The Big Six banks control 85% of deposits, yet their rates rank near last

Canada’s Big Six banks hold roughly 85 per cent of all deposits in the country. Add Desjardins, the seventh-largest player, and that share climbs to 91 per cent. The rest, including over 100 credit unions and more than 20 other banks, hold just 9 per cent.

That concentration would make sense if the big banks offered better service or rates than everyone else. But do they?

Based on an estimate from WOWA.io, a provider of financial data services, more than 65 per cent of bank deposits in Canada are in either notice deposits, such as savings accounts requiring advance notice, or term deposits, such as most GICs. For this portion, and even for many regular savings accounts, rate matters most, since customers don’t need frequent access.

So are the Big Six banks offering Canadians the best rates? The surprising answer is no: Their term deposit rates are among the lowest in the country.

Consider one-year and five-year fixed GICs, two of the most popular terms. For a one-year GIC, the best rate among Big Six banks plus Desjardins is 2.75 per cent as of July 27, 2026.

Among the more than 40 other lenders WOWA tracks daily, only two offer less, while more than 30 offer more. Pathwise Credit Union in Ontario offers 3.70 per cent, while MCAN Financial, available nationwide outside Quebec, offers 3.65 per cent.

For a five-year GIC, the best rate among the Big Six banks plus Desjardins is 3.35 per cent, while the best rate nationally is 4.10 per cent from WealthOne, followed by 4.05 per cent from both Achieva Financial and MCAN Financial.

Savings accounts tell a similar story. The Big Six typically advertise promotional rates that drop sharply after three or four months. Excluding those, their best ongoing rate for balances under $10,000 is just 0.55 per cent, while many other institutions offer 2 per cent or more. Manulife Bank offers 3 per cent on a non-registered savings account, and WealthOne offers 3 per cent on RRSPs.

Some may argue their money is safer with the Big Six, but all banks carry CDIC insurance that covers up to $100,000 per deposit category, and credit unions typically match or exceed that. For example, B.C., Alberta, Saskatchewan and Manitoba guarantee credit union deposits in full, with no cap.

The Big Six do have some advantages, such as wider branch access. But savers who stay purely out of habit are paying a real cost for that convenience.

As Grant Armstrong, chief growth officer of WealthOne, put it: “Canadians often prioritize trust, familiarity, and convenience over yield, even when higher rates are available elsewhere.”

With more than 100 financial institutions in Canada competing for deposits, almost all with access to the same deposit insurance as the Big Six, or stronger, comparing rates before renewing a GIC or opening a savings account costs nothing and can meaningfully change the return.