Case Studies - Banking

Ms. L opened both a chequing account and a savings account with her bank. During a call with the customer contact centre, she asked whether the savings account interest rate of 1.25% was monthly or annual. 

In January of 2014, Mr. G signed a Credit Agreement when he obtained a mortgage of $122,000 and a Line of Credit (LOC) of $39,600, both secured by a property he owned and planned to rent out. The monthly payments were $1,255 for his mortgage, which he had automatically debited from his bank account, and $43 for the LOC.

Mr. A’s small business filed for bankruptcy in 2014 after several years of financial difficulties. At the time, there was a $15,000 balance on the company credit card. 

Ms. B and her friends attended a presentation for real estate investment opportunities in the Caribbean. The salesperson explained that the investment was for a condominium timeshare located on a desirable waterfront location frequented by tourists.

Mr. H agreed to purchase a restaurant-size smoker from a private seller on Kijiji. He transferred $8,000 to the seller, via multiple authorized Interac e-Transfers. The seller had promised to ship the smoker to Mr. H upon receipt of the full payment.

Mr. C owned an automotive parts store where he employed an administrative assistant with responsibility for payroll, bank statement reconciliations, and other accounting functions. Over a period of four years, she embezzled $80,000 by writing company cheques to herself or fictitious third parties, depositing them into her personal account using her bank's automated bank machine (ABM).

Mr. E held both Canadian and American-dollar denominated accounts at his bank. In March 2, he received a $26,000 USD wire transfer from a relative living abroad, made through Mr. E's bank's foreign subsidiary.

Health issues made movement challenging for Mr. A so he gave his eldest son his debit card and personal identification number (PIN) to make purchases on his behalf. Mr. A completed a joint power of attorney (POA) naming his two sons as his attorneys. Soon after, Mr. A's personal bank account was converted into a joint account with his eldest son.

A small business owner, Mr. D, kept his business chequebook in a locked cabinet behind a counter at his office. He was the only person who had access to the cabinet.

Mr. A's parents had signed a Power of Attorney (POA), prepared by their lawyer, giving their son wide-ranging control over their financial affairs. For almost a decade, Mr. A managed his parents' finances without incident.