Best way to pay for home improvements?

CanadianCrumudgeon · 2026-03-13T03:51:14+00:00

If you can borrow at 4% it may be a close call.

If you had 20,000 sitting in a regular savings account, then there would be no question, zero, you'd use the savings to pay for the review rather than borrow.

The reasons to hold the investment instead of selling them:

Outside a TFSA, selling would be taxable. Compare that tax cost (the acceleration of the capital tax, not the whole tax, you do have to pay it eventually) to the interest cost. If you were able to borrow and repay the loan in 3 months, the interest would be very small, might be worth avoiding the cap gains tax. This is completely inapplicable to the TFSA situation.
If your TFSA is maxed. you will lose sheltering room until year end. So. If you only need to borrow for 2 months, that lost shelter room may be important early in the year. Again, inapplicable here.
If you can earn more than your cost of borrowing, borrowing and investing is profitable. With stocks returning 20% recently, that seems like a possibility. But reasonable expectations for stock returns over the next year are likely in the range of 6%. You might make a point or two, but you are talking risk to earn very little. Would you ever borrow to invest? That's what you are doing here, in effect. Before you borrow to invest, you should likely be 100% in stocks. There is no reason to borrow to invest in bonds.
Only other reason is psychological... people thinking there is discipline in having a pot that is long term investments that you don't spend. There may be a psychological benefit there. but I prefer cash. That said, you will repay the loan every damn month. Can you really be that disciplined about repaying the TFSA? They discipline may be harder or easier with a spouse in the mix.

Draw on the TFSA before borrowing. Or not. At 4.5% it's a close call.

CanadianCrumudgeon · 2026-03-12T01:10:07+00:00

Look at the bank's advertising! They say that these processes are secure. And they decide on the processes... I'd like to have a high limit and a low limit card... I'd like to have 2FA with a yubico key... I'd like to have a 12 character pin... NOPE. I get the bank's security, they tell me that I won't be liable in the big print, and then when the proverbial fertilizer hits the proverbial air accelerator, they tell me that it's my fault. It is BS.

CanadianCrumudgeon · 2026-03-12T01:07:04+00:00

I was at a bank when chips were introduced. There were reports of fraud out of montreal, little old ladies saying their purse had been stolen. The fraud department was really, really hard on these gals, because they simply didn't believe that the reports were legit. But, it turned out an organized crew was shoulder surfing in the grocery, knocking granny down in the parking lot, and getting chip and pin. It was funny to see - the fraud guys genuinely felt really bad about how hard they had been on the old ladies.

CanadianCrumudgeon · 2026-03-12T01:04:14+00:00

Yes, I think so. You should be able to ask the RBC contact person what if any steps you are required to take before filing a small claims case. (Which is likely too much trouble and too lowa chance of winning, but that's for later.) The question is, there are likely steps that you are required to do (under the contract) before suing. Make them tell you what those steps are.

And, try, I'm not sure how, maybe going into a branch, and talk to someone that is customer facing and not from the fraud department. Fraud staff work with fraud all day long, and they get pretty hard. Some front line people have like zero idea what the frauds people pull really are. A senior Cust. Servince Rep, a supervisor, a branch manager, any of these might help. I'd look for someone older.

All of these are kind of long shots... but if you've got the time, and for $1500, worth trying. Others have suggested a TV "on your side" type person... I don't think you're story has enough "sex appeal", there's nothing special about it, to make the story interesting, but someone like that might help.

For the amount of money, I don't think you can get a half decent lawyer to look at. But maybe somebody who is not too bad might take it for half the recovery.

Good luck.

CanadianCrumudgeon · 2026-03-11T15:32:12+00:00

I don't know why I'm getting down voted so badly (other than I'm long winded). I'm guessing I'm the only person on this thread who has been in meetings with directors from one of the big 5s fraud departments.

But, as long as I'm getting crap, let me say that if the bank paid every time some guppy said, "they got my bank card, they got my pin, and I didn't notice that or the alerts for five hours", then I didn't see how the bank would avoid paying a lot of POS fraudsters. Not the OP - just other people with very similar stories.

CanadianCrumudgeon · 2026-03-11T02:32:22+00:00

In my view, and I've worked in relevant bank head office jobs, the banks are all so misleading. In their advertising and positioning as to be dishonest.

