With interest rates ranging from 2.25% to 2.45%, the Steinbach Credit Union High Interest Savings Account is the best credit union savings account for earning interest. However, there are several other high-quality options with better features and still significant interest rates, like the Meridian High Interest Savings Account and Alterna High Interest eSavings Account.
The nice thing about getting a savings account from a credit union is that there are generally no monthly fees, and they typically have higher interest rates than those offered by the big banks.
We'll go over some of the options you have, as well as a comparison between credit unions and the big banks in Canada.
Key Takeaways
- The Steinbach Credit Union High Interest Savings Account offers the highest interest rates among all savings options from Canadian credit unions.
- The Meridian High Interest Savings Account has excellent features and offers access to high-quality digital tools and resources.
- While big banks generally offer welcome bonuses and more perks, credit union savings accounts typically have higher interest rates and offer more free transactions.
Best credit union savings accounts
Let's start off with a summary of some of the popular savings accounts offered by credit unions in Canada:
| Savings account | Max interest rate | Monthly fee | Monthly transaction limit | Other perks |
|---|---|---|---|---|
| Steinbach Credit Union High Interest Savings Account | 2.45% | $0 | 1 | * High rates for all balances * DGCM coverage |
| Meridian High Interest Savings Account | 0.85% | $0 | Unlimited | * Access to THE EXCHANGE Network of ATMs * Auto-Save feature |
| Coast Capital High-Interest Savings Account | 0.4% | $0 | 2 | * Access to THE EXCHANGE Network ATMs * Federally regulated institution |
| Servus Personal Premium Savings Account | 0.9% | $0 | 1 | * Unlimited transfers between accounts * Photo cheque deposit |
| Vancity Jumpstart High Interest Savings | 0.7% | $0 | Unlimited (online only) | * Free ATM transfers between accounts * No minimum account balance |
| Alterna High Interest eSavings Account | 1.15% | $0 | Unlimited | * Free, unlimited transactions * Link and transfer to external accounts for free |
| Innovation Savings Account | 0.75% | $0 | 6 | * Available to all Canadians (except Quebec) * Federally regulated institution |
Steinbach Credit Union High-Interest Savings Account
Steinbach Credit Union offers the highest interest rates for a personal savings account in Canada. We only found two other credit unions that match its base 2.25% rate, but none can match its maximum rate of 2.45%.
Why we love it:
- Amazing tiered interest rates, from 2.25% to 2.45%
- No monthly fees
- One free transaction per month
- Reasonable fees for extra transactions
- Deposit Guarantee Corporation of Manitoba (DGCM) coverage
What to consider:
- Poorly-rated mobile app
- Only four branches, all in Manitoba
Learn more about the Steinbach Credit Union High-Interest Savings Account here.
Meridian High Interest Savings Account
The Meridian High Interest Savings Account is one of three savings account options from this credit union, but this one earns the most interest by far. This HISA is a prime example of the quality products and excellent digital tools and resources that Meridian Credit Union is known for.
Why we love it:
- Competitive 0.85% max interest rate
- No monthly fees
- Unlimited free transactions
- Free access to THE EXCHANGE Network of ATMs
- Valuable Auto-Save feature
What to consider:
- No welcome offer
- No branches outside Ontario
There are many high interest savings accounts to consider, including the Meridian High Interest Savings Account. It offers a competitive interest rate of 0.85% and unlimited transactions for no monthly fee. This is a good choice for anyone wanting to earn a little extra on their savings and maintain access to their funds at any time.
- Get a 0.85% interest rate
- Unlimited transactions
- Access to thousands of ATMs in North America
- Open registered accounts
- Branches only in Ontario
- Lower interest rate than some high interest savings accounts
- No welcome bonus or special offers
- Live or work in Canada
- Age of majority in your province or territory
- Valid email address
- SIN for tax purposes
- Access to your mobile phone
- Available for TFSA, RRSP, FHSA, and RRIF
- Community-minded banking experience
Coast Capital High-Interest Savings Account
While its regular 0.4% isn't much to write home about, Coast Capital High-Interest Savings Account's promo rate of 4.1% makes it worth a second look. Aside from that welcome offer, this HISA has several convenient features and, as Coast Capital is federally regulated, it's available to all Canadians (except Quebec).
Why we love it:
- Valuable promo 4.1% interest rate
- Two free monthly transactions
- Free access to THE EXCHANGE Network of ATMs
- Well-rated mobile app
- Federally regulated institution
What to consider:
- $5 per additional transaction
- Not available for Quebec residents
Learn more about the Coast Capital High-Interest Savings Account here.
