card or Citizenship and Immigration Canada Form IMM 1000 or IMM 1442
• A birth certificate issued in Canada
• A Social Insurance Number card issued by the Government of Canada
• An Old Age Security card issued by the Government of Canada
• A provincial health insurance card, as permitted to be used for identification purposes under provincial law
• A document or card, bearing the individual’s photograph and signature, issued by any of the following authorities or their successors:

• Insurance Corporation of British Columbia
• Alberta Registries
• Saskatchewan Government Insurance
• Department of Service Nova Scotia and Municipal Relations
• Department of Transportation and Public Works of the Province of Prince Edward Island
• Service New Brunswick
• Department of Government Services and Lands of the Province of Newfoundland and Labrador
• Department of Transportation of the Northwest Territories
• Department of Community Government and Transportation of the Territory of Nunavut

PART B

• An employee identity card, issued by an employer that is well known in the community, bearing the individual's photograph
• Any bank card issued by a member of the Canadian Payments Association in the name of, or bearing the name of, the individual and bearing the individual's signature
• A credit card, issued by a member of the Canadian Payments Association in the name of, or bearing the name of, the individual and bearing the individual's signature
• A Canadian National Institute for the Blind (CNIB) client card bearing the individual's photograph and signature
• A foreign passport

Additional identification
Additional identification containing a photograph and signature may be required if bank staff request you to verify your identity.
If the identification presented to open the account does not contain your name, date of birth, address and occupation, TD Canada Trust may request you to provide that information, except where you do not have an address or are not employed.

Q: How do I know what account to choose?
A: In India, a savings account and a chequing account perform the same function. This is not the case in Canada. If you want to save some money for your short-term needs, think about opening a savings account. This type of account is a good choice if you don’t need to use your money right away or you don’t intend on having much account activity in a month. The bank will pay you interest which will vary depending on the type of account chosen and interest rates in general. You may take your money out any time.
If you want to keep money handy for paying bills or personal expenses, you should think about opening a chequing account. This type of account is good for money you need to have access to from day to day. You may take your money out at any time in person, at an automated bank machine, by writing a cheque or by direct payment. Chequing accounts usually have lower service fees than savings accounts. Some chequing accounts do not pay interest and some do (a chequing account usually pays a lower rate of interest than a savings account), all with monthly fees waived, if a minimum monthly balance is maintained. Ask us for more information, or visit our product page for more details.

Q: What is the purpose of deposit insurance?
A: The Canada Deposit Insurance Corporation insures depositors’ funds to a maximum of $100,000 per depositor, per institution and per type of deposit, with some exceptions, in the event of failure of a federal financial institution.

Q: What is a direct deposit?
A: A means of authorizing payment by governments or companies to be deposited directly into a recipient’s bank account. It is used mainly for deposits of a recurring nature such as salary, pensions and interest payments.

Q: What is an Access Card?
A: A TD Canada Trust Access Card gives you surakshit  access to your TD Canada Trust accounts. No one can access your accounts without your unique Access Card number and your confidential Personal Identification Number (PIN), EasyLine PhoneCode or EasyWeb password.

Q: How do credit cards work?
A: Credit cards allow the holder to charge purchases to their account rather than pay cash. Generally, no interest is charged as long as you pay your entire balance each month in full by the payment due date on each statement.

Q: What is a line of credit?
A: An agreement negotiated between a borrower and a lender, establishing the maximum amount of money a borrower may draw. The agreement also sets out other conditions, e.g. how and when the money is to be repaid.

Q: What is a credit rating and why is it important to build a good credit rating?
A: Your credit rating is a measure of your credit-worthiness: your reputation for paying back money. The credit bureau maintains your credit history – a list of facts about how you handle debt. This information is gathered from financial institutions, retailers and other lenders. It is not uncommon for new immigrants to have no credit history at all, as they have never used a credit card in Canada and have not yet begun their record of bill payments. Most credit information remains on your file for seven years. The ranking each creditor gives you is called your "credit rating." Your credit-worthiness has an impact on your eligibility for a variety of products such as loans, lines of credit and mortgages.

