Administration Tips. Investment Lending Services Administration Tips

Transcription

1 Investment Lending Services Administration Tips Investment Lending Services Administration Tips All trade-marks are the property of their respective owners. / The TD logo and other trade-marks are the property of The Toronto-Dominion Bank or a wholly-owned subsidiary, in Canada and/or other countries. (0112)

2 Administration Tips has been working with financial advisors across Canada since We provide you the support needed to increase your clients non-registered investment portfolio. As one of the industry s most experienced teams of lending professionals, you can take comfort in knowing that we will work with you in building your clients portfolios and your business. This guide is meant to help familiarize you and your teams with our processes and paperwork. If you have any questions or concerns, please give us a call at and one of our representatives will be happy to assist you. You can also fax us at or send an to TDinvtln@td.com Sincerely, Table of Contents For all Loans... 2 For 3rd Party Mutual Fund Loans and Intermediary Accounts... 4 For Stand Alone Mutual and Segregated Fund Loans For Cash Surrender Value Whole Life Policy Loans... 16

3 For all Loans The following is meant to assist with (ILS) processes for Loans only. ALL LOANS How do I print forms from soft copies or TD ILS website? The Loan Application (# ) and Loan and Security Agreement (# ) must be printed on legal size paper (8-1/2" x 14"). Both forms must be printed in legal size as the Font Size will not be compliant and forms will be rejected. Letter size (8-1/2" x 11") paper will suffice for any other TD ILS forms. 2 3

4 For 3 rd Party Mutual Fund Loans and Intermediary Accounts These Loans can only be arranged through Mutual Fund Dealerships who have a Dealer Agreement in place authorizing TD ILS to act as its intermediary. How do I process the primary trades of a new Loan with a nominee account? How do I purchase Funds for intermediary Upon Loan approval, TD ILS will fax a Loan Approval and Trading Instructions to the dealer or/advisor outlining the process to purchase Funds electronically in a designated nominee account (1A####A). Send a cheque with purchase instructions to TD ILS. Return complete, legible trade tickets, with wire order numbers and financial instructions, before 2pm EST. All trades must be placed electronically using a Torbay account (1A####A), the intermediary code TDBI, the settlement source I (for intermediary) and the account designation 3 (for 3rd party). Please do not send directly to Fund companies. Only complete and legible trade tickets will be processed. Make cheques payable to The Toronto-Dominion Bank. Ensure intermediary account (e.g.: 1A####A) and dealer/advisor information are included. Please do not send directly to Fund companies. 3RD PARTY MF LOANS How do I redeem Funds from intermediary Process electronically and fax trade ticket with wire order numbers to TD ILS. Send complete, legible trade tickets, with wire order numbers and instructions, before 2pm EST. Please do not send directly to Fund companies. How do I redeem Funds and purchase new Funds within intermediary accounts (conversion of Funds, e.g. ABC123 Fund to XYZ789 Fund)? Process electronically and send trade ticket with wire order numbers and new purchase instructions to TD ILS. Upon settlement of redemption, TD ILS will contact dealer or advisor to process new purchases electronically send trade ticket with new wire order numbers to TD ILS. Send complete, legible trade tickets, with wire order numbers, before 2pm EST. Please do not send directly to Fund companies. How do I switch Funds (within same Fund company) within intermediary Process electronically and send trade ticket with wire order numbers to TD ILS. Send complete, legible trade tickets, with wire order numbers, before 2pm EST. If a switch is not possible due to Fund company restrictions, please see Selling Funds and purchasing new Funds above or call TD ILS to discuss. Please do not send directly to Fund companies. Phone:

5 For 3 rd Party Mutual Fund Loans and Intermediary Accounts (cont d) How do I transfer Funds out of intermediary Send request to TD ILS. Send complete, legible Letter of Direction to TD ILS. Please do not send directly to Fund companies. How do I provide additional Funds (transferring Funds) as security into intermediary How do I update distribution/dividend instructions? Complete TD Pledge Letters (# ) and send to TD ILS. Ensure the signatures are signature guaranteed with a Dealer stamp. Send request to TD ILS with pre-printed void cheque. Send complete, legible Pledge Letters to TD ILS. For cash distributions, instructions and pre-printed void cheques must be included as Fund companies default to re-invest. Send complete, legible request to TD ILS. Void cheque must have borrowers name(s) pre-printed. Please do not send directly to Fund companies. 3RD PARTY MF LOANS How do I update banking information on Loan? Send request to TD ILS with pre-printed void cheque. Send complete, legible request to TD ILS. Void cheque must have borrowers name(s) pre-printed. Please do not send directly to Fund companies. How do I update non-financial information? Send request to TD ILS. Send complete, legible request to TD ILS. How do I request a change to a monthly Loan payment type and/or blended payment amount? Send request with client signature to TD ILS. Send complete, legible request, signed by client, to TD ILS. How do I request a change to the Loan program? Send a new complete Loan kit to TD ILS with all required documents. Ensure all signatures and initials are included and all required documents are current and legible. How do I increase the Loan amount? Send a new complete Loan kit to TD ILS with all required documents. The Loan Application (# ) and the Loan and Security Agreement (# ) must be completed for the new total Loan amount. required documents are current and legible, the application is for the new total Loan amount (e.g.: Existing Loan = $100,000; increase = $50,000; new promissory note = $150,000). 6 7

