Changes to modernize and strengthen CDIC deposit protection now in effect
OTTAWA – April 30, 2020 – The Canada Deposit Insurance Corporation (CDIC) today ushered in changes to modernize and strengthen deposit protection, the first major update to the overall framework since 1995.
- Expanded coverage of eligible deposits held in foreign currencies;
- Extended coverage of eligible deposits with terms greater than 5 years;
- The elimination of coverage for travelers’ cheques (which are no longer issued by CDIC member institutions).
“These changes demonstrate that CDIC is keeping pace with how Canadians bank and save, so they have even greater assurance that their hard-earned money is protected at any of our members,” said Peter Routledge, CDIC’s President and CEO.
The updated coverage was announced in Budget 2019 following an extensive policy review process. With the expansion of coverage, nearly all personal deposit accounts in our members are fully protected by CDIC.
For more information about these changes, CDIC invites Canadians to visit our website and social media channels, try out our deposit calculator or view this video to find out how we protect your hard-earned savings.
CDIC is a federal Crown corporation established in 1967 to protect the savings of Canadians, and we contribute to financial stability by safeguarding over $800 billion in deposits at more than 80 member institutions. As resolution authority, we are responsible for handling the failure of any of our members, from the smallest to the largest. Our members include banks, federally regulated credit unions as well as loan and trust companies and associations governed by the Cooperative Credit Associations Act that take deposits. We are funded by premiums paid by member institutions and do not receive public funds to operate. We have resolved 43 member failures affecting some two million Canadians. No one has lost a dollar of deposits under CDIC protection.
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Director, Communications and Public Affairs