Best High-Interest Savings Accounts In Canada For 2020
The introduction of online banks and the increased competition that has created for the big banks has helped deliver Canadians more cost-effective and valuable financial solutions. Included in those improvements are a collection of what can be dubbed the best high-interest savings accounts in Canada.
These high-interest savings accounts are a great solution for your short-to-mid-term financial goals. No fees, no minimum balances, unlimited transfers, higher interest rates and other benefits support you in your financial journey towards whatever that savings goals might be.
Common uses for high-interest savings accounts include savings goals around:
- Emergency funds
- Home down payments
- Vehicles
- Vacations
- Home improvements
- Weddings
- Other saving goals and needs
This is money that isn’t related to long-term investments for retirement or you day-to-day financial needs. The account generates you a return on every dollar saved in it through a higher interest rate than your typical chequing account or cookie cutter savings accounts.
High-Interest Savings Accounts For Canadians
As noted above, high-interest savings accounts are a financial tool to generate a return on your money. The ins and outs of each of these accounts differ slightly with their teaser interest rates, fees, transfer limits and specific details.
However essential requirements no matter what account you choose are that the money needs to be readily available (liquid) and protected by the Canada Deposit Insurance Corporation (CDIC). After that it comes down to high interest rates, low fees, ease of access, unlimited transactions and other beneficial features that fit for you.
Long gone are the days of banks paying you 0.05% to 0.50% on your money. Why not find a product that delivers you guaranteed returns, shelters it from market volatility and supports your financial goals?
With that in mind, here are some of the best high-interest savings account in Canada to help you generate a return on your money. Note: there are dozens of other products from regional banks and credit unions not listed here.
EQ Bank Savings Plus Account: Big Returns, No Cost
EQ Bank is a trademark of Equitable Bank, a federally regulated Schedule 1 Bank with over 650 employees that was founded in 1970. EQ Bank itself launched as a digital bank for Canadians in 2016 with no physical locations, operating entirely online. The total assets under management by Equitable Bank ring in at over $26 billion.
It’s a trusted, safe and valued financial solution in Canada.The 2.30% everyday high interest* rate on the EQ Bank Savings Plus Account has been making waves ever since it hit the market.
This FREE account offers a competitive interest rate, no fees, unlimited transfers and much more. You can set up multiple sub-accounts with different automatic transfers and deposits so you can save towards a collection of financial goals at once.
Key benefits and details on the EQ Bank Savings Plus Account:
- 2.30% everyday high interest rate*
- No minimum balance
- No fees
- Unlimited day to day transactions
- Unlimited Interac e-Transfers® per month
- EQ to EQ transfers (to other members of EQ Bank)
- Ability to pay bills directly from your phone
- Mobile Cheque Deposits
- Employer direct deposits
- Customer Care Centre
- Deposits with EQ Bank are eligible for deposit insurance
The registration process is quick and easy for new members, taking a matter of minutes. You’ll need to provide your name, address, date of birth, profession and SIN while you set up your account.
The EQ Bank Savings Plus Account is truly one of the best high-interest savings accounts in Canada. Please note, the EQ Bank Savings Plus Account is NOT available to residents of Quebec.
SIGN UP FOR THE EQ BANK SAVINGS PLUS ACCOUNT NOW
Tangerine Savings Account: Great Initial Teaser Rate
Tangerine Bank is an all-around leader in Canada’s online banking market and that holds true with their Savings Account. Two of their other most popular products, the No Fee Daily Chequing Account and Money-Back Credit Card, deliver great value too.
The Tangerine Savings Account is a free account with zero fees, unlimited transactions and no minimum balance required. The Savings Account offers new customers a 2.75% interest rate for the first 6 months. After the 6 month teaser rate it drops to 1.20%.
The interest rates offered by Tangerine definitely come up short in the long-term when compared to EQ Bank. However, it’s still a viable solution for many Canadians and does offer a few distinctions.
Key benefits and details on the Tangerine Savings Account:
- No fees or service charges
- No minimum balance required
- 2.75% for first 6 months (1.20% after)
- Ability to open TFSA, RRSP and RESP
- Ability to open US Dollar Savings Account
- CDIC protected
If you already bank at Tangerine or want to take advantage of the 2.75% teaser rate, getting an account set up is straightforward. Tangerine Bank is always adding new products and delivering additional value to their members, so it’s a great all-around banking solution.
REGISTER FOR THE TANGERINE SAVINGS ACCOUNT TODAY
Wealthsimple Save Account: High-Interest Savings And Unique Features
Next up is a company that has made major waves across the financial marketplace in Canada, Wealthsimple. You’ve likely encountered their ads on TV, web banners and bus stops in recent years. Most often it’s speaking to their digital investment products as opposed to their high-interest savings account.
However, the Wealthsimple Save Account is another great solutions for Canadians looking to generate a return as they save towards their financial goals. This product launched in 2018 and has continued to gain momentum thanks to unique product features and 2.0% interest rate.
Key benefits and details on the Wealthsimple Save Account:
- 2.0% interest rate
- No monthly fees
- No minimum balance
- CDIC protected
- Roundup and Overflow features
The Wealthsimple Save Account offers two unique features we often see in the US: Roundup and Overflow.
The Roundup feature takes the difference between what you spent on your debit card and the nearest dollar, then rounds it up and automatically deposits that into your Save Account. The Overflow feature allows you to set a minimum balance to always keep in the bank account you connect to Wealthsimple. At the end of the month, the excess above that minimum balance is transferred to your Save Account.
motusbank High-Interest Savings Account: Great Rates For Everyone
motusbank is an online bank launched by one of Canada’s most popular and fastest growing credit unions, Meridian Credit Union.
