Thursday, July 9, 2026 Every July, a wave of federal benefit payments resets for the new benefit year — and 2026 brings one of the biggest shifts in years. Between a permanent 25% boost to the old GST/HST credit, a fresh Canada Child Benefit increase, and the largest quarterly OAS bump of the year, millions of Canadian households will see different numbers land in their accounts this month. Here's what actually changed, and what to check in your own CRA account. The GST/HST Credit Has a New Name — and a Bigger Payout The GST/HST credit has officially been replaced by the Canada Groceries and Essentials Benefit (CGEB) . It's not a new program from scratch — it runs on the same CRA infrastructure and eligibility rules — but the payment amounts are 25% higher, and that increase is locked in for five years. The first CGEB payment went out on July 3, 2026. Under the new structure: A single individual with no children can receive up to roughly $679 per year (about $170 per quart...
As the financial landscape shifts, understanding interest rates becomes crucial for anyone managing their money. Let’s explore how these changes impact different groups:
1. Savers: High-Interest Savings Accounts (HISAs)
High-Interest Savings Accounts (HISAs) offer an opportunity for savers to earn more on their deposits. Here are some top HISAs in Canada:
- EQ Bank Personal Account: With a 4.00% rate (including a 1.50% bonus for direct deposits), EQ Bank provides a competitive option.
- LBC Digital High-Interest Savings Account: Offers a 3.00% rate.
- Motive Savvy Savings Account: Boasts a 4.10% rate.
- Simplii Financial High Interest Savings Account: A 6.00% rate for the first 5 months.
Remember, HISAs provide liquidity—no penalties for withdrawals—unlike Guaranteed Investment Certificates (GICs). While GIC rates have surged recently, HISAs remain flexible.
2. Investors: Nominal vs. Real Interest Rates
Investors should understand the difference between nominal and real interest rates. Nominal rates represent the cost of borrowing or return on investments, while real rates account for inflation. Consider both when making investment decisions.
3. Borrowers: Impact of Rate Hikes
Higher interest rates benefit savers but can be challenging for borrowers. As the Bank of Canada holds its benchmark rate steady at 5%, consider these implications:
- Mortgages: Variable-rate mortgage holders may see increased payments.
- Consumer Loans: Interest costs rise for personal loans and credit cards.
- Investment Decisions: Evaluate fixed vs. variable rates.
In summary, stay informed, adapt your financial strategy, and make the most of changing interest rates.
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