Savings account interest rates

We've compiled the latest savings account interest rates from banks, credit unions and fintechs across the Canadian market so you can easily compare your options.

By

Tim Falk

Updated

The interest rate is the most important factor to consider when comparing savings accounts—the higher the rate, the faster your balance will grow. In this guide, we’ll show you the best savings account interest rates from the Big Five, popular digital banks and major credit unions to help you choose an account and reach your savings goals sooner.

Summary: Savings account interest rates in Canada

Check out the table below for savings account interest rates currently available from a wide range of major banks, digital banks and credit unions in Canada.

BankSavings accountStandard interest ratePromo rateLearn more
EQ Bank
Notice Savings Account
2.85% - 3.00%
N/A
KOHO Essential Plan
High Interest Savings Account
2.5%
N/A
Simplii Financial
High Interest Savings Account
0.3% – 1.75%
3.9% (for the first 5 months)
Achieva Financial
Daily Interest Savings Account
2.3%
N/A
Alterna Bank
High Interest eSavings Account
1.45%
N/A
ATB Financial
Springboard Savings Account
0.25% – 1%
Up to 4.00% interest on new deposits until March 31, 2025
BMO
Savings Amplifier Account
0.9%
5% (for up to 120 days)
Bridgewater
Bridgewater Smart eSavings Account
3.15%
N/A
Canadian Tire Bank
Canadian Tire High Interest Savings Account
2.75%
N/A
Canadian Western Bank
CWB Summit Savings Account
0.90%
N/A
CIBC
CIBC eAdvantage Savings Account
0.25% – 1.1%
5% (for the first 4 months)
CI Direct Investing
CI Direct Investing High Interest Savings Account
2%
N/A
Coast Capital Savings
Coast Capital High-Interest Savings Account
0.8%
N/A
DUCA
Earn More Savings Account
0.25%
N/A
FirstOntario Credit Union
FirstOntario Credit Union ​High Interest eSavings Account
1% - 1.10%
N/A
Hubert
Hubert Happy High-Interest Savings
1.75%
N/A
ICICI Bank Canada
HiSAVE Savings Account
1.25%
N/A
Innovation Credit Union
Savings Account
0.85%
N/A
Laurentian Bank
High Interest Savings Account
1% – 2.2%
N/A
Manulife Bank
Advantage Account
1.85%
4.7% for 120 days
Meridian Credit Union
High Interest Savings Account
0.95%
N/A
Motive Financial
Savvy Savings Account
2.5%
N/A
National Bank
High Interest Savings Account
0.85%
N/A
Neo
High Interest Savings Account
3%
N/A
Oaken Financial
Oaken Savings Account
3%
N/A
PC Financial
PC Money Account
3.5%
Welcome offer of 200,000 bonus PC Optimum™ points
RBC
High Interest eSavings
0.85%
New clients earn 4.95% for 3 months
Scotiabank
MomentumPLUS Savings Account
0.55%
5% (for the first 3 months)
Servus Credit Union
Premium Savings Account
0.25%– 1%
N/A
Steinbach Credit Union
High Interest Savings Account
2.15% - 2.35%
N/A
Tangerine
Savings Account
0.3%
4.5% (for the first 5 months)
TD
ePremium Savings Account
0.95% (on balances of $10,000 or more)
N/A
Vancity
Jumpstart High Interest Savings Account
0.85%
N/A
Wealthsimple
High Interest Cash Account
1.75% – 2.75%
N/A

Big Five Bank savings account interest rates

Want to know how the Big Banks stack up against each other in terms of Canadian currency savings account interest rates? Check out the tables below.

RBC savings account interest rates

RBC offers the following rates across its selection of savings accounts.

RBC savings accountStandard interest ratePromo rate
High Interest eSavings
0.85%
New clients earn 4.95% for 3 months
NOMI Find & Save
0.3%
N/A
Day to Day Savings
0.005% – 0.01%
N/A

Scotiabank savings account interest rates

Check the table below for a breakdown of Scotiabank’s savings account interest rates.

Scotiabank savings accountStandard interest ratePromo rate
0.55%
5% (for the first 3 months)
Savings Accelerator Account
0.1%
N/A
Money Master Savings Account
0.01%
N/A

BMO savings account interest rates

The current BMO savings account interest rates for its main savings accounts are shown below.

