Frequently Asked Questions
Below are the answers to some of the most frequently-asked questions about CUDIC.
- All deposit accounts – the combined total of each member’s chequing, savings and term deposit accounts – are covered up to $250,000, including principal and interest.
- Trust deposits are insured separately up to $250,000, including principal and interest. In addition, each person in a trust account is insured separately up to $250,000, including principal and interest.
- All joint accounts owned by the same combination of persons are added together and the combined total is insured to $250,000, including principal and interest.
- Every registered RRSP, RRIF, TFSA, and RESP investment contract is insured separately to $250,000, including principal and interest. This means that you can have unlimited coverage of your TFSA and RRSP portfolio by maintaining multiple contracts of $250,000, or less.
For the purposes of determining deposit insurance protection, a business is defined as a corporation, partnership, association, registered charity, or government.
Deposits Held in the Name of a Corporation, Partnership or Association
CUDIC provides separate deposit insurance protection up to $250,000 for the deposits held in the name of a corporation, partnership, or association. Each account must be designated on the credit union’s records by name and the credit union must maintain copies of the appropriate supporting documentation.
Eligible types of businesses include:
- Corporations (registered under either the provincial or federal Corporations Act)
- Partnerships (registered with partnership agreement)
- Associations (e.g. community hockey association)
Deposits for eligible business accounts are insured separately from deposits held in the names of any of the individual principals.
Note: Deposits of a Sole Proprietorship business are not separately insured from other deposits held in the name of the individual owner.
CUDIC insures deposits of a business at each Nova Scotia credit union up to a maximum of $250,000 for all business types, except sole proprietorships.
Deposits for eligible business accounts are insured separately from deposits held in the names of any of the individual principals. Eligible deposits in the name of a business will be insured separately from eligible deposits in individual accounts or accounts in the name(s) of the business owner(s) if the business is a partnership or an incorporated business.
- Equity shares issued by a credit union
- Self-administered TFSAs and RRSPs that are not deposits (e.g., real estate, mutual funds)
- Contents of safety deposit boxes
- Securities held for safekeeping
- Mutual funds
- Accounts in foreign currency