Best Savings Accounts

Best high-interest savings accounts in Canada

EQ Bank Savings Plus Account

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1.5%
Interest Rate

N/A
Promo Rate

$0
Min. Balance

EQ Bank offers an easy, streamlined, no-hidden-fees alternative to big banks. With the EQ Bank Savings Plus Account, you can enjoy a very competitive interest rate and low costs. EQ Bank is entirely online, so you can manage your money conveniently from home. While you can't perform cash transactions, you can easily send money to and from linked accounts at outside institutions for free. This high interest savings account is great if you're just starting to save or are trying to build up an existing, modest-sized fund.

Loan details

• Details
• Pros and cons

Interest Rate	1.5%
Min. Balance	$0
Promo Rate	1.50%
Transaction Fee	unlimited
Interac e-Transfer Fee	unlimited

Pros

• Great interest rate.
• $0 monthly fee.
• Hidden fees: $0.
• Can move money easily between accounts.
• Interac e-Transfers are unlimited.

Cons

• Some standard banking features not available such as overdraft protection, use of ATMs and the option to have paper statements.
• No physical branches for in-person service.
• Savings limited to $200,000 per customer.

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Best Big Bank savings account in Canada

Scotiabank MomentumPLUS Savings Account

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0.1%
Interest Rate

N/A
Promo Rate

$0
Min. Balance

If you need a little help staying motivated to save, then Scotiabank MomentumPLUS Savings Account might be just what you need. Earn a regular interest rate of 0.1% right away, and enjoy a bonus of up to 1.1% if you consistently contribute to your account over a certain amount of time without withdrawing from it.

Loan details

• Details
• Pros and cons

Interest Rate	0.1%
Min. Balance	$0
Transaction Fee	You’ll get an additional load of interest at regular intervals within your first year. This payout will occur at 90 days (0.30%), 180 days (0.40%), 270 days (0.50%) and 360 days (0.60%).
ATM Out of Network Fee	$1.50

Pros

• $0
• $0 minimum balance requirement.
• In-person service available at Scotiabank branches (note that there may be fees for certain types of teller-assisted services).

Cons

• It takes some time to earn a higher interest rate.
• You may be a charged a fee for Interac e-Transfers.

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Disclaimer
Please note: All information about Scotiabank MomentumPLUS Savings Account has been collected independently by Finder and this product is not available through this site.

Best tax-free savings accounts in Canada

EQ Bank TFSA account

2.3%
Interest Rate

N/A
Promo Rate

$0
Min. Balance

EQ Bank is a fully online alternative to mainstream banks, so you can expect competitive rates. The EQ Bank TFSA account has one of the highest TFSA interest rates on the market, making it easier than ever to reach your savings goals. Other benefits like a $0 monthly fee, $0 minimum balance requirement and that there are help make this a great option for tax-free savings growth.

Loan details

• Details
• Pros and cons

Interest Rate	2.3%
Min. Balance	$0
Transaction Fee	unlimited

Pros

• One of the best interest rates on the market
• $0 monthly fee
• No unexpected fees
• All your money is yours, tax-free
• The minimum balance requirement is $0

Cons

• Some standard banking features not available such as overdraft protection, use of ATMs and the option to have paper statements.
• No physical branches for in-person service.
• The tax-free maximum is $6,000 per year

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Disclaimer
Please note: All information about EQ Bank TFSA account has been collected independently by Finder and this product is not available through this site.

Best credit union savings accounts in Canada

Steinbach Credit Union Regular Savings Account

1.55%
Interest Rate

N/A
Promo Rate

$0
Min. Balance

As a credit union, Steinbach reinvests its profits directly into the products and services it offers, so you as the customer can expect great rates. The Steinbach Credit Union Regular Savings Account is one of the best tiered interest rate savings accounts available, starting at 1.2% up to a maximum of 1.5%. The $0 monthly fee makes this an affordable savings option as well. All deposits are free, and withdrawals are $1.00 each (first monthly withdrawal is free).

Loan details

• Details
• Pros and cons

Interest Rate	1.55%
Min. Balance	$0
Transaction Fee	deposits are free, and withdrawals are $1.00 each (first monthly withdrawal is free)

Pros

• The minimum balance requirement is $0
• The monthly fee is $0
• Mobile app available for Android and iOS.

