A cashable GIC is a type of investment offered by most financial institutions in Canada that allows you to cash out the GIC whenever you choose without being penalized after a locked-in period of 30 to 90 days. Cashable GICs are a liquid investment, which means they are a great option for people who prioritize their money’s accessibility over a high potential for growth. They are best for short and long-term goals, like saving for a major purchase, wedding costs, and retirement. Cashable GICs tend to have much lower interest rates than other GIC options because of their liquidity. Cashable GICs can be useful in an environment like today’s, when interest rates are rising, since you can easily withdraw your money, reinvest it, and take advantage of higher interest rates if the opportunity arises. The main difference between cashable and redeemable GICs is that redeemable GICs are typically longer-term investments, often coming with terms of one year or more, and they offer higher interest rates than cashable GICs.