*** 2012 update: this article is getting very out of date and is no longer actively maintained. However, please see our free chequing table that is more actively updated.
Recently, I needed to switch my daily bank account (my chequing account). I had been with my previous bank for over 13 years so I had not had the need to be educated or informed on what was out there. When I started looking into a couple of options, I realized that what I really needed was a comparison chart of all my options so that I could weigh the benefits of each one. Instead of just keeping such valuable information to myself, I thought I would share it with you.
First of all, you should have some information on what my financial background is like and what my banking needs are. I am a conservative investor, holding most of my funds in high interest savings accounts and in term deposits (or GICs), registered and non-registered. I am at a stage in my life where I am looking to purchase a place, so I need access to my funds either tomorrow or in months when I actually find a place that I want to buy.
In terms of my banking needs, it is very simple: I don’t want to be limited and I don’t want to pay fees. Sounds simple, but it really isn’t. I am looking for an account where I can perform as many transactions as I need, including bill payments, transfers, deposits, withdrawals and Interac direct payments. I also want to have cheques and easy access to ATM machines if I need one.
Based on this, I did a comparison of accounts at banks and credit unions, large and small. I focused first on finding accounts that did not have any fees and then on the features they provided for daily banking. I did not include accounts that were free but limited, for example only providing 4 free transactions a month; this would just not meet my needs.
Please note that this comparison table is accurate to the best of my knowledge as of August 28, 2007. Please let me know if you see any errors and I will correct them. Also, please check with the specific banks to confirm any information.
| PC Financial | Citizen’s Bank | Coast Capital | Vancity | TD Canada Trust | Bank of Montreal | Scotiabank | HSBC | |
|---|---|---|---|---|---|---|---|---|
| Account Name | No Fee Bank Account | Chequing/Savings | Free chequing, free debit, and More Account | E-Package Account | Infinity Account | Performance Plan | Scotia Powerchequing Account | Performance Chequing-Unlimited |
| Monthly Fee | $0 | $8 | $0 | $7 | $12.95 | $13.95 | $3.95 | $11.95 |
| Daily Banking | ||||||||
| ATMs | Free at CIBC Machine or President’s Choice Terminal | "Exchange" or "Acculink" ATMs, found at most credit unions and HSBC | Coast Capital ATMs or "Exchange" ATMs | Vancity ATMs or "Exchange" ATMs | Green Machine TD ATMs | BMO Machines | Scotiabank Machines; ***15 self-serve transactions per month | HSBC, "Exchange" ATMs, BMO ATMs |
| Other ATMs | $1.50 Interac Fee + the other institution’s fee | $1.50 Interac Fee + the other institution’s fee | $2.00 + other institution’s fee | $1.50 + other institution’s fee | $1.50 + other institution’s fee | 1 free debit at any Interac machine | $1.50 + other institution’s fee | $1.50 + other institution’s fee |
| Withdrawals per month | Depends on credit bureau | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Self-serve*** | Free – unlimited |
| Withdrawals – Maximum Withdrawal per day | Depends on credit bureau; on average $200 per day | Depends on credit bureau; on average $1,000 per day | $500 a day | $400 a day | $500 a day usually | Depends on your credit and relationship with the bank | Depends on your needs | Depends on customer needs |
| PC Financial | Citizen’s Bank | Coast Capital | Vancity | TD Canada Trust | Bank of Montreal | Scotiabank | HSBC | |
| Deposits – Holding Period | Depends on credit bureau; could be up to a max. of 7 days | Depends on credit bureau; usually $2,500+ usually has a 7 day hold | Depends on credit bureau; usually $5,000+ has a hold | Depends on credit bureau; $2,500+ usually has a 7 day hold | No holds | 5 business day for first 6 months; then it can change based on your history | 5-7 day on all deposits; cash – 24 hours | Depends on deposit amount and customer |
| Account Minimum Balance | Not required | $1,000 to waive monthly fee (based on end of day) | Not required | $1,000 to waive monthly fee (based on end of month) | $3,000 to waive monthly fee (based on end of day) | $2,500 to waive monthly fee (based on end of day) | $2,000 to waive monthly fee (based on end of day) | $4,000 to waive monthly fee (based on end of day) |
