RDSP and Down Syndrome - a good match?


I have been looking at the RDSP for my 48 year old Down's Syndrome sister.

Since this will be an initial set up and given the average life expectancy for Down's is around 55 years,I am finding the withdrawal policy is almost to the point of useless.

For example, if her parents died tomorrow and placed funds into her RDSP and she applies for the retroactive grants and bonds, then to use the money in this RDSP for looking after my sister, it is required to repay the grants/bonds on the withdrawal of the first dollar.

If the parents placed for example $100,000 in this account on their death, then one should be able to access that money in "dribs and drabs" so long as one does not touch the required contribution or the grants/bonds portion.

The only benefit I see for this particular case is for the protection of the funds so as to qualify for some group home type assistance. However, the grants/bonds will just be a book keeping entry and not really available as she would need access to these deposited capital from earlier than the 10 year required waiting period.

I see the benefit to younger age groups but these older adults are being disadvantaged by the withdrawal policy.

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Mar 19, 2012
Down syndrome and RDSP
by: Anonymous

I have a very similar situation with my younger brother who had been diagnosed with Lukemia at age 7, cured and after 20 years it has relapsed. Given all the information out thier about Downs, their life expectancy and them being at a very high risk 700-1500% higher risk then normal individuals to have Lukemia, the currently policies for withdrawl do not make sense.

What does it matter if there is $200,000 in the bank if the person is not around make use of the funds.

I'm wondering if such cases can be petitioned but how would one go about doing this?

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