Best GIC Rates in Canada – Jan 2022: Up To 3.0% (Incl. Online Banks & Credit Unions)

The best GIC rates in Canada across the 1 to 5 year terms

This post may contain affiliate links. Please read this disclosure for more details.

Guaranteed Investment Certificates are a safe and low risk investment option for many Canadians. Like High Interest Savings Account (HISA), you should always shop around for the best GIC rates for your funds.

The interest rates are constantly changing, and given the number of financial institutions providing the investment, we’ve put together this post that shows the best rates available to you at a glance.

The ranking and rates will be updated periodically. So, bookmark the page and check back often.

Below are the best GIC Rates in Canada for Non-Registered accounts as of January 26th, 2022.

For registered accounts, check the links below:

If you’re looking for short term GICs (3-months), EQ Bank is currently offering 2.00% on the TFSA and RRSP GIC for a limited time. Offer expireed January 20th, 2022.


Best GIC Rates for 1-year Term

Hubert Financial and Wealth One Bank have the best GIC rate for 1-year term at 2.00%. They are followed by Oaken Financial (1.90%), People Trust (1.90%) and Saven Financial (1.85%).

Wyth Financial also offers 1.80%, while Equity Credit Union pays a rate of 1.65% on their 1-year GIC term.

RankFinancial InstitutionGIC Rate (%)Min. Investment ($)Deposit InsuranceRedeemable?
1Hubert Financial2.001,000DGCMNo
2Wealth One Bank Canada2.001,000CDICNo
3Oaken Financial1.901,000CDICNo
4Peoples Trust1.901,000CDICNo
5Saven Financial1.851,000FSRAONo
6Wyth Financial1.81,000CDICNo
7Meridian Credit Union1.65100FSRAONo

Where there are ties, the GIC provider with the lowest minimum investment is ranked higher. Otherwise, they are displayed in alphabetical order.

Other notable financial institutions with competitive GIC rates on the 1-year GIC term include Motive Financial (1.65%) and EQ Bank (1.60%).

Best GIC Rates for 3-year Term

EQ Bank and Wealth One Bank Canada currently have the best 3-year GIC rate at 2.50%, followed by Saven Financial and a few other banks with 2.45%.

Oaken Financial also offers a competitive rate of 2.40% on its 3-year GIC term.

RankFinancial InstitutionGIC Rate (%)Min. Investment ($)Deposit InsuranceRedeemable?
1EQ Bank2.50100CDICNo
2Wealth One Bank Canada2.501,000CDICNo
3Shinhan Bank Canada2.465,000CDICNo
4Equitable Bank2.451,000CDICNo
5Saven Financial2.451,000FSRAONo
6Home Bank2.455,000CDICNo
7MCAN Mortgage Corp.2.455,000CDICNo

Several other online banks and credit union currently pays 2.30% on 3-year GIC terms, notably Peoples Trust and Motive Financial.

Best GIC Rates for 5-year Term

With a rate of 3.00%, Wealth One Canada currently has the highest 5-year GIC rate.

They are followed by Oaken Financial and Tandia Credit Union at 2.70%, with Saven Financial and EQ Bank rounding up the Top 5 with a rate of 2.65%.

Several other financial institutions also have a rate of 2.60%. They include Motive Financial, Peoples Trust, Wyth Financial and Equity Credit Union.

RankFinancial InstitutionGIC Rate (%)Min. Investment ($)Deposit InsuranceRedeemable?
1Wealth One Bank Canada3.001,000CDICNo
2Tandia Financial CU2.70500FSRAONo
3Oaken Financial2.701,000CDICNo
4EQ Bank2.65100CDICNo
5Saven Financial2.651,000FSRAONo
6Canadian Tire Bank2.611,000CDICNo
7Motive Financial2.601,000CDICNo
8Peoples Trust2.601,000No

Not ready to lock-in your money for years?

Check some of the high interest savings account offering in Canada below:

  • Simplii Financial promotional savings rate of 2.20%
  • Wyth Financial: 1.55%
  • Saven Financial Savings Account: 1.35%
  • Neo Financial Savings Account: 1.30%
  • EQ Bank Savings Plus Account: 1.25%
  • Canadian Tire High Interest Savings: 1.25%
  • Motive Savvy Savings Account: 1.25%

Overall, EQ Bank has the best savings account offering. Why? Because savings rates is just one part of the equation. You should consider other factors like fees, website user interface, other account types and key features.

