The Canadian banking landscape has undergone profound changes in recent years. Indeed, new financial institutions and online banks are gaining in popularity. They compete with the big five Canadian banks (BMO, CIBC, RBC, Scotia and TD) with their low-cost financial products. What’s more, their bank accounts have higher interest rates than traditional banks.

These competitive offers are made possible by savings on rental costs. In fact, these online banks have no physical offices in which to carry out their operations, as their activities are carried out online.

With this in mind, a number of digital platforms have been created. These include Wealthsimple, EQ Bank, Neo Financial, Motusbank and Simplii Financial. But other well-established online banks such as Tangerine, Alterna Bank and Manulife Bank also offer strong competition.

This article explores Canada’s leading online banks and the financial products they offer. Then we compare them with those of other Canadian banks and share our review.

Before exploring and comparing the main financial products of Canadian online banks, here’s an overview of each one.

Alterna Bank is a Canadian financial institution founded over 30 years ago. It is a member of the Alterna Group, which includes Alterna Credit Union and Alterna Bank. It offers a wide range of financial products and services: chequing accounts, high-interest savings accounts, mortgages and investments (TFSAs, RRSPs, GICs, etc.). Deposits in their savings products are eligible for CDIC deposit insurance. Find out more:

Banque EQ is part of Equitable Bank, an independent financial institution with over 50 years’ experience. All their financial activities are carried out online, enabling them to offer excellent interest rates to their customers. EQ Bank offers a wide variety of financial products: personal account, high-interest savings account and credit cards. What’s more, their deposit products are eligible for CDIC deposit insurance. Find out more:

Manulife Bank is a federally chartered online bank founded in 1993. Its head office is in Waterloo, Ontario. It distributes its financial products and services through independent financial advisors. Manulife Bank offers several financial products: chequing accounts, high-interest savings accounts, credit cards, investments and mortgages. As a member of CDIC, deposits in their deposit products are eligible for deposit insurance. Find out more:

Motusbank, a subsidiary of Meridian Credit Union, is an online bank that was founded in 2019. It offers many products and services to Canadians: chequing accounts, savings accounts, investments (TFSAs, RRSPs, GICs, etc.), financial planning services, mortgages and home equity lines of credit. Deposits in their savings products are eligible for CDIC deposit insurance. Find out more:

Neo Financial is a Winnipeg-based Canadian financial institution specializing in savings and credit products. It’s 100% digital and allows you to earn rewards on your purchases with their credit cards and save with their high-interest savings account. But also, to obtain a mortgage with their mortgage solutions. Find out more:

Simplii Financial is an online bank affiliated with CIBC, a member of CDIC. All its financial activities are carried out online. It offers a wide range of financial products: chequing accounts, high-interest savings accounts, credit cards, mortgages and investments.

Tangerine is an online bank affiliated with Scotiabank and is a member in good standing of the Canada Deposit Insurance Corporation (CDIC). As all financial activities are carried out online, Tangerine makes substantial savings which it can pass on to its customers in the form of competitive rates. It offers a wide range of financial products: chequing accounts, savings accounts, credit cards and investments. Find out more:

Wealthsimple is an all-in-one solution for banking and investing that was founded in 2014 in Canada. Today, it has over three million customers and more than CAD 30 billion in assets under management. It offers a diversified range of financial products, including high-interest chequing accounts, a stock trading platform and personalized investment portfolios. Find out more:

Competition is fierce among Canadian financial institutions, both online and traditional. Many offer bank accounts with no monthly fees and no minimum balance. What’s more, some online banks offer hybrid accounts (high-interest chequing accounts), such as EQ Bank and Wealthsimple.

To compare other chequing accounts, use our bank account comparator.

As is the case with chequing accounts, many Canadian financial institutions have attractive offers: welcome bonuses, promotional interest rates, etc. These offers come from both online banks and traditional banks.

To compare other savings accounts, use our bank account comparator.

Competition for credit cards is high among Canadian financial institutions and other credit card issuers. This competition is present in both traditional and online banks. From no-annual-fee credit cards to travel cards, cash-back cards and more.

To compare other credit cards according to your needs, use our credit card comparator.

On the whole, Canadian online banks offer an attractive range of financial products. In particular, for bank accounts with no monthly fees or minimum balance requirements. But also for credit and prepaid cards. Some have no annual fee, others no conversion fee.

Competition is fierce among Canadian financial institutions, from both online banks and traditional banks. There are several attractive welcome bonuses and offers. But above all, banks must offer financial products and services that meet the needs of Canadians.

Finally, some online banks would like all their financial products to be available to all Canadians, including Quebec residents.