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Best GIC rates in Canada — and where to find them

Quick Answer

Higher GIC rates in Canada are usually found at online banks and credit unions rather than big-bank branches: Oaken Financial and EQ Bank often post rates above the big banks, and provincial credit unions sometimes beat both on special terms. All are CDIC or provincially insured up to their limits. Hold GICs inside a TFSA, RRSP or FHSA when you can (interest is fully taxable otherwise), consider non-redeemable terms for a higher rate, and use a 5-rung ladder for yearly liquidity. Verify current rates before buying, because GIC pricing moves with bond yields.

1

Oaken Financial

The online GIC and savings brand of Home Trust and Home Bank. Often posts rates above the big banks, including periodic promotional terms. CDIC-insured through Home Bank or Home Trust. No branches; a straightforward rate play.

2

EQ Bank

Offers GICs in registered accounts (TFSA, RRSP, FHSA) as well as non-registered, with competitive rates and a clean online experience. CDIC-insured through Equitable Bank.

3

Tangerine

Big-bank-owned online bank with competitive registered GICs; rates a notch below the leaders but with full-service banking attached.

4

Credit unions (varies by province)

Provincial credit unions frequently post the single highest GIC rate in the country on special terms — and provincial deposit insurance in several provinces covers more than CDIC's $100,000. Worth checking your local CU before every purchase.

Three rules before you buy any GIC

  • Shelter first. Interest is the worst-taxed income in Canada. Fill TFSA and RRSP room before holding a single taxable GIC — the GIC calculator quantifies the difference at your bracket.
  • Never buy at the branch without checking online rates. The big-5 branch price is a convenience price. One percentage point on $50,000 over 5 years is $2,500 for a ten-minute comparison.
  • Ladder, don't bet. A 5-rung GIC ladder beats rate-timing every cycle — 20% matures every year, the rest earns 5-year rates.

GIC vs HISA vs investing

Money needed within the year: high-interest savings. Money with a date 1-5 years out (a down payment, a renovation): GIC ladder, ideally registered. Money for 10+ years: the GIC's guarantee costs too much in foregone growth — that's investing territory, and the compound interest calculator shows the gap over decades.

Frequently Asked Questions

Are GICs worth buying in 2026?
For money with a date and zero risk tolerance, yes — a GIC locks a guaranteed, CDIC-insured return, which no market investment can promise. The trade-off: rates have come down from the 2023-24 peak above 5%, GIC interest is fully taxable outside registered accounts, and locked money has an opportunity cost if markets rally. Match the term to the goal and they do their job perfectly.

Where can I get the best GIC rates in Canada?
Online banks and credit unions, essentially never the big-5 branch. Online banks such as Oaken and EQ Bank often post higher rates than branch-based big banks, and provincial credit unions sometimes post special-term rates above them. The gap between a big-bank branch GIC and the best available rate routinely runs a full percentage point or more.

Are GICs taxable?
Yes — GIC interest is taxed at your full marginal rate in non-registered accounts, making it the least tax-efficient income. Hold GICs in your TFSA or RRSP whenever room allows; inside registered accounts the interest compounds tax-free (TFSA) or tax-deferred (RRSP). The GIC calculator shows the after-tax difference.

What is a GIC ladder and why does everyone recommend it?
Splitting money across 1, 2, 3, 4, and 5-year GICs so one fifth matures annually. You get 5-year rates on the whole stack (historically the best-compensated term), annual liquidity, and protection against reinvesting everything at a rate bottom. The full setup is in the GIC laddering guide.

Cashable or non-redeemable GIC — which is better?
Non-redeemable for money you will not need: it pays roughly 0.5-1% more for the lock-in. Cashable GICs trade that premium for the right to exit early, usually after a 30-90 day closed period. A ladder already gives you annual liquidity, so most ladder-builders should buy non-redeemable rungs and keep the emergency fund in a high-interest savings account instead.

GIC rates change with bond markets — confirm current rates and terms with the provider before purchasing. Provider names and features checked September 14, 2026. LoanLens does not currently receive compensation from the providers named here; if that changes, it will be disclosed on this page. This is general comparison information, not financial advice.

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