6 For 3 rd Party Mutual Fund Loans and Intermediary Accounts (cont d) How do I make a Loan payment and/or pay off a Loan? By redeeming Funds: See How do I redeem Funds from intermediary issue. Send complete, legible trade tickets, with wire order numbers, before 2pm EST. Please do not send directly to Fund companies. How do I add a borrower? By cheque or electronic payment: Send a cheque, payable to The Toronto-Dominion Bank, or send client signed instructions to take a payment from the bank account on file. Send a new, complete and jointly signed Loan kit to TD ILS with all required documents. Send cheques and make payable to The Toronto-Dominion Bank, or ensure the instructions are legible, includes client signatures, Loan number, the lump sum payment amount and dealer/advisor contact information are included. Ensure all signatures and initials are included, all required documents are current and legible. 3RD PARTY MF LOANS How do I remove a borrower? In case of death: Send a notarized copy of will, copy of Death certificate, letter from the executor, and a new complete Loan kit in individual name to TD ILS. The letter from the executor should state that all assets held as collateral for the Loan are to be transferred into the beneficial owner s name of [individual borrower]. Ensure all signatures and initials are included, all required documents are current and legible. For all other instances: Send a new complete Loan kit in single name and a jointly signed letter of direction to instruct that the Loan and all collateral are to go into individual borrower name. The Letter should state that all assets held as collateral for the Loan are to be transferred into the beneficial owner s name of [individual borrower]. Ensure all signatures and initials are included, all required documents are current and legible. How do I change Dealer and/or Advisors? Send a Dealer change form to TD ILS. Ensure all the new advisor s information is included. Please do not send directly to Fund companies. How do I transfer a Loan from another institution? Send a new complete Loan kit, including the Transfer Kit with all required documents to TD ILS. Ensure all signatures and initials are included, all required documents are current and legible. 8 9

7 For Stand Alone Mutual and Segregated Fund Loans These Loans are available to all licensed financial advisors. A Dealer Agreement is not required as all trading is processed directly with the provider and not through TD ILS. How do I process the primary trades of a new Loan? Upon Loan approval, TD ILS will courier a cheque and all required documents to Fund provider who will open and have purchases made into a client-held account with an assignment to TD ILS. Ensure the mutual or segregated Fund provider s Account Application is included in the Loan package sent to TD ILS. This will ensure the purchase instructions conforms with the provider s form requirements. How do I purchase Funds in assigned Send a cheque and purchase instructions directly to mutual or segregated Fund provider. Make cheque payable to the mutual or segregated Fund provider. Ensure the assigned mutual or segregated Fund provider account number is included. How do I redeem Funds from assigned How do I switch Funds within assigned How do I transfer Funds into assigned How do I transfer Funds out of assigned Send instructions directly to mutual or segregated Fund provider. Send instructions directly to mutual or segregated Fund provider. Send instructions directly to mutual or segregated Fund provider. Send instructions directly to mutual or segregated Fund provider. Ensure the assigned Mutual or Segregated Fund provider account number is included. Ensure the assigned Mutual or Segregated Fund provider account number is included. Ensure the assigned Mutual or Segregated Fund provider account number is included. Ensure the assigned Mutual or Segregated Fund provider account number is included. STAND ALONE FUND LOANS How do I update distribution/dividend instructions? Send instructions directly to mutual or segregated Fund provider. Ensure the assigned mutual or segregated Fund provider account number is included. Include a legible, pre-printed void cheque. How do I update banking information on Loan? Send request to TD ILS with pre-printed void cheque. Send complete, legible request to TD ILS

