The best banks in Canada
With so many options, finding the right bank can be a daunting task. We outline the best banks in Canada for different banking needs.
Making sense of the markets this week: May 28, 2023
Presented By
Harvest ETFs
Photo by Robert Bye on Unsplash
Most Canadians are aware of the Big Five banks: RBC, TD, Scotiabank, BMO and CIBC. And, some may even know that occasionally National Bank of Canada sneaks in and expands that list to six. But even with these accounted for, there are dozens of banks in this country—including a growing number of fintechs and neo banks—each offering its own suite of personal banking products and services. Finding the best one is tricky, especially since it depends on your specific needs, covering everything from your everyday banking habits to your savings goals, if you need or have a mortgage, as well as investments and more. In this article, we take a look at the standout banks, so you can decide which one works for your personal banking needs. We’ll also cover if these banks are covered by The Canada Deposit Insurance Corporation (CDIC), meaning that deposits held at said banks are insured up to C$100,000 in case of a bank failure. Here are the best banks in Canada for 2022.
The best big bank in Canada: Scotiabank
All of Canada’s Big Five banks offer customers stability, a broad portfolio of financial products, and the convenience of thousands of physical bank branches and ATMs. That said, Scotiabank’s money-saving flexibility is rare, and it’s why we’ve picked them as the best large-scale bank for Canadians.
In terms of everyday banking options, Scotiabank has five different types of accounts; each with perks and benefits designed for Canadians at any stage of life. Customers under 18 years of age and students enrolled in a post-secondary institution can apply for a no-fee account. For adults, Scotia offers four options that balance banking needs and benefits, from the minimal Scotiabank Basic Banking Account* with its fee of $3.95 per month, right up to the perk-laden Scotiabank Ultimate Account* that earns you rewards and credit card rebates, among other benefits, for $30.95 monthly in fees.
Individually, these accounts are on par with other Big Five offerings, but Scotiabank will reduce or waive fees entirely with bundled services. The Ultimate Package, for example, includes everyday banking with unlimited transactions, the ability to earn Scene+ points, a boosted savings interest rate, an annual fee waiver for select credit cards, free trades on Scotia iTrade, and a welcome bonus of up to $350 cash. That’s a lot of banking perks, but it gets even better. Those who maintain a minimum of $5,000 in chequing or $30,000 combined with the Momentum Plus Savings account don’t have to pay the monthly fee.
Scotiabank carries 16 credit cards, including some of the highest-earning rewards cards in Canada. As with their bank accounts, Scotiabank has cards tailored to a variety of Canadians, from those looking for a no-fee card to travellers to cash-back collectors. Notably, Scotiabank is the only Big Five bank to offer cards with no foreign transaction fees.
In addition to everyday banking accounts and credit cards, Scotia provides mortgages, loans, and lines of credit. They even have their own investing platform, Scotia iTrade, and offer investment accounts including registered retirement savings plans (RRSPs) and tax-free savings accounts (TFSAs).
One of the main benefits of banking with a Big Five bank is that you can keep all of your financial products with one, trusted institution. With this in mind, Scotiabank offers the widest variety with the best perks and benefits, and has options to help you save on fees.
What Scotiabank has to offer
| ATMs | 3,500+ |
| Branches | 900+ |
| Bank accounts | 5 |
| Credit cards | 16 |
| Standout product | Ultimate Package* |
| Other products | Chequing and savings accounts; mortgages; insurance; loans; lines of credit; RRSPs, TFSAs, and other types of investment accounts; Scotia iTrade platform |
The best online bank in Canada: Tangerine
Over the past several years, online-only banks have grown in popularity, appealing to many of the 76% of Canadians who do most of their banking digitally. Online banks deliver their services through their website, on the phone, and on their phone apps so customers don’t speak to a teller or visit a branch.
Our pick for best online Canadian bank is Tangerine, an (almost) online-only bank that’s owned by Scotiabank. Although Tangerine is virtual, it does operate a face-to-face Tangerine Café in North York (although this location is currently closed to the public until further notice).
Tangerine’s No-Fee Daily Chequing Account gives you all of the functionality you’ll need for everyday banking—for free. When you open an account you have to link it to an external account so you can transfer money into it. Then you’ll receive a debit card in the mail, which you can use to make purchases or withdraw cash. Transactions take place online, on the phone or at any of the more than 3,600 national Scotiabank ATMs (and 44,000 associated international ATMs), so you don’t have to visit a physical bank. With the No-Fee Chequing Account, you receive unlimited debit transactions and Interac e-Transfers, as well as pre-authorized withdrawals and bill payments.
