Free iPad vs paying for one?

RBC (royal bank) has an offer that gives me a free iPad ;the same model I am looking at buying to replace my current iPad which is obsolete). I can buy this at Best Buy or Costco for $379 (current best price I found). Or I could jump through the hoops to get the free one. In order to qualify you need to do the following. 

- open account

- set up 2 preauthorized payments 

- set up 2 bill payments 

Fee for account is $16 per month and there doesn’t appear to be a time frame I have to keep the account  I think it’s worth my time assuming I spend a total of 4 hours that means I have “earned” $100 per hour tax free  I think it is worth it but I’m concerned I’m “playing with snakes”  what would you do? 

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    • Annieland
    • YNABbing every day since 2009!
    • Annieland
    • 3 mths ago
    • 1
    • Reported - view

    Personally, I don't like the idea of paying $16 a month for a checking account.  Forget time spent.  You're making $16 payments on an ipad.  Money that could be doing something else.  So I don't see it as a free iPad, just a reallly long payment plan.  

    Reply Like 1
      • MXMOM
      • MXMOM
      • 3 mths ago
      • Reported - view

      Annieland yes I agree about the bank fees. I just closed a bank account I have had for 30 years. They raised the minimum balance for waiving the fees but there was also some other condition. I kept that account until the kids no longer had youth accounts. So yes, not 100% free but as long as I can verify if there is a minimum time that I have to keep the account, it would cost me 2 x $16 plus my time. I’ll have to dig into the fine print. 

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      • MXMOM
      • MXMOM
      • 3 mths ago
      • Reported - view

      MXMOM and here’s the requirement for keeping the account. Works out to $237  

      • Your Eligible Personal Banking Account must remain open and in good standing, and the Qualifying Criteria you performed to get the Reward (such as payroll/pension deposit, pre-authorized payments) must remain in effect until September 30, 2020.
      Reply Like
      • HappyDance
      • YNABing consistently since 2014
      • HappyDance
      • 3 mths ago
      • 1
      • Reported - view

      MXMOM 

      I suppose that if you banked somewhere else AND paid a similar account fee, this promotion might be attractive.  But for those of us who have found ways to eliminate bank fees altogether, this offer sucks.  And, I might add, for those of us who have banked with RBC for an entire lifetime (like my 76-year-old mom), the fact that they offer these promotions to new customers but can't give her more than 0.5% on her savings account balance is just downright annoying.  I just talked her into opening an online high interest savings account with a 6-month promotion.  In your eye, RBC!

      Reply Like 1
      • MXMOM
      • MXMOM
      • 3 mths ago
      • 1
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      HappyDance I’m with Simplii now and just closed out the CIBC account that I was paying $4 per month. I would not move all my business to them, just what I need to do for the offer. I am going to look at it again because I don’t want to get dinged because I didn’t do something right. 

      I have a lump sum deposit with Alterna bank. They are paying 2.35% on a TFSA account. 

      Reply Like 1
      • HappyDance
      • YNABing consistently since 2014
      • HappyDance
      • 3 mths ago
      • Reported - view

      MXMOM 

      Tangerine is giving me 2.75%. right now. I like Tangerine.  They continuously renew offers of promotional interest on increased savings to existing customers too, so at least once a year I can count on a fresh promo interest offer on funds added after a particular date.  They will take a baseline of whatever my savings balance was on such-and-such date, and anything I add above that gets the promotional interest.  Since I move my savings around, this applies to the entire balance I move back (when the timing is right.)  And Tangerine pays out referral candy.  If you're interested in Tangerine, there's a referral code in my profile that will get you a bonus of $25 if you use it when opening an account.

      Oaken's rate is 2.3% on savings.  (I've got some GICs at 3.25% in a TFSA at Oaken, so I use the savings account to build up a few monthly bits that I eventually contribute to  that TFSA and to the GIC  ladder each year)

      Motive Financial (a subsidiary of Cdn Western Bank) has a new savings account, the Savvy Savings Account with a rate of 2.8% on the first $100K.  That doesn't appear to be a short-term promotional rate but their set permanent rate.  I will be looking into that one.

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      • MXMOM
      • MXMOM
      • 3 mths ago
      • 1
      • Reported - view

      HappyDance yes, I have money in that Tangerine deal too. Actually doing my tuition category vs account review shows me that I can keep most of the money in there until that promo ends in November. 

