This post covers the current Simplii Financial GIC rates on registered and non-registered accounts. You will also learn how Simplii GIC rates compete with those of other banks out there.
Due to its high promotional interest on savings accounts (currently at 5.25%), many Canadians expect Simplii to be among the providers of the best GIC rates.
But even without the promotional interest rate, we expect the GIC rate to be higher because Simplii is an online-only bank with low operational costs.
The fundamental question is, can you rely on Simplii for the best GIC rates? That’s what we’re about to explore below.
Simplii Financial™ offers no-fee direct banking with free unlimited Interac e-transfer® transactions (CNW Group/Simplii Financial)
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Simplii Financial GIC Rates 2023
If you’re looking for the best GIC rates in Canada, you have every reason to expect Simplii to be one of the providers as an online-only bank.
Below are the actual Simplii Financial GIC rates as of April 27, 2023.
| Term | Annual Rates | APY |
| 1 year | 3.93% | 4.00% |
| 2 year | 3.93% | 4.00% |
| 3 year | 3.25% | 3.30% |
| 4 year | 2.96% | 3.00% |
| 5 year | 3.20% | 3.25% |
Source: Simplii Financial
The above Simplii GIC rates apply to both registered and non-registered accounts.
As with other GIC rates, the Simplii rates are calculated daily, paid, or compounded monthly based on your chosen term.
If you decide to have your interest compounded, you will earn an annual percentage yield (APY) that applies to your GIC term.
Bear in mind that Simplii GIC rates are non-redeemable. This means that you can’t make withdrawals when you invest in any of the GICs until maturity.
That being said, let’s now address the question of Simplii registered GIC rates. Specifically, Simplii TFSA and RRSP rates. Do they differ? Let’s find out.
TFSA GIC Rates
A lot of Canadians wonder whether Simplii offers different GIC rates on a Tax-free Savings Account (TFSA). The answer is NO.
As noted earlier, the above rates apply to both registered and non-registered accounts.
For clarity, the following are the current Simplii Financial TFSA GIC rates.
| Term | TFSA Annual Rates | APY |
| 1 year | 3.93% | 4.00% |
| 2 year | 3.93% | 4.00% |
| 3 year | 3.25% | 3.30% |
| 4 year | 2.96% | 3.00% |
| 5 year | 3.20% | 3.25% |
Source: Simplii Financial
Related: Best TFSA Rates in Canada
RRSP GIC Rates
The above explanation on Simplii TFSA GIC applies here. You can also invest in a Simplii GIC through a Registered Retirement Savings Plan (RRSP) and earn the same interest rates as highlighted above.
So if you’re looking to open or move an RRSP to Simplii, you can be assured of earning the same rate on both registered and non-registered accounts.
Below is a highlight of the Simplii RRSP GIC rates as of the time of writing:
| Term | RRSP Annual Rates | APY |
| 1 year | 3.93% | 4.00% |
| 2 year | 3.93% | 4.00% |
| 3 year | 3.25% | 3.30% |
| 4 year | 2.96% | 3.00% |
| 5 year | 3.20% | 3.25% |
Source: Simplii Financial
Related: Best RRSP Rates in Canada
Simplii GIC Laddering
While Simplii doesn’t offer redeemable GICs, it allows you to get quick access to your funds and minimize the risk of interest fluctuations through a laddering strategy.
With this strategy, you can split your funds across short and long-term GICs, helping you take advantage of interest increase and reduce the risk of interest decrease.
Let’s say you want to invest $5,000 in a 5-year Simplii GIC term, the laddering strategy allows you to invest $1,000 each year until you reach the $5,000 target.
Annually, one GIC will mature and you can reinvest the funds for another 5-year term. This provides you access to a portion of your money throughout the GIC maturity.
About Simplii Financial GICs
Simplii Financial GIC operates like the traditional GIC you know. It offers you a fixed interest in exchange for locking your money for a set period.
Deposit and interest earned on a Simplii GIC account are protected up to $100,000 by the Canadian Deposit Insurance Corporation (CDIC).
Unlike other GIC providers, Simplii offers you access only to non-redeemable GIC. This can be accessed through a taxable account, TFSA or RRSP.
While the Simplii GIC rates are not among the best at the moment, Simplii sets itself apart with the following features:
- Low minimum investment: You can start investing in Simplii GICs with as little as $100. This is one of the lowest minimum requirements.
- Laddering strategy: This strategy helps you minimize risk and increase earnings by splitting your funds into short-term and long-term GICs.
How to Apply for a Simplii GIC
You can apply for a Simplii GIC online or by phone. To apply online, you need to sign-up on the Simplii online banking platform.
If you want to apply for a Simplii GIC by phone, all you need is to call 1-888-723-8881.
When you renew a Simplii GIC and you no longer feel like continuing with it, you can cancel it within 10 days following the day of the renewal. Simplii will reimburse you for your original principal and earned interest.
