The Best Redeemable GICs in Canada

Craig Sebastiano
by Craig Sebastiano December 23, 2016 / No Comments

Owning a GIC means you hold a secure investment. If you need access to your money before the term is up, a redeemable GIC is a good option.


Redeemable GICs allow you to access your money before the term expires. But having that privilege also means the rates are lower than non-redeemable GICs. For example, a one-year redeemable GIC from RBC Royal Bank has an interest rate of 0.65% while a non-redeemable one from the same institution has an interest rate of 0.9%. (Looking for a higher rate? check out the best GIC rates).

As of Dec. 22, these are the rates on one-year non-redeemable GICs (on a minimum $5,000 investment):

Financial institution Interest rate
Hubert Financial 2.05%
MAXA Financial 2%
Oaken Financial 1.65%
Industrial Alliance 1.15%
ICICI Bank of Canada 1.1%
National Bank 0.65%
RBC Royal Bank 0.65%
Laurentian Bank 0.6%
TD Canada Trust 0.5%
HSBC 0.45%
Manulife 0.4%
CIBC 0.3%
Scotiabank 0.25%

As you can see, the rates vary significantly. The GIC rates offered by smaller institutions are similar to the rates on their high-interest savings accounts. But the GIC rates offered by some of the big banks are much lower than the rates on their high-interest savings accounts although there are transaction charges associated with these accounts.

The bottom line

A redeemable GIC is a good investment option if you need to withdraw your money quickly. However, the rates aren’t as high as non-redeemable GICs and a high-interest savings account might be a better alternative.

Want a better GIC rate?

Compare the best GIC rates available

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Flickr: KMR Photography