Cons

• You can likely find more competitive interest rates from online banks.
• The only physical branches are located in Manitoba.
• You'll have to pay a one-time membership fee to open your first account.

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Best no-fee savings accounts in Canada

Tangerine Savings Account

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0.1%
Interest Rate

2.1%
Promo Rate

$0
Min. Balance

Tangerine is one of Canada's most established, fully online banks and is known for its straightforward, fee-free banking solutions. You can manage your money conveniently through Tangerine's easy-to-use online personal banking portal.

Loan details

• Details
• Pros and cons

Interest Rate	0.1%
Min. Balance	$0
Transaction Fee	free and unlimited
Interac e-Transfer Fee	free
ATM Out of Network Fee	$1.50

Pros

• $0 monthly fee.
• All everyday transactions are free and unlimited.
• Supports an Automatic Savings Program for making recurring deposits into your account.
• 24/7 customer service phone line.

Cons

• Regular interest rate may not be as competitive as other savings account rates on this list.
• No physical branches for in-person service.

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Why finding the best savings account is important

The primary feature of a savings account is to safely grow your money over time – an extra 1% yield on an account with a balance of $5,000 will pay out about $50 each year, which can really add up over time. And when you consider that inflation causes your money to lose up to 3% of its value each year, keeping your funds in the best savings account for your needs can help lessen the effects of inflation and protect you financially.

Calculate how much you can save

When choosing the best savings account for your financial situation, it’s important to figure out exactly how factors like your account’s interest rate can impact your savings goals. Compare different account options by using our savings account calculator below.

• How to use our savings calculator

  To calculate your earnings power, all you have to do is follow a few simple steps:

  • Enter your initial deposit amount. How much money do you have to start with? Enter 0 if you’re starting from scratch.
  • Choose your payment frequency. Making regular payments into your account is an excellent way to boost your savings balance. You can choose from weekly, biweekly or monthly payments.
  • Enter your regular payment amount. Type the amount you will regularly deposit into your account.
  • Enter the interest rate. Type the interest rate attached to your savings account into the field provided. To compare current interest rates, check the table below.
  • Choose the timeframe. How long will you be putting away money in your savings account? You can choose terms from 1 to 40 years.
  • Calculate. The savings calculator crunches the numbers and tells you the total amount you’ll save, your total deposits and interest.

Best Savings Account Interest Rates

With savings accounts, you can expect interest rates anywhere from as low as 0.02% up to 2% depending on who you choose to bank with. Rates offered by Canada’s Big Banks, such as Scotiabank and BMO, range from around 0.05% and 1% while direct banking operations like EQ Bank and Tangerine offer up the best savings account interest rates to the tune 1.5%.

Savings account interest rates are often referred to as APY or APR. The APY or “Annual Percentage Yield” is the amount of money made each year on an investment due to compound interest (also called EAR or “Earned Annual Interest”). APR or “Annual Percentage Rate” is the interest rate charged during a certain time period multiplied by the number of time periods in a year.

Types of savings account interest rates

Some of the best savings accounts offer a straight forward interest rate on all the money you deposit. Other accounts come with additional interest rate features, like:

• Tiered interest rates. These rates increase in line with the length of time you keep your money stored away, up to 360 days. The Scotiabank MomentumPLUS Savings Account is a prime example of how tiered interest rates are structured. Accountholders receive a base rate of 0.05% interest on all of their savings in this account for as long as their money is held. You’ll secure an additional premium rate at regular intervals within your first year – 0.30% at 90 days, 0.40% at 180 days, 0.50% at 270 days and 0.60% at 360 days.
• Promo interest rates. offer introductory rates to new clients opening up an account for the first time. The Tangerine Savings Account is a great example – Tangerine offers 2.1% interest for the first 5 months after you’ve opened your account.

The 8 different types of savings accounts

There are various types of savings accounts you can sign up for in Canada, each with a different purpose depending on your life stage or whether you’re saving for the near future or for retirement.

Check out the 8 different types of savings accounts below. When you’re zeroing in on the best savings account for you, think about your main objectives. Do you need regular access to your accounts or do you want to tuck a large chunk of money away for the future?

1. Standard Savings Accounts

Consider a standard savings account if you plan on regularly moving money between accounts, and if you prefer visiting a bricks-and-mortar bank in person. The standard savings account typically comes with a small amount of interest, and your funds aren’t locked in unlike other savings accounts, providing you with flexibility to access your cash.

