Which lender in Canada offers the best home equity line of credit rates?

The lender in Canada that offers the best home equity line of credit rates varies by time, credit score, and whether you want a bank or alternative lender, but in 2026 the best rates are typically found among the Big Six banks and some online lenders competing aggressively. As of early 2026, the best advertised HELOC rates are generally prime plus 0 to 0.5 percent for well-qualified borrowers, with prime around 6.95 percent, so rates around 6.95 to 7.45 percent. Banks like TD Canada Trust, RBC Royal Bank, Scotiabank with its STEP product, BMO, and CIBC all offer competitive HELOCs, often bundling with a mortgage to get prime plus 0. Scotiabank's STEP and TD's FlexLine are frequently cited as flexible and competitive. Credit unions like Tangerine and online lenders like Manulife Bank with Manulife One can sometimes beat big banks by 0.1 to 0.25 percent. The best rate for you depends on your loan-to-value ratio below 65 to 80 percent, credit score above 700, and existing relationship discounts. To get the best rate, you should compare at least three lenders, ask about rate holds, fees for appraisal and legal, and whether the rate is discounted for setting up automatic payments. Mortgage brokers can often find better rates than walking into a branch.