Your All-in-One Canadian Financial Dictionary
Foreign exchange
Converting money from one currency to another, like Canadian dollars (CAD) to US dollars (USD).
Goods and Services Tax (GST)
A federal tax, added to most goods and services in Canada when you make a purchase.
Gross earnings or pay
Your total income before taxes and deductions are taken out.
Growth fund
An investment that focuses on stocks expected to grow faster than average. The goal is to increase your money over time, but the value can go up and down along the way.
Guaranteed Investment Certificate (GIC)
A low-risk investment where your money is locked in for a set time. In return, you earn interest and your original amount is guaranteed.
Harmonized Sales Tax (HST)
A combined tax you pay on most purchases in certain provinces like Ontario. It blends federal GST and provincial tax into one rate (e.g., 13% in Ontario).
High-Interest Savings Account (HISA)
a savings account that usually pays more interest than a regular savings account. It can be a useful place to keep money for short-term goals or emergency savings while still keeping it easy to access.
Hold funds
When money is deposited into your account but isn’t available to use right away. Banks may hold it for a few days to make sure the payment clears.
Home Buyers’ Plan (HBP)
A government program that lets you use money from your RRSP to buy your first home, tax-free upfront. You’ll need to pay it back over time.
Home equity
The portion of your home you truly own. It’s the home’s value minus what you still owe on your mortgage.