I’ve updated this post (June 2021) for the realities that savers now face.
For those of you who are new here, I’d like to introduce an online bank that’s making waves in the personal finance community by offering one of the highest interest rates on savings accounts. I’m talking about the EQ Bank Savings Plus Account.
Haven’t heard of them? Read on. They may be a good fit for those of you who are looking to park some cash on the sidelines as political and economic uncertainty rock global stock markets.
Getting the Best Interest Rate is Vital for Your Safe Money
One of the things rocking the markets has to do with the return of record low interest rates. In 2017 the Bank of Canada and the US Fed raised rates 3 or 4 times but they quickly slashed rates to zero in March 2020.
So we’re back in a world of lower interest rates…for now at least. Believe it or not, once upon a time (in the mid-2000s), a person could actually earn 4% on their money in a bloody savings account! If we get some high inflation numbers then we may actually see central banks raise interest rates. That would be good for savers.
The EQ Bank Savings Plus Account is Perfect for my Emergency Fund
It’s always good to have a little cash stashed away in an emergency fund somewhere. For the past several years, I rarely held onto any cash because it was always better to invest it in a rising stock market. 2020 was a big wake up call for us and many others and we’re feeling like it’s important to build an emergency fund.
I’m always looking to find the best deal going and, for a while, I was banking with PC Financial (now Simplii Financial) and Tangerine Bank. I recently looked into the EQ Bank Savings Account as it’s offering an attractive 1.25*% interest rate.
What Is EQ Bank and How Does it Compare to Tangerine and Simplii Financial?
Some of you might not have heard about EQ Bank so I’ll give a brief introduction. EQ Bank has been around for over 40 years and its growing online presence is challenging other online competitors like Tangerine and Simplii Financial.
It’s offering of 1.25*% interest on its savings account is easily double that of Tangerine and Simplii Financial. For that reason, I think that EQ Bank will be the go to bank for people interested in parking their money in a savings account that pays one of the highest interest rates.
Now it’s true that, from time to time, both Simplii and Tangerine offer teaser rates that reset in 3 to 6 months. But with EQ Bank you get 1.25*% as their standard rate, no gimmicks or strings attached. And if, as I believe, interest rates will continue their gradual rise, then I think that EQ Bank could raise that rate even more. Even if they don’t raise it at all, it’s still light years ahead of where the competition is at.
Features of the EQ Bank Savings Plus Account:
No minimum balance is required to earn the 1.25*% interest.
There are no monthly account fees.
Unlimited Free Interac e-Transfers®.
Free Electronic Funds Transfers.
Free Linked Accounts.
Unlimited Bill Payments.
24/7 access to your money.
Customer service support 7 Days a Week from 8am to midnight (Eastern Standard Time).
EQ Bank also offers great rates on GICs (Guaranteed Investment Certificate).
These are some of the main reasons to bank with EQ Bank. As I said above, I think I’ll start by opening a Savings account for my emergency fund and go from there. For me, it’s all about earning the best possible interest for my “safe” money. If you feel the same give it shot by clicking on THIS LINK to the EQ Bank website and clicking the Join Now button at the top. From there just follow the sign-up instructions and you’ll be earning a great interest rate in no time!
I have to say that I would never recommend a product or service that I don’t use myself and in the interest of total transparency, I want to acknowledge that this post contains affiliate links. As an EQ Bank affiliate, this blog receives a small commission for every sign up.
Thanks for reading and keep on saving and investing my friends!