Finc Marketing Final

FINTRAC

detects and prevents money laundering. Federal. Followed by both banks and credit unions

OFSI

regulated FI’s business practices. Protects depositors. Federal and followed by banks and federally run credit unions

BCFSA

regulates banks, credit unions, insurance and mortgages. Provincial version of OFSI

CDIC

deposit insurance. Federal crown corporation that provides insurance against loss. Protects deposits up to $100,000

CIPF

investor protection. Not-for-profit. Insurance for investments up to $1,000,000.

Assuris

protects is life insurance company goes out of business. Non-profit. 85% coverage

PIPEDA

rules for the private sector can collect and use personal information. Federal

PIPA

provincial version of PIPEDA, details how private sector can collect and use information

CASL

anti-spam legislation, federal program, all businesses affected

mutual funds

collection of stocks, bonds or other securities owned by a group of investors and handled by professionals

RRSP

registered retirement savings retirement plan.

goal: save for retirement

contribution limit of 18% of annual income with a max at $29,000/yr

can contribute till age 71

benefits: tax deductible, tax deferred can be withdrawn for education or home purchase but must repay in 10 yrs

RESP

registered education fund

goal: plan for post secondary

contribution limit of $2,500/yr max, gov gives 20% (max %7,200/child)

withdraws can be used for tuition, food, books, laptops, housing

benefits: tax sheltered (no tax on investment earnings) and tax deferred (only pay takes when withdrawn)

TSFA

tax free savings account

can be used for anything

contribute limit of $6,500/yr

money can be withdrawn at anytime

benefits: tax sheltered, withdraws are free

reverse mortgage

homeowner can borrow against the value of their home

provides cash pmts to seniors based on home equity (55+)

no principal or interest paid until owner dies

benefits: tax free income, maintain full ownership

downsides: high interest rates for estate to pay after death

home equity line of credit (HELOC)

bank (lender) agrees to lend max amt within agreed period

* second mortgage
* lower int rate
* flexible way to borrow against home value
* home is collateral

critical illness insurance

lump sum incase of serious illness

disability insurance

monthly payment incase of inability to work

mortgage insurance

covers mortgage costs incase of death of insured

term life insurance

limited time protection (5-30yrs), low premium, no savings feature

whole life insurance

life time coverage, expensive, carries “cash value”

universal life

life time coverage, expensive, variation of whole life

the 4 additional p’s of service

people, physical evidence, process, productivity,

the 4 i’s of service

intangibility, inconsistency, inseparability, inventory

what are the 3 components of a good marketing plan?

objectives, budget, measurement

4 things to consider when selecting media channels

objectives, target audience, budget, message

40-40-20

40% list 40% offer 20% creative

ways to improve response rate

multiple sending, timing when sending messages, inviting subject lines

penetration

how familiar customers are with your product/service

stickiness

retaining customers or making it difficult for existing customers to leave

what are the 3 emotions consumers are driven by

sex, humour, fear

what is the most effective emotion in ads

humour

qualitative data

subjective, interpretation, feelings

quantitive data

numbers, facts measurable

products are 3 things, what are they

separability, lack of perishability and mass production

Financial Services act as PRODUCTS – explain each of the following:

1\.      Separability,

2\.      Lack of Perishability

3\.      Mass Production

 

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1. product can be separated from use
2. product never runs out


1. products produced in large quantities

Financial Services act as SERVICES – explain each of the following:

1\.      People

2\.      Physical Evidence

3\.      Process

4\.      Productivity

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1. conduct/initiate service


1. tangible environment
2. how service is given
3. how bank is managed

Financial Services act as SERVICES \n (in other ways too) – explain each of the following:

1\.      Intangibility

2\.      Inconsistency

3\.      Inseparability

4\.      Inventory

1. can’t be held, touched or seen
2. service can not be given the same 2x
3. must be physically present to receive service
4. can be invisble

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