Canada's 14 Best Online Savings Accounts for 2022

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ALSO CONSIDER: Best high-interest savings accounts | Best high-interest TFSAs | Best savings accounts

Online savings accounts are online bank accounts that earn interest, offered by virtual banks and online-only financial institutions in Canada. Account-holders manage and access their money through digital banking, mobile apps and by phone.

The best online HISAs in Canada
The best online TFSA HISAs in Canada
The best online RRSP HISAs in Canada
Summary of our selections
Things to know about online savings accounts

Scotiabank MomentumPLUS Savings Account

Earn a savings rate of up to 5.00%* interest for a limited time. No minimum balance required. Conditions Apply.

Learn How

The best online HISAs in Canada

Simplii Financial™ High Interest Savings Account

Interest Rate

5.25%

Open a High Interest Savings Account and earn a special 5.25% interest rate until April 30, 2023. Base interest rate: 0.40%. No minimum balance required.

Promotional rate
Bonus Offer

N/A
Monthly Fee

$0

Apply Now

Simplii’s no-fee HISA gives account holders access to CIBC ATMs in Canada.
Simplii Financial is an online bank owned by CIBC that offers savings and chequing accounts, credit cards, mortgages, loans, lines of credit, registered plans, GICs, and mutual fund accounts. Read our review of Simplii Financial for more information.

0.40% standard interest rate.
No monthly fee.
Manage your money through online banking and a mobile app.
Easily set up automatic deposits.
HISA account holders can open a no-fee chequing account to access money from any CIBC ATM in Canada without a fee.
No transaction or service fees.
No minimum balance.
Immediate access to your money through withdrawals, Interac e-Transfer, transfers to linked accounts, and more.
Eligible for CDIC deposit insurance.

Tangerine Savings Account

Interest Rate

5.00%

To earn 5.00% interest for 5 months, you must become a new client online by March 30, 2023, using the promo code EARNMORE and open your first eligible Chequing Account and Savings Account (including TFSAs, RSPs, RIFs and US$ Savings Accounts) within 30 days. Regular interest rate: 1.00%, no minimum balance.

Promotional rate
Bonus Offer

Up to $400

To earn the $400 Bonus, Open your first Savings Account and Chequing Account within 30 days of becoming a Client. Activate your Client Card and start earning your Bonus. Use your Client Card for online purchases and online bill payments to earn 20% cash back on Eligible Transactions for 60 days.
Monthly Fee

$0

Tangerine’s promotional 5.00% interest rate will earn you a high rate of return for five months. Pair it with the virtual bank’s no-fee chequing account, credit card, registered accounts or a GIC to maximize your financial goals.
Tangerine is a subsidiary of Scotiabank and offers chequing and savings accounts, GICS, registered accounts, credit cards, mortgages, loans and investment products. Read our review of Tangerine for more information.

To earn 5.00% interest for 5 months, you must become a new client online by March 30, 2023, using the promo code EARNMORE and open your first eligible Chequing Account and Savings Account (including TFSAs, RSPs, RIFs and US$ Savings Accounts) within 30 days.
To earn the $400 Bonus, Open your first Savings Account and Chequing Account within 30 days of becoming a Client. Activate your Client Card and start earning your Bonus. Use your Client Card for online purchases and online bill payments to earn 20% cash back on Eligible Transactions for 60 days. Full promotional offer details are listed online.
5.00% promo interest rate and 1.00% regular interest rate.
No monthly fee.
Automated savings program available.
Unlimited free self-serve transactions per month.
Service fees are limited to a $45 charge for non-sufficient funds.
No minimum balance.
Immediate access to your money through withdrawals, transfers to linked accounts, and more.
Eligible for CDIC deposit insurance.

motusbank High Interest Savings Account

Interest Rate

2.50%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

This online HISA with a debit card and a lot of flexibility. Use online banking and a mobile app for price-match and Auto-Save features and to manage bill payments, direct deposits, and more.
motusbank is an online division of Meridian Credit Union and offers chequing and savings accounts, mortgages, registered plans, GICs, investing, and a home equity line of credit loan.