BMO savings accountStandard interest ratePromo rate
Savings Amplifier Account
0.9%
5.00% until April 30
Savings Builder Account
0.01%
N/A
Premium Rate Savings Account
0.01%
N/A

TD savings account interest rates

Check current TD savings account interest rates below.

TD savings accountStandard interest ratePromo rate
ePremium Savings Account
0.95% on balances of $10,000 or more, 0% on balances less than $10,000
N/A
High Interest Savings Account
0% – 0.05%
N/A
Every Day Savings Account
0.01%
N/A

CIBC savings account interest rates

Check the table below for the current CIBC savings account interest rates.

CIBC savings accountStandard interest ratePromo rate
eAdvantage Savings Account
  • $9,999.99 or less: 0.25%
  • $10,000 – $24,999.99: 0.35%
  • $25,000 – $99,999.99: 0.65%
  • $100,000 – $499,999.99: 0.9%
  • $500,000 and over: 1.1%

Additional interest rate of 0.25% applies on balances up to $200,000 when you save at least $200 per month

5% (for the first 4 months)

What is the average yearly savings rate for Canadians right now?

The average savings account interest rate in Canada right now is 1.64% based on savings accounts offered by Big Banks, digital banks and credit unions in Canada.

This figure was calculated using the interest rate data in the summary tables above (as of October 25, 2024). It only takes into account the accounts listed in the table, not the full range of savings accounts available on the Canadian market.

Please note that the average interest rate quoted does not take into account any promotional interest rates. In cases where an account pays tiered interest—the higher your balance, the higher your rate—we used the account’s lowest tier interest rate for our calculations.

Types of savings account interest rates

There are two types of savings account interest rates: simple and compound.

Simple interest is only paid on the amount you deposit (the principal). Compound interest applies to the principal as well as the interest you’ve already earned in your account.

The power of compound interest lets you grow your savings balance faster. For example, let’s say you invest $1,000 in a savings account that pays 5% interest for 10 years:

  • With simple interest, you would earn $500 interest.
  • With compound interest, you would earn $647 interest—an extra $147.

The key figure you need to look at when comparing savings account rates is the APY, or annual percentage yield. This figure takes into account the effect of compounding and shows you how much interest you can earn from an account per year.

How are savings account interest rates calculated?

There are two main factors that affect the savings account interest rates offered by banks:

  • The Bank of Canada’s policy rate. Just like mortgage rates, savings account rates tend to move up or down in line with interest rate hikes and reductions.
  • Competition. Banks will look at what competitors are doing when setting rates. To attract new customers to deposit their savings, banks will raise their rates to stand out from the competition.

Interest on most savings accounts is calculated daily and paid out monthly. Interest is calculated on your account’s closing balance at the end of each day, and it typically compounds daily, monthly or annually.

Earn interest & No fees

Go to site
  • Earn up to 3.00% interest
  • $0 account fee
  • No minimum balance required
  • No monthly deposit requirements
  • CDIC protection up to $100,000

No Fees and High Interest

Go to site
  • Earn up to 3.90% interest
  • No monthly fees
  • Unlimited transactions and Interac e-Transfers
  • No min. balance required
  • CDIC protection up to $100,000

Accelerated interest

Go to site
  • Earn up to 5.00% for 3 months, 0.55% thereafter
  • Can earn interest rate boosts
  • No account fee
  • No minimum balance required
  • CDIC protection up to $100,000

Where to find the best high interest savings account rates

If you’re searching for a high interest savings account rate that will help you grow your balance sooner, you won’t find it at the Big Banks. The best savings account rates are usually offered by digital banks.

For example, EQ Bank offers 2.85% or 3% with a Notice Savings Account, KOHO Essential Plan pays 2.5% interest and Neo pays 3% interest on its High Interest Savings Account. To find the best rates in Canada, compare high interest savings accounts.

TFSA savings account rates

Tax free savings accounts (TFSAs) are a popular alternative to standard savings accounts in Canada. These accounts offer the benefit of allowing your savings to grow without your investment earnings being taxed.

Check the table below for the latest TFSA interest rates from the Big Five and other popular digital banks.