| Interac Direct Payments | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Self-serve*** | Free – unlimited |
| Online Banking | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Self-serve*** | Free – Unlimited |
| Telephone Banking | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Self-serve*** | Free – Unlimited |
| Bill Payments | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Self-serve*** | Free – Unlimited |
| Statements | ||||||||
| Online Statements | Free | Free | Free | Free | Free | Free | Free | Free |
| Paper Statements | $1.00 per month if you want it | Free | Free | Free | Free | Free | Free | Free |
| PC Financial | Citizen’s Bank | Coast Capital | Vancity | TD Canada Trust | Bank of Montreal | Scotiabank | HSBC | |
| Cheques | ||||||||
| Actual Cheques | Free; personalized | Free; personalized | First 10 are free; must purchase after that | Must Purchase | Must Purchase | Must Purchase | Must Purchase | Free; personalized |
| Chequing | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Free – Unlimited | Self-serve*** | Free – Unlimited |
| Transfers | ||||||||
| External Transfers | Free – Unlimited; takes 2 – 3 business days; subject to regular holding period | Free – Unlimited; takes 2 – 3 business days; no holds | Free – unlimited; takes approximately 1 week; no holds | Free – unlimited; 3 business days; no holds | Free – unlimited; 2 – 3 business days; no holds | ***According to the rep I talked to, they can’t do this – somehow I doubt that is true | Self-serve***; 2 – 3 business days; no holds | Must get the HSBC Direct* account to perform such transfers; 1 – 2 business days; no holds |
| Transfers between internal accounts | Free – Unlimited; takes approx. 24 hours | Free – unlimited; real time, no holds | Free – unlimited; real time; no holds | Free – unlimited; real time, no holds | Free – unlimited; real time; no holds | Free – unlimited; real time; no holds | Self serve***, real times; no holds | Free – unlimited; real time; no holds |
| PC Financial | Citizen’s Bank | Coast Capital | Vancity | TD Canada Trust | Bank of Montreal | Scotiabank | HSBC | |
| Extra Info | ||||||||
| Annual Interest Rates (up to $25,000 balance) | 0.1% – 0.5% | 0.5% – 1.0% | 0% | 0% | minimal | no | 0.25% on balances over $10,000 | 0.025% for balances over $5,000 |
| Other | Earn PC Points | Can add the "Even More Package" for $5 per month for extra features | Only one in-branch transaction per month; after that $0.70 each | Earn Airmiles by using your debit card |
*HSBC Direct Savings Account is a high interest savings account with no minimum balance required and no monthly fees.
I also noted that there are some banks that do not offer such an account: RBC, CIBC, and Envision Credit Union.
*** 2012 update: this article is getting very out of date and is no longer actively maintained. However, please see our free chequing table that is more actively updated.
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Leah, thanks for this chart. It would have been great if you could have included Royal Bank on your table as well.
As per my article at the bottom, I did look into RBC; however I did not included it because it did not offer an account that had unlimited features and an option of no fees. RBC has a feature which allows you to lower your monthly fees if you have multiple products; however you cannot eliminate your fees.
This is a good chart!! Thanks!
I wish I’d had it a few weeks ago – I think Cost Capital is a really good option.
I also found a varsity chequing account that is free at Envision Credit Union. It is only good until you turn 25 though; here’s a link to the details of the account. Also, they have a promotion right now, where you can get $50 if you sign up for the account.
http://www.envisionfinancial.ca/fiddybucks/index.html
I don’t think it is worthy of being on the spreadsheet because it only caters to young adults and not the wider population.
Leah — great chart. I’m a member of Envision Credit Union and I wanted to point out that Envision actually does have an account with unlimited transactions and no fees. It’s called the Balance Benefit Chequing account:
http://www.envisionfinancial.ca/page29.aspx
As long as you maintain minimum monthly balance of $2000, you pay no fees and enjoy unlimited transactions. Just wanted help make your chart more complete.
