Savings Held in a TFSA
CDIC deposit insurance covers savings held in eligible accounts and financial products that are held in
Tax-Free Savings Accounts (TFSA). Not all accounts and financial products that can be held in TFSAs are
eligible for coverage by CDIC. For example, CDIC does not insure mutual funds or stocks.
What’s covered?
From $1 to $100,000 of the total amount in the following accounts and financial products held in a
TFSA.
Accounts
Financial products
- GICs or other term deposits with an original term to maturity of 5 years or less
- Debentures issued by loan companies
These deposits must be held in Canadian dollars at a CDIC member.
For Example...
|
Say you have a GIC (with an original term to maturity of 4 years) and a savings account – both held in a
TFSA. How much would you get from CDIC if your financial institution were to fail? CDIC would add up the
amounts in the eligible accounts and products in your TFSA and pay up to $100,000 of the total. So:
- If, in your TFSA, you had $1,500 in the GIC and $700 in the savings account, for a total of $2,200, you
would receive $2,200 from CDIC.
- If, in your TFSA, you had $95,000 in the GIC and $25,000 in the savings account, for a total of $120,000,
you would receive $100,000 from CDIC.
|
|
|
Did you know?
CDIC insures eligible deposits held in TFSAs separately from other types of savings. If
you have eligible GICs in a TFSA as well as eligible GICs that are not held in a TFSA, CDIC
insures them separately – and covers up to $100,000 within your TFSA and up to $100,000 outside your
TFSA.
In addition, trusteed TFSAs are insured separately from non-trusteed TFSAs. For more details, see our Frequently Asked Questions.
|
|
CDIC covers more!
Click on any of the following to see what else CDIC covers: savings held in one name, savings held in more than one name (joint deposits), savings held in trust, savings held in RRSPs, savings held in RRIFs, and savings held for paying realty taxes on mortgage payments.
