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Save for a child’s university or college costs through RESPs. (Photos.com)
Save for a child’s university or college costs through RESPs. (Photos.com)

Choosing an RESP

Choosing an RESP provider Add to ...

The company that sets up your RESP is called the plan provider or promoter. RESPs from a financial institution — like a bank, trust company or mutual fund dealer — work a lot like any other investment account. RESPs offered by scholarship plan dealers are set up differently and have different rules.

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8 questions to ask

  1. What fees are you expected to pay? When do you have to pay them?

  2. Do you have to make regular contributions? If so, what happens if you miss a contribution?

  3. What investment options are available?

  4. When and how will payments be made from the plan?

  5. What kinds of post-secondary programs qualify?

  6. Are the plan's rules more restrictive than the government's rules on which programs qualify? Find out which programs may qualify.

  7. What happens if your beneficiary doesn't continue with their education after high school?

  8. What happens if you want to cancel the plan? Is it easy to get your money out? Will you have to forfeit your earnings?

Use this checklist to help you decide. Learn more about choosing an RESP provider.

Who offers RESPs

Take a look at this list of RESP providers in Canada. It also tells you which government grants each provider offers.

If you have a problem with an RESP provider

If you can't resolve a problem directly with the provider, you have options.

Content in this section is provided in partnership with Investor Education Fund, a non-profit organization founded and supported by the Ontario Securities Commission that provides unbiased and independent financial tools to help Canadians make better money decisions. To find out more, go to: GetSmarterAboutMoney.ca

Follow us on Twitter: @GlobeInvestor

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