5 Things to look for in a High Interest Savings Account

Are you thinking of opening a High-Interest Savings Account (HISA)? Here are five things to look for in a High-Interest Savings Account.

What is an HISA?

A high-interest savings account is usually an online bank that delivers higher than average interest rates on the money you keep in the account. High-interest savings accounts offer more interest on your balance than regular savings accounts.

5 Things to Look for in a HISA

If you’re thinking of opening a HISA, you’ll want to make sure you look for 5 things in particular to find the best option for you.

1. CDIC Insured

Make sure the high-interest savings account you are considering is CDIC insured. This is important.

CDIC stands for Canada Deposit Insurane Corporation. CDIC is not a bank. They are a private insurance company that automatically covers to the limit of $100,000 per insured category at each CDIC member financial institution. Click here to go to CDIC website to learn more.

2. No Fees

Look for a high-interest savings account that doesn’t have fees. Some accounts can have monthly or yearly fees.

Find one that doesn’t charge you any additional fees.

This is money you save for your emergency fund, home down payment, or any other long-term goals.

3. Good (High) Interest Rate

You’ll want to look for a HISA with a good (high) interest rate. Keep in mind, the interest rate you receive in your HISA will fluctuate.

Currently (as of September 2022), EQ bank is offering a high-interest rate of 1.65%. The rates will fluctuate, so don’t freak out or move banks when they do. Every bank is affected simultaneously, and chasing rates for a few dollars requires more work.

4. Easy Money Transfers

Find a HISA with easy money transfers. It should be very simple (with a click of one button) to transfer money in and out of your account.

Remember that a HISA is meant to grow your money, so don’t plan on paying bills with this account.

5. No Balance Requirements

Make sure that you find a HISA with no minimums or balance requirements.

Your going to look for one that doesn’t have balance requirements so that you can use your funds in the case of an emergency without being punished with a fee.

Recommendation for a High Yield Savings Account

NEO Financial

Neo is a online bank that is currently offering 2.25% interest. With the Neo Money account, earn up to 225x more than at a traditional bank, all with no annual or monthly fees!
Monthly fee $0
Transaction fees $0
Interac e-Transfers $0
CDIC insured

Click here to open a NEO Money Account

EQ Bank

EQ Bank is a online bank that is currently offering 1.65% interest. With the Savings Plus account, earn up to 165x more than other banks without fees or the other usual banking nonsense.
Monthly fee $0
Transaction fees $0
Interac e-Transfers $0
CDIC insured

Click here to open a EQ Bank Savings Plus Account