No monthly fee.
Manage your money through online banking and a mobile app.
Free, unlimited use of the Price Drop feature, a price-matching tool that may reimburse you if it finds a lower price for something you purchased.
motusbank account holders have access to over 43,000 surcharge-free ATMs in North America with THE EXCHANGE® Network in Canada and the Allpoint Network in the US.
No transaction fees and unlimited debit purchases and withdrawals.
Service fees are limited and listed online; fees include and include $1.25 to send an Interac e-Transfer.
No minimum balance.
Immediate access to your money through ATM withdrawals, transfers to linked accounts, and more.
Eligible for CDIC deposit insurance.

Motive Savvy Savings Account

Interest Rate

3.80%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

Earn interest at a competitive rate on this no-fee and no-minimum balance HISA.
Motive Financial is an online division of Canadian Western Bank and offers chequing and savings accounts, registered plans and GICs.

3.80% interest for balances under $5,000,000, and 0.50% interest for balances $5,000,000.01 and over.
Interest is calculated on the daily closing balance at the applicable rate tier and paid on the last day of the month, for the period beginning on the last day of the previous month and ending on the second last day of the month.
No monthly fee.
No minimum balance is required.
Unlimited transfers between accounts.
Free deposits.
Withdrawals can be deposited into a Motive Savings or Motive Chequing account, a no-fee chequing account that earns interest.
Manage your money by phone, through online banking and a mobile app.
2 free transactions per month.
Service fees are listed online.
Eligible for CDIC deposit insurance.
Motive Financial products are not available to Québec residents.

Oaken Savings Account

Interest Rate

3.40%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

This fee-free savings account has a high interest rate, no minimum balance and works easily with Oaken GICs.
Oaken Financial is backed by Home Bank and powered by Home Trust Company and offers a digital app and online banking services for HISAs and GICs.

3.40% interest rate.
No monthly fees.
Transfer money from your account to an Oaken GIC, or transfer your GIC’s matured balances or interest payments to your savings account.
Automatic contributions are available.
Free and unlimited transactions.
Service fees are limited to optional costs, like a $2 paper statement (e-statements are free and made available automatically).
No minimum balance.
Access your money immediately by transferring it to a linked account or using free and unlimited e-Transfer.
Choose either Home Bank or Home Trust Company as the issuer for each account, both of which are members of CDIC.

The best online TFSA HISAs in Canada

Tangerine Tax-Free Savings Account

Interest Rate

5.00%

To earn the promotional interest rate: Become a new client online by March 30, 2023, using the promo code EARNMORE. Open your first eligible Savings Account and Chequing Account within 30 days, and you’ll earn 5.00% interest in your Savings Account for five months. Then, open a TFSA as a second Savings Account (RSPs, RIFs and US$ Savings Accounts are also eligible) and you’ll get 5.00% interest on those Savings, too – up to $1,000,000 for each Account Type. For these subsequent Accounts, this rate will apply for five months from the day you started earning 5.00% interest in your first eligible Savings Account. Regular rate: 1.00%, no minimum balance required.

Promotional rate
Bonus Offer

Up to $400

To earn the $400 Bonus, Open your first Savings Account and Chequing Account within 30 days of becoming a Client. Activate your Client Card and start earning your Bonus. Use your Client Card for online purchases and online bill payments to earn 20% cash back on Eligible Transactions for 60 days.
Monthly Fee

$0

This flexible, no-fee TFSA comes with a generous promotional offer that will earn you cash and a high rate of return for five months.
Tangerine is a subsidiary of Scotiabank and offers chequing and savings accounts, GICS, registered accounts, credit cards, mortgages, loans and investment products. Read our review of Tangerine for more information.

To earn 5.00% and get a $400 cash Bonus:
Become a new client online by March 30, 2023, using the promo code EARNMORE. Open your first eligible Savings Account and Chequing Account within 30 days, and you’ll earn 5.00% interest in your Savings Account for five months. Then, open a TFSA as a second Savings Account (RSPs, RIFs and US$ Savings Accounts are also eligible) and you’ll get 5.00% interest on those Savings, too – up to $1,000,000 for each Account Type. For these subsequent Accounts, this rate will apply for five months from the day you started earning 4% interest in your first eligible Savings Account.
To earn the $400 Bonus, Open your first Savings Account and Chequing Account within 30 days of becoming a Client. Activate your Client Card and start earning your Bonus. Use your Client Card for online purchases and online bill payments to earn 20% cash back on Eligible Transactions for 60 days. Full promotional offer details are listed online.
5.00% promo interest rate and 1.00% regular interest rate.
No monthly fee.
Automated savings program available.
Manage your money by phone, through online banking and a mobile app.
Other Tangerine TFSA investment options include Tax-Free GICs, available in 90-day to 5-year terms, and investment accounts and portfolios.
Service fees are listed online.
Deposits and withdrawals are free.
$50 fee to transfer your TFSA to another bank (transferring in another TFSA is free).
No minimum balance is required.
Eligible for CDIC deposit insurance.

