If you are new to investing or prefer to avoid the complexities of investment strategies, a high-interest savings account is an excellent starting point for your financial success journey. While many financial institutions offer savings options, selecting the right bank is crucial for economic growth. The right bank can save you both time and money and significantly contribute to increasing your account balance. This post ranks and compares Canadian banks based on the highest interest savings account rates they offer.
Banks with Highest Savings Account Regular rates
Account name: PC Money Account
Promotional Offers: 100,000 bonus PC Optimum Points worth $100
Interest Rate: Regular rate 3.50% Annual Percentage Yield (APY)
Minimum Balance Requirement: N/A
Fees: No Monthly fee
Additional Benefits: Free unlimited Transactions, no commitment required, no catches and unlimited earning potential
Account name: Advantage Account
Promotional Offers: N/A
Interest Rate: Earn 4.80% APY
Minimum Balance Requirement: No minimum balance required
Fees: No monthly fee
Additional Benefits: Free unlimited banking transactions with an account balance of $1,000, bank anywhere any time with online and mobile banking, CDIC protection for your money, easy access to cash on thousands of ATMs across Canada
Account name: High-Interest Savings Account (HISA)
Promotional Offers: N/A
Interest Rate: Interest rate depends on your assets ranges from 2.25% ($1 in assets) -3.25% ($500,000 in assets)
Minimum Balance Requirement: No minimum balance is needed
Fees: No fees
Additional Benefits: You can withdraw your money anytime, options to open your account as TFSA, RRSP, or an FHSA, CDIC covers up to $100,000 in each HISA account type
Account name: Tangerine Savings Account
Promotional Offers: Earn a special 4.50% for 5 months for new clients
Interest Rate: Regular rate 1.75%
Minimum Balance Requirement: No minimum balance required
Fees: No monthly fee
Additional Benefits: No unfair fees or service charges, automatic saving program
Account name: Momentum Plus Savings Account
Promotional Offers: Earn a savings rate of up to 5.25% for the first 3 months for the account opened
Interest Rate: Regular rate 0.75%. The annual interest rate ranges from 0.90% to 1.450% depending on the package and the longer you save
Minimum Balance Requirement: No minimum balance is needed
Fees: No Monthly fee
Additional Benefits: Welcome Bonus Interest Rate offer. Get a 3.80% welcome bonus interest rate on eligible deposits for the first 3 months, if you open your first account
Important Note: Interest rates are dynamic and subject to change based on various factors, including government policies. For a comprehensive understanding of interest rate fluctuations and effective strategies for navigating them, please refer to my post on “How Interest Rate Fluctuations Impact Your Finances and How to Stay Ahead.“
High Interest Saving Account Rates for Other Canadian Banks
Account name: CIBC eAdvantage Savings Account
Promotional Offers: Get 5.00% for 4 months when you open your first account
Interest Rate: Regular rate is 0.25% (Balance up to $9,999.99) to 1.20% (Balance $500,000 and over)
Minimum Balance Requirement: No minimum balance requirements
Fees: $0
Additional Benefits: Earn more when you save more, Set up automatic transfers with AutoSave, free paperless account
Account name: RBC High-Interest eSavings
Promotional Offers: Earn a 4.95% rate for 3 months for new customers on balances up to $1,000,000)
Interest Rate: Regular rate 1%
Minimum Balance Requirement: No minimum balance is needed
Fees: Free
Additional Benefits: Money transfer instantly online with no fee, Canada Deposit Insurance Corporation (CDIC) coverages, daily interest paid out on every dollar monthly
Account name: HISA
Promotional Offers: N/A
Interest Rate: Regular rate 2.50% (under $100,000) to 3.50% ($100,000 up to $5,000,000) and 1% on every savings over $5,000,000
Minimum Balance Requirement: No minimum balance requirements
Fees: $1 fee(Interac e-transfer, Request Money, transfer between Laurentian Bank accounts, preauthorized payment) and $3.00 monthly paper statement
Additional Benefits: Earn interest on every dollar, free eStatement and auto-deposit
Account name: BMO Alto Online Savings Account
Promotional Offers: Earn 4.10% Annual percentage yield
Interest Rate: The base rate depends on your account balance ranges from 0.30% to 0.5%
Minimum Balance Requirement: No minimum balance requirements
Fees: No fees
Additional Benefits: $0 minimum opening deposit, Unlimited transfers and withdrawals
Account name: High-Interest Savings Account
Promotional Offers: N/A
Interest Rate: 1% Interest paid monthly
Minimum Balance Requirement: Earn interest from the first dollar invested
Fees: No fixed monthly fees
Additional Benefits: Free unlimited funds transfers between National Bank accounts, risk-free saving
Account name: Notice Savings Account
Promotional Offers: 10-Day Notice Savings Account 3%, 30-Day Notice Savings Account 3.05%
Interest Rate: Regular rate 0.30%
Minimum Balance Requirement: No minimum balance requirements
Fees: No monthly fee
Additional Benefits: CDIC eligibility for all deposits, same rates for all no special treatments, make withdrawal requests anytime
Saving Tip: To maximize your savings, avoid using your savings account for daily transactions. Instead, consistently transfer funds from your savings to your checking account to avoid any applicable fees.
Sources
BMO. (n.d.). High Yield Online Savings Account – BMO Alto. http://Www.alto.bmo.com. https://www.alto.bmo.com/en-us/high-yield-online-savings/
CIBC. (n.d.). CIBC eAdvantage Savings Account – Fees and Details. http://Www.cibc.com. https://www.cibc.com/en/personal-banking/bank-accounts/savings-accounts/eadvantage-high-interest-savings-account/fees-and-details.html
EQ. (n.d.). Notice Savings Account. https://www.eqbank.ca/personal-banking/notice-savings-account#section-selector-tab4
Manulife. (2023). High Interest Savings Accounts Canada | Manulife Bank. @Manulife. https://www.manulifebank.ca/personal-banking/bank-accounts/high-interest-chequing-savings-account.html
PCFinancial. (n.d.). http://Www.pcfinancial.ca. https://www.pcfinancial.ca/en/pc-money-account/
RBC. (n.d.). Compare Savings Accounts. http://Www.rbcroyalbank.com. https://www.rbcroyalbank.com/accounts/compare-savings-accounts.html
Simplii Financial. (n.d.). High-Interest Savings Account | Simplii Financial. http://Www.simplii.com. https://www.simplii.com/en/bank-accounts/high-interest-savings.html
Scotiabank. (n.d.). MomentumPLUS Savings Account | Scotiabank Canada. http://Www.scotiabank.com. https://www.scotiabank.com/ca/en/personal/bank-accounts/savings-accounts/momentum-plus-savings-account.html
Tangerine. (2024). Savings Account. Tangerine.ca. https://www.tangerine.ca/en/personal/save/savings-account
TD. (n.d.). Open a TD High Interest Savings Account | TD Canada Trust. http://Www.td.com. https://www.td.com/ca/en/personal-banking/products/bank-accounts/savings-accounts/high-interest-savings-account
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