An interest rate of 3.3 per cent may not seem like much to Canadians who remember the era when rates reached into the double digits. But when Laurentian Bank’s high-interest savings account (HISA) started paying 3.3 per cent in November after years of below-inflation returns on bank deposits, many took notice.
And as of early February, Canadians looking for a savings account paying more than two per cent had a number of additional options. Motive Financial, the digital subsidiary of Canadian Western Bank, for example, was offering 2.8 per cent. EQ Bank was paying 2.45 per cent. And Wealthsimple, a robo advisor, had recently announced its new Wealthsimple Cash account with an annual rate of 2.4 per cent.
The era of higher-paying savings accounts, however, proved surprisingly short.
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