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5 Things Every Canadian Should Know About Their Money Today

From a rate hold to a sovereign wealth fund — here's what's moving the needle on your finances right now. 01 — DEADLINE Today is the tax filing deadline — and your refund may be a lifeline April 30 is the last day most Canadians can file their 2025 income tax return without penalty. With the cost of living still squeezing household budgets, many Canadians are counting on their refund as a financial cushion. Filing late triggers a 5% penalty on any balance owing, plus 1% for each additional month. If you haven't filed yet, the CRA's NETFILE portal is still open — act before midnight. 02 — INTEREST RATES Bank of Canada holds steady at 2.25% — no relief yet for borrowers The Bank of Canada kept its policy rate at 2.25% yesterday — the third consecutive hold of 2026. Governor Tiff Macklem cited rising inflation driven by higher global energy prices tied to the Middle East conflict, while U.S. tariffs continue to weigh on exports. CPI inflation climbed to 2.4% in Ma...
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How to get 5% interest on your money – with a catch


                             

If you are looking for a safe and guaranteed way to grow your money, you might want to consider investing in a guaranteed investment certificate (GIC). A GIC is a type of deposit account that pays a fixed rate of interest for a specified term. You can choose from various terms, ranging from a few months to several years, and you can lock in your rate at the time of purchase.

GICs are ideal for conservative investors who want to preserve their capital and earn a predictable return. They are also suitable for short-term goals, such as saving for a vacation or a down payment on a house. GICs are insured by the Canada Deposit Insurance Corporation (CDIC) up to $100,000 per depositor per institution, so you don't have to worry about losing your money if your bank fails.

But what if you could get a higher rate of interest than the average savings account or bond? That's where the 5 per cent GICs come in. These are special offers that some financial institutions are making to attract new customers or retain existing ones. They are usually available for a limited time and for a limited amount of money, so you have to act fast if you want to take advantage of them.

Even the big banks are jumping on the bandwagon and offering 5 per cent GICs to their customers. For example, RBC is offering a 5 per cent GIC for a 3-month term, TD is offering a 5 per cent GIC for a 9-month term, and BMO is offering a 5 per cent GIC for a 12-month term. These are some of the highest rates you can find in the market right now, and they are much higher than the inflation rate, which is around 2 per cent.

Of course, there are some catches to these deals. First, you have to meet certain eligibility criteria, such as having a minimum balance in your account or opening a new account with the bank. Second, you have to invest a minimum amount of money, which can range from $500 to $10,000 depending on the bank. Third, you have to agree to keep your money in the GIC until maturity, otherwise you will lose the interest or pay a penalty. And fourth, you have to pay taxes on the interest income at your marginal tax rate.

So, before you jump on the 5 per cent GIC bandwagon, make sure you do your homework and compare different options. You might find that some online banks or credit unions offer better rates or more flexibility than the big banks. You might also want to diversify your portfolio and invest in other products, such as stocks or mutual funds, that can offer higher returns over the long term. And remember, always invest within your risk tolerance and financial goals.


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