Search
  1. Home
  2. Banking
  3. Best High-Interest Savings Accounts in Canada for 2022
Published November 23, 2022

Best High-Interest Savings Accounts in Canada for 2022

The best high-interest savings accounts (HISAs) in Canada will grow your money faster than standard accounts. Compare top HISA interest rates.

Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own.

Canadians have over 100 different kinds of bank accounts to choose from, according to the Canadian Bankers Association. If you’re specifically looking for an account that can fast-track your savings, it may be time to explore the world of high-interest savings accounts, or HISAs.

While the best high-interest savings accounts offer robust interest rates, that’s not the only way to compare them. Some HISAs also offer minimal transaction fees, low service charges and opportunities to earn cash back. Browse top options below and choose your high-interest savings account with confidence.

The best high-interest savings accounts

Scotiabank MomentumPLUS Savings Account

Scotiabank MomentumPLUS Savings Account
  • Interest Rate
    Up to 4.50%*
    Promotional Rate
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • The MomentumPLUS Savings Account offers a higher interest rate on long-term savings for multiple goals in one account.
    • Founded in Halifax in 1832, Scotiabank is one of Canada’s oldest and largest banks, a more or less permanent member of the country’s Big Six financial institutions. Read our review of Scotiabank for more information.
  • Product Details
    • Earn a savings rate of up to 4.50%* interest for a limited time.
    • The longer you save, the higher your interest rate. Plus, save for multiple goals in one account.
    • Free unlimited transfers between Scotiabank accounts via self-service.
    • No monthly account fees or minimum balance required.
    • Choose the timeline and track as you earn.
    • Eligible for CDIC Insurance.
    • Terms and Conditions Apply. Click 'Apply Now' for complete details.

Simplii Financial™ High Interest Savings Account

Simplii Financial™ High Interest Savings Account
  • Interest Rate
    5.00%
    Promotional rate
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • Simplii's no-fee HISA gives account holders access to CIBC ATMs in Canada.
    • Simplii Financial is an online bank owned by CIBC that offers savings and chequing accounts, credit cards, mortgages, loans, lines of credit, registered plans, GICs, and mutual fund accounts. Read our review of Simplii Financial for more information.
  • Product Details
    • 0.40% standard interest rate.
    • No monthly fee.
    • Manage your money through online banking and a mobile app.
    • Easily set up automatic deposits.
    • HISA account holders can open a no-fee chequing account to access money from any CIBC ATM in Canada without a fee.
    • No transaction or service fees.
    • No minimum balance.
    • Immediate access to your money through withdrawals, Interac e-Transfer, transfers to linked accounts, and more.
    • Eligible for CDIC deposit insurance.

HSBC High Rate Savings Account

HSBC High Rate Savings Account
  • Interest Rate
    Up to 4.90%*
    Promotional rate
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • HSBC High Rate Savings Account offers a competitive rate with no minimum balance and no monthly fees.
    • HSBC is one of the largest global banks offering financial services like wealth, personal and, commercial banking in over 63 countries.
  • Product Details
    • Get up to 4.90%* total annual interest rate on new deposits ± on your HSBC High Rate Savings Account from November 3, 2022 to January 27, 2023.
    • 4.90% per annum when your daily closing balance is $25K or over.
    • 4.40% per annum otherwise.
    • No minimum balance.
    • Promotion rate is earned on new deposits of up to CAD $1,000,000.
    • Interest is calculated daily and paid monthly.
    • No monthly fees+.
    • Offer available to new and existing HSBC clients.
    • Quick and easy online account opening with HSBC EasyID.
    • Access to your savings account through online or mobile banking, by phone, and at thousands of HSBC Bank Canada and THE EXCHANGE® network ATMs across Canada and around the world.
    • Free transfers between your savings and your other HSBC accounts with convenient international banking features.
    • *Terms and conditions apply. For more information and to confirm most recent rates, please visit hsbc.ca.
    • ±New deposits is the lower amount of the increase in total deposits (all your deposit accounts under the same Customer Account Number with HSBC Bank Canada) and increase in High Rate Savings Account Balance (HRSA).
    • +Debit card fees for withdrawal may apply (see Personal Service Charges Statement of Disclosure to learn more).
    • ®THE EXCHANGE registered trademarks owned by Fiserv Inc. licensed for use in Canada by FICANEX Services Limited partnership. ®Interac e-Transfer is a registered trade-mark of Interac Inc. Used under license.

