Best TFSA GIC Rates 2026: A TFSA GIC can be a good choice for people who want to earn interest without taking the ups and downs that can come with stocks. A GIC, or Guaranteed Investment Certificate, lets you put money away for a fixed period. In return, the bank or financial institution pays you interest.
When the GIC is held inside a TFSA, the interest you earn is generally tax-free. GICs are also allowed investments inside a TFSA under Canada’s tax rules. The Canada Revenue Agency lists guaranteed investment certificates among the investments that can qualify for a TFSA. Some banks are currently offering rates above 4% for five-year terms. Shorter GICs can offer lower rates, but they also keep your money locked up for less time.
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Best TFSA GIC Rates in Canada
The table below gives a look at some TFSA GIC rates available in Canada in early September 2026. Rates can change without notice, so it’s important to check the rate before buying.
| Financial Institution | 1-Year | 2-Year | 3-Year | 4-Year | 5-Year | Minimum Deposit |
|---|---|---|---|---|---|---|
| Oaken Financial | 3.55% | 3.90% | 4.00% | 4.05% | 4.25% | $1,000 |
| Achieva Financial | 3.65% | 3.75% | 3.95% | 3.90% | 4.10% | $1,000 |
| Home Trust | 3.36% | 3.80% | 3.97% | 4.01% | 4.13% | $1,000 |
| Hubert Financial | 3.80% | 3.80% | 3.75% | 3.80% | 3.90% | $1,000 |
| EQ Bank | 3.00% | 3.15% | 3.30% | 3.40% | 3.45% | $100 |
| BMO | 2.70% | 2.75% | 2.85% | 3.00% | 3.10% | $1,000 |
| Coast Capital Savings | 2.90% | 3.50% | 3.50% | 3.60% | 3.80% | $1,000 |
These rates were listed as TFSA GIC rates on September 5, 2026. Oaken Financial had one of the highest rates in the table, reaching 4.25% for a five-year GIC. Achieva Financial was next at 4.10%, while Home Trust was at 4.13%.
Top TFSA GIC Options
Oaken Financial
Oaken Financial stands out for savers looking for a strong long-term GIC rate. Its five-year TFSA GIC was listed at 4.25%. The one-year rate was 3.55%, while the two-year rate was 3.90%.
A $1,000 minimum deposit is required. Oaken’s GICs are non-redeemable, so the money generally can’t be taken out before the term ends. That makes this a better fit for money you know you won’t need soon. Oaken also lists TFSA GICs among its registered GIC options.
Achieva Financial
Achieva Financial is another strong option for people looking at longer terms. Its listed TFSA GIC rates were 3.65% for one year, 3.75% for two years and 4.10% for five years.
The minimum investment is $1,000. Since the five-year rate is above 4%, it can be attractive for someone who wants a fixed return and doesn’t need the money for several years.
Home Trust
Home Trust also has competitive TFSA GIC rates. Its five-year rate was listed at 4.13%. The four-year rate was 4.01% and the three-year rate was 3.97%. The minimum deposit is $1,000. These GICs are non-redeemable, so buyers should be comfortable leaving their money invested until maturity.
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Hubert Financial
Hubert Financial offers some of the strongest rates on shorter terms. Its one-year and two-year TFSA GICs were both listed at 3.80%. The five-year rate was 3.90%.
The minimum deposit is $1,000. Hubert is an online financial institution, which can suit people who are comfortable handling their savings digitally.
EQ Bank
EQ Bank is worth looking at for people who don’t want a very large minimum deposit. Its TFSA GICs start at just $100.
Current listed rates include 3.30% for one year, 3.55% for two years, 3.65% for three years, 3.75% for four years and 4.00% for five years. EQ also offers shorter terms, including 2.50% for three months, 2.75% for six months and 3.00% for nine months.
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How to Choose a TFSA GIC
- Compare the interest rate: Even a small difference can add more money over several years.
- Check the term: A five-year GIC may have a higher rate, but your money can be tied up for five years.
- Look at the minimum deposit. Some GICs need $1,000 or more. EQ Bank offers TFSA GICs starting at $100.
- Check whether it’s redeemable: Many fixed-rate GICs can’t be cashed early.
- Check deposit protection. The protection depends on the institution and the type of deposit insurance that applies.
- Watch your TFSA contribution room: Putting money into a TFSA GIC still counts as a TFSA contribution.
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Why Put a GIC Inside a TFSA?
A normal GIC held outside a TFSA can create taxable interest income. A GIC inside a TFSA gets the tax advantage of the TFSA, so eligible interest earned in the account is generally tax-free.
The TFSA annual contribution limit for 2026 is $7,000. Unused contribution room from previous years can carry forward. This means some Canadians may have much more than $7,000 in available room depending on their age and past contributions. A TFSA GIC can therefore work well for someone who wants a guaranteed return and doesn’t want to pay tax on the interest.
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What Happens When the GIC Matures?
When the GIC reaches its maturity date, the original amount and the interest are generally paid back according to the terms of the GIC. The money can then be withdrawn or placed into another eligible investment.
It’s important to check the maturity instructions before buying because some GICs can automatically renew. A person who needs the money at a certain time shouldn’t ignore the maturity date.
TFSA GIC vs TFSA Savings Account
A TFSA savings account gives you easier access to your money. A GIC usually gives you a fixed return for a set period but offers less flexibility.
For short-term savings where you may need the cash quickly, a TFSA savings account can make more sense. For money that you know you won’t need for one, three or five years, a GIC can be more useful. The right choice mainly comes down to how long you can leave the money untouched and how much interest you’re able to earn.
FAQs
What is the best TFSA GIC rate in Canada right now?
Among the rates listed on September 5, 2026, Oaken Financial had one of the highest five-year TFSA GIC rates at 4.25%. Home Trust was at 4.13% and Achieva Financial was at 4.10%.
Can I put a GIC in my TFSA?
Yes. GICs are eligible investments for a TFSA under Canadian tax rules.
Is TFSA GIC interest tax-free?
Generally, yes. Interest earned inside a TFSA is generally tax-free, including interest from an eligible GIC.
Can I withdraw money from a TFSA GIC anytime?
Not always. Many GICs are non-redeemable, which means you usually have to wait until maturity. The exact withdrawal rules depend on the GIC.
