EQ Bank Review 2023

But that’s not all. EQ Bank was heralded as the best bank in Canada by Forbes magazine, and there’s really no wonder why!

In this review of EQ Bank, we’ll take a closer look at this exceptional digital bank, providing a detailed summary of its financial products and how they aim to serve Canadians better.

At this time, EQ Bank offers seven products: a hybrid bank account, tax-free savings account (TFSA), registered retirement savings account (RRSP), first home savings account (FHSA), Guaranteed Investment Certificates (GICs), international money transfers, powered by Wise, and mortgage borrowing options.

Below is a review of each product currently offered by EQ Bank and how they provide an alternative, cost-effective option to mainstream banking, investing, and borrowing.

EQ Bank Savings Plus Account

The EQ Bank Savings Plus Account is a hybrid bank account. Hybrid bank accounts are savings accounts that combine many of the flexible features that come with chequing accounts.

EQ Bank’s Savings Plus Account comes with unlimited** transactions. That includes deposits, transfers, bill payments, and Interac e-Transfers®.

Right now, customers can earn more interest on recurring direct deposits or debits to their Savings Plus Account, Joint Savings Plus Account, and EQ Bank Card balance. For 12 months, earn 3.00%* interest on recurring, pre-authorized debits. To qualify for the bonus, you just need $500 or more going into your account each month.

Typically, the EQ Bank’s Savings Plus offers an interest rate of 2.50%*, a rate consistently among the highest currently available in Canada.

Customers can link their external bank account to the Savings Plus Account to easily transfer funds between an external account. EQ Bank provides a sleek online banking and mobile app for iOS and Android that allows clients to deposit physical cheques via mobile cheque deposit.

They can also receive direct deposits from their place of employment. The bank also allows customers to pay bills automatically. Customers can also accept Interac e-Transfers®, though there isn’t an auto-deposit feature currently available.

The Savings Plus account also provides joint account options, ideal for business partners, married couples, or anyone looking to share an EQ Bank account. Joint accounts permit up to three people to share one account.

The best part? All of this comes with no minimum deposit requirement, no monthly fees, and no transaction limits.

Accounts are limited to a maximum balance of $200,000.

*Current as of August 2023

EQ Bank Card

Like a typical chequing account, EQ Bank now offers the EQ Bank Card to access funds and make payments from your EQ Plus Savings Account. EQ Bank has partnered with Mastercard to create a bank card to meet the needs of many Canadians. The EQ Bank Card offers:

• Free ATM withdrawals from any ATM in Canada. Withdraw money from any ATM in Canada and EQ Bank will reimburse any ATM fees incurred.
• Cash back rewards. In addition to the 2.50%* interest you make on your account, cardholders will make 0.50%* cash back on all purchases, online or in-store.
• No fees. Skip the cost of banking. You won’t incur any monthly fees, foreign transaction fees, or inactivity fees.

Once you open an EQ Bank Savings Plus Account, you can apply for a card right in the app.

EQ Bank Tax-Free Savings Account

EQ Bank recently reached a milestone by introducing registered savings accounts. One of them is the exceptional EQ Bank Tax-Free Savings Account (TFSA) savings account.

EQ Bank’s registered savings accounts operate like any other registered product. However, unlike many accounts available in Canada, it offers an interest rate of 3.00%*.

Additionally, this account comes with no monthly fees, minimum deposits, or transaction limits.

EQ Bank Registered Retirement Savings Plan

EQ Bank’s Retirement Savings Plan (RSP) is another semi-new financial product introduced by the online bank. The registered savings account provides an interest rate of 3.00%*.

The account works like any other RRSP requires no minimum balance or contributions, and is free to use with no annual fees.

EQ Bank First Home Savings Account

As Canada’s first fully digital, no-fee FHSA, those saving for a down payment on a qualifying home can do so at an interest rate of 3.00%. Contribute $8,000, tax-fee annually for a total of up to $40,000. When the time comes, you can withdraw your down payment without having to pay it back.