CI Direct Investing HISA

CI Direct Investing HISA
  • Interest Rate
    3.55%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • CI Direct Investing's HISA comes with no fees or restrictions for withdrawals, no minimum balance requirements, and a competitive interest rate.
    • CI Direct Investing is a registered business name of WealthBar Financial Services Inc. or WealthBar. The online wealth management firm provides managed investment portfolios, personalized financial advice and planning.
  • Product Details
    • Unlimited no fees deposits and withdrawals with no minimum balance restrictions.
    • CI Direct Investing offers low investment management fees and no-fee saving accounts so you can put more of your money to work for you.
    • Every dollar in your investment and savings accounts can help you unlock lower investment fees. Refer to their fee calculator.
    • Easy-to-follow app for saving, investing and unlimited advice after setting up an account in minutes.
    • Switch stress-free as CI Direct Investing covers the cost your financial institution may charge (up to $150) when you transfer $25,000 or more. Plus, if you’re not completely satisfied, we’ll waive our transfer-out fees.
    • The Canadian Investor Protection Fund (“CIPF”) provides protection for your accounts in case of insolvency for up to $1 million per account type.

Meridian High Interest Savings Account

Meridian High Interest Savings Account
  • Interest Rate
    2.05%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • Earn a great interest rate on flexible long-term savings available across registered and non-registered accounts.
    • Meridian, Ontario’s largest credit union is backed by more than 75 years of banking experience and offers many of the same financial solutions as the big banks.
  • Product Details
    • Interest is calculated on every dollar, calculated daily, and paid monthly.
    • Unlimited free transactions.
    • Meridian cardholders have access to over 43,000 surcharge-free ATMs in North America with THE EXCHANGE® Network in Canada and the Allpoint Network in the US.
    • Our High-Interest Savings Account is also available in a Tax-Free Savings Account (TFSA), Registered Retirement Savings Plan (RRSP) or Registered Retirement Income Fund (RRIF) account. The account is not available for Provincial or Federal Locked-in RRSP or RRIF plans.
    • Access to branch, online, mobile and telephone banking.

RBC High Interest eSavings Account

RBC High Interest eSavings Account
  • Interest Rate
    4.20%
    Promotional rate
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • RBC High Interest eSavings Account offers a competitive interest rate on your deposit with no minimum requirements with free instant e-transfers at any time.
    • Royal Bank of Canada (RBC) is one of Canada’s Big Six banks providing banking, investment, and lending solutions to individuals and businesses since 1869. Read our review of RBC for more information.
  • Product Details
    • Earn high interest on every dollar.
    • Free electronic self-service transfers 24/7 with no delay - Including ATM and unassisted telephone fund transfers, from this account to any other RBC Royal Bank personal deposit account in your name.
    • Free access to RBC Online, Mobile, and Telephone Banking.
    • No minimum deposit requirements.
    • The ability to set up a regular, automatic savings plan by arranging pre-authorized transfers from a bank account to your savings account.
    • Know what your money is up to with a digital service that can help capture all of your savings and investments in one place.
    • Canada Deposit Insurance Corporation (CDIC) provides deposit insurance against the loss of eligible deposits in the event of failure.

AcceleRate High-Interest Savings

AcceleRate High-Interest Savings
  • Interest Rate
    3.00%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • Earn competitive interest on short-term savings with AcceleRate's fee-free, easy-to-use high-interest savings account.
    • AcceleRate Financial is an online division of Manitoba’s Access Credit Union and offers savings accounts, GICs, TFSAs, Registered Retirement Savings Plans (RRSPs), and Registered Retirement Income Funds (RRIFs). "
  • Product Details
    • Start earning interest on the day the deposit is made with no minimum balance required.
    • No monthly service fees, free deposits and one free cheque, point-of-sale transaction or electronic funds withdrawal every month.
    • Mobile deposit via our mobile app - iOS | Android (powered by the parent company, Access Credit Union).
    • Interest calculated on the daily closing balance and paid the last day of each month.
    • Access your money any time if you need it.
    • Fee service schedule available online.
    • Free personal cheques provided.
    • AcceleRate Flash® enabled debit card can be used for ATM deposits at Credit Unions displaying the ACCULINK® logo across Canada.
    • 100% guaranteed by the Deposit Guarantee Corporation of Manitoba.

