Who is this for?
Anyone drawn to the idea of using a loan or line of credit to make an important purchase may be interested in Solutions BankingTM borrowing options.
For example, a young family who recently purchased a fixer-upper home may require a loan or line of credit to complete important home renovations. Or maybe an investor has discovered a unique investment opportunity and needs extra funds to fully take advantage of the opportunity.*
How will this help me?
Solutions Banking borrowing options are designed to help Canadians reach their personal financial goals. A loan or line of credit could help you pay for a project or purchase that may otherwise take months or even years to set aside money for. These lending options can be especially helpful when the purchase represents an emergency expense – such as replacing a critical home appliance (like a stove, air conditioner or furnace).
Of course, it’s important to understand the consequences associated with borrowing money. Your financial security advisor and investment representative can help you manage debt in an effective way and identify strategies for paying debt off as quickly as possible.
What else do I need to know?
Secured personal flex line of credit
If you like the idea of having access to a pre-approved loan, you may be interested in the Secured personal flex line. It features lines of credit from $5,000, variable interest rates, flexible payment options and free unlimited banking transactions. The Secured personal flex line is secured by your London Life segregated fund policy or Quadrus Group of Funds mutual fund investment.
When employed in a smart and strategic way, leveraging (otherwise known as borrowing to invest) can help an investor grow their non-registered investment portfolio and build their wealth. That said, this tactic can result in magnified losses – meaning it’s not for everyone. Be sure to speak with your financial security advisor and investment representative about leveraging.**
Cash surrender value (CSV) line of credit
The CSV line of credit is for Canadians looking to use the cash surrender value built up in their personally owned or corporately owned London Life permanent life insurance policy as collateral to secure a personal line of credit.
Registered retirement savings plan (RRSP) loan*
An RRSP loan gives you the opportunity to borrow money for unused RRSP contribution room.
* While borrowing to invest has potential benefits (investing an initial lump sum creates greater potential for compound-growth compared to making smaller regular investment purchases), it also has potential risks and can magnify losses (market volatility may result in poor investment returns and the possibility of owing more on the loan than the investments are worth).
** While borrowing to invest can be a powerful means to build wealth, the risks involved make it a strategy that is not suitable for everyone. Your financial security advisor can help you determine if borrowing to invest is a strategy that is right for you.
For full fee disclosure, refer to the Solutions Banking Product and Service Guide to Fees Opens a new website in a new window.
Solutions BankingTM is a trademark of Power Financial Corporation. Freedom 55 Financial and design are trademarks of London Life Insurance Company. National Bank of Canada is a licensed user of these trademarks. Solutions Banking products and services are provided by National Bank of Canada.
Quadrus Group of Funds is exclusively offered through Quadrus Investment Services Ltd. Important information about mutual funds is found in the Fund Facts. You can obtain a copy of this from your investment representative.
Connect with an advisor
Working with a financial security advisor can provide you with the tools and expertise you need to plan for the future.