Effective April 1, 2016 the Canadian Government will no longer be mailing paper cheques. The government will be move to depositing payments directly into bank accounts only. Canadian individuals and businesses will no longer receive paper cheques through the mail.
The Government of Canada issues 275 million payments each year- 79% are deposited directly into bank accounts and 21% is printed cheques. This translates into 58 million cheques that have to be printed and mailed each year! Although a cheque costs 82 cents to produce, a direct deposit costs only 13 cents to process- once all Canadian taxpayers have converted to direct deposit, the savings will amount to $17 million each year! And direct deposit is environmentally friendly too!
Besides the cost savings and eco-friendly reasons to switch, direct deposit will cause your payments to be deposited faster and more reliably through electronic means. Unlike cheques, direct deposit requires no standing in line to deposit, and virtually no chance of it being lost. Your payment will never be delayed due to unforeseen circumstances and will be deposited into the account of your choice.
Enrolling is easy- all you have to do is fill out one form and mail it to the address provided. A variety of payments can be issued to you through the government's direct deposit program. These include:
- Canada Child Tax Benefit (CCTB)
- Canada Pension Plan (CPP)
- Goods and Services Tax (GST)/Harmonized Sales Tax (HST) Credits
- Government of Canada Annuities
- Old Age Security (OAS)
- Tax Refunds
- Universal Child Care Benefit (UCCB)
- Veterans Allowance and Benefits
How Can I Enrol?
Setting up direct deposit is easy! Just follow these steps:
- Complete the Government Direct Deposit Form.
- Print the completed form off, mail it along with a void cheque to the address provided. If you do not have a void cheque, you can stop in at any branch of Diamond North Credit Union and we will stamp Part C of the form with your Direct Deposit Information.
If you have any questions around direct deposit, you can visit any of the links below, or stop by any branch of Diamond North Credit Union.
- Direct Deposit - Did You Know?
- Direct Deposit Quick Facts
- CRA Direct Deposit Enrolment Form
- Service Canada Direct Deposit Enrolment
- Veterans Affairs Direct Deposit Enrolment