Your All-in-One Canadian Financial Dictionary
Open mortgage
A mortgage that lets you pay it off faster without penalties. You get flexibility but usually at a higher interest rate.
Overdraft protection
A feature that covers you if you spend more than what’s in your account. Instead of a declined payment, the bank covers the difference but charges a small fee or interest.
Payroll deductions
Amounts taken from your paycheque before you receive it like taxes, CPP, EI, and benefits.
Pending transaction
A payment you’ve made that hasn’t fully processed yet. The money is already reserved, even if it hasn’t been officially deducted.
Pension
Income you receive in retirement, usually built up through contributions during your working years.
Personal Identification Number (PIN)
A private code used with your debit or credit card to confirm it’s really you making a transaction.
Portfolio
All your investments combined like stocks, funds, and other assets in one place.
Property insurance
Another name for home insurance coverage that protects your home and belongings from damage or loss.
Purchase interest
Interest charged on your credit card when you don’t pay your full balance by the due date.
Québec Pension Plan (QPP)
A retirement and benefits program for people who work in Québec. It works similarly to CPP but is managed separately.