In the evolving world of personal finance, finding the right high-interest savings account (HISA) can make a significant difference to your savings strategy. Whether you're saving for a down payment, building an emergency fund, or simply growing your wealth, a competitive HISA ensures your money works as hard as you do.

This guide highlights the best high-interest savings accounts available to Canadian homeowners in 2025. We’ll cover key features, potential drawbacks, and provide examples to help you make informed decisions.

What Is a High-Interest Savings Account?

A high-interest savings account (HISA) is a secure way to grow your savings faster than a standard savings account. By offering higher interest rates, these accounts help counteract inflation and maximize your earnings while keeping your funds accessible.

Key benefits include:

Safety: Funds are insured up to $100,000 by the Canada Deposit Insurance Corporation (CDIC) or a provincial equivalent.

Liquidity: Most HISAs allow for easy deposits and withdrawals.

Growth: Higher rates of return compared to traditional savings accounts.

How to Choose the Best High-Interest Savings Account

When evaluating HISAs, consider the following factors:

Interest Rate: Look for competitive annual percentage yields (APYs) that align with your financial goals.

Fees: Check for monthly account fees, transaction charges, or minimum balance requirements.

Accessibility: Ensure you can access your funds easily, whether online or through branches.

Promotions: Some banks offer introductory rates that can boost your returns in the short term.

Insurance: Confirm the account is insured by CDIC or a provincial equivalent.

Top High-Interest Savings Accounts in Canada for 2025

1) EQ Bank Savings Plus Account

Interest Rate: 3.50% (no promotional period)

Features:

No monthly fees or minimum balance

Free Interac e-Transfers®

Ability to pay bills directly from your savings account

Drawbacks:

No physical branches

2) Simplii Financial High-Interest Savings Account

Interest Rate: 3.25%

Features:

No monthly fees

Free transfers to Simplii Financial chequing accounts

Drawbacks:

Limited physical presence

3) Tangerine Savings Account

Interest Rate: 5.00% (promotional for first 5 months), then 2.75%

Features:

Seamless integration with Tangerine chequing accounts

No monthly fees

Drawbacks:

Promotional rate expires quickly

4) Oaken Financial Savings Account

Interest Rate: 3.40%

Features:

CDIC-insured deposits

No fees

Drawbacks:

Limited online functionality

5) Motive Financial Savvy Savings Account

Interest Rate: 3.85%

Features:

No monthly fees

Two free transactions per month

Drawbacks:

Fees for additional transactions

Savings Accounts Promotional Rates vs. Regular Rates

Promotional rates can be enticing but are often temporary. For instance:

A 5.00% promo rate for five months on $10,000 yields $208.33.

The regular rate of 2.75% for the remaining seven months adds $160.42.

Total earnings: $368.75.

In contrast, a steady 3.50% rate on $10,000 over 12 months yields $350. While the promotional account edges out slightly, long-term savers might prefer consistency.

How Interest is Calculated

Most HISAs use daily interest calculations compounded monthly. For example:

Daily interest formula: Interest per day = (Principal * Annual Interest Rate) / 365

On a $5,000 deposit at 3.50%: ($5,000 * 0.035) / 365 = $0.48

That’s $0.48 per day, compounded monthly to maximize growth.

Tips for Maximizing Your Savings

Automate Savings: Set up automatic transfers to your HISA to ensure consistent growth.

Leverage Promotions: Take advantage of promotional rates, but be ready to move funds when they expire.

Avoid Fees: Choose accounts with no fees or penalties for withdrawals.

Diversify Accounts: Consider spreading funds across multiple accounts to optimize returns and stay within insurance limits.

Monitor Rates: Regularly review rates as they can change based on economic conditions.

Best High-Interest Savings Accounts in Canada 2025

High-interest savings accounts remain a cornerstone of a strong financial strategy for Canadian homeowners. By choosing an account that aligns with your goals and keeping an eye on rates and fees, you can maximize your savings potential in 2025.

Whether you prefer the simplicity of EQ Bank, the promotional perks of Tangerine, or the competitive rates of Motive Financial, there’s an option for every saver. Evaluate your needs, crunch the numbers, and watch your savings grow!