GIC - Guaranteed Investment Certificate

 "I Want to Grow My Money without Worrying about Potential Losses."

What is a GIC - is a Canadian investment that offers a guaranteed rate of return over a fixed period of time. When you buy a GIC, you are agreeing to lend the
bank or financial institution your money for a set number of months or years (the term). You are guaranteed to get the amount you deposited
back at the end of the term. For this reason, GICs are one of the safest ways to invest.

 Things to know about GICs

  1. $500 is the minimum amount you can invest
  2. When buying GIC’s there is no fees
  3. Most GICs pay a fixed rate of interest for a set term, such as 6 months, 1 year, 2 years or up to 10 years. The term ends on the maturity date.
  4. Some GICs offer variable interest rates, based on the performance of a benchmark such as a stock exchange index.
  5. In general, the longer the term, the higher the interest rate you will earn.
  6. You may get paid interest on your GIC monthly, every 3 months, every 6 months, once a year or only on the maturity date.
  7. If you think you may need your money before the end of the term, buy a GIC that allows you to cash it in early without any penalty.
  8. You can hold GICs in registered investment accounts like RRSPsRRIFs and TFSAs.

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