5 Ways On How To Get The Best GIC Rates

A Guaranteed Investment Certificate (GIC), is also known as term deposit. They are appropriate for the medium term and short term saving goal. They are good way to save and get your money when you need it. To help you improve your investment and earn higher returns out of your GIC rates, here are some of the quick guide on what you can do.

1. Don’t lock the money if you are not sure

Most people may make a decision of locking their money into a long-term contract yet they may be sure of their financial fluidity in the future. They may wish to retrieve the money before the end of the agreed period elapses. This decision may attract penalty I thousands of dollars and reduce your GIC rates. It is therefore prudent to determine whether you are going to lock the money in certain period of time, considering your future financial situation.

2. Work with experts

Experienced expert have the capacity to look at the current market and prevailing economic situation and determine if GIC rates variable may offer the expected returns on your investments in the future. Expert can help you allocate GIC resources more successfully while minimizing the risk of investments. This is because they have greater understanding of the factors that may affect the market.

3. Focus on your goal

You can improve your GIC rates by choosing your appropriate investment horizons. This will mostly depend on what you want to achieve at the end of certain period, it may buying a house or a new car. This enable you to choose GIC that is aligned to your investment goal, and this can assure of ideal returns on your investments.

4. Consider the potential of income

They are good number of GIC that have good income. The type of GIC will bring you regular income depending on the type of the product chosen. You can decide to go for different products rather than choosing one package, that may mature in different specific times and also pay different specific interest. For example, you may choose to buy GIC that is worth $ 5000, which matures after 2 years and take another that worth $ 3000 that matures after 1 year.

5. Go online

They are number of website than give you information on GIC. They may give comparison of GIC rates in different banks, trust companies and trading unions, hence making your decision making process simpler. They may also rank different banks according to their GIC rates.

Making decision to buy GIC is wise. But depends on one’s financial goal to choose which type of the GIC product. Getting an expert to help you make a prudent decision is wise. This will go a long way improving you GIC rating and also reducing risks associated with the investment.