Hi all, after todays activity in the markets I was wondering if Canadian banks have a 'safe' limit, up to which the money in your account is guaranteed by the government? (Like in the UK with its £35k guarantee etc)

Most money in Canadian depositaries is safe, up to a point. That point, for banks, trust companies and life insurers, is $100,000. Deposits in the first two are protected by the Canadian Deposit Insurance Corporation (CDIC) for up to $100,000 per depositor in each member institution. Deposits must be in Canadian currency, payable in Canada, and must be repayable no later than five years from the date of deposit.

Not all banks and trust companies are covered, so before you deposit your money ask if they are a member of the CDIC. One of the reasons the CDIC was created in 1967 was because of the high failure rate of such institutions. In the first 150 years of their history, 48.5% of our active banks had failed, were wound up or had their charters repealed. To find out more, phone the CIDC at 1-800-461-2342 or visit www.cdic.ca.

if you have more than 100k to put in then you can have a joint account up to that, one in your name and one in your spouses name. So basically split your assets if you are worried. But remember its only up to 100k in each account - you can't have a joint with 150K and a single with 50k.

Gic's and term deposits are insured to that same amount using the same principles but no mutual funds are.

Each bank that in insured by CDIC will have a sticker on their door or somewhere else visible.