Servus Personal Premium Saving Account
Alberta's Servus Credit Union has two savings account options available that have nearly identical features. The Personal Premium Savings Account, though, has tiered interest rates that are all significantly higher than the Personal Savings Account.
Why we love it:
- Competitive 0.9% max interest rate
- No monthly fee
- One free monthly transaction
- Mobile cheque deposit available
- Well-rated mobile app
What to consider:
- $5 per additional transaction
- No branches outside Alberta
Learn more about the Servus Personal Premium Saving Account here.
Vancity Jumpstart High Interest Savings
If you're looking for a savings account from a truly conscious credit union, the Vancity Jumpstart High Interest Savings account is the account you need. Vancity has been named as one of Canada's most socially responsible companies several times and is also a living wage employer.
Why we love it:
- Competitive 0.9% max interest rate
- No monthly fee
- Unlimited online transactions
- Free access to Vancity, The EXCHANGE, and ACCULINK ATMs without surcharges
- A living wage employer
What to consider:
- $5 per in-person transaction
- No branches outside British Columbia
Learn more about the Vancity Jumpstart High Interest Savings here.
Alterna High Interest eSavings Account
While it's technically the online subsidiary of a credit union, this HISA from Alterna Bank has too many top-notch features to ignore. It offers one of the highest interest rates on this list, alongside free and unlimited transactions, bill payments, debits, and Interac e-Transfers.
Why we love it:
- Excellent 1.15% max interest rate
- No monthly fee
- Free and unlimited transactions
- Free transfers between internal and external accounts
- CDIC insured
What to consider:
- Lacklustre mobile app
- Max balance of $250,000
If you’re looking for a good place to stash an emergency fund where it will earn a bit of interest while still being easily accessible, the Alterna High Interest eSavings Account might be just the ticket.
- Relatively high interest rate
- Free and unlimited transactions, bill payments, and debits
- No fees of any kind
- No minimum balance requirements
- Higher interest rates available elsewhere
- Maximum $250,000 balance per customer
- You must be a Canadian resident
- You must have reached the age of majority in your province or territory
- Have an account at another major Canadian Financial Institution
- Free and unlimited transactions
- No minimum balance requirements
Innovation Canada Savings Account
Thanks to federal regulation, Innovation Credit Union's Savings Account is available to all Canadians. With a decent interest rate and six free transactions per month, this account holds its own – and the Member Rewards are like the icing on the well-rounded cake.
Why we love it:
- Competitive 0.75% max interest rate
- No monthly fee
- Six free debit transactions each month
- Earn Member Rewards as well as profit-sharing dollars
- Federally-regulated institution
What to consider:
- $5 per additional transaction
- No branches outside Saskatchewan
Learn more about the Innovation Canada Savings Account here.
Credit union vs. big bank savings accounts
Credit unions differ from banks because of their ownership structure – banks are for-profit and large corporate entities, while credit unions are owned collectively by their members.
In terms of the differences between the two when it comes to savings accounts and related features/services:
| Banks | Credit unions |
|---|---|
| More perks and benefits | Higher interest rates |
| More frequent, valuable welcome offers | More free transactions |
| More branch locations | Lower fees |
| CDIC coverage | CDIC or provincial coverage |
| Better online and mobile platforms | Fewer account options |
It should be noted that while credit unions do tend to offer higher interest rates, this is compared to traditional banks, not necessarily online banks. The lack of overhead costs that online banks enjoy allows them to offer significantly higher rates than most other types of financial institutions.
In the end, we recommend going with whatever can grow your savings the most.
FAQ
Which credit union savings account has the highest interest rate?
The Steinbach Credit Union High-Interest Savings Account currently offers the best interest rate. It offers tiered rates that start at 2.25% for balances under $100,000 and go up to 2.45% for balances over $250,000.
Does Meridian Credit Union have a savings account?
Yes, Meridian Credit Union has three different savings accounts. The Advantage Savings Account and Youth Savings Account share a max 0.05% rate, and the Meridian High Interest Savings Account has a slightly higher maximum rate of 0.85%.
Do big banks have better interest rates than credit unions?
Many big banks offer very high promotional interest rates for new clients opening savings accounts, and these are often much higher than what credit unions offer. Still, the big banks' regular rates are dismally low.
Which is the best credit union in Canada?
Coast Capital Savings is the best credit union in Canada. It's the second-largest credit union in Canada, is federally regulated, and offers a full suite of personal banking products, including an HISA with an incredible 4.1% promo interest rate.
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