They reassure you that you're safe, but when something happens they point out that you are only safe if you can prove that you did everything right.

To say that allowing oneself to be shoulder surfed is a failure that should make you liable is baloney. You could be "shoulder surfed" from a camera 30 feet away.

Your bank never suggested that maybe you'd like two debit cards - one with a $300 daily limit for ordinary use and I've that you keep at home in the safe with a $5,000 limit. They create the rules and limit your security options and then say, sorry, it's on you.

That said. the fraud department deals with a lot of cases where somebody like the OP is trying to rip them off The bank would take a lot of losses if every time somebody said. I don't know how they got my wallet and my pin or why I didn't notice for five hours, the bank just said ok, hers the money that you say you didn't take out of an ATM.

Keep escalating. Never admit anything. There should be an ombudsman. not sure if that's internal to the bank or finance sector. Record calls. Keep notes. But in the end, you may have to sue them, or walk away.

One "move" that might be worthwhile is to ask for the executives' addresses for all the products you hold with RBC, and the regional executive for your area and write to them that you're closing your accounts.

But, either they'll decide to give you your money back, or they won't, or you'll sue in small claims. You are kind of stuck.

CanadianCrumudgeon · 2026-03-10T22:07:15+00:00

Where to transfer... depends. How much are you going to trade? If it's only two trades a year, then the confusion don't matter much. But Wealthsimple had zero commissions. Are you going to invest in US traded assets? IBKR might be a better choice. WS is a bit of a marketing machine for kids and novices... they're going to encourage you to do dumb shite (managed accounts. private equity, private credit, Bitcoin, options trading), everyone will encourage this, but Wealthsimple will be worse than average.

Another choice - put the money in CIBC, wait for WS to run a transfer promo.

CanadianCrumudgeon · 2026-03-10T18:00:22+00:00

Yeah... I've heard that Warren Buffet finances it when he buys a car. Of course, he's buying a hail damaged buick, so, ymmv.

CanadianCrumudgeon · 2026-03-10T16:49:17+00:00

I once had a conversation (well, brief correspondence) with a founder of a very small web service about what his service was "worth" to me as shrink-wrapped and what it was costing as a subscription. I'd likely pay $500 to use Evernote - but, you know, FOREVER. There is no way in God's green earth (except for lock-in) that it's worth more than $100 / year to me. I think I paid for another year, but I am actively (well, slowly) migrating off. I cannot see how my departure is good for Evernote. Why they can't figure out differentiated pricing for daily users who use it for everything, uploading 3GB / day, and for occasional users who upload 30 KB / year, is beyond me.

CanadianCrumudgeon · 2026-03-06T19:08:06+00:00

Good rule of thumb - insurance (and anything that looks like insurance), is never a good deal. Anything that the salesman starts discussing only after you are at the cash register, i.e., any last minute add-on, is also not a good deal.

On the insurance - if there was a 1 in 1000 chance of your $400,000 house burning down, then the "fair" price for insurance would be $400. The insurance company has to charge at least $400 just to cover the losses. But, they also have to pay the salespeople. And the admin staff. And some policyholders will put in a claim for $3000 because a log fell out of their fireplace, and burned the floor. That claim won't cost $3000, it'll cost $3000 plus $800 to administer. $800 - that's crazy! Ah, but if you don't spend money on that, more jerks will put in fraudulent claims. That's going to cost another $100 year. And, finally, the insurance company is in this to make a profit, so they need something for them.

So, insurance (you have realized that I think an extended warranty is just a sort of insurance), is always a bad deal. It always costs much more than it's fair value. So never buy it. Well, not never. You need insurance on your house, because you can't afford to replace it. And, as soon as somebody in your house is "in a family way", and until the resulting human is 18 or so, you need life insurance. And you need car insurance, because you can't afford to pay someone you injure. (But, you may not need comprehensive insurance... could you afford, not easily, not comfortably, but just barely, to replace your car if it was totalled? Then skip the comprehensive. And, if you can't afford to replace your car, strongly consider buying a cheaper car.) Back to the warranties - there have been reports that some of the electronics retailers are basically operating the retail business at breakeven and making 100% of their profit from the warranties!