You can call Simplii at 1-888-723-8881 to request cancellation or repayment options.
How Simplii GIC Rates Compare
It’s not a secret that Simplii doesn’t have the best GIC rates at the moment. So if you’re looking to make the most of your investment, it’s wise to compare other rates.
Fortunately, I have done the hard job for you by identifying the top GIC rates on 1-5-year terms. Check them out below based on their annual percentage yield (APY).
| Financial Institution | 1 year | 2 years | 3 years | 4 years | 5 years |
| Simplii Financial | 4.00% | 4.00% | 3.30% | 3.00% | 3.25% |
| Wealth One Bank of Canada | 5.15% | 5.05% | 4.80% | 4.80% | 4.70% |
| Saven Financial | 5.15% | 4.90% | 4.65% | 4.65% | 4.55% |
| Motive Financial | 5.12% | 4.85% | 4.75% | 4.72% | 4.72% |
| Oaken Financial | 5.05% | 4.70% | 4.30% | 4.25% | 4.15% |
| Peoples Trust | 5.00% | 5.00% | 4.85% | 4.65% | 4.50% |
| EQ Bank | 5.00% | 4.55% | 4.55% | 4.25% | 4.20% |
| LBC Digital | 5.00% | 4.70% | 4.30% | 4.30% | 4.50% |
| Achieva Financial | 4.80% | 4.75% | 4.65% | 4.60% | 4.60% |
| Outlook Financial | 4.75% | 4.75% | 4.65% | 4.60% | 4.60% |
| Alterna Bank | 4.75% | 4.60% | 4.50% | 4.50% | 4.50% |
| Hubert Financial | 4.70% | 4.75% | 4.65% | 4.65% | 4.60% |
| AcceleRate Financial | 4.70% | 4.75% | 4.65% | 4.65% | 4.60% |
| ICICI Bank | 4.70% | 4.70% | 4.40% | 4.40% | 4.40% |
| Ideal Savings | 4.65% | 4.75% | 4.65% | 4.65% | 4.60% |
| MAXA Financial | 4.65% | 4.70% | 4.60% | 4.60% | 4.60% |
| Meridian Credit Union | 4.65% | 4.60% | 4.50% | 4.50% | 4.50% |
| Tangerine Bank | 4.65% | 4.30% | 4.20% | 4.15% | 4.05% |
| Canadian Tire Bank | 4.53% | 4.53% | 4.53% | 4.40% | 4.48% |
Data is valid as of April 27, 2023.
From the above table, you can see that Simplii doesn’t beat any financial institution with its GIC rate.
This is not an impressive representation of online-only banks that are known to offer the highest rates based on their low operational cost.
However, that’s not to dismiss the fact that Simplii is one of the top providers of high promotional interest rates on HISA.
But for GIC, you would be better off with another financial institution other than Simplii.
Overview of GICs
If you’re just getting started on GIC investing, you need to know the basics to understand what you’re getting into.
A Guaranteed Investment Certificate (GIC) is a form of investment that requires you to hold your money for a particular period in exchange for a fixed or variable interest rate.
The security that a GIC provides along with the guaranteed interest rate makes it one of the safe investments with high returns in Canada.
But not all GIC accounts operate the same way. Some allow you to redeem your funds before maturity while others require you to hold the investment until maturity.
Also, the rate you earn on a GIC account depends on the term and financial institution you choose. The terms usually range from 30 days to 10 years.
As shown from the above comparison section, GIC rates vary significantly from one financial institution to the other.
But when looking to invest in a GIC, you don’t want to capitalize on the rate alone. Think about the:
- GIC types (redeemable vs non-redeemable and fixed vs variable rates)
- Available terms (short-term vs long-term)
- Minimum investment requirements
- Account types (registered vs non-registered)
- Applicable fees
- Deposit and withdrawal options
When you consider all of this, you will realize how Simplii GIC competes significantly with other GICs based on minimum investment requirements.
Notwithstanding, getting the highest GIC rate should be your priority when looking to maximize your GIC account.
It’s on this basis that I couldn’t recommend the Simplii GIC rates for those looking to make the most of their GIC investment.
More on Simplii Financial:
Some FAQs on Simplii GIC Rates
Does Simplii Financial have GICs?
Yes. Simplii Financial offers non-redeemable GICs that are available on registered and non-registered accounts. You only need a minimum of $100 to start investing in a Simplii GIC.
How do I withdraw my GIC from Simplii Financial?
If you have a Simplii credit card, you can move the funds to the account and withdraw it through an ATM. For RRSP withdrawals, you need to call Simplii at 1-888-723-8881.
Is Simplii owned by CIBC?
Yes. Simplii is the online banking arm of CIBC that was launched in 2017 following the termination of the joint venture between CIBC and PC Financial.