Motive Savvy Savings Account

Motive Savvy Savings Account
  • Interest Rate
    3.00%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • Earn interest at a competitive rate on this no-fee and no-minimum balance HISA.
    • Motive Financial is an online division of Canadian Western Bank and offers chequing and savings accounts, registered plans and GICs.
  • Product Details
    • 3.00% interest for balances under $5,000,000, and 0.50% interest for balances $5,000,000.01 and over.
    • Interest is calculated on the daily closing balance at the applicable rate tier and paid on the last day of the month, for the period beginning on the last day of the previous month and ending on the second last day of the month.
    • No monthly fee.
    • No minimum balance is required.
    • Unlimited transfers between accounts.
    • Free deposits.
    • Withdrawals can be deposited into a Motive Savings or Motive Chequing account, a no-fee chequing account that earns interest.
    • Manage your money by phone, through online banking and a mobile app.
    • 2 free transactions per month.
    • Service fees are listed online.
    • Eligible for CDIC deposit insurance.
    • Motive Financial products are not available to Québec residents.

Peoples Bank e-Savings Account

Peoples Bank e-Savings Account
  • Interest Rate
    2.60%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • This fee-free, no-frills HISA offers a competitive rate and easy funds transfers.
    • Peoples Trust and Peoples Bank of Canada are subsidiaries of the Peoples Group. Peoples Trust offers savings accounts, registered and non-registered GICs, and mortgage and lending services.
  • Product Details
    • Competitive rates so your money grows faster.
    • Zero monthly fees so you can save more.
    • No minimum deposit.
    • Interest calculated daily and paid monthly.
    • Easily access and manage your account with online banking.
    • View your monthly transactions online.
    • Transfer funds between your Peoples Bank accounts on the fly.
    • Transfer funds to your linked accounts at other financial institutions.
    • Eligible for deposit insurance from the Canada Deposit Insurance Corporation (CDIC).

Achieva Financial Daily Interest Savings Account

Achieva Financial Daily Interest Savings Account
  • Interest Rate
    2.95%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • This no-fee HISA will help you save up for a GIC or a Qtrade Direct Investing online investment account, both offered through the virtual bank.
    • Achieva Financial is an online division of Manitoba’s Cambrian Credit Union and offers savings accounts, GICS, TFSAs, Registered Retirement Savings Plans (RRSPs), and Registered Retirement Income Funds (RRIFs).
  • Product Details
    • Interest is calculated on the daily closing balance and added to the principal on the last day of each month.
    • No monthly fee.
    • Free deposits and one free cheque, direct transfer or pre-authorized payment every month.
    • $1 per month paid to you when you choose to receive your documents electronically.
    • No minimum balance.
    • Automatic Savings Program that allows you to easily and automatically transfer funds from your primary institution to your Achieva savings account.
    • To open this account, you must agree to become a member of Cambrian Credit Union Limited, which requires a $5 share. Your is considered an investment and is fully refundable should you decide to cancel your membership.
    • Manage your money by phone, through online banking and a mobile app.
    • Service fees are listed online.
    • Eligible for Deposit Guarantee Corporation of Manitoba deposit insurance.

motusbank High Interest Savings Account

motusbank High Interest Savings Account
  • Interest Rate
    2.10%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • This online HISA with a debit card and a lot of flexibility. Use online banking and a mobile app for price-match and Auto-Save features and to manage bill payments, direct deposits, and more.
    • motusbank is an online division of Meridian Credit Union and offers chequing and savings accounts, mortgages, registered plans, GICs, investing, and a home equity line of credit loan.
  • Product Details
    • No monthly fee.
    • Manage your money through online banking and a mobile app.
    • Free, unlimited use of the Price Drop feature, a price-matching tool that may reimburse you if it finds a lower price for something you purchased.
    • motusbank account holders have access to over 43,000 surcharge-free ATMs in North America with THE EXCHANGE® Network in Canada and the Allpoint Network in the US.
    • No transaction fees and unlimited debit purchases and withdrawals.
    • Service fees are limited and listed online; fees include and include $1.25 to send an Interac e-Transfer.
    • No minimum balance.
    • Immediate access to your money through ATM withdrawals, transfers to linked accounts, and more.
    • Eligible for CDIC deposit insurance.

