Watch out for incentive prices that start high and turn into peanuts after a few months: check the asterisks and always read the fine print.

Some savings accounts pay out as much as 2.4%. Here are the best non-promotional savings account rates we can find right now.

The Bank of Canada is raising interest rates and mortgage rates have already gone up – but what about the rate on your savings account?

The bad news is that banks aren’t likely to raise the interest on your savings account anytime soon, according to Money Coaches Canada financial planner Janet Gray. The good news is, if you’re shopping, you’ll likely find a better price than you’re getting right now.

“Savers have stashed so much money during the coronavirus pandemic that banks don’t need to compete for our dollars anymore — they’ve had enough. In fact, the interest rate on your savings may not go up for the whole of this calendar year,” says Gray.

Banks can raise savings rates a bit, says Jason Heath, an objective advisor to Financial Partners, but there’s no guarantee: “Don’t get your hopes up.”

However, some financial institutions offer higher rates than others, so it may be worth shopping, Heath says.

In general, digital banks, credit unions, and other alternative institutions can offer higher interest rates on savings accounts than major banks because their overhead costs are lower.

However, watch out for incentive prices that start high and turn into peanuts after a few months, say Heath and Gray. Check for asterisks and always read lowercase. (See the table for the best non-promotional rates we can find right now.)

And while you won’t find anything to offset the current inflation rate of about seven percent, you have to think long-term, Heath says, as this level of inflation is not expected to continue. “Before long, these higher interest rates will be competitive and will make it worth it for the investor.”

If you still can’t find a price that makes the switch beneficial, Gray recommends looking into some low-risk investment products that may earn you more, such as GICs. You often have to wait for a refund, so you can’t get your money quickly, but the prices are usually better.

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