With EQ Bank, you get a non-promotional rate of 1.25% on its regular account, slightly lower than Saven and Neo, and the same rate on the TFSA and RRSP account. Other features include:

  • Free unlimited debit transactions including Interac e-Transfers
  • There’s also a joint account so you can maximize your CDIC coverage
  • Cheap international money transfer through its partnership with Transferwise

Related Post: Best High Interest Savings Accounts


Overall Best GIC Rates 2021

These are the top 10 GIC providers ranked over the 1-year to 5-year GIC terms.

A longer list showing the rates are shown in the next section.

Overall RankFinancial InstitutionMin. Investment ($)Deposit InsuranceRedeemable?Link
1Wealth One Bank Canada1,000CDICNoVisit
2Saven Financial1,000ProvincialNoVisit
3Oaken Financial1,000CDICNoVisit
4EQ Bank100CDICNoVisit
5Peoples Trust1,000CDICNoVisit
6Home Bank5,000CDICNoVisit
7Equitable Bank1,000CDICNoVisit
8MCAN Mortgage Corp.5,000CDICNoVisit
9Wyth Financial1,000CDICNoVisit
10Motive Financial1,000CDICNoVisit

Overall, here are some of the best GIC rates at the moment:

  • Wealth One Bank: 3.00% on 5-year GIC
  • Oaken Financial: 2.70% on 5-year GIC
  • Wealth One Bank: 2.60% on 4-year GIC

So if you’re looking to ladder your GICs, combining some of these GIC rates is a smart move.

How did we arrive at the overall rankings?

The overall ranking was determined using an average of the rankings of the interest rates across the 1-year to 5 year terms.

You can sort any of the GIC terms to see the top GIC rates.

Or go to the next sections below showing the best GIC rates for the various GIC terms.

Overall RankFinancial Institution1-year2-year3-year4-year5-year
1Wealth One Bank Canada2.002.102.502.603.00Others
2Saven Financial1.852.202.452.552.65Online Bank
3Oaken Financial1.902.102.402.502.70Online Bank
4EQ Bank1.602.252.502.552.65Online Bank
5Peoples Trust1.902.102.302.402.60Online Bank
6Home Bank1.542.172.452.482.59Others
7Equitable Bank1.542.172.452.462.57Others
8MCAN Mortgage Corp.1.452.202.452.502.60Others
9Wyth Financial1.802.002.302.402.60Online Bank
10Motive Financial1.652.052.302.402.60Online Bank
11Concentra Bank1.422.102.382.462.52Others
12Home Equity Bank1.252.062.452.492.59Others
13VersaBank1.382.042.362.362.40Others
14Bridgewater Bank1.621.902.192.352.51Online Bank
15Equity Credit Union1.651.852.002.452.60Credit Union
16RFA Bank of Canada1.381.972.312.372.47Others
17B2B Bank1.302.002.252.352.45Others
18Shinhan Bank Canada0.602.182.462.512.51Others
19General Bank of Canada1.301.962.192.352.40Others
20Haventree Bank1.311.952.102.422.42Others

Equity Credit Union is the overall best GIC provider at the moment. It either has the highest GIC rates or features in the top 5 across the 1-year to 5-year GIC terms.

Unfortunately, it is only available to Ontario residents. Also, the minimum investment amount is on the high side at $5,000, so it’s ideal for someone looking to start with a low investment amount.

Tandia Financial Credit Union and Saven Financial are close contenders with competitive rates across their GIC offerings.

If you’re not a resident of Ontario, then Oaken Financial is the next best GIC provider.


The Best GIC Providers in Canada

These are the best Banks and Credit Unions with the most attractive GIC Rates:

Equity Credit Union GICs

Equity Credit Union is an Ontario-based credit union that has been serving its members since 1942.

At $5,000, it has one of the highest minimum amount required to invest in a GIC. But it makes up for this with its competitive rates across the various terms.

Equity Credit Union is insured by the Financial Services Regulatory Authority of Ontario. Deposits are covered up to $250,000 and unlimited in registered accounts.

Savings account rate is pretty low at just 0.30% paid quarterly, compared to EQ Bank at 1.50%.

You can get the same rate on the registered accounts (TFSA and RRSP) and they will cover your transfer in fees up to $75.

Related Posts:


Saven Financial GICs

Saven Financial is a digital bank and a division of FirstOntario Credit Union. It was launched in January 2021 and currently offers one of the best savings account rates and GIC rates in Canada.

The HISA interest rate is 1.35% and the GIC rates are below:

  • 1-year GIC Rate: 1.85%
  • 2-year GIC Rate: 2.20%
  • 3-year GIC Rate: 2.45%
  • 4-year GIC Rate: 2.55%
  • 5-year GIC Rate: 2.65%

Check my full Saven Financial Review here.


