This Saven Financial review covers how it works, its pros, cons, fees, and alternatives.
Saven Financial is one of Canada’s best online banks for high interest savings rates and GIC products.
It joins other challenger banks like EQ Bank, Neo Financial, AcceleRate Financial, and Alterna Bank in offering competitive savings products that beat what’s generally available at the Big Banks.
Read on to learn about Saven Financial’s products and services.
What is Saven Financial?
Saven Financial was established in 2021 and is a division of FirstOntario Credit Union.
FirstOntario Credit Union has been around since 1939 and has 126,000+ members.
While its parent credit union offers personal and business banking services with chequing, savings, credit cards, mortgages, loans, and investment, the Saven Financial online platform is limited to savings accounts and GICs.
Saven Financial Accounts
You can open the following accounts at Saven Financial:
- High interest savings account
- Guaranteed Investment Certificates (GICs)
Saven Financial High Interest Savings Account
The Saven Financial high interest savings account (HISA) has no monthly fees and you can open it with any amount.
It offers a 2.00% interest rate which is one of the highest savings rates in Canada at the moment.
This interest is calculated daily and paid out at the end of each month.
Your deposits in this HISA are protected for up to $250,000 by the Financial Services Regulatory Authority of Ontario (FSRA).
Saven Financial High Rate GICs
Saven Financial also offers GICs you can invest in to earn more income compared to savings.
Saven GICs have terms ranging from one to five years and you can open an account with as little as $1,000.
GICs guarantee your principal and you know exactly how much interest your money will earn over a specific period of time.
The current GIC rates for Saven are:
- 1 year term: 3.15%
- 2 year term: 3.80%
- 3 year term: 4.10%
- 4 year term: 4.10%
- 5 year term: 4.15%
These GICs are non-redeemable which means your funds are not accessible until after their maturity date.
Here are some of the best GIC rates in Canada.
How To Open a Saven Financial Account
You can open a Saven Financial account online.
You will need to meet some basic requirements:
- Reside in Ontario
- Be at least 18 years old
- Invest $25 in a membership share for FirstOntario Credit Union
Membership at FirstOntario Credit Union and Saven gives you voting rights and access to dividend shares at the credit union.
After opening your account, you can add funds using Interac e-Transfer, cheque deposit, or by linking your bank account to another financial institution.
You can contact Saven’s customer service at 1-877-987-2836 or chat with them online.
Saven Financial Fees
Although the Saven Financial savings and GICs accounts have no monthly fees, you should be aware of the following service charges:
|Non-Sufficient Funds (NSF)||$50/Item|
The following transactions are free:
|Electronic Funds Transfer||$0|
There are maximum limits for Interac e-Transfer transactions:
- Maximum per day when sending: $3,000
- Maximum per day when receiving: $25,000
- Maximum send for 24 hours: $10,000
- Maximum send per week: $10,000
- Maximum send per month: $20,000
Is Saven Financial Safe and Legit?
Saven Financial is a legitimate financial institution owned by one of Canada’s largest credit unions, FirstOntario Credit Union.
It is also safe because your deposits are insured by the Financial Services Regulatory Authority of Ontario (FSRA) up to a maximum of $250,000.
Pros and Cons of Saven Financial
- High interest rate on savings
- High interest rates on GICs
- No monthly account fees
- Owned by a reputable credit union
- Can vote for the board of directors and receive annual dividends
- Good mobile app
- Only available in Ontario
- No branches for in-person support
- No TFSA or RRSP accounts
- Does not offer cheques, debit cards, ATMs, or bill payments
- Maximum of $25,000 when depositing cheques
Saven Financial Alternatives
There are several online banks in Canada that provide better value for your savings and investments compared to the Big Five- CIBC, TD, Scotiabank, RBC, and BMO.
Three top alternatives are EQ Bank, KOHO, and Wyth Financial.
Saven Financial vs. EQ Bank
EQ Bank’s Savings Plus Account is a hybrid bank account that gives you the top features of a savings and chequing account for free.
- 1.50% interest rate on every dollar
- Unlimited free debits, bill payments, and Interac e-Transfers
- Mobile cheque deposits
- No minimum balance
- CDIC deposit guarantee
EQ Bank Savings Plus Account
1.50%* non-promotional interest rate on every dollar (up to 125x more than some banks)
Unlimited debits and bill payments
Unlimited Interac e-Transfers
No monthly account fees
Saven Financial vs. KOHO
KOHO is a financial technology company that offers a free prepaid card combined with savings, early payroll, budgeting app, and a credit building service.
The free KOHO Card includes:
- 0.50% cash back on all purchases
- Up to 10% cash back at select retailers and brands
- 1.20% savings interest when you set up a direct deposit to your account
- Unlimited free bill payments and Interac e-Transfers
- Access to $100 of your paycheque 3 days early
KOHO Mastercard Prepaid Card
$20 sign up bonus after first purchase (use promo code CASHBACK during signup)
Earn unlimited 0.5% to 2% cash back
1.20% savings interest on your balance
Unlimited Interac e-Transfers
Formerly known as KOHO Visa Prepaid
Saven Financial vs. Wyth Financial
Whyth Financial is the new name for Concentra Bank.
It offers a high interest savings account that pays 1.55% interest rate and GICs with 1-5 year terms.
Wyth also provides mortgages, investments, and business banking services.
Saven Financial FAQs
Is Saven Financial insured?
Yes, Saven Financial customers enjoy FSRA protection up to a maximum of $250,000.
Who owns Saven Financial?
Saven Financial is owned by the FirstOntario credit union, an Ontario credit union that has been around for over 80 years.
Is Saven Financial a bank?
No, Saven Financial is not a bank. It is an online financial platform that offers various financial products including savings and GICs.
Does Saven Financial offer TFSA and RRSP accounts?
No, Saven does not offer registered accounts like the TFSA, RRSP, or RRIF.