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Get the best interest rates in Canada with these HISAs.
Parking your money in a regular savings account isn’t a bad idea, but the interest rate on a traditional savings account could be as low as 0.01% a year, which is practically nothing.
Luckily, there’s a middle ground. The best high-interest savings accounts, or HISAs in Canada, (high-yield in the US), give you a place to store cash that earns interest and allows you to access it on demand. They offer some of the best interest rates in Canada in a low risk package, and without the need to tie up your funds like with a GIC.
Best high interest savings accounts (HISA) in Canada
Canadians have a lot of high-interest savings account options to choose from. Most financial institutions offer them, but that doesn’t mean all HISAs are equal — these are our top picks.
Best HISA in Canada
EQ Bank Notice Savings Account
Fast facts:
- It's not a promotional rate, you get
- 10 day notice and you'll earn 2.85%** on all deposits
- 30-day notice and you'll earn 3.00%** on all deposits
- Plan ahead and maximize your savings without locking it into a GIC
EQ Bank has remained at the top of our list for a while with its high earn rates.
The only ones to supplant EQ Bank is none other than EQ Bank.
It's simple. You choose a rate, either 2.85%** or 3.00%**, and the rate will determine how much notice you need to give for any withdrawals. Your interest is earned daily, paid monthly and you can keep making deposits and watching your money grow.
When you're ready for say, your dream vacation, new car or that kitchen renovation, schedule your withdrawal request whenever you want (free and unlimited). And yes, you continue to earn interest through the notice period.
Best high interest savings account in Canada
EQ Bank (Personal or Joint account)
Sign up now
4.5
Fast facts:
- Regular interest rate: 1.25%*
- Interest rate with direct deposit: 3.50%*
- Minimum account balance: None
This online-only bank falls under Equitable Bank. With no physical locations, it doesn’t have to worry about the same overhead costs as brick-and-mortar financial institutions so it’s able to pass those savings on to customers.
EQ Bank's Personal Account (or Joint Account) currently has an interest rate of 1.25%*, and a 3.50%* interest rate when you set up direct deposits.
This is one of the best non-promotional interest rates in Canada right now. Not only do you get a good rate, the EQ Personal Account also comes with many more advantages, and very few conditions.
Beyond making you money, you will pay no monthly fees and there’s no minimum balance to maintain. Account holders also have unlimited transactions and free electronic fund transfers, mobile cheque deposits and bill payments. Unlimited free Interac transfers are also included.
There is, however, a maximum balance that your account can hold, which is now $200,000. Interest is calculated daily and paid monthly into your account.
This combination of a high interest rate and limited conditions makes EQ Bank one of the top recommended best high-interest savings accounts in Canada.
Best high interest savings account app
KOHO Essential
Fast facts:
- Regular interest rate: 2.5% interest, plus 1% cash back on select purchases. Earn up to 4% with KOHO's paid plans.
- Credit card: Earn 1% cash back on groceries, eating & drinking, and transportation.
- Minimum account balance: None
KOHO has become incredibly popular since its launch, thanks to higher interest rates and low fees/limited conditions. .
They aren’t just another online bank, but a Canadian technology company that offers a lot of added perks.
KOHO is a free downloadable app that allows Canadians to manage their money easily, and earn interest. It's like a chequing account with the perks of a credit card.
So, how does it work?
The app connects with a pre-paid Mastercard, so you can budget, spend, and save at the same time. Once your account is set up, you can load it with an e-transfer. You can also add your paycheque to your KOHO Card. If you want to load it with cash, you can take it to a Canada Post office.
From there you can use the card to pay for pretty much anything from your lunch, to your bills.
KOHO isn’t a traditional HISA but the interest rate, no fees, and additional benefits make it worthy of a spot on this list.
Best HISA for investors
Wealthsimple high interest savings account: Wealthsimple Cash
Fast facts:
- Earn up to 2.75% interest
- Get 1.75% interest at its core
- With $100,000 invested, as a premium client, you earn 2.25%
- With $500,000 in assets, as a generation client, they'll give you 2.75%
- Set up direct deposits to get an additional 0.5% (core and premium only)
- No annual fees
- Up to $500,000 of CDIC insurance
As a long time investor with Wealthsimple's robo-advisor service, I moved my emergency fund money from the Tangerine HISA and its lower earn rate.
Savings accounts with high interest are great, but I need it to be liquid immediately for emergencies (appliance failure, car dies, basement floods, etc.)
I chose Wealthsimple because I'm an investor and so get 4.5% and I can withdraw anytime or send interac e-transfers to whoever I need to receive that money.
