Best GIC Rates in Canada (June 2026)
Rates verified May 31, 2026. GIC rates change frequently — always confirm with the provider before purchasing.
Quick Picks
| Term | Best Rate | Provider | CDIC Insured |
| 1-year GIC | 4.50% | EQ Bank | ✅ |
| 2-year GIC | 4.25% | Oaken Financial | ✅ |
| 3-year GIC | 4.10% | EQ Bank | ✅ |
| 5-year GIC | 4.00% | Tangerine | ✅ |
Full Rate Comparison
| Provider | 1-Year | 2-Year | 3-Year | 5-Year | Min Deposit | CDIC | Redeemable Option |
| EQ Bank | 4.50% | 4.10% | 4.10% | 3.85% | $100 | ✅ | No |
| Oaken Financial | 4.40% | 4.25% | 4.00% | 3.90% | $1,000 | ✅ | 1yr cashable at 3.00% |
| Tangerine | 4.35% | 4.10% | 3.95% | 4.00% | $1 | ✅ | No |
| Motive Financial | 4.30% | 3.85% | 3.75% | 3.55% | $1,000 | ✅ | No |
| Scotiabank | 1.50% | 1.60% | 1.80% | 2.10% | $500 | ✅ | Yes (lower rate) |
| TD | 1.40% | 1.55% | 1.70% | 2.00% | $500 | ✅ | Yes (lower rate) |
| RBC | 3.00% | 2.75% | 2.50% | 2.50% | $500 | ✅ | No |
The gap between online banks at 4.50% and the Big Five at 1.50% shouldn't exist — but it does. A $10,000 deposit at 4.50% vs 1.50% earns $450 vs $150 in one year.
→ Open an EQ Bank Account — highest 1-year GIC rate at 4.50%
→ Open a Tangerine Account — use Orange Key: 38687402S1 to get a cash bonus, then open a GIC
What Is a GIC?
A Guaranteed Investment Certificate locks in your money for a fixed term (30 days to 10 years) at a guaranteed interest rate. Unlike stocks or ETFs, your principal is 100% safe — you cannot lose money on a GIC.
In 2026, GICs offer the highest guaranteed returns in 15+ years, making them a compelling option for short-term savings goals, emergency funds, or the conservative portion of a retirement portfolio.
GIC Types Explained
| Type | Best For | Trade-Off |
| Non-redeemable | Maximum rate, known timeframe | Can't access money before maturity |
| Cashable/Redeemable | May need money early | Lower rate (typically 1-3% less) |
| Market-linked | Potential for higher returns | Returns not guaranteed; could be 0% |
| Escalating rate | Rising rate expectations | Starts lower, increases each year |
| Foreign currency | USD savings, snowbirds | Currency risk; no CDIC |
For most Canadians, a standard non-redeemable GIC from an online bank offers the best combination of rate and simplicity.
The GIC Ladder Strategy
Rather than locking all your money in one 5-year GIC, divide it across staggered terms:
- 20% in a 1-year GIC at 4.50%
- 20% in a 2-year GIC at 4.25%
- 20% in a 3-year GIC at 4.10%
- 20% in a 4-year GIC at 4.00%
- 20% in a 5-year GIC at 4.00%
Each year, one GIC matures. You can reinvest at current rates or use the cash. This gives you both higher rates and annual liquidity.
GIC vs HISA: When Does a GIC Win?
| GIC | HISA | |
| Rate | 4.00-4.50% (locked) | ~3.00-3.75% (variable) |
| Liquidity | Locked until maturity | Withdraw anytime |
| Rate guarantee | Full term | Changes with BoC policy |
| Best for | Known timeframe, max rate | Emergency fund, short-term needs |
Rule of thumb: If you know you won't need the money for 12+ months, a GIC typically beats a HISA. If the money is your emergency fund, keep it in a HISA — the liquidity is worth the 0.50-1.50% rate difference.
See our Best HISAs in Canada → for current savings account options.
CDIC and Deposit Insurance
GICs from CDIC member institutions are insured up to $100,000 per insured category, per institution. If you have more than $100,000 in GICs, spread it across multiple institutions or account types (TFSA, RRSP, non-registered are separate categories).
Credit unions offer provincial deposit insurance (usually unlimited in provinces like Manitoba, $250,000 in BC, etc.) — verify your province's coverage.
FAQ
Are GIC rates going up or down? As of mid-2026, rates are elevated vs the 2010-2022 era but have come down slightly from 2023 peaks. The Bank of Canada overnight rate largely drives GIC rates. Short-term GICs (1-year) are currently yielding more than longer terms — an "inverted" scenario where locking in for longer doesn't pay more.
Can I hold a GIC in my TFSA or RRSP? Yes. Interest is tax-free in a TFSA and tax-deferred in an RRSP. This is especially valuable at current rates — 4.50% tax-free beats a taxable account.
What happens when a GIC matures? Most institutions auto-renew into a similar term at current rates (typically lower promotional rates). Set a calendar reminder and shop around at maturity — don't let it auto-renew without checking current rates.
Can I break a non-redeemable GIC early? Technically no, but most banks allow early redemption in cases of financial hardship (job loss, medical emergency). You'll forfeit all or most of the interest earned. Assume the money is locked until maturity.
Are online bank GICs safe? Yes. EQ Bank, Oaken, Motive, and Tangerine are all CDIC members — your deposits are insured identically to the Big Five. There's no safety difference between an EQ Bank GIC and a TD GIC.
Next Steps
Best High-Interest Savings Accounts → — If you need liquidity, compare current HISA rates.
How to Build an Emergency Fund → — How much cash should you keep accessible before locking money in a GIC?
TFSA vs RRSP vs FHSA → — Which registered account should hold your GICs?
Disclaimer: GIC rates verified as of May 31, 2026 and are subject to change without notice. Always confirm current rates directly with the financial institution before purchasing. This article does not constitute financial advice. CDIC insurance limits and coverage details are available at cdic.ca.