CDIC protects eligible deposits held in one name separately from the depositors’ eligible deposits held in other insured categories.
In the event of a member institution failure, a depositor’s chequing account, savings account, and any unregistered term deposits in single name would be considered as deposits held in one name and would therefore be combined for a maximum coverage limit of $100,000, per CDIC member institution.
Here are examples of moneys held in one name at one CDIC member institution – and what does (✓) and does not (✗) qualify for CDIC coverage:
Portfolio
- $20,000 in a GIC
- $40,000 in a term deposit
- $25,000 in a savings account
- $25,000 in a chequing account
- $50,000 in stocks and bonds
- $130,000 in mutual funds
Eligible Deposits
$110,000
Protected by CDIC
$100,000
What’s protected and why:
GICs, term deposit, savings accounts, and chequing accounts are eligible deposit products and therefore are covered for up to $100,000 of CDIC protection. So $100,000 of the eligible $110,000 within the deposits held in one name category are protected. CDIC coverage does not apply to stocks, bonds or mutual funds, so those investments, which amount to $180,000 of the total $290,000 in the category, are not eligible to be insured by CDIC.
