# EQ Bank 3% 3mth GIC



## Mechanic (Oct 29, 2013)

EQ Bank just put out another 3mth GIC deal. 3% for 3 months. Not as good as the last one but still the best out there from what I see.


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## AltaRed (Jun 8, 2009)

That offer has been around for at least a few weeks now (since late June).


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## m3s (Apr 3, 2010)

What was the better one? Last email promo I see is 2.65% 1 year


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## AltaRed (Jun 8, 2009)

3.33% for a 3 month GIC back in Nov 2018 https://www.highinterestsavings.ca/forum/eq-bank/eq-bank-3-33-for-3-month-gic/


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## peterk (May 16, 2010)

EQ bank promotion for 1.5% 3-month GICs is on now (normal rate 1.3%) and the savings account rate at 1.25%.

Unfortunately I bought a normal 1.3% GIC like 3 week ago lol. But I added another $40k to GICs with this new offering.

Edit: And 1.75% for those putting money into TFSA or RRSP


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## james4beach (Nov 15, 2012)

peterk said:


> EQ bank promotion for 1.5% 3-month GICs is on now (normal rate 1.3%) and the savings account rate at 1.25%.


But isn't the 5 year rate closer to 2% ? So if one has ongoing fixed income investments, you're clearly off with the 5 year (assuming that works with your time horizon).


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## peterk (May 16, 2010)

Yes but, I'd suggest that most people under 50 don't really have long term "ongoing fixed income investments", what they have is "unallocated cash-like savings". I mean it's all fine and good to declare yourself with an "asset allocation" that includes fixed income in your investment plan, but locking this in for 5 years is too risky IMO unless one is quite old and far along in life.

There are so many reasons you may want to liquidate that safe fixed-income pot of money as a young person, and 5 years is a long time.

If you insist on chasing an extra 0.5% in safe performance from FI, then I think it's gotta be in a bond fund and hope for the best there, instead of long term GICs.


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## nathan79 (Feb 21, 2011)

I couldn't imagine locking money in for 5 years for anything less than about 5% interest. Too much opportunity cost. I have taken advantage of the EQ 3-month offer, since there was nothing to really lose by taking it. I have loads of cash that I can't lock in for very long because it's allocated for a home purchase.


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## OptsyEagle (Nov 29, 2009)

nathan79 said:


> I couldn't imagine locking money in for 5 years for anything less than about 5% interest. Too much opportunity cost. I have taken advantage of the EQ 3-month offer, since there was nothing to really lose by taking it. I have loads of cash that I can't lock in for very long because it's allocated for a home purchase.


That is an easy question to answer. When losing your money becomes a bigger problem to you then not making more. In other words, you already have more money then you will need in your lifetime.


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## Mechanic (Oct 29, 2013)

I'm not locking anything into GIC's right now. The way inflation is soaring, I see interest rates rising soon. I know it means we will be spending more on everything but that's unavoidable with our government.


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## james4beach (Nov 15, 2012)

Mechanic said:


> I'm not locking anything into GIC's right now. The way inflation is soaring, I see interest rates rising soon.


You're making lots of predictions here. But it's very difficult to accurately predict inflation.

And by the way, EQ offers 1.5% on a short term GIC and 1.25% on savings.

But you know what pays even more? A 5 year GIC at around 2.1%. Assuming you're able to lock money in, for example with a ladder, you will virtually always get a better yield at 5 years than at the short term.


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