Some RESP providers charge transfer-out fees, closure fees, product charges, or group-plan cancellation costs. Canada.ca specifically notes that there may be fees to transfer an RESP to another promoter.
The fee question should be wider than one line item. Ask whether the provider charges to transfer out, sell investments, close the account, cancel a group plan, issue statements, or reimburse fees if you transfer in from somewhere else.
A transfer fee does not automatically mean staying is better. Compare the one-time cost against ongoing fees, grant support, investment costs, and withdrawal service at the new provider.
How to check this rule
- Request the current written fee schedule from the old provider.
- Ask the new provider whether it reimburses transfer fees and what conditions apply.
- Check whether investment sales, group-plan rules, or deferred charges add costs beyond the transfer fee.
- Compare the fee against future savings or better benefit support.
- Keep written confirmation of any reimbursement promise.
Details that matter
Fees vary
Transfer fees are set by providers and can differ by account type or product.
Look beyond one fee
Investment sale costs, group-plan penalties, and closure charges can matter too.
Reimbursement is conditional
Some receiving providers may reimburse transfer fees only when minimums or other conditions are met.
Value is not just price
Better grant support or withdrawal service can justify a one-time transfer cost.
Example
Example: The old provider charges a transfer-out fee, but the new provider supports the provincial incentive the child may receive and has lower ongoing fund costs. The family compares the one-time fee with the future benefit and asks for any fee reimbursement in writing.
Questions to ask your provider
- What exact transfer-out fee applies to this RESP?
- Are there account closure, product redemption, deferred sales, group-plan, or cancellation charges?
- Will the receiving provider reimburse the transfer fee?
- What minimum balance or timing condition applies to reimbursement?
- Can I have the fee answer and current schedule in writing?
Read next
Transfer an RESP to another provider explains the broader decision and links to related tools.
Tool next step
RESP Provider Checklist can help estimate the practical contribution choices before you confirm eligibility with the promoter.
Provider next step
RESP Provider Checklist helps you compare promoters on grant support, fees, and withdrawal process before opening or moving an RESP.