Outlook Financial High-Interest Savings Account

Outlook Financial High-Interest Savings Account
  • Interest Rate
    3.00%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • This flexible HISA offers easy transfers between accounts via Outlook Financial mobile app or online banking.
    • Outlook Financial is an online division of Assiniboine Credit Union and offers savings accounts, GICS, TFSAs, Registered Retirement Savings Plans (RRSPs), and Registered Retirement Income Funds (RRIFs).
  • Produc Details
    • 3.00% variable interest rate. Interest is calculated daily and paid back monthly.
    • No monthly fee.
    • To open this account, you must agree to become a member of Assiniboine Credit Union membership, which requires a $5 share. Your share is considered an investment and is fully refundable should you decide to cancel your membership.
    • Manage your money by phone or through online banking.
    • One free cheque, pre-authorized debit, or transfer per month. Deposits are free and unlimited.
    • No minimum balance is required.
    • Eligible for Deposit Guarantee Corporation of Manitoba deposit insurance.

CIBC eAdvantage® Savings Account

CIBC eAdvantage® Savings Account
  • Interest Rate
    4.50%
    Promotional rate
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • CIBC’s eAdvantage® Savings Account earn a healthy 1.40% regular interest rate, which can be boosted to 4.50% through bonus interest and Smart Interest, which rewards you for saving at least $200 per month.
    • CIBC is a full-service multinational financial institution and one of the Big Six banks in Canada. Read our review for more details.
  • Product Details
    • Earn up to 4.50%.
    • 2.35% bonus interest rate for the first four months when you open your first account (up to a balance limit of $1,000,000).
    • 0.75% Smart Interest when you save at least $200 a month (up to a balance limit of $200,000).
    • Set up automatic transfers with AutoSave so you can grow your savings without even thinking about it.
    • Free online transfers between your accounts.
    • No monthly fee.
    • $5 fee for transactions, including debit purchases, CIBC withdrawals (including CIBC ATM), Interac e-Transfer transactions, cheques, pre-authorized payments, and bill payment.
    • Bank when, where and how you want with CIBC Online Banking® and the award-winning CIBC Mobile Banking® App.
    • Access to nearly 4,000 ATMs across Canada.
    • Use your mobile device to deposit personal or business cheques.
    • CIBC Smart Balance Alert™ gives you a heads-up when your account is short on funds. That gives you time to make a transfer and avoid a non-sufficient funds (NSF) fee and a declined payment.
    • Eligible for CDIC deposit insurance.
    • To be eligible, you must be a Canadian resident who is the age of majority in your province or territory. If you’re under the age of majority, apply by visiting a CIBC Banking Centre.

Bridgewater Bank Smart eSavings Account

Bridgewater Bank Smart eSavings Account
  • Interest Rate
    3.00%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • Bridgewater Bank offers this high-interest savings account, joint accounts, GICs and mortgages.
    • The bank does not have any branches but offers online banking and customer service over the phone.
  • Product Details
    • 3.00% interest rate.
    • No monthly fee.
    • $25 initial deposit required.
    • Pre-authorized contributions help you save automatically.
    • One free withdrawal per month, $5 each after that.
    • Service fees are listed online and include a $20 charge for dishonoured cheque or pre-authorized debit reversal fee.
    • No minimum balance.
    • To withdraw money, contact the bank and they will transfer the funds requested into the external account in about 3 to 5 business days.
    • Eligible for CDIC deposit insurance.
    • Smart eSavings accounts are not available to Quebec residents.

Canadian Tire High Interest Savings® Account

Canadian Tire High Interest Savings® Account
  • Interest Rate
    2.40%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • Canada Tire’s online HISA — which the retailer has pet-named the ‘Money Magnet’ — is a stripped-down and easy-to-use account that can facilitate basic transactions.
    • Canadian Tire Bank (CTB) is a federally chartered virtual bank that operates the Triangle Rewards Program and offers credit cards, savings accounts, and GICs.
  • Product Details
    • 2.40% interest rate.
    • No monthly fee.
    • Automatic savings plan available.
    • 24/7 online banking.
    • Free and unlimited transfers to an external linked account at another Canadian financial institution.
    • Service fees are limited and listed online.
    • No minimum balance.
    • Access your money immediately by making withdrawals anytime you want via phone or online banking.
    • Eligible for CDIC deposit insurance.
    • This account is not available to Quebec residents.