Leah- Amazing job, thank you so much
Excellent chart, Leah! I’m switching banks because mine up and changed account requirements and no longer suits my needs (you couldn’t have outlined my thoughts on an ideal bank account any better than you have).
I must complain about PC Financial though. They refuse to accept my application for an account because my credit history is shady: I’ve never had a credit card, so I have no official credit history. There seems to be no person at PC F who can help me; the ombudsman says he cannot discuss such things because of PC F privacy restrictions. I cannot have a PC F credit card because I “have never had a credit card.” This is truly banking with as little access to human thought as possible.
An update on my experience with PC Financial:
After speaking with an extremely rude customer care representative, I’m finally expecting a starter kit for an account with PC Financial.
Your chart is comprehensive and efficient; I am adding personal experience to that information when I weigh the pros and cons of each bank!
It’s worth mentioning that the fees charged by TD, BMO, RBC and other big banks are negotiable. That’s not exactly something that the banks advertise, but they want to keep you there as much as any other business would. If you do a substantial amount of business with a bank and politely but firmly ask to have your monthly fees waived without the minimum balance requirement they will definitely do it for you.
I have a credit card and chequing account through my bank and I also invest into my RSP there too. I told them that I was considering moving to another bank because of the offers they were making (higher interest rates, incentives to swich, etc). After a bit of discussion, they happily agreed to waive all monthly fees for a year at which point we will reevaluate.
Great chart thanks! I was actually about to make one for myself today. So it was quite helpful. Have you considered making a wiki out of it, though? Then it can be like a child that you watch grow and stay up to date.
Well, I ended up choosing the Coast Capital Savings account and I am very happy thus far. I have had no issues with accessing an ATM machine, I’ve used online banking and have gone into the branch and had great service.
My only pet peeve so far is the hours of some of the branches…but unless you go to TD who is open much longer (their commercials won’t let you forget), most banks close between 4 and 5pm.
I just wanted to point out an account with the Bank of Nova Scotia that is more or less unlimited; it is the Scotia One account. I have recently switched to this account from the Scotia Value account. With the Value account there were very good features, such as free money orders etc. but when you reached a certain amount of debits ,and transactions it would charge you. My service fees would go up as high as $50.00. The Scotia One account is unlimited transactions. I have the power chequing account that you mention here as well but I often dont use it because you are limited to 15 self serve transactions. http://www.scotiabank.com/cda/content/0,1608,CID474_LIDen,00.html In my opinion the Scotia One account is the better account. http://www.scotiabank.com/cda/content/0,1608,CID481_LIDen,00.html
I have the TD Select Service account – http://www.tdcanadatrust.com/accounts/select.jsp – It is no-fee with a $5000 minimum balance (that is the only drawback – ~$200 in lost interest), but you get a free safety deposit box, free CDN/US bank drafts, free US$ account, no fee to withdraw from any other interac machines (none of the acconts you list have that), the Gold Elite Visa card for no-fee (has 200km towing auto coverage similar to BCAA plus, 1% rebate, 90 day damage protection, extended warranty, etc). And TD’s online banking is really good, and the branches are open late. I have gone back and forth about getting a no-fee chequing account without the minimum balance, but I like the service TD gives me (most of the time). Combine that with ING or ICICI savings account and I think it’s a good combo. Just the rebate on the visa card alone for my yearly spending makes up for the lost interest on the minimum balance, and the visa card saves having a BCAA membership.
Nice work, Leah. I’ve been scouring the web for this sort of comparison. As others have pointed out, the “dirty little secret” of the larger banks is that everything is negotiable. In other words, they will charge you whatever they can get away with until you threaten to go to another institution. I’d much rather trust my finances to an organization with fair, fixed universal rates and fees – if there IS such a place. TD is the opposite: skilled practitioners in a kind of legal thievery. By the way, TD DOES arbitrarily and inconsistently put holds on deposited funds without explanantion or opportunity for recourse, despite what they may have told you when you researched your chart. You may want to check with some of their other victims (oops – “customers”) and update your chart accordingly.
good work!
wers icici in this chart?
