There are many types of accounts to choose from, including non-registered accounts (such as a cash or margin account) and registered accounts, like an RRSP, TFSA, first home savings account (FHSA), registered education savings plan (RESP) or registered retirement income fund (RRIF). GICs must be purchased within an account. Certain types of GICs allow you to withdraw some or all of your money early. You can usually invest in a GIC for as little as $500, and there’s typically no fee associated with buying one. In return, the bank offers you a guaranteed interest rate. When you purchase a GIC, you agree to a specific term (period of time) during which your deposit will remain with the bank. Guaranteed investment certificates (GICs) are termed loans you make to a bank or other financial institution. The rates listed are for non-redeemable GICs held in non-registered accounts-the most popular type of GIC in Canada.
Below, you’ll find the best rates available from a variety of financial institutions, including credit unions and Canada’s Big Six banks. Banks, credit unions, trust companies and discount brokerages all offer GICs.