Hubert Financial Happy High-Interest Savings Account

Hubert Financial Happy High-Interest Savings Account
  • Interest Rate
    3.00%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • This stripped-down virtual bank offers this high-interest savings account as well as term deposits, registered plans, a credit card and VirtualWealth investing.
    • Hubert Financial is the online division of Sunova Credit Union.
  • Product Details
    • 3.00% interest rate.
    • No monthly fee.
    • To open this account, you must become a member of Sunova Credit Union, which requires a $5 share. Your share is considered an investment and is fully refundable should you cancel your membership.
    • Manage your money through online banking and a mobile app.
    • Access to registered plans, term deposits, investing and more.
    • No transaction or service fees, except for wire transfers and a $25 fee for accounts that are inactive for six months with a balance under $1,000.
    • No minimum balance.
    • Immediate access to your money through transfers to linked accounts. Eligible for Deposit Guarantee Corporation of Manitoba deposit insurance.
    • Hubert Financial is not available to Quebec residents.

Tangerine Savings Account

Tangerine Savings Account
  • Interest Rate
    4.50%
    Promotional rate
  • Bonus Offer
    Up to $400
  • Monthly Fee
    $0
  • Our Take
    • Tangerine’s promotional 4.50% interest rate will earn you a high rate of return for five months. Pair it with the virtual bank’s no-fee chequing account, credit card, registered accounts or a GIC to maximize your financial goals.
    • Tangerine is a subsidiary of Scotiabank and offers chequing and savings accounts, GICS, registered accounts, credit cards, mortgages, loans and investment products. Read our review of Tangerine for more information.
  • Product Details
    • To earn 4.50% interest for 5 months, you must become a new client online by November 30, 2022, using the promo code EARNMORE and open your first eligible Chequing Account and Savings Account (including TFSAs, RSPs, RIFs and US$ Savings Accounts) within 30 days.
    • To earn the $400 Bonus, Open your first Savings Account and Chequing Account within 30 days of becoming a Client. Activate your Client Card and start earning your Bonus. Use your Client Card for online purchases and online bill payments to earn 20% cash back on Eligible Transactions for 60 days. Full promotional offer details are listed online.
    • 4.50% promo interest rate and 1.00% regular interest rate.
    • No monthly fee.
    • Automated savings program available.
    • Unlimited free self-serve transactions per month.
    • Service fees are limited to a $45 charge for non-sufficient funds.
    • No minimum balance.
    • Immediate access to your money through withdrawals, transfers to linked accounts, and more.
    • Eligible for CDIC deposit insurance.
  • More

    Learn about Tangerine’s Money-Back Credit Card in our picks for the best credit cards in Canada.

WealthONE High Interest Savings Account

WealthONE High Interest Savings Account
  • Interest Rate
    3.00%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • This HISA offers a competitive rate of interest.
    • WealthONE Bank of Canada is a Canadian Schedule 1 bank that serves all Canadians including the newcomers. It has two offices in Toronto and Vancouver and offers online banking, a mobile app and competitive interest rates.
  • Product Details
    • 3.00% interest rate.
    • No monthly fee.
    • Automated savings program available. HISA can be included in TFSAs, RRSPs, RRIF or other registered plans.
    • Free unlimited transactions to/from your linked account, and ten free bill payment transactions per month.
    • Service fees are listed online and include a $1.50 charge to send an Interac e-Transfer®.
    • No minimum balance.
    • Access your money immediately through transfers to linked accounts, Interac e-Transfer, and more.
    • Eligible for CDIC deposit insurance.

Oaken Savings Account

Oaken Savings Account
  • Interest Rate
    3.40%
    No minimum balance required
  • Bonus Offer
    N/A
  • Monthly Fee
    $0
  • Our Take
    • This fee-free savings account has a high interest rate, no minimum balance and works easily with Oaken GICs.
    • Oaken Financial is backed by Home Bank and powered by Home Trust Company and offers a digital app and online banking services for HISAs and GICs.
  • Product Details
    • 3.40% interest rate.
    • No monthly fees.
    • Transfer money from your account to an Oaken GIC, or transfer your GIC’s matured balances or interest payments to your savings account.
    • Automatic contributions are available.
    • Free and unlimited transactions.
    • Service fees are limited to optional costs, like a $2 paper statement (e-statements are free and made available automatically).
    • No minimum balance.
    • Access your money immediately by transferring it to a linked account or using free and unlimited e-Transfer.
    • Choose either Home Bank or Home Trust Company as the issuer for each account, both of which are members of CDIC.
Back to Top

Scotiabank MomentumPLUS Savings Account

Earn a savings rate of up to 4.50%* interest for a limited time. No minimum balance required. Conditions Apply.

 

Top HISA rates in Canada

These HISAs also offer higher-than-average rates. But unlike the accounts featured in our pick for best HISA, some of these HISAs are limited to residents of a single province. (Scroll horizontally to see more details about each HISA.)

