TORONTO, July 19, 2023 /CNW/ - EQ Bank announces the launch of Canada’s first fully digital, no-fee FHSA Savings Account with the best interest rate in Canada at 3.00%1. Through EQ Bank's FHSA, prospective first-time homebuyers can also purchase GICs with current returns of up to 5.50%2 and a wide range of term options, offering an attractive guaranteed way to earn more while saving for a tax-free down payment on a qualifying home.
“True to our ‘less take, more make’ brand promise, we believe we’ve launched the best FHSA product in the market,” said Mahima Poddar, Group Head, Personal Banking. "We’ve always challenged the status quo in Canadian banking and we wanted to do it again with our FHSA—with flexible no-fee savings options, industry-leading rates, and an easy digital experience, all of which allow Canadians to reach home ownership faster.”
The EQ Bank FHSA is the perfect solution for anyone who plans to buy their first home, regardless of how far away those plans might be. With tax-deductible contributions of up to $40,000 and the ability to withdraw those funds tax-free to purchase a home, first-time homebuyers can benefit from significant tax savings. Unused contribution room can be carried forward by up to one year, which means eligible customers can start building contribution room as soon as they open an account.
With the new EQ Bank FHSA, first-time homebuyers can now:
- Contribute up to $40,000 toward the purchase of a first home through annual tax-free contributions of up to $8,000 per year.
- Earn tax-free investment income in an FHSA Savings Account at a high interest rate of 3.00%.1
- Purchase FHSA GICs that offer up to 5.50%2 interest and a wide range of term options.
- Withdraw money toward the purchase of a qualifying first home tax-free, without having to pay that money back.
All EQ Bank deposit products including the FHSA are eligible for CDIC deposit insurance.3
Existing and new customers can easily open an FHSA in minutes at eqbank.ca.
About Equitable Bank
Equitable Bank—Canada's Challenger Bank™—is a wholly owned subsidiary of EQB Inc., which trades on the Toronto Stock Exchange (TSX: EQB) (TSX: EQB.PR.C) and serves more than 515,000 customers. Equitable Bank's wholly owned subsidiary Concentra Bank supports Canadian credit unions and their more than 6 million members. With nearly $105 billion in combined assets under management and administration, Equitable Bank has a clear mandate to drive change in Canadian banking to enrich people's lives. Founded more than 50 years ago, Canada's Challenger Bank™ provides diversified personal and commercial banking solutions, and through its digital EQ Bank platform (eqbank.ca), it was named the best bank in Canada on Forbes’ World's Best Banks list in 2021, 2022 and 2023. Please visit eqbank.investorroom.com for more details.
EQ Bank's FHSA Savings Account and FHSA GICs are not available in Québec.
1 Interest is calculated daily on the total closing balance and paid monthly. Rates are per annum and subject to change without notice.
2 EQ Bank GICs are non-redeemable. For FHSA GICs, interest is calculated on a per annum basis, compounded annually, and paid at maturity. Interest is accrued for the entire GIC term. The rates shown are in effect as at July 19, 2023. Rates are subject to change at any time. For more information about EQ Bank’s GICs, visit www.eqbank.ca.
3 EQ Bank is a trade name of Equitable Bank. Equitable Bank is a member of CDIC. Deposits made under EQ Bank and Equitable Bank are aggregately eligible for CDIC protection up to $100,000, per insured category, per depositor.
Vice President, Corporate Development &
SOURCE Equitable Bank