Group RESP Companies are known for some very aggressive sales tactics but now it seems that one such company has crossed the line – the legal line. The office of Ontario’s privacy commissioner and the Ontario Securities Commission are reportedly both investigating the breach.
As early as 2002 the Ontario Securities Commission has been warning investors about pooled scholarship Registered Education Savings Plans, issuing a brochure saying their risks are too easily misunderstood. The OSC was worried about the costs and cancellation policies of group RESPs and the industry’s sales practices. A section in the brochure on RESP tips says, “Don’t fall victim to aggressive marketing techniques.” Another tip warns investors not to invest in RESPs if they don’t understand the product.
The Ontario Securities Commission was absolutely right about Group RESP companies’ aggressive marketing techniques. According to the Toronto Star and news source CP24, between 2009 and 2014, two to three staff members at Rouge Valley Centenary hospital in Scarborough sold information on new mothers to companies trying to sell Registered Education Savings Plans (RESPs). As many as 8,300 patients may have had their private information compromised – names, addresses and phone numbers. Patients report that they have been contacted by sales reps selling RESPs. The Group RESP Company involved has not been identified.
You can save safely and securely for your child’s future and you don’t need to be subjected to aggressive marketing tactics by unlicensed sales people who are not financial services professionals. Insurance for Children is a company that is entirely focused on the financial futures of children. We empower parents and grandparents to create a solid financial foundation for their children and grandchildren. Our variety of customized insurance products has been used by Canadian parents to save for their children’s futures for over 100 years because they are secure, stable and safe, long term investments. Our Family Advisors are all licensed by the Financial Services Commission of Ontario (FSCO). They have received specialized training in Insurance for Children’s suite of products in addition to our corporate values and philosophy. Don’t take chances with your child’s future. Contact Insurance for Children today. It pays for life!