AcceleRate Variable Tax-Free Savings Account

Interest Rate

3.55%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

This online-only high-interest TFSA features a competitive rate, access to registered GICs, and minimal service fees.
AcceleRate Financial is an online division of Manitoba’s Access Credit Union and offers savings accounts, GICs, TFSAs, Registered Retirement Savings Plans (RRSPs), and Registered Retirement Income Funds (RRIFs).

3.55% variable interest rate. Interest is calculated on the daily closing balance and paid annually on December 31.
No monthly fee.
To open this account, you must agree to become a member of Access Credit Union, which includes a complimentary $5 share. That share is forfeited upon cancellation of membership.
Start saving to reach the $1,000 minimum needed to invest in an AcceleRate TFSA GIC, which may earn even higher rates.
Manage your money by phone, through online banking and a mobile app.
Other TFSA investment options include the AcceleRate TFSA GIC, available in one to seven-year terms.
Service fees are listed online.
$50 fee to transfer your TFSA to another bank (transferring in another TFSA is free).
$10 fee to close the account within three months of opening.
No minimum balance is required.
Eligible for Deposit Guarantee Corporation of Manitoba deposit insurance.

Hubert Financial High Interest Tax-free Savings Account

Interest Rate

3.55%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

This high-interest and no-fee TFSA gives you access to term deposits and VirtualWealth online investment accounts.
Hubert Financial is the online division of Sunova Credit Union and offers a high-interest savings account, term deposits, registered plans, a credit card and VirtualWealth investing.

3.55% variable interest rate. Interest is calculated daily, paid monthly.
No monthly fee.
To open this account, you must become a member of Sunova Credit Union, which requires a $5 share. Your share is considered an investment and is fully refundable should you cancel your membership.
Use this TFSA to save $1,000 and open a higher rate tax-free one-year term deposit that is redeemable quarterly.
Manage your money by phone, through online banking and a mobile app.
Other Hubert TFSA investment options include TFSA term deposits, available in one-year quarterly redeemable terms to five-year non-redeemable terms, and VirtualWealth online investment accounts.
No transaction or service fees, except for wire transfers and a $25 fee for accounts that are inactive for six months with a balance under $1,000.
No minimum balance is required.
Eligible for Deposit Guarantee Corporation of Manitoba deposit insurance.
Hubert Financial is not available to Québec residents.Hubert’s Happy Savings TFSA HISA

Peoples Group Tax-Free Savings Account

Interest Rate

3.00%

$1,000 opening deposit required
Bonus Offer

N/A
Monthly Fee

$0

The competitive interest rate of this no-fee and low-fuss TFSA makes it a great place to park your money, even though it lacks a mobile app and some of the other contemporary features of its competitors.
Peoples Trust and Peoples Bank of Canada are subsidiaries of the Peoples Group. Peoples Trust offers savings accounts, registered and non-registered GICs, and mortgage and lending services.

3.00% variable interest rate. Interest is calculated daily and paid monthly. $1,000 initial minimum deposit is required.
No monthly fee.
Withdraw funds and make contributions at any time.
Ability to designate a successor holder or a beneficiary.
Other Peoples Trust TFSA investment options include a non-redeemable Tax-Free Savings Account GIC, available in one to five-year terms.
Service fees are listed online.
No fee to transfer TFSAs to or from another financial institution.
Eligible for CDIC deposit insurance.

Ideal Savings TFSA

Interest Rate

3.75%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

Ideal savings is a high-interest savings account with no maintenance fee account and a 100% deposit guaranteed.
Ideal Savings is an online division of Carpathia Credit Union Limited and offers high-interest savings, a U.S. dollar savings account, GICs and tax-free savings accounts.

