The Neo MoneyTM account offers users the best features of a chequing and savings account mixed with the convenience of a credit card. Neo MoneyTM account allows users to earn a high-interest rate of 2.25% on the balance in their account, as well as an average of 5% cash back on over 10,000 businesses in Canada, with cashback rewards paid out instantly.
Neo Money Account Review 2023
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The team at WealthRocket only recommends products and services that we would use ourselves and that we believe will provide value to our readers. However, we advocate for you to continue to do your own research and make educated decisions.
The Neo MoneyTM account has no monthly, annual, or hidden fees, and everyday transactions (deposits, transfers, Interac e-transfers) are all free of charge. In addition to the digital services, users will also receive a physical Neo MoneyTM account card for in-person transactions. Read on for our comprehensive Neo MoneyTM account to help you determine if Neo is right for you.
Neo Money
- Welcome Offer $5 sign-up bonus once approved
- Minimum Deposit $0
- Monthly Fees $0
- Interest Rate 2.25%
- Transaction Fees $0
Features of the Neo Money Account
High-interest rate return
The Neo Credit card provides a high-interest rate return of 2.25% on all funds in your Neo MoneyTM account. There is no minimum balance required to start earning interest – you can start with any amount and begin earning interest right away.
Instant cash back
With the Neo Credit card, you earn an average of 5% cashback at over 10,000 partners across Canada. Better yet, while most Cashback programs only reward you once a month, the Neo Credit card rewards you instantly after your purchase. There are also no limits on the amount of Cashback you can earn.
No fees
With the Neo Credit card, there are no fees to access your funds or use your account. Unlike most banks, there are no monthly or annual fees associated with the card, allowing you to save more.
No fee transactions
While most banks charge for everyday transactions, the Neo MoneyTM account offers no-fee transactions, including money transfers, deposits, bill payments, Interac e-transfers, and more.
CDIC protection
Your Neo MoneyTM account funds are insured through the Canada Deposit Insurance Corporation for up to $100,000 per category, per depositor.
Auto-savings
You can set up your Neo MoneyTM account to auto-save any amount you’d like on a regular basis. Pre-set payments are an easy way to kickstart your savings. You can even set up the auto-save to instantly deposit any Interact e-transfers you receive directly into your account.
Physical card
The Neo MoneyTM accountt comes with a physical card you can use for in-person purchases.
Pros & cons of the Neo Money account
Pros
High Interest: Earn 2.25% on all funds in your Neo Money account.
Cash Back: Earn an average of 5% cashback at over 10,000 partners across Canada, rewarded immediately after purchase.
No Fees: There are no monthly, annual, or hidden fees to use your Neo Money account.
No Transaction Fees: Everyday transaction fees (transfers, deposits, Interac e-transfers, etc.) are free of charge.
Cons
Availability: The Neo Money account is not available in Quebec.
ATM Fees: ATM fees are not covered when using your Neo Money card to withdraw cash.
Not a Full Bank Replacement: Mobile cheque deposits and physical cheques are currently unavailable for the Neo Money savings account.
How to open a Neo Money account
You can open a Neo MoneyTM account by visiting the official Neo Money site. You need to be of legal age in the province or territory where you reside, be a Canadian resident, and have a source for the funds to add to your account. Setting up your Neo MoneyTM account only takes a few minutes and you will have access to an electronic card you can begin using instantaneously.
Alternatives to the Neo Money
| Neo Money Account | EQ Plus Savings Account | HSBC High Rate Savings Account | Tangerine Savings Account | |
|---|---|---|---|---|
| Monthly Fee | None | None | None | None |
| Promotional Rate | N/A | N/A | N/A | $400 cashback, 5% interest for 5 months |
| Regular Interest Rates | 2.25% | 2.50% | 1.55% interest on balances over $25,000 CAD and 1.05% under | 1% |
| Minimum Balance | None | None | None | None |
| Features | High interest, cash back, no fees, no transaction fees, CDIC protected | High interest, cash back, no fees, no transaction fees, CDIC insured | High interest, no monthly fees, no minimums, easy access through app + ATMs, flexible features | Earn 1% interest, no monthly fees, no minimums, Automatic Savings Program, CDIC member |
What is Neo Financial?
Founded in 2019 by SkipTheDishes founders Andrew Chau and Jeff Adamson, alongside Kris Read, Neo Financial is a Canadian digital bank based in Calgary, Alberta. Neo Financial offers no-fee services including Neo Money, as well as wealth management and mortgage programs.
Final thoughts
Our Neo MoneyTM account review shows that the Neo high interest savings account is a great option for those looking for a hybrid version of a chequing and savings account mixed with the convenience of a credit card. The 2.25% interest return is much higher than what most banks offer, and the average 5% cashback return is a great tool to help grow your investments as you shop.
With no fees, free transactions, highly competitive interest rates and a great cashback rewards plan, the Neo MoneyTM account is a great alternative to transitional banks.
Gabriel Sigler
Frequently asked questions
There are no monthly, annual, or hidden charges associated with the Neo Money account. There are also no fees for everyday transactions (deposits, transfers, Interac e-transfers). However, charges apply for ATM withdrawals, which is something to be aware of if you often require cash on the go.
As of the time of this writing, the interest rate for the Neo Money Account is 2.25% on all balances held in your account. There is no minimum account balance required to start earning interest; you’ll begin earning interest from the first dollar in your account.
Yes, savings accounts are worth it, especially the Neo Money account which offers a no-fee service. The ability to earn a high-interest return on your money can quickly help you boost your savings, as opposed to a traditional chequing account at a major bank that earns almost no interest. There are no minimums required to open a savings account; starting with even a small amount can help you begin to grow your money hassle-free.