Savings AccountInterest RateMonthly FeeInsurance
Accelerate Financial AcceleRate High-Interest Savings3.00%$0Deposit Guarantee Corporation of Manitoba
Achieva Financial Daily Interest Savings Account2.95%$0Deposit Guarantee Corporation of Manitoba
Alterna Bank HISA2.00%$0CDIC
ATB Financial High Interest Savings Account (Alberta residents only)3.45% - 3.55%$0Guaranteed under the ATB Financial Act
Bridgewater Bank Smart eSavings™ Account**3.00%$0CDIC
Canadian Tire High Interest Savings® Account**2.40%$0CDIC
Canadian Western Bank Summit Savings Account1.40%$0CDIC
CI Direct Investing High Interest Savings Account3.55%$0Canadian Investor Protection Fund
CIBC eAdvantage® Savings Accountup to 4.50%*$0CDIC
Coast Capital Savings High Interest Savings Account**1.40%$0CDIC
EQ Bank’s Savings Plus Account**2.50%$0CDIC
​FirstOntario Credit Union High Interest eSavings Account (Ontario only)1.75% - 1.85%$0Financial Services Regulatory Authority of Ontario
Home Trust High Interest Savings Account (HISA)3.65%TBD by issuerCDIC
Hubert Financial Happy High-Interest Savings Account**3.00%$0Deposit Guarantee Corporation of Manitoba
ICICI Bank HiSAVE® Savings Account1.25%$0CDIC
Ideal Savings High Interest Savings Account1.01%$0Deposit Guarantee Corporation of Manitoba
Kindred Credit Union High Interest Savings (Ontario only)1.90%$0Financial Services Regulatory Authority of Ontario
KOHO Spending and Savings Account0.5% to 2%$0CDIC
LBC Digital High Interest Savings Account3.00%$0CDIC
Manulife Bank Advantage Account2.35%$0CDIC
MAXA Financial High Interest Savings Account2.90%$0Deposit Guarantee Corporation of Manitoba
Meridian Credit Union High interest savings account2.05%$0Financial Services Regulatory Authority of Ontario
Motive Financial Motive Savings Account**1.00%$0CDIC
Motusbank High interest savings account2.10%$0CDIC
National Bank of Canada High interest savings Account0.00%$0CDIC
Neo Money Account**2.25%$0CDIC
Oaken Financial Savings Account3.40%$0CDIC
Outlook Financial High Interest Savings3.00%$0Deposit Guarantee Corporation of Manitoba
Peoples Group e-Savings2.60%$0CDIC
RBC High Interest eSavings4.20%$0CDIC
Saven Financial High-Interest Savings Account (Ontario only)3.75%$0Financial Services Regulatory Authority of Ontario
Scotiabank MomentumPLUS Savings Accountup to 4.50%*$0CDIC
Simplii Financial High Interest Savings Accountup to 5.00%$0CDIC
Steinbach Credit Union Regular Savings (Manitoba only)3.10% - 3.30%$0Deposit Guarantee Corporation of Manitoba
Tangerine Savings Accountup to 4.50%*$0CDIC
VersaBank Sunrise Daily Interest Savings Account1.05%$0CDIC
WealthONE Bank of Canada High Interest Savings Account3.25%$0CDIC
Wealthsimple Save1.50%$0CDIC
Wyth Financial High Interest Savings Account (HISA)2.25%$0CDIC

**Not available to Quebec residents. 

 

Back to Top

Methodology

NerdWallet Canada selects the best high-interest savings accounts based on several criteria including annual percentage yields, minimum balances, fees, digital experience and more. Only high-interest savings accounts that are available in more than one province are considered for this list.

Back to Top

Guide to high-interest savings accounts in Canada

By Hannah Logan and Clay Jarvis

HISA stands for “high-interest savings account.” Most banks and financial institutions in Canada offer HISAs. There are a few different types, including

What is a high-interest savings account?

A high-interest savings account simply offers a more attractive interest rate than other savings accounts that may be offered by the institution. The interest rate is applied to the entire balance in your account and is typically calculated daily but paid out monthly.

Still, high-interest savings accounts may offer a rate of return that’s lower than other investment options. Current rates for Canadian HISAs typically fall into the 1-2.50% range although some institutions may provide special promotional rates above 4%.

Savings account vs. chequing account

When determining what kind of bank account you need, one of the first choices you’ll have to make is whether to go with a savings account or a chequing account.

