Best GIC Rates in Canada
A GIC is one of the most honest products in Canadian banking. You hand over your money for a fixed term, the bank tells you the exact rate up front, and you get every penny back with interest at the end. There is no market risk and no fine-print surprise on the return. The only real decisions are how long you are willing to lock the money away, whether you want the option to break the term early, and which provider pays the most for the term you choose. Below is an honest look at where the best Canadian GIC rates sit today, how cashable and non-redeemable GICs differ, how a simple ladder can smooth out your returns, and the deposit insurance you actually get with each provider.
As of July 2026, the strongest verified non-redeemable GIC rates from mainstream providers land around 3.3 to 3.4 percent for one year and around 4.0 percent for five years, from names like Oaken and Achieva. Cashable GICs pay less, often in the low-two-percent range, because you are paying for the freedom to break the term early. Big banks usually post lower rates and expect negotiation. GIC rates change often and once you buy, your rate is locked, so confirm the current rate on the provider's own page before you lock in.
There is no single winner, because the best GIC depends on your term and on whether you need the option to cash out early. For a locked, non-redeemable GIC, the online banks and credit unions consistently beat the big banks' posted rates. As of July 2026 the leaders we could verify pay in the mid-three percent range for one year and around four percent for five years. If you want the flexibility to break the term, a cashable GIC will pay noticeably less, and for money you genuinely might need soon, a high-interest savings account can be the better home.
The figures below come from each provider's own rate pages, checked in July 2026. Some providers, including several big banks and a few online banks, load their rates dynamically or only display them after you sign in, so we could not confirm an exact live number for every name. Where that is the case we say so plainly and describe the rate qualitatively rather than guess. A finance site that prints a wrong rate is worse than useless, so we would rather point you to the source than invent a digit.
Here is where the mainstream options stand as of July 2026. Rates shown in bold were verified live on the provider's own rate page in July 2026. Where a provider does not expose its rates to a simple page read, we describe the level and link you to the source to confirm.
The bold figures above were verified in July 2026 against each provider's own materials, but GIC rates move with the Bank of Canada and with each provider's funding needs. Once you buy, your rate is locked for the term, which is the whole point, but the rate on offer for new purchases keeps changing. Treat this as a map of the landscape, not a live quote, and confirm the current figure on the provider's own rate page before you lock in.
This is the first fork in the road, and it decides both your rate and your flexibility. A non-redeemable GIC (sometimes called non-cashable) locks your money in for the entire term. You cannot pull it out early except in narrow hardship situations, and in exchange the provider pays you the highest rate on offer. A cashable or redeemable GIC lets you take your money back early, usually after a short holding period like 30 or 90 days, but pays a lower rate because you are buying the option to change your mind.
The gap between the two is real. At the same provider, a cashable GIC can pay a full percentage point or more below the non-redeemable rate for a similar term. So the honest question is not which pays more, it is how sure you are that you will leave the money alone. If you are certain, take the non-redeemable rate. If there is a real chance you will need the cash, either choose a cashable GIC or keep that money in a high-interest savings account, which stays fully liquid while still paying a competitive rate.
A GIC ladder is the simplest way to stop guessing which term will win. Instead of putting your whole balance into one term, you split it into equal pieces across several terms. A classic five-year ladder divides your money into five parts and buys a one-year, two-year, three-year, four-year, and five-year GIC. Each year one rung matures, and you either take the cash or reinvest it into a fresh five-year GIC at the back of the ladder.
Divide the money you want in GICs into equal portions, one per rung. A five-rung ladder uses five equal pieces across one through five years.
Each year one GIC matures. Roll it into a new longest-term GIC (a five-year, in a five-year ladder). After the first full cycle, every rung is earning the higher long-term rate.
You always have money maturing soon, which gives you regular access and a chance to catch rising rates, while most of your balance still earns the better long-term rate. You never have to time the market or bet on one term.
The ladder shines exactly when the yield curve is flat or humped, like it is at some providers as of July 2026, because you stop needing to predict whether short or long terms will pay more. You simply hold a bit of each and let the average work for you.
A GIC does not have to sit in a plain taxable account. Most providers offer registered versions that live inside your TFSA, RRSP, and often your FHSA or RRIF. The GIC itself works the same way, a fixed rate for a fixed term, but the tax treatment of the interest changes depending on the account.
- TFSA GIC: the interest is completely tax-free, and withdrawals do not count as income. A tidy way to use TFSA room you do not want exposed to the stock market.