Tangerine also offers savings accounts (including RRSPs, TFSAs, US dollar, and registered retirement income funds (RRIFs)) and investment accounts such as guaranteed investment certificates (GICs). And, even though it is an online bank, it provides mortgages, loans and lines of credit, so you can take advantage of having all your accounts with a single financial provider. You can even operate a business account through Tangerine—the bank has four accounts tailored for businesses.
Finally, Tangerine offers one of the best cash-back credit cards in Canada. The Tangerine Money-Back Card lets you earn 2% cash back in up to three spending categories of 10: groceries, restaurants, hotel-motel, furniture, gas, recurring bill payments, home improvement, entertainment, drug store, or public transportation and parking. For those who earn a minimum income of $60,000 annually (or $100,000 for the household), the World Mastercard adds free Boingo Wi-Fi access, car rental and mobile device insurance, and Mastercard Airport Experiences. Neither card charges an annual fee.
Get more details about the Tangerine Money-Back card*
What Tangerine has to offer
| ATMs | 3,600+ |
| Branches | 0 |
| Bank accounts | 6 |
| Credit cards | 2 |
| Standout product | Tangerine World Mastercard |
| Other products | Savings accounts; business accounts; RRSPs, TFSAs, and GICs; mortgages; insurance; loans and lines of credit |
The best no-fee bank in Canada: Tangerine
Again, Tangerine takes the crown in this category, since it charges $0 on the services that most other banks charge for. For instance, there are no monthly or annual fees, and the debit transactions, pre-authorized payments and email money transfers are unlimited. Though it doesn’t have physical branches, you’ll get free access to 3,500 Scotiabank ABMs and 44,000 ABMs worldwide through Scotiabank’s Global ATM Alliance.
Watch: How to find the best online bank account
The best bank in Canada for savings: EQ Bank
EQ Bank is an online-only bank owned by Equitable Bank, the ninth largest bank in Canada, and it is an absolute standout for its savings options. It knows its focus is on savings, since it doesn’t offer credits cards nor chequing accounts (its Everyday Savings Plus account functions like a chequing account too).
It also offers the US Dollar Savings account, but the one that’s a standout for general purposes is the EQ Savings Account Plus. With an interest rate of 2.50%, this account has a higher return compared to that of other banks—exciting news for those wanting to park their money in a safe and secure place without withdrawal restrictions. The EQ Savings Plus Account has no minimum deposit, no everyday banking fees, and free Interac e-Transfers, electronic fund transfers and bill payments. Every customer is eligible for up to $200,000 in deposits, and the accounts are set up to be used with a partner as a joint account. Plus, EQ Bank partners with Wise to give you affordable international money transfers. Deposits are federally insured for up to $100,000, just like with the big banks, which insure deposits. If you’re looking for safety and security, a great rate and no volatility, an EQ Bank Savings Plus Account is the best option.
EQ Savings Plus Account
| Minimum balance | None |
| Transactions per month | Unlimited |
| Interac e-Transfers | Free |
| CDIC insurance | Up to $100,000 |
| Other features | Banking app; joint savings; TFSAs; RRSPs; USD savings |
EQ GICs
EQ also offers GICs, which are essentially term deposits where you can benefit from higher interest rates while keeping your principal safe. GICs can be held in registered (for RRSP or TFSA investments) or non-registered accounts, and the amount of interest you’ll earn depends on the amount of time your commit to. EQ Bank has very competitive GIC rates.
GIC rates for registered and non-registered accounts
- 3 months: 2.65%
- 6 months: 3.60%
- 9 months: 3.75%
- 1 year 5.00%
- 15 months: 4.80%
- 2 years: 4.70%
- 27 months: 4.70%
- 3 years: 4.65%
- 4 years: 4.40%
- 5 years: 4.40%
- 6 years: 3.50%
- 7 years: 3.50%
- 10 years: 3.50%
The best bank for joint accounts: EQ Bank
EQ also stands out in this category. If you need to access and manage money with someone else, a joint account is for you. Our top pick is the EQ Bank Joint Savings Plus Account, a no-fee account that gives you unlimited transactions with no minimum balances and lets you earn a high interest rate of 2.50%. Balances are protected by CDIC.