I also love the app and its ease of use. Finally, I do my taxes with Wealthsimple so it makes any interest I earn here super easy to account for.
Best high interest savings account promotional rate
Tangerine high interest savings account
Fast facts:
- Earn 4.50% for 5 months
- Earn 0.30% thereafter
- Open to new customers only
I remember when Tangerine was the bees knees of high interest rates. EQ Bank came along and swept them aside.
Tangerine is Scotiabank's online only bank and could certainly offer you a better deal, but they know Canadians have a really hard time switching products.
Case in point: A solid welcome bonus for signing up where you earn 4.50% interest but then it plummets to 0.30% after 5 months.
You can earn up to 3.10% with their 270 day GIC if you want to lock it in, but a HISA is meant for emergencies, not an I'll-pay-you-in-9-months thing.
It's only open to new customers, too. So if you're an existing customer looking for a hot promotional high interest savings rate, consider Simplii Financial below.
Simplii high interest savings account
Fast facts:
- Promotional interest rate: Earn 3.7% interest rate on your first Simplii Financial High Interest Savings Account for the first 7 months on eligible deposits up to $500K. Limits apply. Offer ends June 30, 2025.
- Regular interest rate: 0.30% up to 50K, 0.50% for $100K, 0.60% for $500K, 0.75% for $1M, 1.50% for above $1M
- Minimum account balance: None
While the normal interest rate for Simplii Financial’s HISA isn’t the most impressive at 0.30% for balances under $50,000, this financial institution is known for having some great promotional rates. While promotional rates aren’t good for long term savings, if you are only saving up money for a couple of months before you are planning on making a large purchase, then the promotional rate can be worth taking advantage of.
Currently, Simplii Financial is running a promotional rate of 3.70% on eligible deposits up to $500K. Limits Apply. Offer ends June 30th, 2025. That’s more than double EQ Bank’s rate which can add up pretty quickly if you are looking for a place to park your money for a few months.
Like many of the other options on this list, Simplii Financial's HISA has no minimum balance requirement and no monthly or transaction fees. So, keep an eye out for those promotional rates and take advantage if the timing is right.
New Simplii Financial clients: Earn 3.70% with a Simplii HISA
Earn 3.7% interest rate on eligible deposits up to $500K on your first Simplii Financial High Interest Savings Account for the first 7 months. No matter how much is in your account, you won’t pay monthly fees.
Limits apply. Offer ends June 30th, 2025.
Best HISA for tiered-interest
Scotiabank high interest savings account: Scotiabank MomentumPLUS Savings Account
Fast facts:
- Regular interest rate: 0.55%
- Package interest rate boost: 0.10% for Ultimate Package holders
- 90-day Premium Period Interest Rate: 0.25%
- Welcome bonus Interest rate: Earn a welcome bonus interest rate of 4.10% for 3 months.
- Minimum account balance: None
With some high-interest savings accounts, you’ll be offered different interest rates depending on how much money you have deposited, and how long you keep it there.
These are called tiered-interest accounts.
Scotiabank’s MomentumPLUS Savings Account works because the longer you leave your money untouched, the more it will earn.
While it's a high interest rate savings account for a big 6 bank, it is tied in a 3 month period (5.00%). It's the best big bank HISA if you need a brick and mortar branch, chequing accounts, investment options and more all in one place.
Again, since it’s a big bank, the Scotiabank MomentumPLUS doesn’t necessarily offer the best rates when it comes to HISAs. But their tiered interest strategy is certainly appealing to some clients looking to save money and earn some interest.
*Includes Regular Interest Rate of 0.55% plus a Package Interest Rate Boost of 0.10% for Ultimate Package holders, 90-Day Premium Period Interest Rate of 0.25% and a Welcome Bonus Interest Rate of 4.10% for 3 months.
*See Account Provider's website for complete account details, terms and current offers. Reasonable efforts are made to maintain accuracy of information.
Best savings account for youth 13+
Neo Youth High-Interest Savings Account
Fast facts:
- Regular interest rate: 2.5%
- Promotional interest rate: None currently
- Minimum account balance: None
Founded in 2019, Neo Financial is catching attention with its cash-back credit card, the Neo Card, and the Neo High-Interest Savings Account.
The Neo High-Interest Savings Account offers a 2.5% interest rate, as well as unlimited free transactions, and no minimum deposit requirements. You can also have up to 10 accounts for all your savings goals in the app.
The offerings of this account are pretty basic compared to some of the competitors, but Neo Financial could be a good choice if you have simpler needs. If you are just looking for a basic account with a good interest rate, it’s worth considering.
