Best GIC Rates in Canada 2026: Compare Top GIC Rates
The best GIC rates in Canada almost never come from the bank where you keep your chequing account. Online banks and credit unions consistently pay more than the Big Five — often close to a full percentage point more on a one-year term. This guide shows where the top rates sit right now, why the gap exists, and how to actually lock one in.
Rate ranges last verified: July 21, 2026. GICs move with the market — always confirm the exact rate on the bank’s own page before you buy.
As of mid-2026, the best GIC rates in Canada sit around 3.4% for a 1-year term and 4.05% for a 5-year term, both from online banks like Oaken and EQ Bank. The Big Five banks (RBC, TD, BMO, Scotiabank, CIBC) post noticeably less — a 1-year GIC around 2.45% — and their headline numbers are usually limited-time promos, not the standard posted rate. Every GIC below is protected by deposit insurance, so a higher rate does not mean higher risk.
Best GIC rates in Canada right now (by term)
These are directional ranges, not live quotes — GIC rates change often, so we show where the market sits and link you to each bank’s official page for the exact number. All figures are for non-registered, non-redeemable GICs.
| Provider type | 1-year GIC | 5-year GIC |
|---|---|---|
| Best online banks (Oaken, EQ Bank) | ~3.30%–3.40% | ~4.00%–4.05% |
| Other online banks (Tangerine, Simplii) | ~2.90%–3.15% | ~3.65% |
| Big Five (posted rate) | ~2.45% | ~3.10% |
Ranges verified July 21, 2026 against each bank’s official rates page (see the links below). Big Five promotional GICs can temporarily beat the posted rate but come with conditions.
Check today’s exact rate at the source:
Prefer an even higher rate and do not mind a name you may not recognize? Smaller online institutions and credit-union brands — Motive Financial, Saven Financial, Achieva Financial, Peoples Bank — often edge out even EQ and Oaken. They work exactly the same way and carry the same deposit insurance; you are simply trading brand familiarity for a few extra basis points.
Why online banks beat the Big Five
The gap is structural, not a temporary promotion. The Big Five already hold most Canadians’ chequing accounts and everyday deposits, so they have little reason to compete on savings rates — the money is already there. Online banks and credit unions have no branch networks and far less brand pull, so they buy your deposit with a higher rate. That is the entire trade: you give up a branch you rarely visit, and you get roughly 50 to 90 basis points more.
Crucially, that higher rate does not mean more risk. Deposits at these banks are protected the same way the Big Five are — by CDIC at member banks (up to $100,000 per insured category) or by a provincial insurer at credit unions. A GIC at EQ Bank is as safe as a GIC at RBC; it just pays more. For a closer look at the two market leaders, see our guides to Oaken Financial GIC rates and EQ Bank GIC rates.
Posted vs promotional: read the fine print
When a Big Five bank advertises a competitive GIC rate, it is almost always a promotional or “bonus” rate, not the standard posted rate. The two behave very differently:
- Posted rate — the everyday, always-available rate. For a Big Five 1-year GIC this is often around 2.45%.
- Promotional rate — a limited-time offer, sometimes needing a minimum deposit, new money, or a specific term. CIBC’s 1-year bonus GIC, for example, has run around 2.70% while its posted rate sat at 2.45%.
The lesson: compare the posted rate at an online bank against the promotional rate at a Big Five bank, and the online bank usually still wins — without the conditions. You can see a live worked example of this split in our breakdown of CIBC’s current GIC rates.
How to choose your term (and the GIC ladder)
Rate is only half the decision; the term controls when you get your money back. A GIC is locked for its full term, so match it to when you will need the cash:
- Money you may need within a year: a short term (or a cashable GIC, or a HISA) is safer than locking in.
- Money you can leave alone: longer terms usually pay more, and today the 5-year rate (~4%) sits above the 1-year (~3.3%).
If you cannot decide, a GIC ladder solves it. Split your money into equal slices across 1-, 2-, 3-, 4-, and 5-year GICs. Each year one slice matures — you either spend it or reinvest it at the 5-year rate. You end up earning close to long-term rates while still having a portion come available every year. It is the standard way to avoid guessing where rates go next.
Not sure whether a GIC or a high-interest savings account fits your situation at all? Our GIC vs HISA guide walks through the trade-off, and you can see the full savings picture on our Canadian savings rates page.
See what your GIC will actually earn
Enter a rate and term to project the interest and final value of your deposit.
Registered GICs: TFSA, RRSP, and FHSA
Every bank above offers the same GICs inside registered accounts, and the rate is usually identical to the non-registered version. The difference is tax, and it is significant:
- TFSA GIC: the interest is completely tax-free. For most people holding a GIC, this is the first place to put it.
- RRSP / FHSA GIC: tax-deferred — you are not taxed until you withdraw (RRSP) or the funds grow tax-free toward a first home (FHSA).
- Non-registered GIC: interest is fully taxable each year at your marginal rate, which can quietly erase much of the rate advantage for higher earners.
Because GIC interest is taxed as ordinary income (not the lower capital-gains rate), sheltering it in a TFSA matters more than for most investments. If you have TFSA room, use it for GICs before a taxable account.
Beyond the rate: what else to check
Two GICs with the same headline rate are not always the same deal. Before you commit, check three things on the bank’s page:
- Redeemable or not. A non-redeemable GIC locks your money for the full term and pays the highest rate. A cashable or redeemable GIC lets you break it early but pays noticeably less — Oaken’s cashable 1-year, for example, pays around 2.25% versus 3.35% for the locked version. Only pay for flexibility you will actually use.
- Minimum deposit. Most online-bank GICs start around $100 (EQ Bank) to $1,000 (Oaken). Some promotional rates require a larger minimum.
- How interest is paid. On multi-year GICs you may be able to choose annual, semi-annual, or monthly interest. Compounding annually and leaving it in usually earns the most; taking monthly payouts earns slightly less but gives you income along the way.
None of these change the headline comparison — online banks still lead — but they decide which specific GIC is right once you have picked a provider.
Frequently asked questions
In mid-2026, online banks lead — Oaken Financial and EQ Bank sit near the top, around 3.4% for a 1-year and 4.05% for a 5-year GIC. Smaller credit-union brands sometimes pay slightly more. The Big Five banks post lower rates. Always confirm the current figure on the bank’s own page before buying.
Yes. Deposits at CDIC member banks are insured up to $100,000 per category, and credit unions are covered by a provincial insurer — the same protection the Big Five carry. A higher rate at an online bank does not mean more risk; you are giving up branch access, not safety.
The posted rate is the standard, always-available rate. A promotional or bonus rate is a limited-time offer that may require a minimum deposit or specific term. Big Five banks advertise promo rates; the online banks’ regular posted rates often still beat them, without conditions.
Yes — a GIC (Guaranteed Investment Certificate) is the Canadian equivalent of what Americans call a certificate of deposit (CD). Both lock in a fixed rate for a set term and are covered by deposit insurance. In Canada the product is always called a GIC.
It depends on when you need the money and where you think rates are going. Today the 5-year rate is higher than the 1-year, so locking in longer pays more if you can leave the money alone. If you are unsure, a GIC ladder splits your money across terms so a portion matures every year.
This page provides general information, not financial advice, and the rate ranges shown are approximate and were last verified in July 2026. GIC rates change frequently and vary by deposit amount, term, and registration type. Always confirm the current rate directly with the financial institution before investing. Deposit insurance limits and conditions apply.