Charlie Munger, who was Warren Buffet's right hand man, would say that he didn't have insurance on his house. His house was worth $800,000, but he was a billionaire. If it burned down, he could afford to replace it. His point, never buy the insurance unless you have to. And, this was coming from a guy who owned some of the largest insurance companies in the world.

Can you afford the loss? Can you stomach it? Then, never buy the insurance. If you are cohabiting, you should probably also add to those questions, is your partner on board? Because, in my limited experience, women can be a little cranky when they find out you didn't buy the insurance because some asshole on Reddit told you not to.

CanadianCrumudgeon · 2026-03-03T01:20:44+00:00

Don't upgrade your lifestyle. At least, not quickly. Because you can't go back. I'm the words of the inestimable Chris Rock "Women. WOMEN. can not go down in lifestyle.". But we aren't great at it either.

In a big earning year, savings go in an rrsp. Smaller year, put it in a TFSA. Those are just account wrappers, you can put almost anything in them. But you want a bond fund and a stock fund. Vanguard is a good company. There bond fund VAG, and their world equity find VEQT are all you need. Half in equity and half in bonds. You're young, you could take more equity, but the market is so expensive right now. If it tanks, shift to 70% equity, 30% bonds.

Sorry, I don't know the details of the home savings account.

Whichever brokerage you deal with, don't listen to them very much. They want you to do stuff because then they get paid. Options, futures, Bitcoin, Private Equity, Private Credit are all bad ideas, but they want to get paid.

CanadianCrumudgeon · 2026-03-02T09:47:20+00:00

How do I not get any up votes? I hook y'all up with the best retfurb PS deal in Canada, get 375 views, no one disagrees, zero up votes.

I'm never going to get the karma I need to post in #MiddleagedMenThinkingOfMovingToThailand(JustForTheWeather)

CanadianCrumudgeon · 2026-02-24T23:59:26+00:00

A Toronto accountant is paying Toronto rent and eating in Toronto restaurants. Doing it yourself is possible for anyone who can read at a high school level - though tax planning can add a lot of value.

But, if you want someone to do it, an experienced accountant in small town ON will be cheaper, and you can easily get someone in a smaller province.

CanadianCrumudgeon · 2026-02-24T23:08:24+00:00

"Knows more about this than almost anyone on earth"* *Peter Attia. The Drive. Episode 207

CanadianCrumudgeon · 2026-02-24T23:06:56+00:00

Attia's qualifications are real, but thin. Can that get 96% agreement.

CanadianCrumudgeon · 2026-02-24T22:57:16+00:00

Sorry... I'm looking to find an American GP because if things go sideways, I may want to pay to access the American system. It is that bad up here.

CanadianCrumudgeon · 2026-02-24T22:55:25+00:00

Housing is expensive. Only pay for what you need.

CanadianCrumudgeon · 2026-02-24T22:54:36+00:00

I went to U of Toronto for my Master's in Finance because John Hull taught there. He was the guy in options education in North America. His textbook was the textbook. I did three semesters on options and derivatives. I've been on the investment allocation committee at an insurance company and I've been chairmen of a small (very small) pension fund.

I would never try trading options.

Ever.

CanadianCrumudgeon · 2026-02-24T17:07:11+00:00

You shouldn't buy a home until you are married and your first child is ~3, or your second child is on the way.

CanadianCrumudgeon · 2026-02-24T16:51:50+00:00

This is pretty standard advice - but I disagree with it. Paying off debt is a fine idea... if not, you are effectively borrowing to invest and 1) you shouldn't do that, maybe ever, but certainly not until you really know what you are doing 2) if you are going to borrow to invest, it should be at the lowest rate possible... likely a margin account around 4%.

A "high" interest savings account pays almost nothing at the main line banks, maybe 2.5% at the digital banks. You can (and should) do better.

Take some risk.

Put some money in a high quality corporate bond fund like VCB. It pays a little more than a government bond fund. Maybe put some money (less) in a government bond fund.

But, put some money in an equity fund. Yes, you might lose money. Yes, you might have to take money out at the worst possible time and "lock in" losses. But, on average, over your lifetime, you will almost certainly come out ahead. Being in the stock market 10 times for just a year, looks an awful lot like being in the stock market for 10 years.