Partner this account with their Neo Money-Card and you can earn up to 6% at restaurants and bars, 4% on apps like Netflix, Apply and UberEats, 3% on gas and groceries and 0.5% on everything else.
It's a fantastic credit card for youth and a great place to manage their savings goals.
More high-interest savings account options
Despite not making our best-of list, it’s worth taking a look at what the other Big Five banks offer for HISAs.
TD High interest savings account Canada: TD ePremium Savings Account
Fast facts
- Regular interest rate: 0.85%
- Promotional interest rate: None currently
- Minimum account balance: $10,000
TD ePremium Savings Account offers 0.85% interest on balances over $10,000. There is no monthly fee and you have unlimited online transfers.
Given the large minimum balance, as well as the associated fees for some transactions, it’s best to keep this account strictly as a savings account to avoid any additional costs.
CIBC high interest savings account: CIBC eAdvantage Savings Account
Fast facts:
- Regular interest rate: 0.25% up to $10,000, 0.30% up to $25K, 0.55% for 25K to 100K, 0.80% for 100K to $500K, 1.00% for 500K+
- Promotional interest rate: Get 5.00%† for the first 4 months. Limits Apply.
- Minimum account balance: $0
CIBC offers a 0.25% regular interest rate with their eAdvantage Savings Account. When you contribute at least $200 a month (to a maximum of $200,000) you receive an additional 0.25%.
There’s no fee for the account, but each transaction comes at a cost of $5.
BMO high interest savings account Canada: BMO Savings Builder Account
Fast facts:
- Regular interest rate: 0.15%
- Bonus interest rate: up to 0.95% if you meet monthly deposit requirements†
- Minimum account balance: None
The BMO savings builder account is a free account that provides a base interest rate of 0.15%, with a bonus interest rate up to 0.95%. To qualify for the bonus interest rate, you must increase your monthly balance by at least $200 each month (up to $250,000).
You receive one free transfer out of the account per month, but after that each transaction will cost you $5.
RBC high interest savings account: Royal Bank High Interest eSavings Account
Fast facts:
- Regular interest rate: 0.75%
- Promotional interest rate: Earn 4.70%† interest for first 3 months. Limits apply. Offer ends June 3, 2025.
- Minimum account balance: None
RBC offers a HISA with a current standard interest rate of 0.75%. There is no monthly fee, and you can transfer money from the HISA to another RBC account in your name for free.
Included in the account is one free RBC ATM withdrawal per month. Additional transactions cost $5 per month.
What is a high interest savings account?
A high-interest savings account (HISA) is a type of savings account that offers a higher interest rate than regular savings accounts. These accounts are designed to help your money grow faster over time. Banks and credit unions typically offer HISAs as a way to attract customers who want to save money while earning a better return on their deposits. The interest you earn is usually calculated daily and paid out monthly.
For example, if you deposit $5,000 into a high-interest savings account with an interest rate of 5%, you would earn $250 in interest over a year.
In contrast, a regular savings account with an interest rate of 0.30% (like the Tangerine HISA) would only earn you $15 over the same period.
This significant difference shows how a higher interest rate can help your savings grow much faster. HISAs often come with fewer restrictions on withdrawals than other high-yield accounts, making them a flexible option for saving. These accounts are a smart choice for anyone looking to build their savings without taking on the risks associated with investments like stocks or bonds.
How does a high-interest savings account work?
A high-interest savings account (HISA) works by offering a higher interest rate on your deposited funds compared to regular savings accounts. When you deposit money into a HISA, the bank or credit union uses that money to lend to other customers or invest.
In return, they pay you interest as a way to reward you for keeping your money with them. This interest is usually calculated daily based on your account balance and is paid out monthly.
The math
For example, if you have $5,000 in a HISA with an annual interest rate of 5%, the daily interest rate would be about 0.0137%.
Each day, the bank calculates your interest by multiplying your balance by this daily rate. At the end of each month, the accumulated interest is added to your account balance. Over a year, this process can significantly grow your savings compared to a regular savings account. HISAs often have minimal fees and allow easy access to your funds, making them a convenient and effective way to save money.
What's the catch? Sometimes with a high-interest account, you need to make a minimum deposit, maintain a minimum balance or pay regular fees — though that’s not always the case.
MORE: Best banks in Canada
Do high interest savings accounts get taxed?
Yes, the interest earned on a high-interest savings account (HISA) is subject to taxation. In Canada, any interest income you earn from a HISA is considered taxable income. This means you must report the interest you receive on your annual tax return. The bank or credit union where you hold the account will typically issue a T5 slip at the end of the year, summarizing the total interest earned.
