TD Canada Trust (TSX: TD) is hoping to attract retail banking customers by offering free iPods. Customers could qualify for one of three offers: a 1GB iPod shuffle (retail value: $89.99), a 2GB iPod Nano (retail value: $164.99) or a 30GB iPod (retail value: $299.95).

The 30GB iPod offer isn’t all that attractive when you consider that you are required to get a Visa card with an annual fee of at least $99. I don’t have a TD Chequing account and it is tempting to take up TD on its offer of an iPod Nano, which you can get by:

  1. Opening a chequing account. Monthly fees of $3.95 are waived for a Value Account, if a balance of $1,000 is maintained.
  2. Transferring your checking account using TD’s EasySwitch and setting up two pre-authorized debit payments.
  3. Deposit $5,000 into a GIC account. The money is required to remain in the account for 90 days.

For an “investment” of $1,000 and receiving a slightly reduced interest on a $5,000 investment, you can get an iPod Nano worth $190. Like I said, very tempting!

This article has 21 comments

  1. I use TD and I asked a teller last year how well this promotion worked. He told me that they get a lot of new accounts this way (for whatever this observation is worth to a TD shareholder).

  2. What about us poor shmucks who already use TD? I guess I could go in and whine and then threaten to use PC Financial full time, and see if I got a free iPOD.

    Hope this doesn’t dilute profits for TD (being a shareholder)

    –C8j

  3. Canadian Capitalist

    The offer is also for existing customers. You’ll have to check the details on the TD Bank website though.

  4. Funny, I phoned TD yesterday about something else (I have my mortgage there), the girl told me about this offer which sounded ok except that I’m moving my mortgage elsewhere soon so I don’t need the account. I also don’t need an ipod.

    CC – are you trying to put all the other bloggers out of business with two-a-day post? :)

    Mike

  5. I looked at this offer and the Visa totally sucked (as you say, after the $100 annual fee it became a pricey way to get an ipod). I thought about jumping through the other hoops but it seems like too much trouble for something I don’t really want.

    I read about the secondary market for attempted “ipod killers” somewhere. Apparently companies built tons of products hoping to compete with the iPod, and when they flopped, they’ve sold them to liquidators for pennies-on-the-dollar. Check out dollar stores and electronic liquidators for good-quality name brand mp3 players (which you don’t even have to open up a bank account to get).

  6. Canadian Capitalist

    Mike: Not at all. There seems to be so many potential topics this week. I actually wanted to write a post on the BoC decision yesterday. 3 posts a day is a bit too much :)

  7. Transferring your banking to TD for an ipod seems like a bad reason to transfer you banking. Without getting into which bank is better/best (although that would make for interesting conversation)
    I would switch banks for:
    1: a more competitive interest rate on my mortgage
    2: lower or fewer fees
    3: higher level of service when I do need it (Scotia has been excellent in this regard)

    But for an ipod? I can’t see the point.

  8. Canadian Capitalist

    Todd: Good point and I am not planning on moving our main checking account (too much hassle and what do I do about the safe deposit box?). If I did, it would be an account we have that we hardly ever use (I think we did one transaction one year back).

  9. Canadian Capitalist

    Todd: There is one other problem with the offer. Many people have their accounts at their banks for a long time that the banking packages they currently have are not offered anymore. It is very hard to find a no-fee account these days. It wouldn’t make sense to switch and then start making monthly fees.

  10. Okay, I’m biased, by I think RBC’s offer is better:
    New clients who open an RBC Signature No Limit Banking account (or RBC VIP Banking account) between May 1 and August 31 will receive a $150 gift card. Eligible clients can choose from three retailers including HBC, FutureShop or Esso.

    both accounts offer unlimited offer unlimited use of other FIs ATMs …

  11. This posting explains the deal for new and existing customers:
    http://www.redflagdeals.com/forums/showpost.php?p=5142576&postcount=122

  12. Canadian Capitalist

    Hank: That’s an excellent summary. Thanks.

  13. Why not just go with PC’s no fee chequing account? I have a TD Value chequing account. It is good enough for me. But only because I can easily manage to keep $1000 in it without any difficulty. If that wasn’t the case, who cares about the ipod. Sounds tempting, but you might as well put the $1000 and the $4 / month fee, put it in an interest-paying savings account, and buy yourself an ipod at the end of the year. Perfect Christmas present for yourself!

  14. We already use TD for banking, though we use our LOC as our primary account (no chequing account) keeping a positive balance so we never pay service fees. We also signed up for the TD Elite Visa last year as it comes with an emergency auto club membership so we were able to cancel CAA and get the same service plus a VISA with 1% cashback and no tiers.

    So basically, no iPod for me but something to consider if you’re looking for free “chequing” (other than PC) or if you’re currently a CAA member.

  15. The problem with PC banking is that when you need to talk to a bank teller or account manager you really need to talk to someone in person.

    I liek that TD is open late for this – I would never get anything done if I had to do it all during office hours.

    Since I need a bank anccount and a credit card anyway I think it is nice to get an iPod with it . They also have a contest for free iTunes gift cards. http://www.tdswitch.com/5/

  16. Hi, I am a journalist with the Toronto Star. I am looking for people in the GTA who are shopping around for a new bank now that all of them seem to be bombarding consumers with different promotions. If anyone is interested in being interviewed, please email me at [email protected]
    If anyone is unhappy with their bank’s current promotion, I’d love to hear from you too. Thank you.

  17. Canadian Capitalist

    Hi Rita: I am not sure how many people read comments to older posts. S0, I’ll mention that you are looking to interview people in an upcoming post.

  18. Thank you. I really appreciate it.

  19. So if we deposit the 5000$ in july, the ipod is going to come 3 months later?

  20. Pingback: Book Review: Predictably Irrational

  21. Pingback: 'Simply Save' with TD Bank | Canadian Capitalist

Leave a comment

Your email address will not be published. Required fields are marked *

*

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>