A savings account is generally used for funds you don’t intend on spending right away. It’s a good option if you’re looking for a place to stash cash and let it grow.

A chequing account is designed for everyday transactions. This is the kind of account most people use to pay for groceries and bills and have their paycheques deposited into. Because chequing accounts are intended for more high-volume use, they often come with monthly service fees and lower interest rates — if they pay interest at all.

How does a high-interest savings account work?

A HISA works similarly to any other savings account. When you deposit your money into an account at a bank or other financial institution, they may lend those funds to other clients. You have access to your money at any time, and to reward you for keeping your money in the account, the bank pays you a certain rate of interest.

High-interest savings account rules

While HISAs generally earn more interest than a regular savings account, they tend to be governed by more rules and include fewer perks. For example, most HISAs won’t come with cheques or debit cards, since they’re designed for savings and not daily banking. It might take one or two days to transfer money from your HISA to another account, and you might need to pay a fee for e-transfers from your HISA account.

Rules will vary from bank to bank, so be sure to read the fine print before opening a HISA. Generally speaking, a HISA is a good place to save toward your financial goals, and you should handle your day-to-day banking through your chequing account.

How high-interest savings accounts earn interest

HISA interest is usually presented as an annual percentage yield, but the interest is normally calculated daily and paid back into the account monthly.

This means you’ll earn compound interest (interest on the interest) in your HISA, which is ideal for helping your savings grow faster. For example, let’s say that you put $10,000 in your HISA with an interest rate of 1%, and then you don’t touch your account for one year. You will have earned $100.50 in interest by the end of the year, so your HISA will contain $10,100.50.

But know that interest rates are subject to change without notice, so make sure to check your account often so you know how much you’re actually earning.

High-interest savings account investment

As an investment option, a HISA presents very little risk. But that also means your rate of return is lower than what you might earn with other investments. A HISA is a good tool to have in your financial kit, but you may not want to rely on them alone for long-term savings goals, such as retirement.

High-interest savings account taxes

Like regular earnings, the interest generated by your HISA savings is considered taxable income by the Canadian Revenue Agency.

When you file your tax return, you’ll be expected to disclose the interest earned. That figure can be found in the return of investment income slip, known as a T5, your financial institution sends you each year.

The rate of tax you pay on the interest from a high-interest savings account is the same rate that’s applied to the rest of your earnings.

TFSA vs high-interest savings account

Even though high-interest savings accounts and tax-free savings accounts (TFSAs) appear similar on the surface, they are typically used for completely different purposes.

A HISA is simply an account where you store your money and earn a higher rate of interest.

You can also save money and earn interest in a TFSA, but the money you deposit into a TFSA can also be invested in other products, like stocks, mutual funds and ETFs.

Your returns on TFSA investments are tax-free, whereas the interest earned by your HISA is not.

RRSP vs high-interest savings account

High-interest savings accounts and registered retirement savings plans, or RRSPs, are both places where you can grow your savings.

The money you deposit into your RRSP, and the income you earn from it, is treated differently than what goes into your HISA.

Unlike HISA deposits, RRSP contributions reduce your taxable income, which can significantly decrease your tax bill. The income you earn in an RRSP is typically tax-free, but when you withdraw money from the account, you’ll have to pay taxes on it.

GIC vs high-interest savings account

Another financial product similar to a high-interest savings account is a guaranteed investment certificate, or GIC.

With a GIC, you deposit money into a financial institution for a predetermined length of time in exchange for a guaranteed rate of interest. The length of GIC terms varies; some are as short as a month, others can be several years. The longer the term, the more interest you’ll typically earn.

With a HISA, you can withdraw your money anytime you like. With a GIC, you may be required to pay a penalty if you try to retrieve your money before the term expires.

Who should open a high-interest savings account?

A savings account is a critical component of a well-rounded financial portfolio. Having one allows you to organize your finances and keep your savings secure while putting money aside for major purchases and emergencies.

High-interest savings accounts are particularly valuable for people who want to give their savings a boost but who may lack access to investment vehicles that pay a higher rate of interest.

If you’re saving for a shorter-term goal, like paying for a wedding, vacation or making a down payment on a car or home, a HISA may help you reach your goal a little sooner.

How to use a high-interest savings account

A HISA is a savings vehicle that you can use to grow your money for any number of reasons, including:

Starting an emergency fund

An emergency fund is money you set aside specifically for those unforeseen life events that require quick cash. Urgent medical issues, car repairs and storm damage to a roof or basement are just a few examples of sudden costs that your credit card may not be able to cover.

