Your investing questions, our clear answers.

Our response:

Yes. The company that sets up your RESP is called the plan provider or promoter. RESPs from a financial institution — like a bank, trust company or mutual fund dealer — work a lot like any other investment account. RESPs offered by scholarship plan dealers are set up differently and have different rules. Different plan providers offer different types of RESPs.

Group RESPs are only offered by scholarship plan dealers. They tend to have higher fees and more restrictive rules than other plans. Read the plan summary document to understand the requirements of the plan before investing your money. If you choose a plan provided by a scholarship plan dealer, you have the right to withdraw all of your money within 60 days after signing your contract if you change your mind.

Take a look at this list of RESP providers in Canada. It also tells you which government grants each provider offers. Learn more about RESPs on GetSmarterAboutMoney.ca.