What are the 10 Best Digital Banks in Canada?

If you are an international student who wants to manage finances, then you should know that online banking is a popular way of doing business with a bank. The majority of your routine banking tasks can be done online, saving you trips to the bank. All of this is flexible and can be done whenever and anywhere you choose, whether at home, at work, or on the go. A browser or an app can be used to conduct online banking. Online banking with a phone or tablet is known as mobile banking. Have you ever wondered how convenient it would be to manage your finances without stepping out of your house? Well, that's where online banking in Canada comes into play! Imagine transferring funds, paying bills, or even applying for loans right from your couch – it's like having a virtual bank at your fingertips! And trust us, there's a whole lot more to discover about the perks, security measures, and tips for maximizing your online banking experience in Canada. So, if you're intrigued, let's dive deeper into this blog together and unlock the secrets of hassle-free banking in the digital age!

How to Transfer Money Through Online Banking in Canada? 

In Canada, transferring money online via banking is a simple and convenient process. These are the few easy steps:

1. Link your accounts: Log in to your profile of online banking in Canada. 

2. Provide the key account information: Enter any information requested about the account where you plan to send money. This should include account numbers and the type of account. 

3. Select recurring or one-time transfers: Lastly, determine how frequently you wish to transfer funds between the two accounts, and then arrange your transfers appropriately.

What are the 10 Best Digital Banks in Canada?

The development of online banking in Canada has revolutionized the way Canadians handle their money, providing easy-to-use, cost-effective substitutes for conventional physical banks. The emergence of fintech businesses and inventive financial platforms has provided Canadians with a plethora of digital banking options, each distinguished by its features and amenities. These digital banks are transforming the banking experience by meeting the changing demands and preferences of customers in today's increasingly digital world. They range from mobile banking apps to online-only banks. Here is a list of the best digital banks in Canada.

1. Neo Financial 

Monthly Fees: $0.00 for each Overdraft Transfer from the Card Account to the Neo Money Account.

 Neo Financial is one of the best digital banks in Canada, as it provides a number of financial tools without charging a monthly fee. It has integrated features like a credit builder, bill-paying capability, budget management software, and a Neo Money account and card. What's most impressive is that if you have an account with Neo Financial, you may use its array of additional financial services. The Neo Money card offers 2.25% interest on every dollar in your account balances and an average of 5% cashback. You can also apply for a secured credit card, which can assist you in establishing a good credit history, and a cashback credit card with no annual charge in addition to the Money card. There are no hidden banking charges 

2. Tangerine

Monthly Fees: No monthly or ATM, $5 overdraft

A division of Scotiabank, Tangerine offers savings and checking accounts with no monthly maintenance costs. In place of physical stores, Tangerine operates what it refers to as "cafés" in Toronto, Vancouver, Calgary, and Montreal, where it offers financial advice and highlights its services. What truly makes them unique is their ability to provide loans, mortgages, and other debt services. They even provide a low-cost investing platform intended for long-term wealth accumulation. Interest rates at Tangerine (up to 1%) are significantly greater than those of high-street banks. They also provide even higher-interest savings accounts, but the terms and conditions include holding the money in the account for a predetermined amount of time. It is indeed one of the best digital banks in Canada. 

3. Koho

Monthly Monthly Fees: $0

KOHO is a digital bank in Canada designed to make managing your own money easier. It functions somewhat like a spending account while offering credit card benefits. Consider KOHO as an assortment of tools intended to assist you in accomplishing your objectives more quickly and allocating your financial resources to items you enjoy rather than items you dislike, such as hidden costs or credit card interest.

4. EQ Bank

Monthly Fees: No monthly, overdraft or ATM

EQ Bank is a notable participant in Canada's digital banking market, providing a sophisticated selection of cutting-edge financial products and services. Fundamentally, EQ Bank is a strong choice for a high-interest savings account because of its competitive interest rates and lack of monthly fees. Just one feature has established EQ Bank as the preferred option for astute savers looking to optimize their returns while maintaining a simplified financial picture. EQ Bank is different from other online banks in that it offers high-interest savings accounts with no monthly fees. It is one of the best digital banks in Canada. 

5. Simplii Financial

Monthly Fees: No monthly or ATM, $4.97 overdraft

CIBC's online banking division, Simplii Financial, provides a full range of financial services, such as checking accounts, GICs, mutual funds, TFSAs, and RRSPs (Registered Retirement Savings Plans).

Customers have commented that the iOS and Android smartphone software is straightforward but effective. Simplii Financial was rebranded from PC Financial when CIBC acquired it. It is one of the best digital banks in Canada. 

6. Motusbank

Monthly Fees: no fees for routine transactions and transfers

Instead of being supported by one of the top five big banks in Canada, Motusbank is backed by Meridian Credit Union, the second-biggest credit union in the nation. Similar to the other virtual bank accounts on this list, Motusbank provides access to Interac e-Transfer, limitless domestic transactions, and maintenance-free checking accounts. Offering competitive interest rates on savings accounts, checking accounts, and Guaranteed Investment Certificates (GICs) is one of Motusbank's primary characteristics. It is one of the best digital banks in Canada.

7. Outlook Financial

Monthly Fees: no fees

Outlook Financial is a digital bank in Canada with an emphasis on offering uncomplicated, customer-focused services along with competitive savings and investment options. Outlook Financial stands out for its dedication to providing GICs (Guaranteed Investment Certificates) and high-interest savings accounts without imposing monthly fees. Its commitment to offering competitive interest rates on savings products is one of its most notable qualities. Because of this, it's a desirable choice for people and families who want to increase their savings while lowering costs and boosting returns gradually. It is one of the best digital banks in Canada. 

8. Alterna Bank 

Monthly Fees: no fees

Alterna Bank is a digital bank in Canada that provides a variety of cutting-edge financial services and products. The dedication of Alterna Bank to offering clear and easily accessible banking solutions is what makes it unique. The emphasis Alterna Bank places on socially conscious banking is one of its distinctive qualities. The bank is renowned for its dedication to community development and environmental sustainability, matching its operations with ideals that are shared by a large number of Canadians.

9. Wealthsimple

Monthly Fees: No monthly or ATM, $5 overdraft

One of the top virtual banks in Canada, Wealthsimple provides a variety of financial services, such as spending, saving, and investment options. The company's goal is to make wise financial management available to all people, regardless of wealth or experience.

One of Wealthsimple's best qualities is its automatic investing platform, which gives consumers a hassle-free option to invest in a diverse portfolio of inexpensive exchange-traded funds (ETFs). This platform is perfect for experienced investors seeking a hands-off approach as well as novice investors who the complexity of investing might daunt.

10. Wise

Monthly Fees: no fees

It only takes a few minutes to create a free account, and Wise helps you through every step. You can create an account using your Apple, Facebook, or Google account in addition to providing your name, date of birth, address, and phone number. However, this additional login option is not available with most money transfer services.

After you create an account, Wise may require you to provide identification, usually in the form of an uploaded photo ID and proof of address. This phase usually takes two business days to complete. Depending on where and how much money you are sending, Wise may need to verify your identification. However, this process doesn't start until you make your first transfer. It is one of the best digital banks in Canada.

If you were also confused about choosing the best student banks, I hope this blog helped you decide what is a good option for you or what are the best digital banks in Canada. Canada's top digital banks offer a range of innovative solutions tailored to modern banking needs. Whether you're looking for high-interest savings, low fees, or user-friendly interfaces, there's a digital bank to suit every Canadian's preferences and goals.