Your All-in-One Canadian Financial Dictionary
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).
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.
Home insurance
Coverage that protects your home and belongings from things like fire, theft, or damage. Most lenders require it if you have a mortgage.
Income
Money you receive, whether from your job, investments, government benefits, or other sources.
Income tax
Money you pay to the government based on how much you earn. It helps fund public services like healthcare and infrastructure.
Insurance
A way to protect yourself financially. You pay into it so you’re covered if something unexpected happens like damage, illness, or loss.
Insurance premium
The amount you pay (monthly or yearly) to keep your insurance active.