Save, Invest or Choose a Tangerine GIC? Here’s How to Decide
🏦 A savings account, if flexibility is your priority 🔒 A GIC, if low risk and a guaranteed return matter most 📈 Investing, if you’re focused on long-term growth
You've done the hard work and set aside some money.
Now comes a bigger question: where should it go?
Should you stash it in a savings account?
Invest it for potentially higher long-term growth?
Or lock in your rate with a guaranteed investment certificate (GIC)?
The right answer depends less on whatever's happening with interest rates and more on your goals, timeline and comfort with risk.
The questions below will help you zero in on the best fit for your cash, so you can make your decision with confidence.
1. How soon will you need the money?
If you’re sure you can live without the money for a while, consider a Tangerine GIC.
In exchange for leaving your money invested for a set period of time (options ranging from 90 days to 5 years), you’ll enjoy a guaranteed rate of return that’s much higher than most savings accounts.
But if you might need to spend the money within the next few months — to cover an emergency, buy plane tickets or make a home repair — a Tangerine savings account offers the flexibility you'll need. Your interest rate might be lower, and could change unexpectedly, but access will be easy.
💡Pro tip: A promotional savings rate can make this tradeoff more attractive, at least temporarily. At the time of publication, opening a Tangerine savings account can earn you an impressive 4.50% promotional rate for five months.
And if your goal is many years away, like opening a business or retiring to the tropics, investing likely provides greater long-term growth potential, though returns aren't guaranteed and your balance can fluctuate.
2. How much risk can you tolerate?
Every savings strategy involves trade-offs.
Promotional interest rates end. Markets shift. Your income changes over time.
Investing has historically offered the greatest long-term return potential, but markets are bound to rise and fall, taking the value of your assets with them. Some people can ride out those short-term losses if they know there's the potential for big future gains.
But that roller coaster isn’t for everyone.
A Tangerine GIC offers a much lower risk scenario. Your original investment is guaranteed, and you know exactly how much interest you'll earn if you hold it until maturity.
If getting a good night's sleep depends on knowing you can't lose your principal, no matter what happens in the markets, a GIC offers the peace of mind you're looking for.
💡Pro tip: Use a GIC Interest Calculator to enter an investment amount and compare the estimated interest you’ll earn for different rates and terms.
Tangerine GICs
Work towards your financial goals and enjoy the peace of mind of knowing your investment is guaranteed for whatever term you choose. Tap 'Get Started" below to view Tangerine GIC rates and choose a GIC type.3. Are you saving for a specific goal?
Different financial goals often call for different tools.
Want to buy a house in the next two years? Pay tuition next fall? Get married next summer?
A GIC keeps saved money separate from everyday spending while earning a guaranteed return. Knowing how much your GIC will have earned at maturity can make it easier to plan for a fixed expense.
The account holding the GIC matters, too. Tangerine offers non-registered GICs as well as registered options, including an RSP GIC for retirement savings and a Tax-Free GIC held within a TFSA. The best account for you will depend on your goal, available contribution room and tax situation.
4. How much uncertainty can you stomach?
Guaranteed investment certificates aren’t Tangerine’s only low-maintenance investment option, but they do serve a particular purpose: providing a guaranteed return without exposing your principal to market fluctuations.
GICs are often the ideal choice for someone who wants a low-risk place to park savings, protect money needed for a future expense or add a predictable growth component to a broader portfolio.
Tangerine offers GIC terms ranging from 90 days to five years, and both registered and non-registered options.
Once you’re a Tangerine client, you can open and fund a GIC online or through the mobile app, including with money from a linked external account.
Tangerine GICs
Work towards your financial goals and enjoy the peace of mind of knowing your investment is guaranteed for whatever term you choose. Tap 'Get Started" below to view Tangerine GIC rates and choose a GIC type.So, what’s the verdict?
If you mostly answered...
🏦 "I need flexibility."
A Tangerine savings account is probably your best starting point.
🔒 "I want certainty and low risk."
Start exploring Tangerine GIC options.
📈 "I'm thinking decades ahead."
Long-term investing may be a better fit.
But remember, this doesn't have to be an all-or-nothing decision.
Many Canadians keep:
An emergency fund in a HISA
Medium-term savings in a GIC
An RRSP or TFSA invested in the market
Matching each dollar to its purpose can help balance flexibility, growth potential and security.
And don’t forget to look beyond interest rates alone.
Consider how easy it is to open and manage your investment
The range of available terms
Whether registered accounts are offered
Whether the overall experience fits the way you prefer to bank
After all, choosing where to put your money shouldn't feel more complicated than the savings goal you're working toward.
If you value straightforward financial products, digital convenience and an easy-to-navigate banking experience, Tangerine's online GICs are worth exploring.
Current Tangerine GIC rates
| Account | NerdWallet rating | Interest rate | Term | Apply Now |
|---|---|---|---|---|
| Tangerine RIF 9 Month GIC | APPLY NOW on Tangerine's website | |||
 APPLY NOW on Tangerine's website | 4.9/5 | 3.00% | 270 Days | |
| Tangerine RSP 1 Year GIC | APPLY NOW on Tangerine's website | |||
APPLY NOW on Tangerine's website | 4.9/5 | 3.25% | 1 Year | |
| Tangerine Non-registered 2 Year GIC | APPLY NOW on Tangerine's website | |||
APPLY NOW on Tangerine's website | 4.9/5 | 3.55% | 2 Years | |
| Tangerine Tax-Free 2 Year GIC | APPLY NOW on Tangerine's website | |||
APPLY NOW on Tangerine's website | 4.9/5 | 3.55% | 2 Years | |
| Tangerine 5 Year GIC | APPLY NOW on Tangerine's website | |||
APPLY NOW on Tangerine's website | 4.9/5 | 3.80% | 5 Years | |
Frequently asked questions
When does locking in your money make sense?
A GIC may make sense when you have a known savings timeline, don’t expect to need the money before maturity and want a guaranteed return. It can also provide a low-risk place to park savings while protecting your principal from market fluctuations.
What happens if I want to cash out GIC my funds early?
It depends on the type of GIC you have. Most non-redeemable GICs — including Tangerine's — are designed to be held until maturity, i.e. the full length of the term you selected, so you can't access your money early. In exceptional circumstances, such as financial hardship, Tangerine may consider an early redemption request on a case-by-case basis if it's approved. Before opening a GIC, make sure you're comfortable leaving the money invested for the full term.