Video: Five things to know about joint bank accounts
The best bank for students: Scotiabank
Students have specific banking needs, and we’ve selected the Scotiabank Student Banking Advantage Plan* as the best banking product to meet them. This package includes unlimited debit and Interac e-Transfer transactions, the ability to earn points in the Scene+ program, and overdraft protection without a monthly fee. Plus, new account holders are eligible for a $75 bonus when they set up and clear an automated and recurring direct deposits, like as payroll, within the first two months.
What Scotiabank has to offer
| ATMs | 3,500+ |
| Branches | 900+ |
| Bank accounts | 5 |
| Credit cards | 16 |
| Standout product | Scotiabank Student Banking Advantage Plan* |
| Other products | Chequing and savings accounts; mortgages; insurance; loans; lines of credit; RRSPs, TFSAs, and other types of investment accounts; Scotia iTrade platform |
The best bank for budgeting tools: Koho
The best bank for budgeting tools may not be a bank at all. Koho is a fintech company offering a prepaid card to can use in place of a savings account, rewards card, credit card. Koho’s RoundUp feature allows you to automatically put money away into your savings each time you use the card. The budgeting tool on the app lets you see where your money is going. And with the new Early Payroll feature, you can access $100 from your next paycheque interest-free up to three days prior to payday, by setting up automatic payroll deposit. Koho even offers free financial coaching. These features are designed to get and keep you on track, while the Koho card lets you earn cash back on everyday purchases. (To find out how secure financial apps are, read this.)
What Koho has to offer
| ATMs | 0 (Koho can be used at Visa Plus ATMs, but may be charged a fee.) |
| Branches | 0 |
| Bank accounts | 1 |
| Credit cards | 0 |
| Standout product | RoundUp |
| Other products | Cash back for using Koho card; budget insights; free financial coaching |
The best bank for seniors: Scotiabank
Bank accounts for seniors are typically available for those aged 60 and older, offering a pared down set of features with the monthly fees waived. All five Big Banks offer seniors accounts with very similar features, but Scotiabank edges out the competition by allowing account holders to earn on their debit card through the Scotia Rewards or Scene+ program. Seniors receive a discount on all Scotiabank accounts and/or they can use the Basic Bank Account for free. This account includes 12 free monthly transactions, free Interac e-Transfers and overdraft protection.
What Scotiabank has to offer
| ATMs | 3,500+ |
| Branches | 900+ |
| Bank accounts | 5 |
| Credit cards | 16 |
| Standout product | Basic Bank Account for Seniors |
| Other products | Chequing and savings accounts; mortgages; insurance; loans; lines of credit; RRSPs, TFSAs, and other types of investment accounts; Scotia iTrade platform |
More on Canada’s best banking:
- Compare the best savings account in Canada 2022
- WATCH: How to find the best online bank account
- The best high-interest savings accounts in Canada 2022
- The best credit cards for seniors
What does the * mean?
If a link has an asterisk (*) at the end of it, that means it's an affiliate link and can sometimes result in a payment to MoneySense (owned by Ratehub Inc.) which helps our website stay free to our users. It's important to note that our editorial content will never be impacted by these links. We are committed to looking at all available products in the market, and where a product ranks in our article or whether or not it's included in the first place is never driven by compensation. For more details read our MoneySense Monetization policy.
Share this article Share on Facebook Share on Twitter Share on Linkedin Share on Reddit Share on Email
Related Articles
The five factors of retirement for Canadians
There are five factors in deciding the timing of retirement; plus a sixth factor that isn’t important even though...
Does money buy happiness?
Money and happiness have a complex relationship. Income provides, but experiences, treats and giving make us all happy, so...
Registered vs unregistered accounts: Where retirees should make withdrawals
When you have the choice for withdrawals, it makes sense to look at the pros and cons of taking...
The best streaming services in Canada: The value of each—plus a few free ones
We outline the movies and shows available on each streaming service, plus the cost, number of users and other...
Do non-residents pay tax on CPP? What if you live in the U.S.?
Withholding tax is generally the only Canadian tax a non-resident pays for their CPP pension, and the tax burden...