For example, if you earn $250 in interest from your HISA, you need to include this amount in your total income for the year. The interest is taxed at your marginal tax rate, which depends on your overall income and tax bracket. It’s important to keep track of your interest earnings and any T5 slips you receive to ensure you accurately report your income and avoid any penalties from the Canada Revenue Agency (CRA). High-interest savings accounts are a great way to grow your savings, but it's essential to be aware of the tax implications.
How often do high interest savings accounts pay?
High-interest savings accounts (HISAs) typically pay interest on a monthly basis. The interest is calculated daily based on your account balance, and then it is added to your account at the end of each month. This regular compounding helps your savings grow more quickly over time.
For example, if you have $5,000 in a HISA with an annual interest rate of 5%, the bank calculates the daily interest rate, which would be about 0.0137%. Each day, they multiply your account balance by this daily rate to determine the interest earned for that day. At the end of the month, all the daily interest amounts are summed up and added to your account balance. This process repeats every month, allowing your interest to compound, meaning you earn interest on your interest, further increasing your savings.
What is a high interest TFSA savings account?
A high-interest Tax-Free Savings Account (TFSA) is a type of savings account in Canada that offers a high interest rate on deposits, allowing your money to grow faster while also providing tax advantages. Unlike regular high-interest savings accounts, the interest earned in a TFSA is not subject to income tax, making it an attractive option for saving money over the long term.
For example, if you deposit $5,000 into a high-interest TFSA with a 5% interest rate, you would earn $250 in interest over a year. In a regular savings account, this interest would be taxable, but in a TFSA, you keep the entire $250 tax-free. This makes TFSAs particularly beneficial for saving towards long-term goals like buying a house, retirement, or building an emergency fund. Additionally, any withdrawals from a TFSA are also tax-free, and the amount you withdraw can be re-contributed in the following year, providing flexibility and tax-free growth.
Dos and Don'ts of High interest savings accounts
Pros
- Do shop around: Compare different banks and credit unions to find the highest interest rates and best terms.
- Do read the terms: Understand any fees, withdrawal limits, and other conditions associated with the account.
- Do take advantage of compounding: Keep your money in the account to benefit from interest compounding over time.
- Do set up automatic transfers: Regularly transfer money into your HISA to build your savings consistently.
- Do track your interest earnings: Keep an eye on your account to monitor the growth of your savings and any changes in interest rates.
Cons
- Don’t ignore fees: Be aware of any fees that could eat into your savings, such as monthly maintenance fees or transaction fees.
- Don’t make frequent withdrawals: Excessive withdrawals can reduce the interest you earn and may lead to penalties or fees.
- Don’t forget to report interest: Remember to report any interest earned on your HISA in your annual tax return, if applicable.
- Don’t overlook promotional rates: Be cautious of promotional rates that may only last for a limited time before dropping significantly.
- Don’t neglect to review your account: Regularly review your HISA to ensure it continues to meet your savings goals and offers a competitive interest rate.
What is APY (Annual percentage yield)?
When you start looking for a high-interest savings account, the first number you’ll see will be APY, or annual percentage yield.
APY is the yearly rate of return on the money in your account, and it includes compound interest, which is the interest earned on your interest.
The more often your investment compounds and builds interest on the interest you’ve already earned, the faster your savings grow.
Comparing the best savings interest rates in Canada
So how much higher is the interest on a high-interest, or high-yield, savings account? As of January 2025, the best rates exceeded 3% — more than 200 times higher than a traditional savings account.
In contrast, traditional savings accounts from major banks often offer interest rates around 0.01%.
| Compare savings interest rates | Traditional savings account | High-interest savings account |
|---|---|---|
| Balance | $10,000 | $10,000 |
| Interest rate | 0.01% | 3% |
| Annual interest earned | $1 | $30 |
By choosing a high-interest savings account, you could earn significantly more in interest annually compared to a traditional savings account.
Regular contributions, combined with higher interest rates, can substantially increase your savings over time.
It's important to note that some high-interest savings accounts offer promotional rates for a limited time before reverting to lower regular rates. For instance, the Tangerine Savings Account provides a promotional rate of 4.50% for the first five months, with a regular rate of 0.30% thereafter.
But EQ Bank, Wealthsimple and Neo offer a consistently high rate throughout the year.
So, always compare different accounts and consider both promotional and regular interest rates to maximize your savings.