8 For Stand Alone Mutual and Segregated Fund Loans (cont d) How do I update non-financial information? Send request to TD ILS to update Loan and send request to mutual or segregated Fund provider to update account. Send complete, legible request to TD ILS and to mutual or segregated Fund provider. and fax to mutual or segregated Fund provider How do I change monthly Loan payment type and/or blended payment amount? Send request with client signature to TD ILS. Send complete, legible request, signed by client, to TD ILS. How do I request a change of Loan programs? Send a new complete Loan kit to TD ILS with all required documents. Ensure all signatures and initials are included and all required documents are current and legible. How do I request an increase in the Loan amount? How do I make a Loan payment and/or pay off a Loan? Send a new complete Loan kit to TD ILS with all required documents. The Loan Application (# ) and the Loan and Security Agreement (# ) must be completed for the new total Loan amount. By redeeming Funds: See How do I redeem Funds from assigned issue. By cheque or electronic payment: Send a cheque, payable to The Toronto-Dominion Bank, to TD ILS or send client signed instructions to take a payment from the bank account on file. required documents are current and legible, the application is for the new total Loan amount (e.g.: Existing Loan = $100,000; increase = $50,000; new promissory note = $150,000). Ensure the Fund provider account number is included. Send cheque and make payable to The Toronto-Dominion Bank, or ensure the instructions are legible, includes client signatures, Loan number, the lump sum payment amount and dealer/advisor contact information are included. STAND ALONE FUND LOANS How do I request to add a borrower? Send a new, complete and jointly signed Loan kit to TD ILS with all required documents. Ensure all signatures and initials are included, all required documents are current and legible

9 For Stand Alone Mutual and Segregated Fund Loans (cont d) How do I remove a borrower? In case of death: Send a notarized copy of will, copy of Death certificate, letter from the executor, and a new complete Loan kit in individual name to TD ILS. The letter from the executor should state that all assets held as collateral for the Loan are to be transferred into the beneficial owner s name of [individual borrower]. Ensure all signatures and initials are included, all required documents are current and legible. For all other instances: Send a new complete Loan kit in single name and a jointly signed letter of direction to instruct that the Loan and all collateral are to go into individual borrower name. required documents are current and legible. Include a letter of direction from removed borrower confirming removal from the security as well as the Loan. How do I change Dealer and/or Advisors? How do I transfer a Loan from another institution? Send a Dealer change form to TD ILS to update Loan and send request to Fund provider to update account. Send a new complete Loan kit, including the Transfer Kit, to TD ILS with all required documents. Ensure form and all the new advisor s information is included, e.g.: postal and address, phone and fax numbers. required documents are current and legible. and fax to mutual or segregated Fund provider STAND ALONE FUND LOANS 14 15

10 For Cash Surrender Value Whole Life Policy Loans These Loans are available to all licensed financial advisors. Please contact the insurance provider as additional forms may be required to use the policy as security with TD ILS. How do I update banking information on Loan? Send request to TD ILS with pre-printed void cheque. Send complete, legible request to TD ILS. Void cheque must have pre-printed borrowers name. How do I update non-financial information? Send request to TD ILS to update Loan and send request to insurance provider to update policy. Send complete, legible request to TD ILS and to insurance provider. and fax to insurance provider How do I change monthly Loan payment type and/or blended payment amount? Send request to TD ILS. Send complete, legible request to TD ILS. How do I request to increase the Loan amount? Send a new complete Loan kit to TD ILS with all required documents. The Loan Application (# ) and the Loan and Security Agreement (# ) must be completed for the new total Loan amount. required documents are current and legible, the application is for the new total Loan amount (e.g.: Existing Loan = $100,000; increase = $50,000; new Loan amount = $150,000). How do I make a Loan payment and/or pay off a Loan? Send a cheque, payable to The Toronto- Dominion Bank, to TD ILS or fax client signed instructions to take a payment from the bank account on file with TD ILS. Send cheque and make payable to The Toronto-Dominion Bank, or ensure the instructions are legible, includes client signatures, Loan number, the lump sum payment amount and dealer/advisor contact information are included. How do I remove a borrower (in case of death the policy will pay out and close)? How do I change Dealer and/or Advisors? How do I transfer a Loan from another institution? Send a new complete Loan kit in single name and a jointly signed letter of direction to instruct that the Loan and all collateral are to go into individual borrower name. Send request to TD ILS to update Loan and send request to insurance provider to update policy. Send a new complete Loan kit, including the Transfer Kit, to TD ILS with all required documents. required documents are current and legible. Include a letter of direction from removed borrower confirming removal from the security as well as the Loan. Ensure form and all the new advisor s information is included, e.g.: postal and address, phone and fax numbers. required documents are current and legible. and fax to insurance provider CSV WHOLE LIFE LOANS 16 17