Mental health resources in Canada: How to get help for free (or cheap)
Learn how to get mental health support in Canada, whether or not you have workplace benefits or insurance coverage.
Ready for take-off: Is now a good time to invest in a travel ETF?
Sponsored By
Harvest ETFs
This was published Oct 2020 and you’re still calling them PC Financial? Doesn’t sound right
Tangerine, are you kidding me. Ever since they became part of Scotiabank their interests rates became absolute garbage. A much better bet is Oaken Financial, Tangerine was great when it was ING.
Great article! I’ve been meaning to review my current accounts, credit cards etc. but it seemed so daunting. Thank you.
I 100% agree with comments here regarding Tangerine. I have mainly banked with them for 15yrs now, and they used to be awesome…i’d brag them up to everyone. But since being taken over by scotia, which was nice for the bank machine access the odd time needed, they have gone downhill. 2 things mainly: first, you mainly access them on the phone to do anything non-standard, and so having quick pickup times/response is crucial. Since Scotia took over you always wait 10-30min to talk to anyone. Where as prior you never did. Second, same as was said below the high interest savings accounts aren’t high interest any longer. Full disclosure, they’ve also really screwed me over recently regarding a shorterm RRSP loan i tried to get with them, where they didn’t follow their own internal 5 day response timeline….resulting in my missing the RRSP deadline for 2020.
The best bank for me will be the bank that at least insists on a court order before freezing my account and unfortunately, none of the Canadian banks can pass this test. The safety and security of my money trump the ability to save a few dollars here & there.
Are you kidding me! Scotia Bank is a disaster. When choosing a bank look at their customer service and problem solving structure. Their complaint model has a minimum of 60 days (2 mos) to investigate errors on their end. That doesn’t even include fixing the problem. I’d recommend steering well clear of Scotia. They used to be good but I would not recommend them to my worst enemy now.
The best bank is the bank that offers personalized customer service. We walked away from one of the big banks because they not only didn’t want to answer my questions about the investment portfolio I was trying to assemble back in the day, but every time I came in to try to organize future goals I got to see whomever was available. When I walked in door to another institution, the young man immediately conveyed that I questions I was asking were beyond his pay grade, so I got shuffled (twice) to the Financial Advisor who has been looking at our total needs package ( retirement, health, estate planning, etc.) for more than several years now. Is he selling specific products that benefit the bank, well of course he is, and I take that into account as I make my decisions. As one of my advice books stated many years ago, “You have to know your own money profile and as you age you have to keep it simple.”
You missed Motive Financial. Great rates, friendly service.
Based on my experience with several of the “big banks”, I do not agree with your ranking of Scotiabank as # 1. After several decades of banking with TD, I rank them well above Scotiabank when it comes to customer service. TD GIC and savings account interest rates are competitive with other Canadian banks. TD Waterhouse is a good organization for the small investor to deal with.
I would have agreed that EQ Bank was the best savings bank. However, this has changed for me. The customer service at EQ Bank is horrendous. I have had problems since July 2020 which still haven not been resolved. Despite going through the compliant process even all the way to the Ombudsman who claim they never received my letter even though it was not returned to me. I took my money out and went to Canadian Tire Bank; much better service. Will be contacting the Board of Directors of EQ Bank if this is not dealt with soon.
Scotiabank nearly cost me 184,000 and the loss of a home I was building . 43 years with them , they pre approved a mortgage then pulled the rug out from under me 5 days before closing claiming I should not have been using my credit cards ( I was buying furniture) as it has dragged my credit rating down because I went over 50% of the limit on my card . WARNING ! Pre approved means nothing until they hand you the money . TD saved me .
Because of increase safety concerns of your money.
That is number one in banking now
So your article is useless ranking.
Are Canadian banks even safe? No, they’re not.
I wanted to change for Scotia Bank but they have terrible reviews about their service client. Something quite important for me, not just a good credit card.
Scotiabank customer service is a painful experience, and like others commenters here, I have also lost money with them because of bad advice and inaccurate information.
Scotia Bank was sent funds from our notary from sale proceeds for our house sale.
I noticed the mortgage was not paid out. I called head office mortgage administrator and she tells me they have the money but too busy to process.it will be done within the next two weeks. I was not happy and told her I do not want you to report that I am past due on mortgage to the credit bureau.Guess what the bank reported I was past due on my mortgage.