Term deposits and GICs


DICO automatically insures Canadian deposits in term deposits and Guaranteed Investment Certificates (GICs) maintained at each DICO insured institution.

A term deposit is generally a deposit for a set time (fixed term) and at a set interest rate (fixed rate). An index linked term deposit is a deposit for a fixed term where the interest rate is based on the performance of a stock index. A GIC is similar to a term deposit.

How much is insured?

DICO insures the principal and interest up to $100,000. We calculate your insured savings by combining the amounts in:

  • savings and chequing accounts
  • term deposits and GICs
  • money orders, certified cheques and drafts issued by DICO insured institutions (that are payable to you and not yet cashed)

For example…
If you have the following savings in your own name:

  • $10,000 in a savings account
  • $2,000 in a chequing account
  • $50,000 in a term deposit

You have $62,000 insured by DICO to protect your savings in the event that your credit union goes out of business and is unable to repay all of its deposits. Any combination of the above types of accounts in the name of a separate depositor is covered by DICO to the maximum limit of $100,000.

More than $100,000 in savings?

DICO provides separate insurance for deposits held in one name, jointly in more than one name, in a trust account and in registered savings plans.