Oaken Financial GICs

Oaken Financial is backed by Home Bank, a subsidiary of Home Trust Company. It offers GICs with terms ranging from 1 year to 5 years, with one of the best rates in Canada.

Both Home Bank and Home Trust Company are separate members of CDIC, so your deposits are covered.

Oaken Financial’s 1-year GIC rate is just 1.90%, lower than the ones in the ranking above, but you can get 2.00% for 18-months term.

It’s regular savings account has a rate of 1.25%


Accelerate Financial GICs

Accelerate Financial is a division of Crosstown Civic Credit Union, a provincially regulated and one of the top 5 credit unions in Manitoba.

It currently has some of the best GIC rates in Canada, with a minimum investment amount of $1,000. The GICs can also be held in the registered accounts at the same competitive rates.

Though it is not covered by CDIC, all your deposits are fully covered through Deposit Guarantee Corporation of Manitoba, DGCM.

The current rate on its High-Interest savings and registered accounts is 1.20%.

Related Post: Accelerate Financial Review


Peoples Trust GICs

Peoples Trust is a CDIC-insured trust company based in Vancouver, British Columbia. It is a division of Peoples Group, a financial services company that has been serving Canadians since 1985.

Peoples Trust has a competitive rate of 1.15% on its e-savings account and Tax-free Savings.

Learn more about the banks through this Peoples Trust Review.


Luminus Financial GICs

Luminus Financial is an arm of Starnews Credit Union, an Ontario based credit union founded in 1951. Luminus has over 5,500 members with assets of around $200 million. Deposits are secured up to $250,000 by the provincial deposit insurer.


Achieva Financial GICs

Achieva Financial is an online bank and a division of Manitoba based Cambrian credit union. Deposits are 100% protected through the provincial insurer, DGCM.

It offers a rate of 1.10% on its High-interest savings account.


Hubert Financial GICs

Hubert Financial is a division of Sunova Credit Union Ltd, another Manitoba based credit union.

Daily savings rate is currently 1.10%

It’s current GIC rates are:

  • 1-year GIC Rate: 2.00%
  • 2-year GIC Rate: 1.75%
  • 3-year GIC Rate: 1.90%
  • 4-year GIC Rate: 2.05%
  • 5-year GIC Rate: 2.25%

Related Post: Hubert Financial Review


Comtech Fire Credit Union GICs

Comtech Fire Credit Union is an Ontario based financial institution with over 20,000 members and more than $530 million in assets.

It’s current GIC rates are:

  • 1-year GIC Rate: 1.00%
  • 2-year GIC Rate: 1.10%
  • 3-year GIC Rate: 1.20%
  • 4-year GIC Rate: 1.30%
  • 5-year GIC Rate: 1.40%

Revelstoke Credit Union GICs

Revelstoke Credit Union is a British Columbia based credit union. Its deposits are fully protected by the provincial deposit insurer, CUBIC BC.

It’s current GIC rates are:

  • 1-year GIC Rate: 0.70%
  • 2-year GIC Rate: 1.15%
  • 3-year GIC Rate: 1.25%
  • 4-year GIC Rate: 1.50%
  • 5-year GIC Rate: 1.90%

Savings account rate varies from 0.25% for regular savings to 1.00% for kids and youth accounts.


Outlook Financial GICs

Outlook Financial is a division of another Manitoba based credit union, so its deposits are also 100% covered by the provincial deposit insurer.

The current GIC rates are:

  • 1-year GIC Rate: 1.35%
  • 2-year GIC Rate: 1.45%
  • 3-year GIC Rate: 1.80%
  • 4-year GIC Rate: 1.85%
  • 5-year GIC Rate: 2.25%

Outlook financial also has a savings account rate of 1.00%.


Maxa Financial GICs

Maxa Financial, a division of Westoba Credit Union, has an attractive rate on its HISA of 1.00%.

Check this Maxa Financial review for the GIC rates and the other products from the bank.


EQ Bank GICs

EQ Bank is one of the most popular online banks in Canada offering no-fee banking. Its high-interest savings account is arguably the best in Canada with its competitive rate, Zero fees for day-to-day banking and great features.

In addition, it offers some of the best GIC rates in Canada. Learn more about its GIC offerings in this EQ Bank GICs Review.

If you’re looking to open a registered account, check this EQ Bank RSP and TFSA Review.

Related: EQ Bank Review


Wealth One Bank GICs

Wealth One Bank of Canada was launched in 2015 as a federally regulated Schedule 1 Bank and a CDIC member. Its GIC rates are currently one of the best in the country.

