Best Digital Banks in Canada: KOHO, Tangerine, Simplii and More

Monthly bank fees add up fast. Digital banks in Canada skip most of them and often pay more interest on your savings.

We compared five popular options, EQ Bank, Tangerine, Simplii Financial, KOHO and Neo, using only what each provider publishes on its official page.

Key takeaways

• All five offer a way to bank with $0 monthly fees; KOHO’s free plan has monthly conditions.
• Big promo rates are temporary. Tangerine and Simplii promos last about 5 months, then drop to regular rates.
• Check CDIC coverage: it protects eligible deposits at member institutions up to $100,000.
• KOHO isn’t a bank; its account runs on a prepaid Mastercard.

Best digital banks at a glance

Rates and fees as of September 2026, from each provider’s official page. Conditions are in each section below.

1. EQ Bank Personal Account

A hybrid account for both bills and savings. EQ Bank is a trade name of Equitable Bank.

At a glance

• Fees: zero everyday banking fees.
• Interest: base rate of 1.00%; 2.75% when you add recurring direct deposits of at least $2,000 a month.
• ATMs: no EQ fee for ATM withdrawals in Canada, and reimbursement of other operators’ fees up to $5 per withdrawal, 5 times a month.
• Protection: eligible for CDIC protection up to $100,000 per insured category, per depositor.

Pros and cons

• Strong rate on your whole balance without a promo clock.
• ATM fee reimbursements make up for having no branches.
• The 2.75% rate depends on $2,000 a month in direct deposits.
• No physical branches.

How to apply

Sign up online with Canadian ID. Then set up your payroll direct deposit to qualify for the higher rate.

2. Tangerine

An online bank with a full chequing account and a savings promo for new clients.

At a glance

• Chequing: $0 monthly fee with no balance needed to avoid it; interest from 0.01% to 0.10%, depending on balance.
• Savings: 0.30% posted rate; new clients whose client number is created between July 28 and November 30, 2026 can get a 4.50% promotional rate for 5 months (5.00% in registered savings).
• Switch offer: new clients can get $250 for moving their payroll deposit, for client numbers created by October 31, 2026.
• Watch for: $1.50 for other ATM withdrawals in Canada and a 2.50% foreign currency conversion fee.

Pros and cons

• Full chequing features, including cheques and bill payments.
• Promo rate plus a payroll switch bonus for new clients.
• The regular savings rate is low once the promo ends.
• Fees for ATMs outside its network.

How to apply

Open online or in the app within the promo window, then open the savings account within 60 days of getting your client number.

3. Simplii Financial

An online bank whose big draw is free access to CIBC ATMs.

At a glance

• Chequing: No Fee Chequing Account with no monthly fees, unlimited debit purchases and free Interac e-Transfers.
• ATMs: free access to more than 3,400 CIBC ATMs across Canada.
• Savings: 0.30% regular rate up to $50,000; new clients can earn 4.60% on up to $200,000 for 153 days, for accounts opened by October 31, 2026.
• Welcome offer: $300 plus a $50 Skip gift card for a direct deposit of $100 or more for 3 consecutive months; ends September 30, 2026.

Pros and cons

• Large ATM network for a no-fee account.
• Highest non-registered promo rate in this list.
• The chequing welcome offer ends on September 30, 2026.
• Regular savings rate is low after the promo.

How to apply

Apply online or in the app. Read the offer terms, since each promo has its own eligibility rules.

4. KOHO

A money app, not a bank. It combines a prepaid Mastercard with interest, cash back and credit-building tools.

At a glance

• Plans: Essential, Extra at $12 a month and Everything at $14.75 a month; all start with a 30-day free trial.
• Essential for $0: you earn the next month free when you receive a direct deposit of any amount or add $1,000 or more in a month; otherwise the plan fee is charged.
• Interest and cash back: 2%, 2.5% or 3.5% interest by plan, and 1% to 2% cash back on groceries, transportation and food and drink.
• Protection: when you opt in to Earn Interest, funds are held in trust with CDIC member institutions; KOHO says balances not earning interest are not eligible for CDIC protection.

