What is a GIC?
A guaranteed, fixed-rate place to park money you don't need right away.
A Guaranteed Investment Certificate (GIC) is a Canadian deposit where you commit a lump sum for a fixed term — typically 30 days to 5 years — in exchange for a guaranteed interest rate. Your principal can't lose value, and the rate is locked at purchase, so your return is predictable. GICs can be held inside a TFSA or RRSP, where the interest is sheltered.
Non-redeemable GICs lock your funds to maturity but usually pay more; redeemable ones let you cash out early at a lower rate.