Good work!
Through the years I have had personal and business accounts at all the Big Banks. A couple of years ago I decided to try PC Financial – I was a bit hesitant as how can a grocer provide good banking? (In fact they are backed by CIBC.)
I am really pleased. They have been superb. Good prompt and pleasant service, good products, decent online access. Highly recommended.
CIBC is best if you have excellent credit, ATMs everywhere and generally don’t interfere.
If your credit is so-so or bad, TD is best.
Over all other parameters, this should be a primary determining factor in your decision.
Interest rates which are low at all of these banks should not be considered – if you have substantial funds they should be elsewhere.
you may want to review some of your facts re: PCF
– Annual Interest Rates are posted on their website and actually range from 0.1 – 2.0% for the no fee bank acc
– Time frames for transfers vary depending on the accounts transfers are going to and from, chq to chq – immediate, sav to chq – 24hrs, bank to bank 1 – 2 business days
– Holds and withdrawl limits are dependant on info from credit bureau when the acc is 1st opened but are subject to change in 6 months depending on your banking history with PCF
– and the average withdrawl limit is actually $500 from a bank machine and $1000 for purchases at a store.
Thanks for all the great comments. I am going to update the chart soon (hopefully in May). Stay tuned!
Hey I’m with Coast Capital and found out recently that you can now deposit(I went in with a check) through ATM and theres no hold, you can take out right after depositing.
Your chart is very great and useful!
It has helped me with a pros and cons homework.
-Thanks very much.
RBC does have accounts that rebate the entire monthly fee with multiple products; a basic bank account with unlimited withdrawals free if you have lots of business with them; basic bank account 15 withdrawals free if you have fewer products; student banking no fee 25 withdrawals no matter what you have with them.
Wow…great information Leah! You could be me!
I have been with PC Financial for many years and it’s been a no muss, no fuss relationship…but today I got mad when they bounced 2 cheques in succession. I am a great customer and have never bounced anything but I had some difficulties while I was travelling out of the country early this month and made a transfer a day too late (doh!)to cover a cheque I had written. ($40 NSF fee, my fault entirely. I tried to beg for a reversal but no go.) When I got home a week later and discovered the error, I wrote another cheque to rectify the situation and found out today that it was returned, too! There was plenty of dough in the account but it turns out I wrote it on an old cheque book from a long forgotten account that is defunct (and empty)…another $40 fee!! Now I know this is my own stupidity x 2 but my issue is that because everything at PC Financial is done electronically, there isn’t a human at the other end thinking…”gee, this is a good customer, she usually doesn’t do this kind of thing. Let’s hold the cheque and try again tomorrow” Or…”man, what a bimbo writing a cheque on the wrong account. Let’s call her or send her an email and let her know.”
Maybe I’m naive in thinking a bonafide humanoid run bank would actually give their customers the benefit of the doubt but I’m going to take a chance with my friendly, neighbourhood Coast Capital Savings Credit Union, of which I am already a member (and it’s the institution I wrote those 2 bum cheques to – to cover my mortgage payment)… (It gets worse)
I’m going to close my PC account and let Coast Capital handle all my direct deposits and auto withdrawals, see if they are more humane than the computer chips at PC Financial.
A great comparison site! Thank you!!!
> If you do a substantial amount of business with a
> bank and politely but firmly ask to have your monthly
> fees waived without the minimum balance requirement
> they will definitely do it for you.
(From post #9 by Jamie).
I wish that were so! I have gone several rounds with my bank over this very issue. They have a customer loyalty reward (which is no fees), but refuse to give it to me even though I have chequeing, savings, RRSP, mortgage, line of credit … why? Because my mortage is joint! So, having been Royally screwed, this once-loyal customer is leaving for greener pastures. So thanks for this comparison, it is a great help!
in your comparisons, please include currency conversion charges.
I am leaving HSBC after 18 years because when i travel overseas they gouge me on the currency conversions.
I do not mind paying a conversion, but i do not expect my bank to make money on me by doing the transaction!