Pros and cons

• Interest on the whole balance, with no minimum.
• Built-in credit-building tools for thin credit files.
• The best rates and cash back sit on paid plans.
• You must opt in to earn interest and get CDIC eligibility.

How to apply

Download the app and sign up. If you want KOHO’s credit tools, see our guide to secured cards and credit-building options in Canada.

5. Neo Financial

A fintech known for its credit cards, which also offers no-fee accounts.

At a glance

• Neo Chequing: $0 account fees and 0.1% interest; eligible for CDIC insurance up to $100,000.
• Cashback: 1% on gas and groceries when you add a Neo Money card.
• Savings: Neo High-Interest Savings pays 1.25%. The separate Neo Savings account shows up to 2.75%, but Neo says those earnings are paid at its discretion and need a minimum combined balance.

Pros and cons

• Everything in one app if you already hold a Neo card.
• Cashback on everyday essentials from a chequing account.
• Its top savings rate works differently from a standard HISA.
• Lower chequing interest than EQ Bank.

How to apply

Open an account in the Neo app. For a side-by-side look at the fintech cards, read KOHO vs Neo vs Wealthsimple.

How to choose a digital bank

• Choose EQ Bank if your pay can land in one account and you want a steady rate without promo dates.
• Choose Tangerine if you want full chequing features and a 5-month savings boost.
• Choose Simplii if you withdraw cash often and want CIBC ATMs.
• Choose KOHO if you want cash back and credit-building tools in one app.
• Choose Neo if you already use a Neo credit card.

Just arrived in Canada? Start with our guide to banking for newcomers, then learn how to check your credit score for free.

Before you switch

• Confirm the provider or its partner is a CDIC member.
• Write down when any promo rate ends.
• Check ATM and foreign currency fees if you travel.
• Move your direct deposit first, then your bills.
• Keep your old account open until every payment has moved.

How we compared these providers

• Checked: every fee, rate and offer on September 23, 2026, on each provider’s official page.
• Order: no ranking. EQ Bank comes first as our pick for most readers (see the Quick answer); the others follow from traditional bank structure to fintech app.
• Criteria: monthly fees, interest rates and their conditions, promo length, ATM access and CDIC eligibility.
• Deposit insurance: CDIC rules as explained by the Financial Consumer Agency of Canada.
• Independence: no provider paid for placement.

FAQ

Are digital banks in Canada safe?

EQ Bank, Tangerine and Simplii deposits are eligible for CDIC protection. According to FCAC, CDIC insures eligible deposits at member institutions up to $100,000. KOHO and Neo explain their own coverage terms on their sites.

Is KOHO a real bank account?

No. KOHO describes itself as a financial app with a prepaid Mastercard that works like a chequing account with extra tools.

Which digital bank pays the most interest?

Promos pay the most for a few months: Simplii’s 4.60% and Tangerine’s 4.50% for new clients. For an ongoing rate, EQ Bank pays 2.75% with qualifying direct deposits.

Can I keep my big bank and use a digital bank too?

Yes. Many people keep a big-bank chequing account and move savings to a higher-rate account. Transfers between linked accounts are simple.

Do promo rates apply to my whole balance?

Up to each cap. Simplii’s promo covers up to $200,000; Tangerine’s covers up to $1,000,000.

For the full picture, see our hub Best Savings Accounts in Canada 2026, the best high-interest savings accounts in Canada and the bank account promotions available right now.

Sources

• EQ Bank Personal Account
• Tangerine Chequing Account
• Tangerine savings account rates
• Simplii No Fee Chequing Account
• Simplii High Interest Savings Account
• KOHO plans
• KOHO — How to get Essential for $0
• Neo accounts
• Neo account interest rates
• FCAC — Deposit insurance

Ieveera SEO is an independent publisher, not a bank or financial advisor; content is for information only and may include paid affiliate links that never affect our rankings — always confirm current rates and terms with the provider. Rates shown in CAD; verify with the issuer.