A Life Income Fund (LIF) lets you convert locked-in RRSPs or Locked-In Retirement Accounts (LIRA) to income, offering a more flexible alternative to a life annuity. These plans contain "locked-in funds", meaning money that was withdrawn from a company pension plan when a pension plan member left the plan prior to retirement; locked-in funds are subject to limitations on withdrawals.

A LIF operates like a RRIF in that you must withdraw a minimum amount from your LIF each year. But unlike a RRIF, there is a limit placed on the maximum amount you can withdraw each year. The aim of this legislated amount is to ensure that the LIF provides income for life.

The CIBC LIF GIC allows you to safely lock in your investment for 6 months to 5 years, with guaranteed principal and interest.

Minimum investment

$500 per LIF GIC (minimum balance of $5,000 is required to open a LIF account)

Terms available

6 months to 5 years - View terms and interest rates available now

Access to funds

  • Non-redeemable prior to maturity to change investment options or to reinvest at other terms and interest rates
  • Cashable in whole or part, with no interest penalty when making scheduled or lump sum payments, paying proceeds on death, making transfers to another LIF of the plan holder or unlocking LIFs
  • LIF Payments can be received: annually, semi-annually, quarterly, or monthly (subject to the legislated limits on how much may be withdrawn each year)


  • For terms of one year and less, simple interest is paid at maturity
  • For terms over a year, interest is compounded on each anniversary and paid at maturity


There are no fees, unless you transfer all or part of your LIF funds to another financial institution, in which case a $100 fee will apply

Key benefits

Saves you money

  • You earn tax-sheltered, compound interest
  • Compound interest can be renewed with maturing principal. Or, when the GIC matures, compounded interest can be put into a LIF Daily Interest Savings Account
  • Existing CIBC locked-in RRSPs can be transferred "intact" before maturity to a CIBC LIF


  • Automatically renews into a CIBC LIF GIC of the same term, unless alternate instructions are provided prior to maturity
  • Easily keep track of your account with quarterly statements sent to you

Is it for you?

The CIBC LIF GIC could be for you if any of the following apply:

  • You want the safety and security of a fixed rate of return
  • You prefer to manage your own investments
  • You want to be able to change the amount you withdraw at any time, or take out a large lump sum if you wish (subject to the legislated minimum and maximum annual amounts)

Useful information

  • If an income payment would result in any CIBC LIF GIC having a remaining balance below $500, then the full remaining balance will be redeemed and transferred into your LIF Daily Interest Savings Account.

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