Plus, you’re eligible for up to $100,000 of CDIC deposit insurance.

EQ Bank US Dollar Account

EQ Bank offers A US Dollar savings account for anyone looking to hold USD. Account owners earn 3.00%* interest on their savings and EQ Bank claims to have one of the lowest exchange rates in Canada.

From this account, owners can make USD transfers to another Canadian account for free. It is also possible to make international money transfers to the United States and other countries around the world using EQ Bank’s in-house application, Wise.

EQ Bank GICs

EQ Bank offers both non-registered and registered GICs, which stand apart from other low-risk investment options available in Canada.

That’s because of their incredibly competitive interest rates and flexible term deposit investing options.

While funds invested in a GIC are inaccessible until term maturity, EQ Bank provides multiple deposit term options, making it suitable for all types of long-term and short-term investing goals.

There is a minimum deposit of $100 required to purchase any GICs with EQ Bank.

• Non-Registered GICs. EQ Bank GIC terms range from as brief as 3 months to as long as ten years. Customers must also open an EQ Bank’s Savings Plus Account to purchase GICs through the financial institution. Interest rates on non-registered GICs from EQ Bank range from 3.25%* to 5.75%*.
• Register GICs. EQ Bank offers TFSA and RSP GICs, with rates ranging from 3 months to ten years. Rates on these investments range from 3.25%* to 5.75%*. You must open an EQ Bank Savings Account with the purchase of registered GICs. Here are EQ Bank’s GIC rates and terms. Please note that rates are current as of August 30, and may have changed since this article’s published date.

*Rates current as of September 8th, 2023

EQ Bank is a digital bank that operates exclusively online. A relatively new member in Canadian personal finance, EQ Bank has been operating since 2016. Today, the financial institution manages $2 billion in savings and investments for Canadian clients.

EQ Bank provides a savings account option known as the EQ Bank Savings Plus Account. It is their staple product. It also offers GIC term deposits and facilitates International Money Transfers in partnership with Wise.

Canadian citizens, with a Social Insurance Number (SIN), can open an EQ Bank account online, if they meet the age of majority in their province.

EQ Bank, and its parent company, Equitable Bank, is headquartered in Toronto, Canada. It currently employs over 900 employees, with online chat, e-mail, and telephone customer service.

EQ Bank is a very straightforward, user-friendly, banking service. Since EQ Bank operates exclusively online, new customers can only sign up or access accounts through their online or mobile devices.

Opening an account can be done online through EQ Bank’s web portal. Customers must be Canadian citizens with a Social Insurance Number and be the age of majority in their province.

Customers are required to provide proof of address and a Government ID, which requires a trip to a Canada Post outlet for identity verification.

After a soft credit check, approved customers can utilize EQ Bank products.

Opening an account with EQ Bank is a fairly straightforward process, and can be done in two ways: online through EQ Bank’s website or over the phone.

Before applying for an account, users must qualify first have the following:

• You must be a resident of Canada
• You must meet the age of majority in your province
• You must have a social insurance number

To apply over the phone, simply contact EQ Bank and speak to one of their representatives.

To apply online, visit the EQ Bank* website and click “Join Now.”

Please note that the EQ Savings Plus Account is not available to residents of Quebec.

As a (happy) EQ Bank customer myself, I really can’t recommend EQ Bank products.

After two years as an EQ Bank client, I’ve found their products flexible and very easy to use. As a no-frills bank account with total flexibility and unlimited banking features, they’ve also maintained exceptionally high-interest rates despite the pandemic.

While I’ve only used EQ Bank’s Savings Plus Account and purchased various GICs, I can say that their additional banking, investing, and borrowing products are among Canada’s best.

If you’re looking for a safe, traditional bank with no fees, EQ Bank might be a suitable option for you.

*Interest is calculated daily on the total closing balance and paid monthly. Rates are per annum and subject to change without notice. **Transactions may be subject to monetary limitations. Please see our fees and features page for more information.