Account, Overdraft, Exchange, and Prime Rates

A savings account is a deposit account designed to help you set money aside while earning interest. It is often used for short-term goals, emergency savings, or funds you want to keep separate from everyday spending.

Plus, with our Savings Account, you'll also earn Member Rewards cash.

A USD Account is an account that holds funds in U.S. dollars. It can be useful if you:

• travel to the United States, 
• shop in U.S. dollars, 
• receive U.S. funds, or 
• want to keep U.S. currency separate from Canadian-dollar accounts.

Plus, with our No-Fee USD Account, you'll also earn Member Rewards cash.

Snowbirds and many others who travel between the States and Canada can access some major benefits with the No-Fee USD Account. You choose when your funds are converted from Canadian dollars to USD. And that helps you get the most out of each transaction.

Yes, the interest you earn will be in US funds. 

Yes. You can convert Canadian dollars to U.S. dollars through a simple transfer in online banking.

You bet! You'll earn interest on your entire balance for both the Savings Account and No-Fee USD Account - whether your balance is small or large.

An overdraft is an approved safety net on an account that can automatically cover unexpected expenses up to an approved limit. Interest is only charged on the amount used and is calculated daily on the closing balance.

An exchange rate is the value of one currency compared with another. For example, it determines how many U.S. dollars you'll receive when converting Canadian dollars, or how many Canadian dollars are needed to buy U.S. dollars.

A prime rate, also called a prime lending rate, is a benchmark interest rate that financial institutions use to set rates for variable-rate products, such as variable mortgages, lines of credit, and some loans.

In Canada, each financial institution sets its own prime rate, and it is generally influenced by the Bank of Canada’s overnight rate.

Mortgage rates are based on the prime rate because the prime rate reflects the cost of borrowing for financial institutions. The prime rate serves as a starting point for pricing variable-rate lending.

For variable-rate mortgages, a rate may be shown as prime plus or minus a set percentage, so your mortgage rate is connected to changes in the financial institution’s prime rate.

When the prime rate changes, variable mortgage rates can move with it. If the prime rate increases, the interest rate on a variable mortgage may increase, which can raise payments or increase the portion of the payment going toward interest.

If the prime rate decreases, the interest rate on a variable mortgage may decrease, which can lower interest costs or reduce payments depending on the mortgage type and terms.