      My mom has money at Tangerine as well but I think she would balk at these "new" banks. Although they all are covered by deposit insurance. 

      I just looked at the Motive website and the 2.8% is on the first $1 million (not that I have that).

      Reply Like 1
      • HappyDance
      • YNABing consistently since 2014
      • HappyDance
      • 3 mths ago
      • 1
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      MXMOM 

      My mom deals with a persistent worry of identity theft and online scammers, so online banking makes her extremely nervous.  But, even she just opened a new online account. It means that I get more calls about "suspicious" e-mails, but it's all good.

      Reply Like 1
      • TechieM2
      • IT Professional and General Geek
      • techiem2
      • 3 mths ago
      • Reported - view

      MXMOM is there a required minimum for the deposits and bill payments?  I know I've seen some offers now and then that would basically require me to deposit most of my paycheck in order to get their bonus.

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      • MXMOM
      • MXMOM
      • 3 mths ago
      • Reported - view

      TechieM2 I am going to check more thoroughly. I agree most of the promotions wabt you to direct deposit your paycheque.  

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      • eloquentz
      • Numbers Wizard (Accountant), Acoustic Artist (Musician) and Jill of all Trades (Wife & Mother)
      • eloquentz
      • 3 mths ago
      • 1
      • Reported - view

      HappyDance My Mom is also suspicious of online banking. She's scared of the security and someone stealing her info. Yet she spends hours on Facebook every day. <Sigh>

      Reply Like 1
      • jenmas
      • jenmas
      • 3 mths ago
      • 3
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      eloquentz my aunt is suspicious of online shopping so she makes my uncle place all the orders. But she is also an active user of Alexa and Siri 🤣

      Reply Like 3
    • JoeDid
    • Remember: It is To Laugh
    • Purple_rain
    • 3 mths ago
    • Reported - view
    MXMOM said:
    there doesn’t appear to be a time frame

     Be sure to read the fine print carefully. There is usually a minimum-time requirement.

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    • Annieland
    • YNABbing every day since 2009!
    • Annieland
    • 3 mths ago
    • 1
    • Reported - view

     there doesn’t appear to be a time frame I have to keep the account

    Sorry, I guess I missed that part.  YES, Make sure you read and understand the terms!!

    Reply Like 1
  • Here’s what I decided to do. The net savings of $192 I would have to babysit the account until September 2020 and if I messed up, I would actually have to pay the full retail price back PLUS whatever monthly fees to date I paid. The savings works out to just under $15 per month so again looking though the lens of Your Money or Your Life, I would be earning the equivalent of about $20 per month. Assuming I spent a half hour of time per month, that works out to about $40 per hour. Which is not bad. BUT only if I don’t mess up. 

    So I decided not to do the “free” iPad and instead I bought one on kijiji for $360. Not an awesome deal but not bad considering it’s in a sealed box and not used. Net savings is about $70. But I don’t have to worry about it. I will see if I can get some money for my old one. Apple was only offering $25 on trade in so that wasn’t worth it. What I’d really like to do with the old one is to give it to someone with kids that can’t afford one. It still works and can play Netflix and access the library plus s whole slew of apps. But trying to find someone worthy is hard plus I was disillusioned years ago when I volunteered to distribute Christmas gifts to families “adopted” by each class at my high school. I drove around to help deliver gifts and went into apartments that were subsidized housing where the parent was receiving welfare and they had nicer stuff that we had. But if I find someone “worthy” then I’ll flyover it to them. Otherwise I try to sell it. 

    So off to backup the old one and set up the new one. 

    Reply Like 2
      • TechieM2
      • IT Professional and General Geek
      • techiem2
      • 3 mths ago
      • 2
      • Reported - view

      MXMOM I know there's plenty of people with legitimate need and hardships, but it also seems there's a large number of people who "can't afford" to buy food or housing but somehow manage to have the latest iphone/huge tv/smoke 10 packs a day/etc.

      Reply Like 2
      • MXMOM
      • MXMOM
      • 3 mths ago
      • 1
      • Reported - view

      MXMOM Decided to give it to my coworker for her daughter

      Reply Like 1
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