EQ Bank Review 2024 - NerdWallet Canada (2024)

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EQ Bank overview

EQ Bank was launched by its parent company, Equitable Bank, in 2016 as a low-cost digital alternative to traditional banking. Its account and investment offerings are somewhat limited compared to other financial institutions, but its competitive interest rates and lack of monthly fees have attracted more than $8 billion in customer deposits.

Online banking capabilities at EQ Bank

As an online-only bank, EQ Bank provides tools for customers to do all of their banking digitally, either through the company’s website (eqbank.ca) or the EQ Bank mobile app. Deposits, money transfers and bill payments can all be done online, as can the management of EQ Bank investment accounts.

Is my money safe at EQ Bank?

Even though it’s an online institution, EQ Bank safeguards customers’ savings the same way bigger banks do, by purchasing protection through Canada Deposit Insurance Corporation, or CDIC.

CDIC insures deposits up to a maximum of $100,000 per account, so if one of its member banks suddenly becomes insolvent, customers there will still get some, if not all, of their money back.

EQ Bank account types

EQ Bank offers a relatively stripped-down selection of accounts. The bank’s Personal Account is described as a “high interest chequing account” and there’s no separate savings account. Most notably absent are credit cards and other common borrowing options.

EQ Bank accounts

• Personal Account: Sometimes referred to as the Savings Plus Account, this is a basic chequing account with no monthly fees, unlimited transactions and the ability to earn interest — an uncommon feature among chequing accounts at traditional banks.
• Joint Account: Similar to the Personal account, but able to be shared with up to three other people, with a $500,000 deposit limit. Sometimes referred to as the Joint Savings Plus Account.
• U.S. Dollar Account: A no-monthly-fee USD account that earns a high rate of interest and offers competitive exchange rates.

EQ Bank investing accounts

• Tax-free savings accounts (TFSAs).
• Registered retirement savings plans (RRSPs).
• First home savings accounts (FHSAs).

» MORE:Read our in-depth review of the EQ Bank TFSA

Other EQ Bank services

• Mortgage marketplace: Offers search tools and access to brokers.
• International money transfers through Wise: Transparent fees and exchange rates.
• Registered and non-registered GICs.

EQ Bank fees

One of EQ Bank’s selling points is its lack of monthly fees, but it’s one of the few that also avoids charging customers a range of other common fees:

• Non-sufficient funds: $0
• Overdraft: $0
• Dormant account fee: $0
• Interac e-Transfer: $0
• RRSP or TFSA transfer to another institution: $0

Who EQ Bank is best for

Canadians in search of a no-frills, fee-free online banking experience that offers competitive interest rates.

EQ Bank may not offer the same variety of accounts or financial products as some of its competitors, but sometimes less is more. EQ’s accounts, which allow unlimited transactions, provide customers an inexpensive way to handle their daily banking needs while helping them earn a healthy 4.00%* interest rate.

Pros and Cons of EQ Bank

There’s plenty to like about EQ Bank, but no bank or credit union is without its drawbacks. Here’s what to consider before you open an account.

» MORE:Read theEQ Bank vs. Tangerinefeatures and differences.

How EQ Bank compares to other online banks

» MORE:Check out ourBanking reviewsof other Big Banks, credit unions and online-only banks.