Providing for a Lifetime, Spring 2022

April 2022

Audrey Veltri, IG Wealth Management

In this edition of Providing for a Lifetime we are going to talk about the number one reason that eligible recipients of RDSP Disability Savings Grants and Bonds might not actually be receiving the money in their RDSP. I get frequent calls from Canadians who have opened an RDSP at their respective financial institution and have been waiting months, in some cases even years, and no grants or bonds are showing up.
Most often it is a simple case of a last name mismatch with Service Canada, and this is most commonly a result of a marital last name change that has not been updated. When a person gets married and decides to take the last name of their partner a series of administrational name change steps must be taken to update the new name across multiple government, financial, and personal agencies and often Service Canada and the SIN Registry is forgotten.
Applications for Disability Savings Grants and Disability Savings Bonds need to successfully pass-through multiple government agencies prior to approval and the information must be consistent at each step. If the application passes to Service Canada and the SIN Registry and the last name listed there is different from the name provided on the application, grants and bonds will be denied.
What’s worse is that often the family is not notified of the refusal. So, the application for the RDSP is approved, the account itself gets open, the family begins to fund through private contributions – and then nothing happens. No grants. No bonds. No explanation. If you have opened your RDSP and are waiting for grants and bonds to arrive but they just aren’t coming, this is likely the cause.
What can you do? Call the Federal Disability Savings Plan number (1-866-204-0357) and ask them to investigate this for you. You will need to have your RDSP contract number as well as the SIN number for the beneficiary. If it is in fact a last name mismatch you will need to take the necessary steps with Service Canada to update your name with the SIN Registry. Once your name is changed, you must go to the financial institution where the RDSP is open and re-apply for the Disability Savings Grant and Bonds by re-submitting an EMP5608 form.
If you or someone you care about has questions about this article or could benefit from disability supports and planning for the future, I am here to help.
IG Wealth Management_Audrey Veltri

We provide financial guidance to families supporting dependents with a disability and family stewards to ensure effective access to all financial programs and government supports. We implement strategies to protect these supports and guide families through periods of transition and all life stages. We create solutions that transcend generations, so families can enjoy today, embrace tomorrow and secure a comfortable, safe and healthy future for the whole family.
Audrey Veltri|403.619.0410|