- RRSP GIC: the interest grows tax-deferred, and you pay tax only when you eventually withdraw, ideally in retirement at a lower rate. Good for the fixed-income slice of a registered portfolio.
- FHSA GIC: if you are saving for a first home, an FHSA GIC gives you a deduction on the way in and tax-free growth and withdrawal for a qualifying home purchase, with zero market risk on the timeline that matters.
At most providers the registered GIC rate matches the non-registered rate for the same term, so you are not giving up yield to get the tax shelter. Because GIC interest is otherwise fully taxable as ordinary income, holding GICs inside a registered account is often the most tax-efficient place for them.
Deposit insurance is a big part of why a GIC feels so safe, but not every provider is insured the same way. The differences matter most when your balance climbs past the coverage limit.
EQ Bank (Equitable Bank), Oaken (through Home Bank and Home Trust), Peoples Trust, Simplii (CIBC), Tangerine (Scotiabank), and the big five are CDIC members. Eligible GICs with terms of five years or less are insured up to $100,000 per insured category, per member institution. Oaken is worth a special note: because it issues through two separate CDIC members, you can hold coverage under each.
Achieva, based in Manitoba, is covered by the Deposit Guarantee Corporation of Manitoba, which guarantees deposits without a dollar limit. Saven, a brand of FirstOntario Credit Union in Ontario, is covered by Ontario's credit union deposit insurance through FSRA. Both are legitimate, they are simply not CDIC, so the rules and limits differ.
Wealthsimple is not a bank itself, so the GICs it offers are held through CDIC-member partner institutions rather than insured by Wealthsimple directly. The protection is real, but the structure is different from buying a GIC straight from a bank, so it is worth understanding how the coverage flows through to you.
The practical takeaway: if you are placing more than $100,000 in GICs, spread it across separate insured institutions (or, at Oaken, across its two issuers) so every dollar stays within coverage.
What is the best GIC rate in Canada right now?
As of July 2026, the strongest verified non-redeemable GIC rates from mainstream providers sit around 3.3 to 3.4 percent for a one-year term and around 4.0 percent for five years, from names like Oaken and Achieva. Big banks usually post lower posted rates and expect you to negotiate. Cashable GICs pay less, often around the low-two-percent range, because you are paying for the flexibility to break the term early. GIC rates change often, so confirm the current rate on the provider's own page before you lock in.
Do longer GIC terms always pay more?
Not always. The yield curve moves around, and there are stretches where a one-year GIC pays more than a two-year, or where the five-year barely beats the one-year. As of July 2026 the curve is fairly flat and even slightly humped at some providers, meaning a mid-length term can out-pay both shorter and longer ones. That is exactly why laddering, spreading money across several terms, tends to beat guessing which single term will win.
What is the difference between a cashable and a non-redeemable GIC?
A non-redeemable (or non-cashable) GIC locks your money in for the full term and pays the highest rate. A cashable or redeemable GIC lets you take your money out early, usually after a short holding period, but pays a noticeably lower rate in exchange for that flexibility. If you are certain you will not touch the money, non-redeemable pays more. If there is any chance you will need it, a cashable GIC or a high-interest savings account may fit better.
Can I hold a GIC inside a TFSA, RRSP, or FHSA?
Yes. Most GIC providers offer registered versions of their GICs for TFSA, RRSP, and often FHSA and RRIF accounts. The interest earned inside a TFSA or FHSA is tax-free, and inside an RRSP it grows tax-deferred, which makes a registered GIC a simple, safe way to use contribution room you do not want exposed to market risk. Registered GIC rates are often identical to the non-registered rate for the same term at the same provider.
Are GICs covered by CDIC?
GICs from CDIC member banks are covered, up to $100,000 per insured category per member institution, and eligible GICs with terms of five years or less are included. GICs from credit unions like Achieva or Saven are not covered by CDIC. Instead they are covered by provincial deposit insurance, which in Manitoba (Achieva) guarantees deposits without a dollar limit and in Ontario (Saven) is handled by FSRA. Both are legitimate, just different regimes, so it is worth knowing which one protects your money.
How often do GIC rates change?
Often. GIC rates move with the Bank of Canada and with each provider's own funding needs, so a rate you see today can be different next week. Once you buy a GIC your rate is locked for the whole term, which is the point, but the rate on offer for new purchases changes regularly. Use this page to understand the landscape, then click through to the provider's own rate page to confirm the live figure before you commit.
A GIC is the locked-in cousin of a good savings account, and the two work best as a pair: liquid cash in savings, longer-term money laddered in GICs. It also fits alongside picking the right card and the rest of our plain-language personal-finance guides.