It also offers a competitive rate of 1.25% on its high interest savings account, with an higher rate of 1.50% on the TSFA and RRSP accounts.


Tandia Financial Credit Union

Tandia Financial Credit Union is another Ontario-based credit union that traces its root back to 1940.

It currently has the highest 5-year GIC rate I could find at 2.50%. Your funds at the credit union are insured through FSRAO.


What are GICs?

Guaranteed Investment Certificates (GICs) are a type of investment that allows you to invest your funds with a financial institution over a set period, the term.

In exchange, you’ll receive a guaranteed amount at the maturity, representing the principal invested and an interest based on the rate agreed.

Because of this, GICs are one of the safest investments available to Canadians.

Features of Guaranteed Investment Certificates

Here are some key features of a Guaranteed Investment Certificate (GIC):

  • There is a minimum amount required to investment. This varies but generally starts at $500.
  • You can invest for different terms, depending on your savings goals. Terms could be as short as 30 days or as high as 10 years
  • The longer the term, the higher the interest rate you can expect to earn
  • There are no fees on GIC investments
  • GICs are protected by Canada Deposit Insurance Corporation (CDIC) or a provincial deposit insurer. CDIC coverage was not available for Foreign currency GICs and GICs with terms over 5 years but this changed effective April 30, 2020.
  • Interest payment can be received at different set intervals or at maturity. You may also be able to automatically reinvest the interest till maturity.

GIC Insurance

Most GICs are covered and protected by the Canadian Deposit Insurance Corporation (CDIC). The protection, just like bank deposits, is automatic and you don’t have to do anything from your end to activate it.

So, if a financial institution fails, CDIC will notify you within days and both the principal and interest paid to you.

But note that CDIC protection is limited to $100,000 per category at each financial institution.

So, if you have more than $100,000 in GICs at a single issuer, consider moving some of the investment to other financial institutions, putting some in your spouse’s account or opening a joint account with them.

That way, you can maximize the protection available to you.

Learn more about the strategies to maximize your CDIC protection and how CDIC Coverage works.

CDIC members includes banks and federally regulated credit unions.

Deposits at provincial credit unions are not protected by CDIC, but they are covered by the provincial deposit insurer. All the 10 provinces and territories have their own provincial insurer and the amounts covered may vary.

For example, Financial Services Regulatory Authority of Ontario, the provincial insurer, covers up to $250,000 and provides unlimited coverage for qualifying deposits in registered accounts.

Manitoba and British Columbia on the other hand offers 100% protection of deposits.

Interestingly, provincial-regulated credit unions have some of the best rates. Since they are covered by the provincial insurer, you can be rest assured of the protection of your funds.

How is GIC Interest taxed?

Interest earned on GICs held in a registered account, like RRSP, TFSA or RESP, are tax-sheltered. But if you hold a GIC in a non-registered account, the interest earned will be taxed.

While all returns (capital gains, interest, dividends etc.) earned in non-registered accounts are taxed, the tax treatment varies. In general, you’ll pay less tax on capital gains and dividends than you would on interest income.

The tax rate on GIC interest will vary depending on your total taxable income for the year and even your province. You should consider this as part of a holistic tax planning strategy.

Learn more about the best investments for non-registered accounts here.

Conclusion

The ranking and rates will be updated periodically. So, bookmark the page and check back often.

To learn more about Guaranteed Investment Certificates (GICs) in Canada, check out our detailed post on the subject.

And if you want the best rate for savings account, EQ Bank currently offers 1.25% or get a promotional rate of 2.20% from Simplii.

Best GIC Rates in Canada FAQs

Which bank has the highest GIC Rates at the moment?

As at the time of writing this, the overall best GIC provider is Wealth One Bank. Oaken, Saven Financial and EQ Bank are not far behind.

What is the minimum investment for GICs?

It varies but most financial institutions have their minimum set at $1,000 and below.

How are GICs protected?

All deposit taking financial institutions in Canada are required to be members of either CDIC or the provincial deposit-insurer. So whichever bank you choose, you can be that your funds are protected.

Simon is a CPA by day and a Personal Finance Blogger by night. With over a decade experience in financial services, he's passionate about personal finance, investing and helping people take control of their financial life.

2 thoughts on “Best GIC Rates in Canada – Jan 2022: Up To 3.0% (Incl. Online Banks & Credit Unions)”

  1. Hello Simon,
    I’m looking at opeing an investment acoount with my bank in Canada, but I;m not a citizen nor a PR. Is this possible? and which is the best. Note I have a chequeing/savings account with one of the Ontario banks

    Reply

Leave a Comment