EQ Bank Review 2026: Is It Worth Switching?

## What EQ Bank actually is

EQ Bank is the digital banking division of Equitable Bank — and that second part matters more than most people realize.

Equitable Bank isn’t some fintech startup running on optimism and a phone app. It’s a Schedule I chartered bank, the same regulatory designation that RBC and TD hold. That means it’s subject to federal banking oversight and, critically, it’s a member of the **Canada Deposit Insurance Corporation (CDIC)**. Your eligible deposits — up to $100,000 per category — are protected if the institution fails. That’s not a maybe. That’s a federal guarantee.

EQ Bank launched in 2016 as Equitable Bank’s answer to a simple question: can we offer better rates than the Big 5 if we don’t build a single physical branch? The answer turned out to be yes. Nine years later, it’s consistently rated one of the top digital banks in Canada by publications including Forbes and MoneySense.

This review covers every major product EQ Bank offers: the Personal Account (their main savings vehicle), TFSAs, RRSPs, GICs, and the EQ Bank Card. We’ll tell you what’s genuinely good, what’s annoying, and who should probably stay with their current bank.

## The EQ Bank Personal Account: where it earns its reputation

The Personal Account is the core product, and it’s the reason most people switch.

The interest rate is where EQ Bank wins. At the time of writing, the EQ Bank Personal Account pays a meaningfully higher everyday rate than any Big 5 bank savings account — we’re talking the difference between 0.01%–0.05% at a traditional bank versus a rate that’s regularly in the 3–4% range at EQ (check the [current rate here](https://www.eqbank.ca) before opening, as it adjusts with the overnight rate). That might sound like a small number, but the math doesn’t lie: on $10,000 in savings, the difference between 0.05% and 3.5% is about $345 a year. Free money, just for having your savings in the right place.

Here’s what else comes with the Personal Account:

– **No monthly fee.** None. Not a $4.95 waived fee — actually zero.
– **No minimum balance.** You can open with $1.
– **Free Interac e-Transfers.** Unlimited, in and out. Your Big 5 bank might be charging you $1.50 per transfer.
– **Bill payments.** You can pay most Canadian bills directly from the account.
– **CDIC deposit insurance.** Already covered above, but worth repeating.

The account also earns interest on every dollar, every day. There’s no promotional rate that drops to nothing after 90 days (a popular move from the Big 5 when they bother to compete at all).

**What the Personal Account doesn’t do:**

Here’s the rule: don’t go in expecting a full replacement for your chequing account, at least not yet. EQ Bank has no physical branches — not one. If you need to deposit cash or a cheque, this account can’t help you. You also won’t get a debit card that works at the grocery store checkout (the EQ Bank Card is a separate product we’ll cover below). For most people, the move is to keep a Big 5 chequing account for day-to-day transactions and move your savings float to EQ Bank where it actually earns something.

## EQ Bank TFSA and RRSP: the case for moving your registered accounts

EQ Bank offers both TFSA and RRSP savings accounts, and they’re worth a serious look if you’re currently holding cash inside a registered account at a Big 5 bank earning 0.01%.

The rates on EQ Bank’s registered accounts are competitive — typically in the same range as the Personal Account, sometimes slightly different. To understand why this matters, consider the math on a TFSA.

If you have $30,000 in TFSA contribution room sitting in a Big 5 “savings” account at 0.05%, you’re earning $15 a year in interest. That $15 is tax-free, but it’s also nearly nothing. At EQ Bank’s TFSA rate — let’s use 3.5% as a placeholder — that same $30,000 earns $1,050 in a year. Tax-free. That’s more than $1,000 of free money that goes directly into your pocket, not the bank’s. Over five years with no additional contributions, the compounding difference runs past $5,000.

The contribution and withdrawal rules are exactly the same as any other TFSA — EQ Bank doesn’t change how the account works, they just pay you more to keep your money there. Same goes for the RRSP: your contribution limits, deduction rules, and eventually your conversion to a RRIF all work identically to what you’d have at a traditional bank.

If you want to understand which registered account to prioritize, read our breakdown at [TFSA vs. RRSP: Which to Max First](/tfsa-vs-rrsp/). But if you’ve already decided to hold cash in one of these accounts, EQ Bank is one of the better places to do it.

## EQ Bank GICs: locking in a guaranteed return

GICs — Guaranteed Investment Certificates — are exactly what they sound like. You give the bank your money for a fixed term (anywhere from 3 months to 5 years), and the bank guarantees you a specific interest rate in return. No market risk. No surprises.