Where to find a high-interest savings account
Like traditional savings accounts, high-interest accounts are federally insured up to $100,000 if you're dealing with a bank insured by the Canada Deposit Insurance Corporation (CDIC), or a credit union insured by provincial deposit insurance providers.
Old-school brick and mortar financial institutions aren’t your only secure option though; a growing number of high-yield savings accounts are being offered by online banks, and the CDIC insures many of them as well.
And since the Bank of Canada has slashed interest rates in the wake of the coronavirus pandemic, many of these small online banks are offering better high-interest savings options than their big-bank competitors at the moment.
Should I get a high-interest savings account?
The great thing about high-interest savings accounts is they’re versatile. Whether you’re planning for your wedding or preparing for retirement, you can rest easy knowing that the money you’re putting towards your goal is growing.
Some popular reasons for opening a HISA include:
- Building an emergency fund.
-
Saving up for a big purchase, like a car or a home.
-
Starting a nest egg.
-
Creating a college fund for your kids (but we'd recommend an RESP as a better option)
-
Protecting your money against inflation.
-
Helping your general savings grow.
Whatever your goals are for your savings, opening a high-interest account is a smart move.
But before you jump at the first account your bank offers you, it’s worth it to shop around a bit and see what’s out there. After all, you’re not obligated to stick with your current financial institution if you can find a better rate somewhere else.
MORE: Types of bank accounts
Comparing high-interest savings accounts
Before you open an account, it's a good idea to compare offers from a few financial institutions. Here are a few key things you should look for when comparing your options for a high-interest account.
Interest rate
Obviously you’ll be looking for accounts with high interest rates, but make sure to clarify whether the rate being offered is standard or if it’s an introductory rate that will eventually go down. The highest rate isn’t always your best bet if it’s going to drop after just a few months.
You should also look into whether there are minimum or maximum thresholds you need to meet in order to maintain your rate, and confirm that they’re doable for you.
Fees
Some financial institutions may charge introductory fees for opening a high-interest account, and monthly maintenance fees for keeping it open. It’s important that you understand what these fees are and whether there are ways to avoid them.
Access to your money
How easy it will be to access the money in your high-yield account is another thing to consider. Some banks will allow you to make withdrawals instantly using an ATM card, while others may require a waiting period of several days before your transaction is processed.
Compounding offer
Lastly, you should find out how frequently the interest you earn from your account will be compounded. An account in which interest is compounded daily will grow your savings faster than an account where interest is compounded yearly. The more often interest is added to your balance, the more growth you’ll see in your savings.
How is a high-interest savings account different from a regular savings account?
While they offer better interest rates than a regular savings account, HISAs also tend to come with more restrictions or conditions.
Some common conditions to look for when choosing a high-interest savings account include account minimums. For example, interest might only be calculated if your account has a minimum balance, such as $5,000.
There are also withdrawal conditions, where there are a limited number of free withdrawals per month. Any extra ones will lead to a charge. There are also transaction fees, which may be waived depending on your balance. Again, any conditions and fees associated with your HISA will vary from institution to institution.
*Interest is calculated daily on the total closing balance and paid monthly. For the EQ Bank Card, interest is paid into the linked Personal Account. Rates are per annum and subject to change without notice. For the Personal Account, Joint Account and EQ Bank Card, the current base interest rate is 1.25% (the “Base Rate”). Customers who add and maintain qualifying recurring direct deposits of at least $2000/month to a Personal Account or Joint Account are eligible to earn a bonus interest rate of 3.50% (the Base Rate plus an additional 2.25%) for the eligible accounts (the Personal Account, Joint Account, and the EQ Bank Card balance). Conditions apply. Please review the EQ Bank Bonus Interest Offer Terms and Conditions for details.
**Based on research conducted by Equitable Bank comparing base interest rates of savings accounts offered by Canada’s ‘Big 5’ banks, Tangerine Bank, and Simplii Financial and the EQ Bank Notice Savings Account at 3.00% interest per annum. Research is based on savings account interest rates taken from public websites as at March 18, 2025. Promotions and rate premiums are excluded. Interest calculated daily on the total closing balance and paid monthly. Most savings accounts in Canada allow the account holder to access funds in the account at any time, whereas the EQ Bank Notice Savings Account at 3.00% interest per annum requires 30 days advance notice.
Tyler Wade
Personal finance content strategist & writer
Tyler Wade has worked in personal finance for over 5 years writing for brands like Ratehub, Forbes, KOHO, and now Money.ca.
Shane Murphy
Reporter
Shane is a reporter for Money.ca. He holds a bachelor’s degree in English Language & Literature from Western University and is a graduate of the Algonquin College Scriptwriting program.
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