There’s no minimum balance required to start earning with this account.
Interest will be calculated on the closing daily balance and paid out at the end of each month.
Keep track of your funds through online banking and maintain peace of mind.
24/7 accessibility helps you withdraw your funds without penalty at any time or pay your bills online.
Three free Automatic Fund Transfers (AFT) per month
No monthly maintenance fee on the account makes it a smart choice for everyday savings and a resourceful place to park funds you’re saving for the short term while contemplating your next move.
All funds on deposit with Ideal Savings are guaranteed without limit by the Deposit Guarantee Corporation of Manitoba.

The best online RRSP HISAs in Canada

AcceleRate Variable RRSP

Interest Rate

3.55%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

This online-only high-interest RRSP features a competitive rate and the ability to set up spousal RRSPs.
AcceleRate Financial is an online division of Manitoba’s Access Credit Union and offers savings accounts, GICs, TFSAs, Registered Retirement Savings Plans (RRSPs), and Registered Retirement Income Funds (RRIFs).

3.55% variable interest rate. Interest is calculated on the daily closing balance and paid annually on December 31.
No monthly fee.
To open this account, you must agree to become a member of Access Credit Union, which includes a complimentary $5 share. That share is forfeited upon cancellation of membership.
Start saving to reach the $1,000 minimum needed to invest in an AcceleRate RRSP GIC, which may earn even higher rates.
Manage your money by phone, through online banking and a mobile app.
Make automatic transfers from other financial institutions ($25 minimum).
Other AcceleRate Financial RRSP investment options include spousal RRSPs and the AcceleRate RRSP GIC, available in one to seven-year terms.
TFSAs and RRIFS are also available.
Service fees are listed online.
$50 fee to transfer your RRSP to another bank, (transferring in another RRSP is free).
$10 fee to close the account within three months of opening.
No minimum balance is required.
Eligible for Deposit Guarantee Corporation of Manitoba deposit insurance.

Motive RRSP Savings Account

Interest Rate

2.60%

Earn 0.25% interest for $0-$2,500 balances, and 2.60% for balances $2,500.01 and over.

With $2,500.01 minimum balance
Bonus Offer

N/A
Monthly Fee

$0

Earn interest at a competitive rate on this no-fee and no-minimum balance high-interest RRSP.
Motive Financial is an online division of Canadian Western Bank and offers chequing and savings accounts, registered plans and GICs.

Interest is calculated on the daily closing balance at the applicable rate tier and paid on the last day of the month, for the period beginning on the last day of the previous month and ending on the second last day of the month.
No monthly fee.
No minimum contribution.
Manage your money by phone, through online banking and a mobile app.
Other RRSP investment options include the Motive® RRSP GIC, available in one to 10-year terms.
Service fees are listed online.
Free withdrawals and deposits.
$50 fee to transfer your RRSP to another bank (transferring in another is free).
$50 fee to close the account within one year of opening.
No minimum balance is required.
Eligible for CDIC deposit insurance.
Motive Financial products are not available to Québec residents.

Achieva Financial RRSP Savings Account

Interest Rate

3.40%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

This online-only high-interest RRSP features a competitive rate and the ability to set up spousal RRSPs.
AcceleRate Financial is an online division of Manitoba’s Access Credit Union and offers savings accounts, GICs, TFSAs, Registered Retirement Savings Plans (RRSPs), and Registered Retirement Income Funds (RRIFs).

3.40% variable interest rate. Interest is calculated on the daily closing balance and added to the principal on the last day of each month.
No monthly fee.
To open this account, you must agree to become a member of Cambrian Credit Union Limited, which requires a $5 share. Your share is considered an investment and is fully refundable should you decide to cancel your membership.
Earn $1 per month when you choose electronic documents.
Ability to set up recurring contributions.
Manage your money by phone, through online banking and a mobile app.
Other Achieva RRSP investment options include spousal RRSPs, RRSP GICS, available in one to five-year terms, and Qtrade Direct Investing online investment accounts.
TFSAs, RRIFs, Locked-In Retirement Accounts (LIRAs) and Life Income Funds (LIFs) are also available.
Service fees are listed online.
$15 fee to close the account within six months of opening.
No minimum balance is required.
Eligible for Deposit Guarantee Corporation of Manitoba deposit insurance.

MAXA Financial RRSP Savings

Interest Rate

3.35%

No minimum balance required
Bonus Offer

N/A
Monthly Fee

$0

This High-Interest Savings Account offers competitive rates, the convenience of no minimum balance and added savings through zero monthly fee.
MAXA Financial is an operating division of Westoba Credit Union Ltd. and offers a high-interest savings account, GICs, and TFSA, RRSP and RRIF products.

