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Best GIC Rates Canada January 2026 | GIC Rate Comparison

Updated

Best GIC Rates Canada – January 2026

Compare the highest GIC rates available from Canadian banks and credit unions.

Note: Rates change frequently. Always verify current rates with the institution before depositing.

Best 1-Year GIC Rates

Institution Rate Min. Deposit CDIC Insured
EQ Bank 4.75% $100
Oaken Financial 4.70% $1,000
Peoples Trust 4.65% $1,000
Tangerine 4.50% $1,000
Simplii Financial 4.40% $100
TD Bank 3.85% $1,000
RBC 3.80% $500
BMO 3.75% $1,000

Best 2-Year GIC Rates

Institution Rate Min. Deposit CDIC Insured
EQ Bank 4.50% $100
Oaken Financial 4.45% $1,000
Peoples Trust 4.40% $1,000
Tangerine 4.25% $1,000
TD Bank 3.65% $1,000
RBC 3.60% $500

Best 5-Year GIC Rates

Institution Rate Min. Deposit CDIC Insured
EQ Bank 4.25% $100
Oaken Financial 4.20% $1,000
Peoples Trust 4.15% $1,000
Tangerine 4.00% $1,000
TD Bank 3.45% $1,000
RBC 3.40% $500

GIC Rates: Big Banks vs Online Banks

Term Big 5 Average Online Bank Average Difference
1-Year 3.80% 4.65% +0.85%
2-Year 3.60% 4.40% +0.80%
5-Year 3.40% 4.15% +0.75%

On a $50,000 GIC, the online bank advantage equals:

  • 1-Year: $425 more interest
  • 5-Year: $1,875 more interest

Types of GICs

Type Features Best For
Non-redeemable Highest rates, locked until maturity Money you won’t need
Cashable/Redeemable Lower rates, withdraw anytime Uncertain timing
Market-linked Returns tied to stock index Upside potential
TFSA GIC Tax-free interest Long-term savings
RRSP GIC Tax-deferred interest Retirement savings

GIC Laddering Strategy

Instead of locking all money in one term, spread across multiple maturity dates:

Year Amount Rate Maturity
Year 1 $10,000 4.75% Jan 2027
Year 2 $10,000 4.50% Jan 2028
Year 3 $10,000 4.35% Jan 2029
Year 4 $10,000 4.25% Jan 2030
Year 5 $10,000 4.20% Jan 2031

Benefits:

  • Access to 1/5 of your money each year
  • Capture rate changes over time
  • Average out interest rate risk

CDIC Coverage Limits

Category Coverage
Deposits in one name $100,000
Joint deposits $100,000
RRSP deposits $100,000
TFSA deposits $100,000
RRIF deposits $100,000

You can have $100,000 coverage in EACH category, at EACH member institution.

How to Choose a GIC

  1. Compare rates — Online banks usually beat big banks
  2. Check CDIC membership — Ensure your deposit is insured
  3. Consider term — Match to when you’ll need the money
  4. Assess penalties — Non-redeemable GICs trap your money
  5. Account type — Use TFSA/RRSP when possible