Looking to grow your money without taking big risks? GICs (Guaranteed Investment Certificates) offer a secure option. In 2025, they remain a reliable choice for Canadian investors. Let’s explore the best available rates and how to make the most of them.
🔝 Best GIC Rates in Canada for 2025
As of early 2025, some smaller financial institutions offer highly competitive rates. For example:
- Hubert Financial: 3.95% for a 1-year term
- MCAN Wealth: 3.95% for a 2-year term
- Oaken Financial: 3.65% for a 3-year term
- EQ Bank: 3.75% for a 4-year term
- Tangerine: 3.70% for a 5-year term
These rates apply to non-redeemable GICs. In other words, you can’t withdraw early without penalties. However, they reward patience with higher returns.
🏦 Rates from Major Banks
The Big Six banks also offer GICs, though usually at slightly lower rates:
- BMO: 3.00% for a 1-year term
- CIBC: 3.00% for a 1-year term
- RBC: 2.70% for a 1-year term
- Scotiabank: 2.85% for a 1-year term
- TD: 3.00% for a 1-year term
- National Bank: 3.00% for a 1-year term
These banks trade higher rates for brand trust, convenience, and accessibility.
💡 Understanding GIC Terms
GICs range from short to long terms—usually 1 to 5 years. Short-term GICs give you flexibility. You regain access to your funds sooner. However, they often pay lower interest. On the other hand, longer terms usually offer higher rates. You earn more but lose liquidity.
You also choose how interest gets paid—monthly, annually, or at maturity. Pick a schedule that fits your cash flow needs.
🛡️ Safety and Insurance
GICs are low-risk. Most are insured up to $100,000 by the Canada Deposit Insurance Corporation (CDIC). If you use a credit union, provincial insurance might apply instead. Always verify coverage before you invest.
✅ Tips for GIC Investors in 2025
- Compare Rates: Rates vary widely. Don’t settle for the first offer.
- Align with Goals: Match the GIC term with your timeline.
- Check Insurance: Make sure your funds are protected.
- Plan for Payouts: Choose interest payments that support your needs.
By comparing rates and understanding your options, you can lock in solid returns for 2025. Whether you prefer higher interest, strong guarantees, or flexible terms, there’s a GIC for you.