BankTFSA bank accountInterest rate
RBC
Tax Free Savings Account
0.5%
BMO
Tax Free Savings Account
0.01%
TD
TD Canada Trust TFSA
0.5%
Scotiabank
Savings Accelerator Account – Tax Free Savings Account
0.1%
CIBC
TFSA Tax Advantage Savings Account
0.4%
EQ Bank
TFSA
1.75%
Simplii Financial
Tax-Free Savings Account
0.4%
Tangerine
Tax-Free Savings Account
0.3%

How to compare savings accounts and interest rates in Canada

These are the key factors you need to consider when comparing savings accounts.

Interest rate

Shop around to find the account with the highest rate—the higher the interest rate, the faster your savings account balance will grow.

But check the fine print to find out if there are any terms and conditions you need to meet to get the maximum advertised rate. For example, you may need to deposit a specified amount each month to qualify for the highest rate.

Other accounts have tiered interest rates. The larger your account balance, the higher the interest rate. Check the tiers to find out which rate your balance will allow you to qualify for.

Promo rate

Some savings accounts offer a high promotional interest rate for a limited introductory period like four or five months. These accounts can be very useful if you’re saving for a short-term goal, such as a vacation, in a few months’ time.

But once the promo period ends, the account will revert back to its standard rate, which is usually much lower than the promo rate. So, if you want to keep saving, you may want to move your money to a new high interest savings account at this point.

When comparing promo rate savings accounts, remember to check how long the promo period lasts and whether you need to meet any special conditions (such as making a minimum monthly deposit) to qualify for the rate.

Fees

Most savings accounts don’t have monthly fees, but some charge transaction fees when you make a withdrawal or transfer funds to another account. If you need easy access to your money, look for an account with no transaction fees or an account that supports a certain number of free transactions per month.

Linked account requirement

Some banks require you to also open a chequing account before you can open a savings account. If this is the case, check if the chequing account comes with a monthly fee attached.

How to manage your money

Easy access to your money is always important, so choose a bank with user-friendly mobile and online banking portals. If you like to have the option of accessing face-to-face customer service, choose a bank with brick-and-mortar branches rather than a digital bank.

Finally, check how you will be able to withdraw money from your savings account when needed. Will you be able to withdraw cash at an ATM, or will you need to transfer funds to a different account first?

Insurance

Choose a savings account with a financial institution that is a member of the Canada Deposit Insurance Corporation (CDIC). The CDIC insures deposits up to $100,000 in the unlikely event that your bank fails. Each Canadian province has its own deposit insurer that covers deposits at provincial credit unions.

How savings account interest rates make a BIG difference for your money

While a small difference in savings account interest rates might not seem like much, it can make a big impact on how quickly your balance grows. Let’s take a look at a representative example.

Mike wants to open a high interest savings account to help pay for his daughter’s education. He has $1,000 to deposit right away and plans to automatically transfer $150 from his paycheque each week to boost his savings.

Mike’s regular Big Five bank pays 1.40% interest, but Mike browses high interest savings account rates and finds a digital bank offering 4%. Interest compounds monthly for both accounts. Mike crunches the numbers to work out how much the higher interest rate will help him save by the time his daughter graduates five years in the future.

As you can see in the table below, choosing the account with the higher rate will help him save an extra $1,963.

Account AAccount B
Interest rate
1.40%
4%
Initial deposit
$1,000
$1,000
Weekly deposit
$100
$100
Interest earned after 5 years
$988
$2,951
Total account balance after 5 years
$27,988
$29,951

Savings account interest rates calculator

Want to find out just how much you could save with a high interest savings account? Use the calculator below to see how a high rate and compound interest can help you reach your savings goals sooner.

Initial deposit
$
Monthly contribution
$
Interest rate example
%
Number of years
Total savings
Total monthly contributions
Interest earned

Bottom line

Shopping around for the best savings account interest rates in Canada can make a big impact on the time it takes to reach your savings goals. The best rates are generally offered by digital banks, but make sure you compare a range of options before choosing the best place to deposit your money.

Frequently asked questions

More banking guides from our experts

Written by

Writer

Tim Falk is a freelance writer for Finder. Over the course of his 15-year writing career, he has reported on a wide range of personal finance topics. Whether you're investing in stocks and ETFs, comparing savings accounts or choosing a credit card, Tim wants to make it easier for you to understand. When he’s not staring at his computer, you can usually find him exploring the great outdoors. See full bio

More resources on Finder

More guides on Finder

Go to site