Keep in mind, some banks may charge you fees for moving money in and out of this basic savings account, so look at the fine print before signing up.

2. High-Interest Savings Accounts

If yielding a high interest rate is your top priority, these are the savings accounts for you. Some high-interest savings accounts are tied to digital-only banks, so you’ll have to be comfortable with online-only banking. To secure a high-interest rate, you may have to stick to a higher minimum deposit or tight restrictions on withdrawals so pay attention to the fees and requirements you’ll need to meet before opening one of these accounts.

3. Tax-Free Savings Accounts (TFSA)

A tax-free savings account allows you to invest your savings in securities and withdraw your earnings without having to pay any withholding fees or taxes on your returns. The Canada Revenue Agency (CRA) launched the program in 2009, allowing Canadians 18 and older to shelter $6,000 each year in investments kept in a TFSA. The TFSA contribution room accumulates each year. This means that if you don’t use up your annual allotment, the amount is carried over to subsequent years.

4. Registered Retirement Savings Plan (RRSP)

Canadians planning for retirement, whether it’s decades away or on the horizon, should look into opening a registered retirement savings plan. When you stash your savings away in an RRSP, your money is usually held in cash or placed in stocks, bonds and other securities. You can only contribute a certain amount of money to it each year (about 18% of your income), but if you don’t use your annual allocated amount, it can be rolled over to future years.

You’ll earn a “tax deferral” for every RRSP contribution you make, which allows you to save money at tax time. Make sure your RRSP savings can be socked away for the long haul – you can make withdrawals before you hit retirement age, but you’ll have to pay your regular income tax and a withdrawal tax of 10-30% on any amount you take out of your RRSP early. You can avoid paying this tax if you’re taking money out to pay for your education or your first home.

5. Registered Education Savings Plan (RESP)

If your aim is to set aside savings for your little one’s education costs later on, a registered education savings plan is a great way to help you achieve this goal. An RESP is a government-registered plan that helps you save and invest for your child’s post-secondary education. You can make deposits into the account while collecting government grant money for every year you do so. You’ll also earn tax-free interest on your savings just like you would with a TFSA and RRSP.

6. Child Savings Accounts

The vast majority of Canada’s banks offer a special savings accounts for children. These child savings accounts are opened by their parents or grandparents and they offer a good interest rate to give kids’ savings a boost. Youth savings accounts also traditionally come with educational tools to help them with their savings goals and money management.

7. Seniors Savings Accounts

Canadians heading into their golden years can take advantage of seniors’ savings accounts, which are on offer by most Canadian banks and financial institutions. Seniors savings accounts come with a string of perks, including special interest rates and reduced fees.

8. US Dollar Savings Accounts

If you have American funds you’d like to deposit while earning interest, a US dollar savings account is your best bet. Foreign currency accounts help Canadians who do business in the United States, own property there, or need access to US funds. Holding onto a US bank account is a great way to manage your Canadian and US finances in one spot. An example of this type of account is the BMO U.S. Dollar Premium Rate Savings Account.

Compare savings accounts in Canada

Once you’ve narrowed down what you’re looking for in the best savings account for your needs, you can take the next step and apply. Check out the options in the table below.

Sort by:

Name	Product	Interest Rate	Promotional Interest Rate	Min. Bal / Min. Deposit	Account Fee
EQ Bank Savings Plus Account		1.50%	N/A	$0 / $0	$0	Enjoy zero everyday banking fees, free transactions and no minimum balance with a Savings Plus Account from EQ Bank.	Go to site More Info	Compare	loading Fetching your data...
CI Direct Investing High Rate Savings Account		0.50%	N/A	$0 / $0	$0	With no fees and no restrictions, you'll earn 0.5% interest with the CI Direct Investing High Rate Savings Account.	Go to site More Info	Compare	loading Fetching your data...

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Alternatives to the best savings accounts

When interest rates are low, where can you get the best return for your money? If the best savings accounts aren’t enough or don’t fit your financial goals, there are other ways of getting the most out of your money. Consider these other ways to save:

• Permanent life insurance policies

  If you want to save up for a major purchase or save for retirement, you can put your money into the cash value portion of a permanent life insurance policy, like a whole or universal policy. A portion of the payments you put towards these policies is put into a tax-advantaged investment scheme, which is chosen based on your needs and risk tolerance. If you need access to cash, you can withdraw it from the investment, borrow against your policy or surrender the policy.