The High-Interest Savings Account offers exceptional rates with the convenience and flexibility to make meeting your financial goals easy.
Deposits are guaranteed 100% by Deposit Guarantee Corporation of Manitoba.
No minimum balance is required.
No monthly maintenance fee.
Interest is calculated on the daily closing balance and paid monthly.
MAXA MemberCard for ATM and Point-of-Sale transactions.
Account information is available online or by phone.
Contributions can be easily transferred from your MAXA High-Interest Savings account online or by phone.
You can set up recurring transfers from your MAXA High-Interest Savings account online or by phone.

Summary of our selections

Best online HISAs
- Simplii Financial™ High Interest Savings Account
- Tangerine Savings Account
- motusbank High Interest Savings Account
- Motive Savvy Savings Account
- Oaken Savings Account
Best online TFSA HISAs
- Tangerine Tax-Free Savings Account
- AcceleRate Variable Tax-Free Savings Account
- Hubert Financial High Interest Tax-free Savings Account
- Peoples Group Tax-Free Savings Account
- Ideal Savings TFSA
Best online RRSP HISAs
- AcceleRate Variable RRSP
- Motive RRSP Savings Account
- Achieva Financial RRSP Savings Account
- MAXA Financial RRSP Savings

Methodology

NerdWallet Canada selects the best online savings accounts based on several criteria including annual percentage yields, minimum balances, fees, digital experience and more. Only savings accounts from online-only banks that are available in more than one province are considered for this list.

Things to know about online savings accounts

By Barry Choi

Opening a savings account online is nothing new since many traditional financial institutions offer digital banking. But online-only banks are far from traditional, and the savings accounts they offer are different in some important ways. Understanding the difference matters since it can mean more money in your account.

What is an online savings account?

When Canadians talk about online savings accounts, they’re usually referring to savings accounts offered by online-only banks. These virtual banks were introduced to the Canadian market more than two decades ago and were appealing due to the high interest rates that they offered.

These days, there are more digital banks in Canada and interest rates have dropped, but the debate about which online savings account is the best continues.

Basically, an online savings account is just a bank account that you can only access digitally. As in, the bank has no physical branches. Almost all transactions and customer service requests are done online or by phone.

The appeal of online savings accounts is the much lower fees (usually no fees). Since there are fewer overhead costs for these banks, the savings are passed on to consumers in the form of higher interest rates and fewer fees.

» LEARN: How free and no-fee bank accounts can help save you money

Types of online savings accounts

The types of online savings accounts available will depend on which financial institution you’re using. Generally speaking, the following are the most common types of accounts:

High-interest savings account (HISA), personal account
HISA, joint account
Hybrid accounts, which combine chequing account privileges with a HISA interest rate
TFSA savings account
RRSP savings account
US dollar savings account

» DISCOVER: How to make a joint bank account work for you

What to expect from online savings accounts

Interest rates

Online savings account interest rates can fluctuate quite a bit as they’re tied to the Bank of Canada’s overnight rate. In the last few years, interest rates for most online bank accounts have fluctuated between 1% to 3%. While that may not seem like a high interest rate, it’s significantly higher than the standard rate offered by bricks-and-mortar savings accounts.

Online savings accounts may offer an even higher promotional interest rate for certain customers, which will be applied for a limited time.

The interest you earn is usually presented as an annual percentage yield, but the interest is usually calculated daily and paid back into the account monthly. This compounding interest will help your savings grow faster.

Just remember, interest rates are subject to change without notice, so make sure to check your account statements so you know how much you’re actually earning.

» MORE: How does compound interest work?

What you get with an online-only bank account

The features offered by your online-only bank will differ depending on where you have things set up, but it’s common to see the following:

No monthly fees.
No minimum balance requirement.
Free bill payments.
Free electronic fund transfers.
International transfers.
The ability to direct deposit.
The ability to link your account to a bricks-and-mortar account.

Note that not all of these features may be available with an online savings account. But some digital banks also offer chequing accounts, physical cheques, guaranteed investment certificates, credit cards, and debit cards.