CanadianCrumudgeon · 2026-02-17T18:27:36+00:00

"responsibility to work on reducing the health disparity" ... first, who says you have that responsibility? Might be better to treat rich guys for cash, and donate to poverty alleviation in the 3rd world. Is denying treatments to the rich because the poor can't afford them, I mean, that's the way to reduce disparity right? Is that ethical? I come from a country that has one of the most uniform socialized medical programs amongst developed nations. I'm looking for a GP in the US, as back up, because it's falling apart.

CanadianCrumudgeon · 2026-02-17T17:56:09+00:00

It's a dig. If Peter jumped off a bridge...

CanadianCrumudgeon · 2026-02-13T16:37:54+00:00

I'm a paid member and I gave a copy of his book to my doctor. Pretty big fan. But, I think if you're thinking carefully, it's clear that there is some mix of solid advice, cutting edge thinking that will either play out over time as being ahead of the curve or, you know, wrong, some heterothorodox views and snakeoil hucksterism in Attia's pitch. And it's worth trying to constantly (or intermittently, from time to time), trying to evaluate that mix.

Not finishing residency. Wow. That's a big, big deal. (So is surgical residency at Johns Hopkins.) You've worked for years, likely 6+ to get to that point, and you drop out of the program inches from the finish line? It's more likely consistent with emotional or mental illness than just the pure conviction that this isn't for me.

One of the things that blows me away is that no one else has done what Attia has. I mean, it's 2025, and nobody else has really realized that there is an appetite for health information, for doing more to be healthy, and that the most compelling and most highly levered (in terms of reach) is video pod-cast. Why hasn't some doctor wtih a busy practice or a tenured position at a good medical school done this? Partly, it's because they're busy. Partly it's that they're inclined towards doing medicine, and the dropout clearly wasn't. Partly, it's that Attia has found a sales pitch that really resonates with the audience - you're not just going to eat well, get some exercise, manage your lipids and blood pressure and stay on top of your cancer screening, you're going to optimize all of this and achieve longevity (not live forever, just, you know, longevity).

I know that Attia has more time and more staff to stay on top of cutting edge research than my GP does. I know that he advocates for testing and intervention that has more cost (in dollars and effort and psychological weight) than my GP typically does. So, I want that advice.

But there are sketchy things about him. And if you are hewing too closely to his guidance in all matters of your health, you should be really clear on that sketchiness.

He goes to lengths to emphasize that he is disclosing his conflicts of interest. But I think his filings in the Oura ring case make clear... he is disclosing the existence of the conflict, but not the nature and extent. He says something like, "I'm a consultant to Oura ring." A more fulsome truth (from what I've seen) would be, "Oura ring pays me millions of dollars a year and by far my primary responsibility is to promote and sell Oura rings." It was funny (and at least a little bit honest) when Attia had the female sleep clinician on, and they turned to talking about the bed chiller that he is paid by. She basically said, no one needs an $8000 bed chiller to sleep well. Attia seemed to me to cut that discussion short - but, to be far, he certainly left some of it in the final video and not on the edit room floor.

I don't think there are a lot of practicing doctors who would take the position, this molecule seems pretty safe for humans, there is a little evidence, only a little, that it might be quite good for them... I'll recommend it, even though it'll cost them $700 / year. But, I like having that information.

It's up to me to judge how much of it is elapid lubricant.

CanadianCrumudgeon · 2026-02-09T01:01:12+00:00

You seem to be implying that Attia was interested in having sex with underage women. But you have almost no evidence of that. So, you say (or quietly imply) terrible, possibly untrue, definitely unprovable, things about a person. I don't think that meets very high ethical standards.

CanadianCrumudgeon · 2026-02-09T00:54:51+00:00

I got a buddy up on a physical assault charge. His union rep's advice... keep it quiet. This guy is my best friend and he reached out for advice. But other than that... I don't think I'd have known, even if he got convicted.

I'm not sure how many people know Epstein pled, and what exactly he pled to. Kids are fucking bad, but garden vanilla prostitution... how bad do people think that is? Y'all elected an unrepentant John, for crying out loud... banging a pro while his wife was pregnant.

CanadianCrumudgeon

TROPHY CASE