Savers Roundup February 2021: New savings account options; RRSP-eligible promotions; a CDIC contest with $10,000 in prizes

New year, new banks

Looking for a new bank? Not only are there plenty of existing options from long-established financial institutions, but there are also brand new accounts to choose from.

New Ontario-only online bank Saven Financial (a division of FirstOntario Credit Union) has a 1.55% savings account and a set of GICs that include a 2.05% 5-year GIC.

Neo Financial, which launched last year, no longer forces you to apply for its credit card before you can open a savings account, although you must still use its mobile app to open the savings account for now. Neo Financial’s savings account, which is technically held behind the scenes by Concentra Bank, has an interest rate of 1.55%.

Lastly, Concentra Bank has its own savings account with a 1.55% interest rate, but for now this savings account is only available if you have a GIC with them.

1.55% is the second highest savings account interest rate on our comparison chart, whereas 2.05% for a 5-year GIC is better than any other rate on our GIC comparison chart.

Promos before RRSP season ends

Are you looking for a place to make your RRSP contributions before the March 1, 2021 deadline for the 2020 tax year? There are quite a few RRSP-eligible promotions on our promotions page, including the following:

• Manulife Bank: 2.00% on new deposits to TFSA and RRSP savings accounts until April 30 (on deposits made before March 12)
• DUCA Credit Union (Ontario only): 6.67-year cashable RRSP or TFSA GIC: 1.00% if you cash in after 1 year; 2.00% if you hold the GIC for the full 80 months. Promo ends March 31
• RBC: 1.5% promo for 3 months in a new savings account before April 30; 2.0% for 3 months if you also open a TFSA or RRSP
• Tangerine Bank targeted 1.75% new deposit promo between February 9 and June 30 for existing clients

More reading: Retirement savings rules, a CDIC contest, and tax credits

• A discussion thread on RRSP, OAS, and pension rules
• The CDIC (Canadian Deposit Insurance Corporation) has a free online “Earn & Learn” Game with a total of $10,000 in prizes
• Canadians can claim up to a $75 tax credit on their 2020 to 2024 income tax returns for digital news subscriptions
• Accounts payable: Paying suppliers and vendors electronically in Canada