For most Canadians, their first experience with a bank account was opening one as a child. Your first bank account probably housed birthday money and earnings from summer jobs with a manual balance book that you’d stamp each time you deposited at your local branch.
Frequently asked questions
All banks in Canada must be members of the Canada Deposit Insurance Corporation (CDIC). If the bank becomes insolvent for any reason, your deposits are insured and you’ll get your money back.
CDIC insurance covers $100,000 deposits for each banking category, so savings accounts, guaranteed investment certificates (GICs), business savings accounts, tax-free savings accounts (TFSAs), and Registered Savings Plans (RSPs) accounts are all eligible for CDIC coverage.
When shopping around for a bank account, it’s essential to choose one with minimal monthly fees.
Many online banks in Canada have no monthly fees while others will cost several dollars per month (with that fee waived if you keep a minimum balance in your account).
Some other fees are charged for transactions, teller-assisted transactions, overdraft protection, and to send e-transfers.
You need to be the age of majority and a permanent resident of Canada with a social insurance number to open a bank account. Call your bank of choice to ask whether you are eligible to open an account with them if you’re not sure.