What you don’t get with an online-only bank account

Since digital banks operate almost exclusively online, you likely won’t get anything that would normally happen in-person at a bricks-and-mortar location such as:

Face-to-face customer service.
Immediate access to cash if you don’t have a debit card.
Immediate access to bank drafts.
A safety deposit box.
Access to investment advisors.
Access to a wide range of banking services.
Currency exchange services.

Examples of online-only financial institutions

When looking for the best online savings accounts, you’ll get a lot of choices in Canada. Some of the most popular online-only financial institutions include:

Alterna Bank
Canadian Tire Financial
EQ Bank
KOHO
LBC Digital
Motive Financial
motusbank
Neo
Oaken Financial
PC Financial
Simplii Financial
Tangerine

Online-only banks offer similar services and interest rates, but specific features vary. The main point is that they usually pay more interest than brick-and-mortar banks.

Online-only banks that are a division of a traditional bank

What some people may not realize is that many traditional banks own online-only banks. For example:

Scotiabank owns Tangerine
Canadian Imperial Bank of Commerce owns Simplii Financial
Median Credit Union owns Motusbank
Home Trust owns Oaken Financial
Laurentian Bank of Canada owns LBC Digital

Even though a major financial institutions own digital banks, they operate as separate entities. That said, they do share resources at times. For example, if you’re a Tangerine customer, you can use Scotiabank ATMs to access cash immediately. However, you wouldn’t be able to walk into a Scotiabank branch to get customer service.

While it may seem odd for traditional banks to also own online-only banks, it’s a smart move. Online banks have built up a huge customer base over the years. Many of these people use online banks exclusively. By acquiring or creating an online bank, traditional banks get access to these customers. They can send them targeted offers or create new products based on collected data.

» Ready for a new bank?: Here’s how to make the switch

How to choose an online savings account

Choosing the best online savings account can be difficult since they can share many similarities. That said, there are a few things to look out for:

The interest rate. Generally speaking, most people will sign up for whichever online savings account offers the best interest rate. They’re also not afraid to transfer their money to another bank if there’s a better offer.
Bonus offer interest rate. Some online-only banks offer a higher interest rate during a promotional period.
Debit card availability. Some customers prefer to go with an online bank that gives you a debit card so you can access cash from an ATM as you need it.
Brand name and reliability. Although all online banks are safe and secure with some sort of deposit insurance, some people will prefer to use an online-only bank that’s owned by a bricks-and-mortar financial institution.
Referral bonus. Some online savings account providers may give you a bonus when you sign up with a referral link. You could then refer your friends where you’d both get a bonus.

How to open an online savings account

Opening an online savings account is easy. You just need to meet the following eligibility requirements before you get started:

You must be a Canadian resident.
You must be the age of majority in the province or territory where you reside.
You must have a Social Insurance Number.

Some online banks will also ask you to verify your identity by providing an image of your government-issued ID.

With all of that in hand, you would go to the website of the online bank you want to join to set up your accounts. Note that it could take a few days to verify all of your information. It also takes a few days if you’re going to link any external bank accounts to your new online bank account.

» Keep your information safe: How to avoid identity theft

How to use an online savings account

How you use your online savings account will depend on your personal preferences. Some people will choose to maintain just one account, while others may open up multiple savings accounts — within the same bank or at different banks. They might have different accounts for a home down payment, vacations, and an emergency fund, for example.

If you need to withdraw funds from your online savings account, or move it between bank accounts, it should be fairly easy to do via the website or app, just make sure you’re aware of any transaction limits or fees that may be charged.

» Make the most of what you earn: How to save money in 8 easy steps

Online savings accounts pay more interest compared to brick-and-mortar savings accounts. Plus, online banks typically charge no fees, so there’s no reason not to sign up. Think of online banks as a complement to your existing bank account. In some cases, it could be a suitable replacement.

When referring to an online savings account or high interest savings accounts, most Canadians will associate them with virtual banks.

Savings accounts available at brick-and-mortar financial institutions are just another type of bank account available to you.

» MORE: Canada’s 9 Best High-Interest Savings Accounts of 2021

Online-only banking is very similar to an online banking account with a bricks-and-mortar financial institution. The major difference is that online-only banks have no physical branches, though some online-only banks may have a few physical offices.

Online-only banking still allows you to accept direct deposits, pay bills, and transfer funds. You just need to do it online on your computer or via a mobile device.

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