To set up a new PAC arrangement, form E75 - Pre-authorized chequing (PAC) authorization must be completed and sent to head office. If more than one PAC arrangement is to be set up, complete a separate request for each.
Include a cheque marked 'Void'. If a cheque is not available, provide the following:
- the name and address of the financial institution
- bank number (must be 3 digits)
- branch transit number (must be 5 digits)
- bank account number. Note: TD Canada Trust account numbers must have 7 or 11 numeric digits and Scotiabank must have 7 or 12 numeric digits. Provide the full account numbers, including the leading zeros.
- payor name(s)
A PAC cannot be set up unless premiums and any returned payment fees are paid to date or the accumulation/policy fund is in a positive state. Indicate if the outstanding premiums or the shortage plus premium tax/load of the accumulation/policy fund and/or returned payment fee are to be paid by:
- special withdrawal
- automatic premium loan (APL) (if an option on the policy)
- dividends or,
- transfer from another policy.
The client submitting a cheque in the future does not qualify.
Note: If a returned payment fee is being paid along with outstanding premiums, it must be paid in the same manner as the outstanding premiums.
Investment accounts
A PAC payment will be directed to the policy accumulation/policy fund of the policy based on the current investment direction.
