A GIC is a low-risk investment that guarantees the money you put into it (the principal) and allows you to earn interest over a set period of time (the term). GICs typically have a fixed term, often with a fixed interest rate, so you’ll know exactly how much you’ll have when the term is up and your GIC is cashed out. For example: Say you invested $2,000 in a 2-year GIC at a 2.00% interest rate. In two years, you’d have $2,080.80 (with compounded interest). Typically, the longer the GIC term, the higher the rate of return, so the more you invest and the longer you invest it for, the more you can earn.

What's the current GIC interest rate?

There’s no one GIC rate – the rates vary from one GIC to another, and they’re tied to the current interest rates set by the Bank of Canada. Some GIC rates in Canada even depend on market performance. Check out GIC rates here.

It depends on what type of account they’re held in. If a GIC is in a registered account like an RRSP or TFSA, the money it earns won’t be taxed. But if your GIC is held in a non-registered account, your returns will be taxed like any other income.

How are GIC returns taxed?

If you’re holding a GIC in a non-registered account, it’s subject to tax each year. So, if you have a GIC with a three-year term, the interest you earn on each anniversary will be taxed – even if it hasn’t been paid out to you yet. If you hold a GIC in an RRSP, you’ll only pay tax when you withdraw your money.

Can I cash in my GIC early?

Yes, you can! Cashable GICs can be redeemed before the term ends, although the window can differ according to the type of GIC. Non-cashable GICs can’t be redeemed early without paying a penalty.

Guaranteed Investment Certificates (GICs)

What is a ? It’s a safe, secure investment that can suit all kinds of financial goals. A protects your principal, so no matter what happens with the market, you’ll never lose your initial investment. Plus, all of our are CDIC-insured.^footnote 1

Stay safe and secure – Your initial investment is 100% guaranteed.
Enjoy a versatile investment – Choose a GIC to suit your needs.
Save on taxes – Purchase a G I C in an R R S P or T F S A for a number of tax benefits.

Book an appointment Let us contact you

Guaranteed returns and personalized advice.

Get up to 45.00% after 5 years when you invest in the BMO Blue Chip GIC (based on market performance).^†

G I C calculator

How does a work? Here’s how your investment can grow^{, footnote 2}

GIC Calculator

What’s the best G I C for you?

come in different forms – let’s find one that will help you reach your investing goals.

Cashable Investments

Get competitive returns without a big commitment.

After you purchase your investment, you can cash out the when you like. It’s a great choice if you might want to access your cash, but you’d like to earn as much interest as you can in the meantime.

For example, if you opt for a 1-year cashable , you can take out your money before it matures, no strings attached. Of course, if you leave it in for the full year, you’ll continue to earn interest on it.

Ready to compare? Explore our list for the latest rates.

list

Non-cashable investments

Lock in your money for a higher rate of return.

Got some time to grow your money? A non-cashable can bring a higher rate of return than a cashable investment, as long as you’re willing to leave it alone for longer.

Ready to compare? Explore our list for the latest rates.

list

U.S. dollar investments

Take advantage of this option if you have U.S. dollars you want to grow.

Deposit U.S. dollars and earn interest in U.S. dollars – it’s a convenient and safe option when you’re looking to earn some interest on your U.S. funds.

Ready to compare? Explore our list for the latest rates.

list

Market-linked investments

Enjoy 100% principal protection and the potential for a high return.

Interested in higher growth linked to the stock market? These hybrid may be for you. You can earn great returns when the market performs well, but even when it dips, your initial investment is protected.

Ready to explore market-linked ? Learn more about our Progressive GIC Series.

Cashable Investments

Get competitive returns without a big commitment.

Ready to compare? Explore our list for the latest rates.

list

G I C Frequently asked questions

A GIC is a low-risk investment that guarantees the money you put into it (the principal) and allows you to earn interest over a set period of time (the term).
G I sees typically have a fixed term, often with a fixed interest rate, so you’ll know exactly how much you’ll have when the term is up and your G I C is cashed out.
For example: Say you invested $2,000 in a 2-year G I C at a 2.00% interest rate. In two years, you’d have $2,080.80 (with compounded interest). Typically, the longer the G I C term, the higher the rate of return, so the more you invest and the longer you invest it for, the more you can earn.