An emergency fund can also provide a lifeline if you or someone in your family loses a job and your household’s income takes a hit.

Emergency funds should be easily accessible, which is why a high-interest savings account can be a good place to store them.

Short-term savings goals

A high-interest savings account can also help you prepare for those just-over-the-horizon purchases that require a little extra saving.

If you know your car will need to be replaced in the coming months, or that your family wants to get together for a luxurious vacation next year, saving your money in a HISA well ahead of time can help you earn interest while planning to cover those costs.

Large but predictable expenses

Saving for major expenses is another goal a high-interest savings account can help you accomplish. Significant life events like retirement, post-secondary education, getting married or buying a home can require a healthy stack of cash. The higher yields offered by HISAs can help you build that stack a little faster.

How to choose the best high-interest savings account

Each bank or credit union has its own terms and conditions for high-interest savings accounts. Here are things you should consider when deciding where to stash your money.

Minimum deposit

Some high-interest savings accounts require you to make a minimum deposit when you open your account.

These deposits can as low as $25 or much higher, so be sure to read the fine print or ask a customer service representative what initial deposit will be expected.

Reputation and security

When choosing a HISA, first make sure you pick a reputable bank or credit union. It doesn’t have to be your usual bank, but make sure it has good reviews and is insured.

Financial goals

Also, think about why you’re opening the HISA. Are you saving for something in the near future, like a summer vacation, or something further away, like buying a house in five years? Make sure the account offers a level of accessibility that will meet your needs.

Interest rate

Next, make sure the account offers a good interest rate. It’s important to be mindful of “teaser” or “promo” rates versus regular rates. Many Canadian banks offer higher promotional rates when you first open a HISA, but those rates only last a short time (sometimes five or six months). After that, the interest rate drops, often quite significantly. An account with a high promotional rate isn’t always the best option, but if you can make a significant initial deposit or are only saving for the short term, it could still be the right choice to maximize earnings.

Service fees

Few things in life are free, even when it comes to saving your own money.

Having a high-interest savings account isn’t likely to cost you a regular monthly fee, but you might still have to pay for certain withdrawals or transfers. Some accounts offer a few free transactions every month, others allow you to avoid paying bank fees so long as your account holds a minimum monthly balance.

How to open a HISA

With plenty of online-only banks to choose from, opening a HISA is quite easy and can often be done in as little as five minutes.

To open a bank account, most financial institutions require account holders to be the age of majority in your province or territory and a resident of Canada with a permanent address.

Some financial institutions, like credit unions, may only offer HISAs to residents of certain provinces. For example, Quebec residents may not be eligible for all HISA offers.

If you meet the age and residence requirements of the bank you hope to open an account with, all you should need to do is:

  1. Provide your personal information, including your full name, mailing address and date of birth.
  2. Prove your identity and supply your social insurance number (SIN) for tax purposes.
  3. Provide a personal email address, particularly if you’re opening an account with an online-only bank.

If you need assistance or would rather open a HISA in person, be sure to choose a bank or financial institution that has physical branches. You can also usually get help from a customer service representative via phone or online chat.

Other types of savings accounts to consider

If you have long-term savings goals, you might also consider other investment options like:

Back to Top

  • FAQs

    • Do I need a high-interest savings account?

      A high-interest savings account isn’t a necessity but can help you make the most of your savings. HISAs have plenty of great uses, they’re often insured, and there’s no chance of losing money. This makes them a great fit for shorter-term savings goals or holding any extra money you have on hand.

    • Are HISAs taxed?

      Yes, gains generated by a high-interest savings account will be taxed annually. Every year, your bank will send you a T5 slip that shows your interest earnings. You must submit this form along with your other income when you file your taxes. To avoid paying taxes on your savings, look into opening a TFSA.

DIVE EVEN DEEPER

How a Credit Union Compares to a Traditional Bank

What is the benefit of a credit union over a bank? They are not-for-profit financial cooperatives that put their members first.

5 Advantages to Setting Up Multiple Bank Accounts

Setting up multiple bank accounts can help you budget, maximize savings and optimize taxes. Having more than one savings account can support financial goals.

Best Tax-Free Savings Account Rates in Canada for 2022

The best high-interest tax-free savings accounts (TFSAs) in Canada have no fees and earn high rates of interest to help grow your investment.

How to Hold a GIC in a TFSA

A TFSA GIC can prevent you from having to pay taxes on the interest earned by your investment.
Back To Top