Should you loan money to someone who is house rich and cash poor? May 18th

There are plenty of retirement plan options in Canada! Stay on top of the best plans right here.
Latest News

Financial planning in your 70s + MORE Oct 12th

When most people think about financial planning, they think about saving and investing for retirement. That is certainly a part of it, but financial planning is much more holistic. Here are a few financial planning strategies for those approaching or into their 70s. If you are not there yet, bookmar.... More »
 freedom 55

Best high-interest savings accounts in Canada 2022 + MORE Oct 5th

Generally, savings accounts offer very low interest rates. So, if you want to earn on your deposits (rather than simply using your account as a temporary “holding tank” or directing to longer-term saving and investing vehicles), a savings account with a high interest is a no-brainer. Howe.... More »
 registered retirement savings plan

Making sense of the markets this week: July 3 + MORE Jul 6th

While regular “Making sense of the markets” columnist Kyle Prevost is on vacation, Dale Roberts and I are filling in. Dale’s piece ran last week, and it’s my turn this week. Dale will return next week, after which a well-rested Kyle will resume.  Speaking of Dale, this week he wrote .... More »

Why GICs might be a better investment than stocks and bonds Aug 17th

Financial markets have fallen quite dramatically in 2022, and that has made choosing investments even more difficult than usual. The turmoil has made many investors nervous about investing in stocks. The Toronto Stock Exchange (TSX) was down nearly 10% for the first half of 2022, and the S&P 500.... More »

How do the RRSP contribution carry forward rules work? Nov 2nd

If I have $25,000 contribution room left in my RRSP, can I take that all at once plus my regular RRSP contribution of $27,230 for the tax year 2020? Effectively making a contribution of $57,230 to my RRSP?— Lorraine The rules around RRSP contribution room  As soon as a taxpayer starts t.... More »
My daughter is 60, divorced, owns a house, perhaps $800,000 house value. She has a small mortgage and no savings of any kind. She lives on a line of credit and a credit card. Her only income is about $300 to $400 monthly CPP.

She is wondering how best to manage. Should she sell now and rent for a short term? 

She is worried about investing since CDIC guarantees only up to $100,000. 

The next five years will be rough until OAS & GIS kick in. Even then, she will be short of money. I have funds but may need that to cover possible care for myself so I cannot help her now. But if I don’t need that money, she will inherit and should be okay in her later years.


(Letter was edited for length.)

Loaning money to family

I’m sorry to hear you have been stressing about your daughter’s financial situation, Joan. I guess you always worry about your kids, even when they are 60! I do think there are several potential solutions to her problem.

I assume she has already explored increasing her line of credit, otherwise she would not be using her credit cards…

Continue Reading On »


Compare insurance quotes through - save time and money!