  Earnings on whole life insurance investments are based on whether the insurance company’s assets are profitable. On the other hand, universal life insurance funds can be invested however the policy holder wants, so earnings are based directly on market performance.

  Learn more about life insurance in our detailed guide.

• Health savings account

  If you want to save up specifically for medical expenses, then a health savings account may be right for you. Using a health savings account, business owners agree to set aside funds for their employees’ medical expenses up to a certain amount. When medical needs arise, employees pay for them and are then completely reimbursed by their employer. The advantage is that these payouts are 100% tax deductible for business owners and 100% tax free for their employees!

  This is what makes health savings accounts especially good for self-employed people and contract workers. They can deduct their contributions to these accounts from their business taxes but also receive funds from these accounts – tax free – to cover their medical expenses.

  Bear in mind that, to open a health savings account, you’ll need a high-deductible health insurance policy, and you’ll also have to pay a penalty if you spend the money on anything unrelated to medical expenses.

• Bonds or other investments

  If you’re interested in higher rates of return and are willing to accept more risk, you could consider investing in government or corporate bonds. There are no guarantees with bonds, but they’re less volatile than stocks, mutual funds and exchange traded funds (ETFs).

  Either the government or company whose bonds you buy pays them back with interest or it’ll default on them. Historically, however, the likelihood that the government will defaults on bonds is pretty unlikely, and as for corporate bonds, it’s up to you to do your research and buy from a reasonably stable company that’ll still being around when you cash in on your investment.

Apps that reward you for your spending

You can also use apps that help you save as you spend. These apps generally work by automatically setting money aside to save or invest, or providing a better picture of when and how you’re spending your money.

Sort by:

Name	Product	Reward	Fees	Participating Brands	Min. to Cash Out
Ampli		1-10% cash back, or a set $ amount	$0	50+	$15	Link your debit and credit cards to the Ampli app and earn cash back at 50+ big retailers across Canada. Enter promo code AMPLI5 to receive a $5.00 cash back bonus on signup.	Go to site More Info	Compare	loading Fetching your data...

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Frequently asked questions about the best savings accounts

• Can I open a savings account even if I'm bankrupt or unemployed?

  You can open a savings account even if you’ve been bankrupt, don’t have a job, or have nothing to deposit right away (unless the account requires a minimum balance).

• How do I open a savings account?

  In most cases, you can apply and open a savings account online as long as you provide 2 pieces of identification and proof of residency (such as utility bill, phone bill or credit card statement with your name and address on it). You may be asked to provide your Social Insurance Number (SIN), and, if you’re a new customer, you may need to go into a branch to verify your identity.

  At least one, but preferably both, pieces of ID should have your photo on it to prevent being rejected as insufficient. (Note: additional regulations apply – see www.canada.ca for details). The following pieces of ID are acceptable:

  • Passport
  • Current foreign passport
  • Driver’s license
  • Canadian birth certificate
  • Canadian Old Age Security card
  • Debit card, bank card or Canadian credit card with your name and signature on it
  • Canadian Social Insurance Number (SIN) card

  • Employee ID card that has been issued by a well-known employer in your area and that has your picture on it
  • Certificate of Indian Status
  • Permanent resident card
  • Provincial or territorial health insurance card if allowed to be used as ID under provincial or territorial law (not all provinces allow health cards to act as proof of ID)

• How do I open a youth savings account?

  Different banks across Canada may set different ages under which a minor qualifies to open a youth savings account. To open one of these accounts, the minor will need to be accompanied by a parent or guardian who will open the account for them.

  Once the minor reaches the age limit, their youth savings account will automatically convert into an adult savings account. Be sure to research the details of the default savings account your child’s youth account will convert to, as you may find it more beneficial to convert to a different type of savings account with a higher interest rate or maybe greater flexibility to move money between accounts. See our full guide to youth savings accounts for more details.

• Is it better to have separate or joint savings accounts?

  Joint accounts are a great way to reach collective financial goals. Generally, joint accounts allow up to two account holders, but some providers allow for even more. Before opening a joint savings account, consider if it’s right for your financial situation. Consider the pros and cons below:

  Pros

  • See lower fees and more interest with a high balance.
  • Less legal complications if a partner dies.
  • Easier to manage household budgeting and long-term goals.
  • Creates accountability between you both.
  • Easier to reach higher minimum deposits for bigger savings.