It is good practice to request copies of your credit report periodically. This will help you monitor your credit rating as well as ensure that your credit report is accurate. To obtain a copy of your credit report, please contact Canada's credit bureaus:

• Equifax Canada: 1-800-465-7166
• Northern Credit Bureaus Inc.: 1-800-532-8784
• TransUnion Canada: 1-800-663-9980 or 1-877-713-3393 in Quebec

How do I build a good credit rating?

• Pay your bills promptly and on time, especially credit cards.
• Borrow only what you need and what you can afford.
• Try to pay off loans on time and as quickly as possible. Not only do these steps help your credit rating, they could also help you save valuable interest costs.

What happens if I have a poor credit rating?
Simply put, if you don't use your credit wisely, you'll end up with a poor credit rating. With a poor credit rating you'll probably have trouble getting new loans and credit cards. This may be frustrating when you finally find the car or house of your dreams. You may also have trouble obtaining a lease for an apartment or even a cellular phone. Some employers may want to check your credit history before offering you a job. Every incident of bad credit stays on file for up to seven years.

Q: I’ve just started working and don’t have a credit history. Can I still apply for a credit card?
A: In many cases, yes. Many banks and other issuers of credit cards are willing to provide new customers and young people (including students), with a basic credit card with a low credit limit such as $500. Responsible use of your first credit card can be a good way to start building a positive credit record.

Q: How can I increase my credit limit?
A: Your financial history and income are used to determine your credit limit. To request a credit limit increase, please call the TD Visa Customer Service Centre at 1-800-983-8472.

Q: What is a Canada Savings Bond?
A: Bachat ka ek surakshit upaay. These bonds are a form of debt issued by the Canadian government, are cashable anytime with interest if held for a minimum of 3 months, at any time at most Canadian financial institutions.

Q: What is a GIC?
A: A Guaranteed Investment Certificate (GIC) is typically an investment in which you deposit money, over a fixed period of time, and are paid a specific rate of interest.

Q: What is a mutual fund?
A: An investment vehicle that pools the money of many individual investors and uses it to buy securities such as stocks and bonds. Each mutual fund has an investment objective. Some mutual funds may invest for capital growth, which means the fund is trying to increase the value of your investment over the long term by buying stocks. Others may invest for income, which means the fund is trying to deliver regular interest payments to you by buying bonds. A professional money manager(s) makes the buy-and-sell decisions concerning which stocks, bonds and other securities will be used to fulfill the investment objective. The value of these securities may vary as they reflect changes in interest rates, economic conditions in North America and abroad, and news about the companies and markets in which the mutual fund invests. When the value of the securities changes, it can make your investment rise or fall in value, and the value of your investment in a mutual fund may be more or less when you redeem it than when you purchased it. Mutual fund investments are not guaranteed and unlike bank accounts or GICs, mutual fund units are not insured by the Canada Deposit Insurance Corporation or any other government deposit insurer.

Q: What is an RESP?
A: A Registered Education Savings Plan (RESP) is a savings vehicle in which a subscriber contributes funds to help a beneficiary to pursue a post-secondary education. Investments in the plan grow on a tax-deferred basis until the money is withdrawn to help finance the costs.

Q: What is an RRSP?
A: A Registered Retirement Savings Plan (RSP) is a savings vehicle designed primarily for retirement. Annual RSP contributions reduce the amount of income tax you pay in that year, and the money in the plan has years of tax-deferred growth potential. You only pay tax on the amounts you withdraw.

Q: How do I qualify for a mortgage?
A: Aside from your gross annual income and a summary of assets and liabilities, we must have your permission to run a check on your credit history. Credit history, income and/or liabilities (past or present) all influence a final credit decision.

Q: What is CMHC and what does it do?
A: Any purchase where the down payment is less than 20% is considered a high-ratio mortgage, and the mortgage must be insured by the Canada Mortgage and Housing Corporation (CMHC) or Genworth Financial Canada. The insurer will charge a fee for this insurance (typical fees range from 0.5% to 2.9% of the principal amount of your mortgage).