The motusbank High-Interest Savings Account is undoubtedly one of the best in Canada. Why? No fees, no minimum balance and interest rates of 2.25% or 2.50%.
Key benefits and details on the motusbank High-Interest Savings Account:
- 2.25% on standard and RRSP accounts
- 2.50% on TFSA
- No monthly fees
- No minimum balance
- CDIC protected
- Unlimited debit purchases and withdrawals
- No-fee access to over 3,700 EXCHANGE ATMs across Canada
Based on the details above, it’s easy to see why so many Canadians are changing to motusbank.
Alterna Bank High-Interest eSavings Account: High Rates And No Fees
Alterna Bank is a division of Ottawa-based Alterna Savings and Credit Union, which has close to 150,000 members. This is yet another online, modern banking solution available to Canadians looking to generate a return on their money.
The Alterna Bank High-Interest eSavings Account offers a very competitive 2.30% interest rate. Alterna also provides a consistent approach to other accounts listed here with no monthly fees, no minimum balance and unlimited transactions.
Key benefits and details on the Alterna Bank High-Interest eSavings Account:
- 2.30% interest rate
- No monthly fees
- No minimum balance
- Unlimited transactions, bill payments and internal transfers
- Free Interac e-Transfers
- RRSP and RRIF available
- CDIC protected
Alterna Bank offer aligns closely to that of EQ Bank. The account is available to all Canadians and it takes minutes to open a new account.
Scotiabank Momentum PLUS Savings Account: Tiered Savings Rates
One of Canada’s biggest banks, Scotiabank, offers a competitive high-interest savings accounts. While not as high as some of the online banks offerings noted above, the Momentum PLUS still delivers a better return than many of the other big banks in Canada.
The Scotiabank Momentum PLUS Savings Account differs from other accounts noted here because of it’s tiered interest rates. The standard rate of 1.05% increases depending on the length of time you hold money in the account. After 90 days it bumps up to 1.80%, 180 days jumps to 1.85%, 270 days to 1.90% and finally 1.95% after 360 days.
Key benefits and details on the Scotiabank Momentum PLUS Savings Account:
- 1.05% standard rate
- 1.95% after 360 days
- No monthly fees
- No minimum balance
- Unlimited self-service transactions between Scotiabank accounts
- CDIC protected
It’s a different approach to high-interest savings accounts, but the Momentum PLUS does offer some value compared to other big banks.
Simplii Financial High-Interest Savings Account: Safe And Secure
Simplii Financial, formerly President’s Choice Financial, is an online bank that is a division of CIBC Financial. Their products aren’t available in Quebec but are accessible to all other areas of Canada.
The Simplii Financial High-Interest Savings Account is a modern product that offers no fees, no minimum balance and an everyday interest rate of 1.20%.
Key benefits and details on the Simplii Financial High Interest Savings Account:
- 1.20% standard rate
- No monthly fees
- No minimum balance or transactions fees
- Unlimited withdrawals and transfers
- CDIC protected
Registration is quick and easy for the Simplii Financial High-Interest Savings Account. If you’re already a CIBC member, this might be the right solution for you.
Conclusion: Best High-Interest Savings Accounts In Canada For 2020
Keep your costs low, interest high and money secure with the best high-interest savings accounts in Canada. Whether it’s the EQ Bank Savings Plus Account, Wealthsimple Save Account or one of the other accounts noted above, the best thing you can do is get started today.
Personal finances are of course, personal. The ideal solution for one may not be the right fit for you. However, taking action and moving towards your financial goals is an evergreen approach.
Long gone are the days of earning 0.05% or 0.50% on your savings. Move your money into one of these high-interest savings accounts and let your money start working for you.
Review Of The Best High-Interest Savings Accounts For Canadians
EQ Bank Savings Plus Account
- 2.30% interest rate
- No minimum balance
- No fees
- Unlimited day to day transactions
- Unlimited Interac e-Transfers® per month
Apply for the EQ Bank Savings Plus Account.
Tangerine Savings Account
- 2.75% for first 6 months (1.20% after)
- No fees or service charges
- No minimum balance required
- Ability to open TFSA, RRSP and RESP
- Ability to open US Dollar Savings Account
Register for the Tangerine Savings Account.
Wealthsimple Save Account
- 2.0% interest rate
- No monthly fees
- No minimum balance
- Roundup and Overflow features
Learn more about the Wealthsimple Save Account.
motusbank High-Interest Savings Account
- 2.25% – 2.75% interest rate
- No monthly fees
- No minimum balance
Open a motusbank High-Interest Savings Account.
Alterna Bank High-Interest eSavings Account
- 2.30% interest rate
- No monthly fees
- No minimum balance
- Unlimited day to day transactions
Sign up for a Alterna Bank High-Interest eSavings Account.
Scotiabank Momentum PLUS Savings Account
- 1.05% – 1.95% interest rate
- 1.95% after 360 days
- No monthly fees
- No minimum balance
- Unlimited self-service transactions between Scotiabank accounts
Get started with a Scotiabank Momentum PLUS Savings Account.
Simplii Financial High-Interest Savings Account
- 1.20% interest rate
- No monthly fees
- No minimum balance or transactions fees
- Unlimited withdrawals and transfers
Register for a Simplii Financial High-Interest Savings Account.
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