FAQ Category: TFSA Terms
When should I choose a TFSA term vs. a TFSA savings account?
A TFSA term deposit is a great choice if you’re comfortable locking in your savings to earn a higher, guaranteed rate. If you prefer flexibility and access to your money at any time, a high-interest TFSA savings account may be a better option.
What do I need to open a TFSA term deposit?
You’ll need a minimum deposit of $1,000, and funds must first be placed into your TFSA high-interest savings account before being invested into a TFSA term deposit.
How is interest calculated?
Interest is calculated and compounded annually, helping your savings build steadily over time.
Can I access my money before the term ends?
TFSA term deposits are non-redeemable, which means your money stays invested until the term matures. If you need flexibility, a high-interest TFSA may be a better fit.
Is my money safe in a TFSA term deposit?
Yes—your deposit is 100% guaranteed through the Deposit Guarantee Corporation of Manitoba, giving you peace of mind while your savings grow.
What term options are available?
You can choose from term options ranging from one year to five years, so you can match your investment to your timeline and goals.
How is a TFSA term different from a regular term deposit?
The key difference is tax savings. With a TFSA term deposit, any interest you earn is tax-free, helping your savings grow faster compared to non-registered terms.
What is a TFSA term deposit?
A TFSA term deposit lets you grow your savings at a guaranteed rate—without paying tax on the interest you earn. It’s a simple way to make the most of your TFSA contribution room.