Your coverage

FAQs

Didn’t find the answer to your question on our pages? We’ve compiled a list of questions we’re most commonly asked by Canadians about CDIC and about our member institutions, and published them along with our answers here. Still have more questions? Contact us by telephone at 1-800-461-2342 or by email. You can also follow us on social media for regular updates and information about deposit protection.

About CDIC deposit protection

Member institutions

About CDIC deposit protection

What is a depositor?

For the purpose of CDIC deposit insurance, the depositor may be an individual (including sole proprietorship), corporation, partnership, government, church, charity, non-profit organization, estate and trustee that has monies placed in a member institution.

Does CDIC protect deposits for sole proprietorships?

Deposits made by sole proprietorships are protected. They are not considered separate and distinct from the sole proprietor (the individual). Eligible deposits under sole proprietorships, therefore, would be combined with those of the sole proprietor in the same member institution.

I am not a Canadian citizen. Can I still benefit from CDIC protection?

Yes. The place of residence or nationality of depositors does not affect the eligibility of deposits for CDIC coverage.

Do I need to sign up for CDIC deposit insurance?

No. You do not need to sign up for deposit insurance. Coverage is free and automatic for eligible deposits in any of our member institutions. In the event of a failure, CDIC relies on the records of the failed institution to obtain your contact information and determine your deposit insurance protection.

How is CDIC funded?

CDIC does not receive tax dollars or public funds to operate. CDIC is fully funded by premiums paid by our member institutions.

Who decides what deposits are covered or not?

The terms and conditions of CDIC deposit protection are set out in the CDIC Act as approved by the Parliament of Canada.

Can CDIC go bankrupt?

CDIC’s role is vital to the stability of the Canadian financial system and to the flow of financial services. The CDIC Act provides that CDIC cannot be placed into bankruptcy. CDIC is a Crown corporation and is backed by the Government of Canada.

Does CDIC protect deposits in the event of fraud?

No. CDIC does not cover losses due to fraud. CDIC coverage only applies in the event of a member institution failure. To learn about protection from fraud or scams, please visit the Financial Consumer Agency of Canada.

How can I find out how much of my money is protected by CDIC?

Our Deposit Insurance Estimator can help you calculate your CDIC coverage.

If I have more than $100,000, can I keep my savings safe?

Yes. CDIC’s coverage limit applies separately to each deposit category at each member institution. This means that eligible deposits in your chequing or savings accounts – and unregistered term deposits in your name – are protected separately from those in RRSPs, TFSAs, RRIFs, and so on. Download our brochure (PDF, 323 KB) for a visual breakdown of how this works.

Would my GIC be eligible for coverage?

Term deposits, including Guaranteed Investment Contracts (GICs), with original terms to maturity of five years or less are eligible for CDIC insurance.

That means a GIC with an original term of seven years, for example, is not insured and would not become insured when two years of that term have passed and five years are left. What matters is the original term, not the amount of the term remaining.

Does CDIC cover deposits in foreign currency? What about U.S. dollars?

CDIC does not cover deposits in foreign currency, including U.S. dollars. Eligible deposits must be payable in Canada, and in Canadian currency. Read more about what’s covered and what’s not.

Are deposits held at a bank branch in Canada by a non-resident or non-Canadian citizen eligible for CDIC coverage?

The place of residence or nationality of depositors does not affect the eligibility of their deposits for CDIC coverage. Deposits by a non-resident or non-Canadian citizen are eligible for CDIC coverage if the funds are eligible deposits, in Canadian currency and if they are recorded at a branch or office of a CDIC member institution in Canada.

Does CDIC cover digital currencies?

CDIC does not cover digital currencies or cryptocurrencies. Read more about what’s covered and what’s not.

Are funds “in transit” still covered by CDIC? I have money at one CDIC member (ABC Trust) and I have instructed them to transfer the funds to another CDIC member (XYZ Bank) in an eligible deposit.

Yes. Funds that are “in transit” means only that your transfer instructions have not yet been fully carried out. At all times, either ABC Trust or XYZ Bank would be liable to you for the monies. The liability of XYZ Bank would commence on its receipt of the monies from ABC Trust, and conversely, until XYZ Bank receives the monies, ABC Trust would remain liable for them.

Are market-linked GICs eligible for deposit insurance?

Eligible deposits include savings accounts, chequing accounts, GICs or other term deposits with an original term to maturity of 5 years or less, money orders, certified cheques, and bank drafts issued by CDIC members.

Market-linked or index-linked deposits are eligible for CDIC coverage since they are term deposits whose returns are linked to a variation in a stock exchange index. They are neither an insurance contract nor a security. They are deposits redeemable at maturity.

Member institutions

What is a CDIC member institution?

CDIC member institutions include federally regulated deposit-taking institutions such as banks, trust companies, loan companies, and federal credit unions.

Can I get information about CDIC at my financial institution?

CDIC member institutions are given brochures to display in their branches, and are required by law to display the CDIC decal on the door of each retail branch and on their websites. Additional information on CDIC coverage is also available on member institution websites and mobile banking applications. Consult the display requirements (PDF, 355 KB).

I don’t see my financial institution’s name in CDIC’s list of member institutions. Does this mean my deposits are not protected by CDIC?

Some CDIC members have subsidiaries or trademark companies which are not distinct members, but may fall under the coverage of their parent company. Provincial credit unions are protected by the province’s deposit insurer and not by CDIC. If your financial institution isn’t on our list of member institutions, you can contact CDIC to inquire about deposit protection.

Are all subsidiaries covered by CDIC?

No. A member institution can own subsidiaries offering a wide range of financial products and services, such as investment, brokerage and insurance firms or trust and loan companies. Although they may be owned by the same group or parent company, they are not necessarily all CDIC members. You can consult the list of CDIC’s member institutions.

Can a CDIC member institution decide to cease its membership?

Yes. A member institution can apply to CDIC to cancel membership if it has ceased to take deposits.

Are credit unions and caisses populaires covered by CDIC?

Credit unions and caisses populaires are governed by provincial laws and cannot be CDIC members. They can apply to continue business as federal credit unions and will become CDIC members once the continuance receives regulatory approval.

What if I have money in a provincial credit union?

Each of Canada’s 10 provinces has a provincial deposit insurer that protects provincial credit unions.

What happens to coverage if two CDIC members merge?

If two or more CDIC member institutions amalgamate, insured deposits made at each institution before the amalgamation continue to be insured separately up to $100,000 per depositor per category, as if the institutions had not amalgamated. The amount of separate coverage is reduced by any withdrawals made from those separate deposits, or as term deposits mature (or are redeemed). Coverage with respect to any deposits made with the entity that resulted from the amalgamation depends on the aggregate volume of the deposits you made at the institutions before they amalgamated.

  • If your existing deposits (i.e., the sum of deposits you had with the entities immediately prior to the amalgamation) add up to a total of $100,000 or more, any new deposits you make at the institution after amalgamation will exceed the $100,000 maximum, so they will not be insured by CDIC.
  • If your existing deposits add up to a total of less than $100,000, any new eligible deposits you make at the amalgamated institution will be added to those previous deposits, and the total will be insured to a maximum of $100,000.

I have deposits in different branches of the same financial institution. Are they separately covered?

Deposits are not insured separately if made at different branches of the same CDIC member institution.

Are my deposits in U.S. subsidiaries of a Canadian financial institution covered by CDIC?

Deposits in U.S. subsidiaries of a Canadian financial institution are not covered by CDIC but may be covered by the U.S. Federal Deposit Insurance Corporation (FDIC).

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