EQ Bank’s GIC rates are consistently among the highest available in Canada, often beating the Big 5 by a full percentage point or more. That margin narrows when the Bank of Canada rate drops and more competition enters the market, but EQ’s digital structure — no branches, lower overhead — tends to keep them competitive.

A few things to know about EQ Bank GICs:

– **They’re non-redeemable.** This is the standard for high-rate GICs. Once you lock in, your money is committed until maturity. Don’t put money in a GIC that you might need in an emergency.
– **They’re CDIC insured.** GIC deposits at EQ Bank are covered under CDIC protection, the same as your savings account deposits (up to the per-category limit).
– **Terms range from 3 months to 5 years.** Shorter terms pay less; longer terms pay more. The sweet spot tends to be in the 1–2 year range where you’re not committing too far out.

Who are GICs for? If you have a known future expense — a home down payment in 18 months, a tuition bill in two years, a tax bill you’ve set aside — a GIC is a clean way to lock in a guaranteed return on that cash without any market exposure. It’s also a reasonable place for the fixed-income portion of a conservative retirement portfolio.

If you’re looking for higher long-term returns and you can handle short-term market swings, GICs aren’t the right tool — investing is. Head to our [investing hub](/investing/) for that conversation.

## The EQ Bank Card: actually useful, or a gimmick?

The EQ Bank Card is a prepaid Mastercard that’s linked directly to your Personal Account balance. It doesn’t have a credit limit — you spend what you have. It launched in 2022 and has quietly become one of the better travel and everyday spending cards available to Canadians who don’t want to pay annual fees.

Here’s what makes it stand out:

– **0.5% cash back on every purchase.** It’s not the richest rewards rate on the market, but it’s real cash back on a no-fee card.
– **No foreign transaction fees.** Most Canadian cards charge 2.5% on purchases made in a foreign currency. EQ Bank charges zero. If you travel even once a year or buy anything in USD online, this adds up fast.
– **Accepted everywhere Mastercard is.** Despite being prepaid, it works in-store, online, and at ATMs.
– **ATM fee reimbursements.** EQ Bank reimburses domestic ATM fees, which is meaningful if you still occasionally need cash.

The honest take: the EQ Bank Card isn’t going to replace a premium travel credit card with airport lounge access and trip interruption insurance. But as a secondary card for online purchases, travel spending, or a no-fee everyday option, it’s genuinely better than most of what the Big 5 offer for free.

The limitation: because it’s a prepaid card, it doesn’t build credit history. If you’re working on your credit score, you want a traditional credit card, not this.

## The honest downsides

This is a review, not a press release. Here’s what’s actually annoying about EQ Bank.

**No physical branches — period.** This one is obvious, but it’s real. If you want to walk into a location and talk to a human being, EQ Bank cannot help you. Customer support is phone and chat. For most things, that’s fine. For complex situations — a death in the family, a dispute, anything stressful — not having a branch option is a genuine inconvenience.

**No cheque deposits.** You can’t deposit a paper cheque to EQ Bank. If your landlord insists on cheques, or your employer still issues paper, you’ll need a separate account to deposit them. This is less of a problem than it used to be, but it still catches people off guard.

**No cheque-writing.** EQ Bank doesn’t issue cheques. Bill payments and e-Transfers cover most situations, but if a payee specifically requires a cheque, you’re stuck.

**Joint account limitations.** Joint accounts at EQ Bank exist but have some quirks — both account holders need to be residents of Canada and both need individual EQ Bank accounts before linking them. The process is more friction than at a traditional bank.

**International wire transfers can be slow.** EQ Bank does offer international transfers through a partnership with Wise, which is reasonable. But if you need to send money to a foreign account urgently, the process takes longer than you might expect from a modern bank.

**No credit products.** EQ Bank doesn’t offer mortgages, personal loans, or lines of credit. (Equitable Bank, its parent, does offer mortgages through brokers, but that’s a separate product.) If you want all your banking in one place, EQ doesn’t offer that full stack.