The charged me $22 on a $500 ATM withdrawal in USA.
So Beware, find a bank that does not profit on currency conversions.
Coast Capital, HSBC, Vancity… Rate them.
I also had the very rude service person at PC Financial. Also note that everything has to be done over the phone (changing limits etc). Not good when you’re travelling. If the card gets stolen etc you can’t even report it without phoning. Ever tried to phone from Finland? PCF has no toll free lines or numbers, and you’re welcome to sit on hold until your bank account is totally drained! Not a good option for travellers.
My long association with Banks CUs and Non Branch Banks has me still wondering where to be. Banks are very much the same except when they have a particular drive for new accounts. CUs all have the same problem limited interprovincil/international convenience c/w with an overseeing board of directors delaying the banking process, and Non Branches are hard arsed with the rules and not very approachable. My most recent unpleasant experiences have been as follows:
Bank- Claw back of interest on term deposit cashed in before maturity and identified as a capital loss so the bank won’t have to pay tax on the reimbursd funds leaving me to pay the taxes and not able to claim the loss as I do not have a capitalgain to charge it against.
Credit Union- A review of their chequing accounts identified that some account holders were not categorized correctly and as such many senior accounts where advised they would be charged $20/ month for all such accounts that had a minimum balance less than $10,000.
Non Branch Banks- Even though declaration of a benificiary for a TSFA in BC is now legal PCF does not honour that situation and will not until the center of the world Ontario recognizes the service.
Banks advertising no fee chequing are falsely advertising. They all require minimum deposit balances be maintained. The lowest out there is $1000 and that given a very low investing rate of return is $20/yr. They however have mortgages that vary from 4.75% to 6.25% and your $1000 in that investing tool is earning them $55/yr,so I ask you is that free or no fee chequing?
I have created similar comparison charts for each major chequing account at http://scwpg.com/?p=20
With my comparisons, however, I split up each chart into specific demographics. These include youth, young adults, adults, seniors, and frequent travelers as the account needs for some may not be the same for others.
There is also a local spin on it so if you live in Winnipeg/Manitoba there is a comparison of the convenience for each bank (and assiniboine credit union).
I see this article was written quite a while ago, so if you want some more recent information mine has literally just been researched.
Hope this helps.
man, i mean julie, i just banked with coast capital.
but i guess i am late. their rates have gone low now.
actually it doesnt matter for me because i dont
deposit amounts like $10,000 or $100,000 which
if we compute interest rate income even for just 1.5% or 2.5% is a big deal already.
im not in that level yet. actually im in the below $5,000 depositor category and 1.00% to 3.00% difference in interest rate doesnt really matter for now with my investments. its just good for my hobby doing some simple mathematical calculation with the i=prt thing. the only good thing i got with coast capital is their no- monthly fee, no minimum balance stuff.
I know this chart is old. I’m with Coast Capital. They changed their daily withdrawals limit to $400. Plus they put a hold on your account for a full 24 hours. So you won’t be able to withdraw any money from the ATM until they 24 hours is past. That sucks but oh well it’s still way better than BMO (bank I had before). Also the paper statement you get in the mail is free (but it comes like the month after so it’s not current) but if you want to get it from your branch they charge you ($2 I think). But you can also get it online for free anytime so that’s better.
I came across this article, since I’m thinking of switching my bank from TD to some other bank. Primary reason for my switch is the reason “Rob R” mentioned in his comments couple of years back. I can say that I have over 5 years of banking experience with TD and his comments remains true up till today. So I don’t want others to be misled and let me quote what he said; as that’s the reason for my switch:
“TD DOES arbitrarily and inconsistently put holds on deposited funds without explanation or opportunity for recourse, despite what they may have told you when you researched your chart. You may want to check with some of their other victims (oops ‘customers’) and update your chart accordingly.”
I have a TD select service account since early 2009 and they tell me minimum balance must be $5,000 not $3,000. I may have to switch because I feel this is a litle high and if you let it dipbelow 5,000 it costs $24.95.
Finally somebody put all the info together. Hail Caesar!