  Cons

  • Have less financial independence.
  • Could create communication issues regarding spending.
  • Creates complications in the event of a separation or divorce.
  • Tough to divide funds for individual costs like a car accident or an expensive hobby.

• What if I have a complaint/problem regarding my savings account?

  The first step should be to contact your bank and show them any documentation you have regarding your issue such as receipts, bank statements highlighting relevant transactions, savings account agreement papers, emails or messages with bank personnel etc. Note that any problems, especially discrepancies between your account records and what you expect to be there, should be reported as soon as possible so that an investigation can be opened.

  If your bank refuses to cooperate, you can take the dispute a step further and call the bank’s ombudsman, whose job it is to arbitrate disputed between customers and the bank. If the dispute is still not solved, then you can take it up with your provincial regulator, a list of which is provided below.

  Province or Territory	Regulatory Institution
  Alberta	Treasury Board and Finance Alberta Securities Commission
  British Columbia	Financial Institutions Commission British Columbia Securities Commission
  Manitoba	Financial Institutions Regulation Branch Manitoba Securities Commission
  New Brunswick	Financial and Consumer Services Commission
  Newfoundland & Labrador	Consumer and Commercial Affairs BranchSecurities Commission of Newfoundland and Labrador
  Northwest Territories	Office of the Superintendent of InsuranceNorthwest Territories Securities Office
  Nova Scotia	Financial Services Division Nova Scotia Securities Commission
  Nunavut	Government of NunavutNunavut Office of the Superintendent of Securities
  Ontario	Financial Services Commission of Ontario Ontario Securities Commission
  Prince Edward Island (P.E.I.)	Consumer, Labour and Financial Services DivisionPrince Edward Island Office of the Superintendent of Securities
  Quebec	Autorité des marchés financiers
  Saskatchewan	Financial and Consumer Affairs Authority
  Yukon	Government of Yukon Office of the Yukon Superintendent of Securities

  Source: Government of Canada website

  Contact the Financial Consumer Agency of Canada (FCAC) is you can’t find information on your bank’s processes for handling complaints or if you have been experiencing significant delays. Remember that the FCAC is unlikely to help you if you haven’t tried to resolve the issue with the bank at both the branch level (with your bank manager) and corporate level (with the bank’s ombudsman) first.

  Check out the Government of Canada website for more information on handling bank complaints.

• I have a lot of spare change. Where can I get my coins exchanged for cash?

  Generally, you can take rolls of coins or loose change to your bank and get it exchanged for bills. To avoid lengthy processing and long customer wait times, some banks only allow customers to process large amounts of coins at certain branches. Check with your bank to see where you can process your coins. (Tip: rolling your coins in advance will help you know how much cash you can expect to get and it’ll also save a lot of time at the branch. You can usually buy coin rolls anywhere office supplies are sold.)

  Alternatively, some large grocery stores and superstores have coin processing machines like Coinstar that count your change and give you cash in return without the aid of a teller. Some fees may apply. In Canada, Coinstar charges 11.9% of the amount you’re having processed (as of April 2019). Click here to locate a Coinstar machine near you.

• I've just come out of bankruptcy; can I still get a savings account?

  Yes. Credit checks are only conducted for credit card and loan applications, not for savings accounts. Find out how you can improve your credit score here.

• How do I stop unsolicited phone calls from banks?

  You can ensure that you don’t receive any annoying telemarketing calls by joining Canada’s National Do Not Call List (click on the link or call 1-866-580-DNCL[3625] to register your phone number). This may not guarantee that you stop receiving unwanted telemarketing calls, but it can certainly cut down on the number of calls that you receive.

  You can also phone your bank to complain about these calls and ask that your number be taken off the bank’s marketing list. Note that your bank may be required to call you to follow up with specific information regarding your transactions or your account(s), such as security threats or amounts owing.

• Why does it take so long to transfer money from my savings account to my bank account?

  The exact time of day you make a transfer (before, during or after regular business hours and/or during holiday hours) as well as how you made the transfer (online, in person or over the phone) may impact the time it takes to process.

  Transfer times can vary depending on the cut-off time for transfers imposed by your bank and the sending or receiving bank. Each bank has a different system for handling transfers, so there can be discrepancies in how long it takes for your funds to arrive in the recipient’s account, especially if the account is with a different bank.