## Who EQ Bank is perfect for — and who should stay at a Big 5

**EQ Bank is the right call if:**

– You have savings sitting in a Big 5 account earning essentially nothing
– You’re comfortable with online-only banking and rarely need in-person help
– You travel internationally at least occasionally (the Card’s no-FX-fee feature saves real money)
– You want a TFSA or RRSP that actually pays a competitive rate on cash
– You’re looking for a GIC from a reputable, federally regulated institution

**Stick with your current bank if:**

– You regularly deposit cash or cheques (EQ Bank can’t handle this)
– You need a full-service banking relationship — mortgage, line of credit, commercial banking — in one place
– You’re not comfortable with digital-only customer support
– You need a chequebook for regular use

For most Canadians, the right answer isn’t either/or — it’s both. Keep a Big 5 chequing account for your paycheque, bills, and day-to-day spending. Move your savings float to EQ Bank. You get the convenience of your familiar bank and the higher returns of EQ Bank’s rates without giving anything up.

For a broader comparison of where to park your emergency fund and savings, see our [best high-interest savings account Canada](/best-high-interest-savings-account-canada/) roundup.

## How to open an EQ Bank account (it takes about 10 minutes)

Opening an EQ Bank account is faster than most bank processes. Here’s what you’ll need:

1. A Canadian Social Insurance Number (SIN)
2. A valid government-issued photo ID (passport or driver’s licence)
3. An existing Canadian bank account to fund your EQ account

The application is fully online. You enter your personal information, verify your ID (they use a photo upload process rather than mailing documents), and you’re done. EQ Bank typically approves straightforward applications within minutes to a few hours. Once approved, you link your existing bank account, initiate a transfer, and your savings start earning interest immediately.

There’s no minimum opening deposit. No branch visit. No appointment.

[Open your EQ Bank account here →](https://truenorthmoney.ca/go/eq-bank)

## FAQ

**Is EQ Bank safe in Canada?**

Yes. EQ Bank is the digital banking arm of Equitable Bank, a federally regulated Schedule I chartered bank. It’s a full member of the Canada Deposit Insurance Corporation (CDIC), which protects eligible deposits up to $100,000 per depositor per category. Your savings account, TFSA, and RRSP deposits each qualify for separate CDIC coverage, meaning you can have well over $100,000 protected across account types. This isn’t startup risk — it’s the same federal deposit protection system that covers every major Canadian bank.

**Can I use EQ Bank as my main bank?**

Partially. EQ Bank works well as your savings home base, and the EQ Bank Card functions as an everyday spending card. But it can’t receive direct deposits in a traditional chequing format (you’d need to set up a transfer schedule from your paycheque bank), doesn’t accept cheque deposits, and has no physical locations. Most people use EQ Bank alongside a traditional chequing account rather than as a complete replacement. That said, a growing number of Canadians do use it as their primary financial institution — it depends on how you manage your money day-to-day.

**What is the EQ Bank savings rate right now?**

Rates change with the Bank of Canada’s overnight rate, so we won’t hard-code a number that might be outdated by the time you read this. Check the [current rate on EQ Bank’s website](https://www.eqbank.ca) directly — it’s prominently displayed on their homepage. Historically, EQ Bank has consistently paid 3–5x the interest rate of Big 5 bank savings accounts, so even if the absolute number moves, the relative advantage tends to hold.

**Does EQ Bank have a credit card?**

No — not exactly. The EQ Bank Card is a prepaid Mastercard, not a credit card. That means it draws from your account balance rather than extending a line of credit. It doesn’t charge interest, requires no credit check, and won’t affect your credit score. The benefit is that it’s accessible to almost everyone and eliminates the risk of carrying a balance. The trade-off is that it doesn’t build credit history and doesn’t come with the same consumer protections (like purchase protection and extended warranty) that true credit cards often carry. If building credit is a goal, you’ll want a credit card — secured if necessary — in addition to the EQ Bank Card.

## The bottom line

EQ Bank does what it promises. It pays a competitive interest rate, charges no monthly fees, is protected by CDIC, and has a simple digital experience that most people find straightforward to use. The EQ Bank Card is a legitimate bonus for travellers.

The downsides are real but not deal-breakers for most people: no branches, no cheque deposits, and no credit products. If your banking needs extend beyond savings, a TFSA/RRSP, and a spending card, you’ll need to supplement EQ Bank with another institution.

Here’s the rule: if your savings are sitting in a Big 5 account earning 0.05% right now, every month you don’t move them is money you’re leaving on the table. EQ Bank is not a complicated product. It’s a savings account that pays you what your money is actually worth in today’s rate environment.

The math doesn’t lie — and the math says most Canadians should have at least some of their savings at EQ Bank.

[Open an EQ Bank account and start earning more →](https://truenorthmoney.ca/go/eq-bank)