How do NSAs compare to GICs, HISAs and MMFs?
Notice savings accounts can complement the use of other savings products, particularly HISAs used for short-term savings, and GICs and MMFs used for medium- or longer-term savings. Here’s a comparison of features.
| EQ Bank NSA | HISA | GIC | MMF | |
|---|---|---|---|---|
| Interest rate or yield | 3.00% or 3.05% interest | Interest rates typically range from 0.01% to 4.00% | Varies—generally, GICs with longer terms and less flexibility have higher interest rates. Current rates for 30-day GICs (the shortest term available) range from 2.8% to 4.3%. | Currently, you can find money market funds yielding 4% to 5% |
| Withdrawal terms | 10 days or 30 days, depending on the account | Cash withdrawals are immediate; transfers may take a few days | At end of term only (unless it’s a cashable or redeemable GIC) | Usually takes a few days to withdraw |
| Minimum balance | No | No | Usually $500; only $100 minimum investment with EQ Bank | $100 to $5,000, depending on the fund |
| Maximum contribution | $200,000 for an individual account, $500,000 for a joint account | No | Non-registered accounts usually have either a very high maximum or no maximum amount. Registered accounts (RRSPs, TFSAs, etc.) have contribution limits. | No |
| Fees | None | Sometimes | None | Management fees of 1.5% to 2% |
| CDIC coverage (up to $100,000) | Yes | Yes | Yes | No |
Why should I open an EQ Bank Notice Savings Account?
With its new Notice Savings Account, EQ Bank aims to fill a gap in the Canadian banking market. According to a recent EQ Bank survey, NSAs could help address some common consumer pain points. Let’s take a closer look at the findings.
- How do Canadians save? For short-term and mid-term savings goals, Canadians are most likely to use regular chequing accounts (60%). With an EQ Bank Notice Savings Account, savers can take advantage of competitive rates and have the flexibility to access their money in as little as 10 days.
- What are Canadians saving for? More than half (55%) of Canadians are saving for vacation or travel, and 49% are putting money into their emergency or rainy day fund. These are short- and mid-term savings goals, so savers will want the flexibility to withdraw their funds when they want it. You can access your money with EQ Bank’s Notice Savings Account in as little as 10 days.
- Good interest rates for all: One in four Canadians prefers banks that give all customers the same interest rate. EQ Bank’s Notice Savings Account offer the same rate options to everyone, no matter how much they have to deposit.
- No promos, please: Just 5% of Canadians prefer banks that offer periodic promotions exclusively to certain customers. Promotional interest rates are only good for a short time frame, typically a few months. With an NSA, you will always get a competitive rate.
Also good to know: An EQ Bank Notice Savings Account has no fees or minimum balance requirements. You can contribute as much as you want and make withdrawals with as little as 10 days’ notice. Plus, for additional peace of mind, the EQ Bank NSA is protected by up to $100,000 in CDIC deposit insurance per depositor.
How to open an EQ Bank Notice Savings Account
The new EQ Bank Notice Savings Account is available to EQ Bank customers. It takes just a few minutes to open the account via the EQ Bank website or mobile app.
The EQ Bank NSA: A welcome addition to Canadian savings tools
EQ Bank’s Notice Savings Account offers a secure, flexible, high-interest product with unlimited deposits and withdrawals with notice as short as 10 days. Available without minimum balances or promotional restrictions, EQ Bank’s Notice Savings Account offers Canadians a strong option for their short- to mid-term savings goals like vacation funds, large expenses or a rainy day fund. It is also an excellent option for those who have maxed out their registered accounts such as tax-free savings accounts (TFSAs) or registered retirement savings plans (RRSPs).
Once available only to high-net-worth individuals and corporations, these benefits are now accessible with no minimum deposit. Head over to the EQ Bank website or download the app to open your EQ Bank Notice Savings Account today.
Interest on the EQ Bank Notice Savings Account is calculated daily on the total closing balance and paid monthly. Rates are per annum and subject to change without notice.
About the survey
These are the findings of a survey conducted by EQ Bank from April 24 to 26, 2024, among a representative sample of 1,504 online Canadians who are members of the Angus Reid Forum. The survey was conducted in English and French. For comparison purposes only, a probability sample of this size would carry a margin of error of +/-2.5 percentage points, 19 times out of 20.