G I C resources to help you choose

Get the most out of your G I sees
How do G I sees work – and how can you make them work harder for you? Here’s a helpful introduction.
How to start investing
A G I C is a good way to start investing. Here are some other things to consider as you begin to grow your money.

Slide 1 of 0

Invest in a G I C

Talk to an expert

Have an investment expert get in touch to kick off the conversation.

schedule a call

Visit us

Drop by your nearest branch to chat about your financial future.

book an appointment

Get in touch

Visit our contact page to find your preferred way to get in touch with a BMO investment professional.

Already a BMO customer?

If you have an investment account, you can sign in to purchase online.

- ^|| Interest is calculated daily, paid monthly, semi-annually, annually or compounded annually and paid at maturity. The indicated interest rate subject to change at any time. The terms and conditions of this offer, including its overall availability, are at the sole and absolute discretion of BMO and are subject to change at any time without prior notice.
- The information contained herein is not, and should not be construed as, investment, tax or legal advice to any party. Investments should be evaluated relative to the individual’s investment objectives and professional advice should be obtained with respect to any circumstance.
- This material is for informational purposes only. This material is not intended to be relied upon as research, investment, or tax advice and is not an implied or express recommendation, offer or solicitation to buy or sell any security or to adopt any particular investment or portfolio strategy. Any views and opinions expressed do not take into account the particular investment objectives, needs, restrictions and circumstances of a specific investor and, thus, should not be used as the basis of any specific investment recommendation. Investors should consult a financial advisor and/or tax information applicable to their specific situation.
- All investments, including these, are subject to risk, including the possible loss of principal.
- footnote 1 details C D I C limits apply.
- footnote 2 details This calculator should not be used as a financial planning tool as it is designed for illustration purposes only.
- ^*Guaranteed minimum rate of return of 2.50% after 5 years. Rates are not per year and are not compounding. Potential return of up to 45.00% is based on Market Performance after 5 years.
- ^† BMO Blue Chip GICs (GIC) are issued by Bank of Montreal Mortgage Corporation and guaranteed by Bank of Montreal. The principal amount of a BMO Blue Chip GIC is guaranteed and is repayable upon maturity, but there is no guarantee of earning any return linked to the performance of the underlying securities. The rate of return for the term payable, will be the return on the Reference Portfolio but will not be less than 2.50% and not more than the Maximum Rate of Return of 45.00% for the term. The return on the Reference Portfolio, if any, is determined without reference to any dividends or distributions paid on the securities and is the simple average of the percentage changes in the value of each underlying security in the Reference Portfolio over the term of the GIC. The rate of return for the term is not an annual rate but is the rate of return over the entire term of the GIC. If market disruptions or other special circumstances affect the calculation of the return, the calculation agent may adjust or delay the calculation or payment of interest, estimate the value of an underlying security, replace a security and/or determine the amount of interest, if any, that may be payable in an alternate manner. Past market performance is not an indicator of future market performance. The terms and conditions for BMO Blue Chip GICs are available at your local BMO Bank of Montreal branch.
- “S&P” is a trademark of The McGrawHill Companies, Inc. “TSX” is a trademark of the TSX Inc. These marks have been licensed for use by Bank of Montreal. The BMO Canadian Market GIC is not sponsored, endorsed, sold or promoted by Standard & Poor’s or the Toronto Stock Exchange and neither party makes any representation regarding the advisability of investing in the BMO Canadian Market GIC.“S & P” is a trademark of The McGrawHill Companies, Inc. “T S X” is a trademark of the T S X Inc. These marks have been licensed for use by Bank of Montreal. The B M O Canadian Market G I C is not sponsored, endorsed, sold or promoted by Standard & Poor’s or the Toronto Stock Exchange and neither party makes any representation regarding the advisability of investing in the B M O Canadian Market G I C.
- Investment professional refers to Personal Bankers, Financial Planners, Investment and Retirement Planning and Investment Specialists that are representatives of B M O Investments Inc
- trademark/® Trademarks of Bank of Montreal.

Guaranteed Investment Certificates (GICs)

G I C calculator

Our featured G I C rates and products

BMO Growth G I C

Up to 20%^{, footnote 1}

18-month Special Rate G I C

2.00%^{, footnote 2}