High Interest Savings Account
In the summer of 2017 staff contacted municipal clients to see if there was any interest in setting up a program that would assist municipal clients in earning higher rates of returns than they currently receive.
From the feedback we received, municipal clients were interested in the MFC setting up a High Interest Savings Account (HISA). This program is 100% voluntary, and is up to your staff and your councl/commission on whether to participate.
This program is for funds that you do not require immediate access to and can leave in the account for long periods of time (ie. Capital Reserves, Gas Tax, excess Operating Reserves). This account is not to replace your day-to-day operating bank account. Funds can be withdrawn from your account on short notice, so there is no locked in period or penalty.
The program is offered to all of our clients (municipalities, villages, and municipal enterprises).
High Interest Savings Account CIBC approved tiers for MFC municipal clients
|Balanced Tiers||HISA Interest Rate*|
|$0 to < $24.9 Million||.85%|
|Over $25 Million||.90%|
*Prime is 2.45%, effective March 30th, 2020.