You can be charged interest at very high rates - happened to me once when I bought GICs (T+0) the day prior to maturity of a bond, forgetting that GICs are T+0 not T+1. The interest was forgiven after a phone call, but I never made that mistake again.what's the worse that can happen if you make a mistake with settlement issues?
T plus two business days Starts Sept 5 2017
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Re: T plus two business days Starts Sept 5 2017
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
Re: T plus two business days Starts Sept 5 2017
That was in a registered account? Why did you not wait for the bond to mature before replacing it with a GIC? Why did the brokerage let you buy the GIC without cash in your account?
finiki, the Canadian financial wiki: a knowledge base of financial subjects written from a Canadian perspective
- Shakespeare
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Re: T plus two business days Starts Sept 5 2017
I thought the settlement was T+1 for the GIC.
Sic transit gloria mundi. Tuesday is usually worse. - Robert A. Heinlein, Starman Jones
Re: T plus two business days Starts Sept 5 2017
OK, I've updated the finiki article on Settlement with a new section, Practical implications. Please have a look and improve it, or report back here. Thanks!
finiki, the Canadian financial wiki: a knowledge base of financial subjects written from a Canadian perspective
- Peculiar_Investor
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Re: T plus two business days Starts Sept 5 2017
On TDDI this morning there was a message
Posted just in case someone is doing some trading today that relies on T+2 settlement.
I'm guessing this isn't specific to TD Direct Investing and is an oddball because of which business days Canada Day and Independence Day line up to this year.WebBroker wrote: 29 Jun. 2020 U.S. Independence Day special settlement
Please note that all trades on Tuesday, June 30, for certain securities that trade in U.S. dollars on Canadian exchanges, will be subject to a special T+3 settlement on Monday, July 6, to accommodate the Independence Day holiday.
If applicable, trading in the corresponding securities which trade in Canadian dollars will not be affected by these special settlement rules.
If you need assistance, please contact an Investment Representative at 1-800-465-5463. To help you connect faster, log into the TD App and choose Contact Us.
Thanks for choosing TD Direct Investing.
Posted just in case someone is doing some trading today that relies on T+2 settlement.
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Normal people… believe that if it ain’t broke, don’t fix it. Engineers believe that if it ain’t broke, it doesn’t have enough features yet. – Scott Adams
Normal people… believe that if it ain’t broke, don’t fix it. Engineers believe that if it ain’t broke, it doesn’t have enough features yet. – Scott Adams