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Canada Savings Bond

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Canada Savings Bond
A savings bond offered by the Government of Canada and guaranteed by the Bank of Canada. Originally offered in 1946 as a Victory War Bond, a CSB pays a low, but safe, interest rate. The interest rate at which a CSB is offered is guaranteed for one year, and then fluctuates according to prevailing interest rates. A CSB is redeemable for cash at any time, but usually has a maturity of 10 years. See also: Canada Premium Bond.


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Example: Jim has $20,000 of Canada savings bonds, and a $25,000 car loan.
They had savings accounts, Canada Savings Bonds, stocks and bonds.
Typically, Canadians have invested most of their savings in instruments such as Guaranteed Investment Certificates (GICs), Canada Savings Bonds and term deposits, all perceived to be SAFE investments with little or no risk.
 
 
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