It’s wild how these Big Banks keep trying to dip into our pockets. Whether you have $20,000 or $20 in your bank account, you deserve to keep it all. Bank fees? I would like you to be freed from them because we do not like her. Bank fees are like that Aunty at the gathering who comments on everyone’s weight. None of us like her, but we keep inviting her to the function. Let that Aunty go and those bank fees too.
“I only pay $5.99 per month so it’s not that deep”. It is that deep because that is almost $72 per year. In 2020, while we were all in the trenches, these banks made $43.65 billion and your $72 contributed to that.
“But I don’t trust these smaller banks, what if my money disappears?” Well first of all…
When choosing any financial institution, you need to ensure that they are a CDIC member institution. What this means is that if Tom over at that bank decides to buy an island and run away on your coin (up to $100,000), your funds are still safe and secure. CDIC is insurance for the money you place in the bank.
Here are some free banks that I recommend (all CDIC member institutions) :
- EQ Bank
EQ Bank is owned by Equitable Bank which is a federally regulated Schedule I Bank that has over 900 employees and over $36 billion in total assets under management.
EQ Bank offers zero monthly fee banking, Personal Account, TFSA Savings Account, RSP Savings Account and US Dollar Account. Their high-interest savings account has an interest rate of 4.00% if you add your payroll.
If you would like to sign up for an EQ Bank account, use my affiliate link here.
- Neo Financial
Neo Financial is a financial technology company that offers a savings account and a credit card. Neo Financial has no monthly fees and unlimited free transactions. The icing on the cake is that you earn 4%* interest on every dollar. I also love that you can create 10 separate savings accounts.
If you would like to sign up for a Neo account, use my affiliate link here and get $25.
- Simplii Financial
Simplii Financial is an online bank owned by CIBC. They offer a no-fee checking account, high-interest savings account, free access to all CIBC ATMs across Canada, unlimited debit purchases, bill payments and withdrawals and free unlimited Interac e-Transfer® transactions. They have had some 4% interest bonuses lately and they have a $400 cash bonus.
If you would like to sign up for Simplii Financial, use my referral code here and get $50.
Tangerine is an online bank owned by Scotiabank. They offer no-fee chequing accounts, ‘high’ interest savings account rates, mortgages and no-fee cash back credit cards.
- PC Financial
President’s Choice Financial is a part of Loblaws, one of Canada’s largest grocery chains. They offer a money account (chequing account), credit cards, free Interac e-Transfer®, and unlimited everyday transactions both online & in‑store. You can also use the PC Money debit card for free at PC Financial ATMs, which are located in many Loblaw grocery stores.
Sounds amazing right? I know, I know…you’re wondering why you’ve been paying bank fees this long. But slow your roll, don’t close your existing bank account without transferring all your scheduled transactions (bill payments, direct deposits etc) to your new account. Also, don’t close your credit card with the bank just because you’re closing your account – that will hurt your credit score. Hot tip, you can have a credit card with a bank even without having a bank account with them.
Above all, remember to always do your own research and pick a solution that works best for you.
I hope this helps and as always feel free to reach out if you have any questions.
I have a video here as well comparing the accounts in depth.