EQ Bank Review: High Interest For The Savvy Saver

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EQ Bank is an online bank offering highly competitive interest rates on savings and GICs. The EQ Bank Savings Plus account currently boasts a 2.30%* everyday interest rate. In this EQ Bank Review, we’ll go over everything you need to know about this online bank!

But your EQ Bank Savings Plus Account can be used for more than just savings. With no fees, unlimited bill pay, and unlimited Interac e-Transfers®, EQ Bank is actually a great place to do a lot of your regular banking!

EQ Bank Review

A 100% honest EQ Bank Review

Many people have questions about EQ Bank because it’s a fairly new face on the Canadian online banking scene. However, they have a longer history than you might think! They also offer some of the best savings accounts available to Canadians.

EQ Bank is currently offering a 2.30%* everyday interest rate on their EQ Bank Savings Plus Account. This is one of the highest interest rates currently available from a Canadian bank. Best of all? It’s NOT too good to be true. EQ Bank is the real deal and a great place to stash some savings.

While these rates are subject to change, they’re not promotional rates. I’ve had my account with EQ Bank for more than a year and I’ve been getting that awesome interest rate for the entire time. Since Bank of Canada recently raised interest rates, it’s possible they might get even better!

Is EQ Bank legit?

EQ Bank is definitely legit. The super high-interest rates on savings accounts and GICs make EQ Bank seem too good to be true, but they’re definitely for real. I’ve been banking with EQ Bank for years, and they’ve been nothing but awesome the whole time!

EQ Bank Review

All of the features offered by your EQ Bank Savings Plus Account

Is EQ Bank covered by CDIC?

Yes! Equitable Bank is a member of CDIC, which means your deposits with Equitable Bank and EQ Bank are eligible for deposit insurance from the CDIC. 

Who owns EQ Bank?

EQ Bank is a trademark of Equitable Bank. Equitable Bank has been around since 1970 and has over 800 employees with $32 billion under management. From this, you can tell that EQ Bank isn’t quite as “new” as they appear! With over four decades in the Canadian finance industry, Equitable Bank is an experienced player, even if EQ Bank is new.

As you can see, EQ Bank is a very safe place to put your money.

EQ Bank Savings Plus Account Review

The EQ Bank Savings Plus Account currently boasts a 2.30%* everyday interest rate. This is one of the highest interest rates available on savings accounts in Canada. Furthermore, the EQ Bank Savings Plus Account has zero fees, no minimum balance requirements, and unlimited Interac e-Transfers®.

EQ Bank Savings Plus Account

Unsurprisingly, this makes EQ Bank one of the best places to put your savings. Whether you’re looking for a high-interest savings accounts to tuck your Emergency Fund, or you’re saving for a big purchase like a vacation or a house down payment, this is a great fit.

Can I use EQ Bank for my day-to-day banking?

The EQ Bank Savings Plus Account is a savings account that functions like a chequing account. You can do most of your everyday banking with EQ Bank. In addition to the high-interest rate and no fees, EQ Bank also offers unlimited bill payments and free day-to-day transactions. 

You can pay any bill that lets you set up online bill pay or will accept an Interac e-Transfers®. This means most expenses from student loan payments, credit cards, utility bills, and even rent can probably be paid from your EQ Bank account!

EQ Bank Review

Is there a debit card?

There is no debit card for your EQ Bank Savings Plus Account, and you can’t a virtual card with Apple Pay. This means you’ll still need a no-fee chequing account for your everyday banking. In this case, Tangerine or KOHO are both great complements to fill in the gaps for what EQ Bank can’t provide.

EQ Bank GICs Review

In addition to offering an awesome 2.30%* everyday interest rate on the EQ Bank Savings Plus Account, EQ Bank also provides some killer rates on GICs. GIC stands for Guaranteed Investment Certificate and refers to a fixed-term investment.

EQ Bank offers GICs with terms ranging from 3 months to 5 years. The interest rates on these change frequently, and the best offers are usually promotional rates. It’s worthwhile to keep your eye out for a special offer – I recently got 3.00% on a 3-month GIC!

That said, outside of short-term promotions, EQ Bank does not offer the most competitive GIC rates. If GICs are an integral part of your savings strategy and you want the best rate, just make sure to compare EQ Bank to other banks GICs before you invest.

Does EQ Bank have a TFSA or RRSP?

Sadly, EQ Bank does not currently offer registered accounts like the TFSA, RRSP, or RESP. I know, I know, we all want that killer 2.30%* everyday interest rate on tax-sheltered savings!

The best place to set up a Tax-Free Savings Account (TFSA), Registered Retirement Savings Plan (RRSP), or Registered Education Savings Plan (RESP) is with a robo-advisor or self-directed broker. However, that doesn’t mean EQ Bank doesn’t deserve a spot in your financial plan!

EQ Bank is still a great place to park cash for short to long-term goals. I personally use EQ Bank for my car emergency fund, as well as extra cash I don’t immediately need but don’t want sitting in my chequing account where I might spend it.

Transferring money to EQ Bank

There are a few ways to put money into your EQ Bank account. You can set up direct deposit for part or all of your paycheque to your EQ Bank account. Or you can send yourself an Interac e-Transfers®, or use an electronic funds transfer to an existing external bank account.

EQ Bank Savings Plus Account

One of the things I really like about EQ Bank is that when I initiate a transfer in EQ Bank to deposit money in my EQ Bank account via electronic funds transfer, it starts accumulating interest right away even though it will actually take a few days for those funds to deposit and become available. If you set up a direct deposit to your EQ Bank this will always happen for you and it’s a great way to ensure you don’t miss even a penny of interest.

You can link up to 10 external bank accounts! I don’t know what kind of wild personal finance wizardry you’re doing to have that many bank accounts, but it is nice to know that EQ Bank has your back.

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Making international money transfers using TransferWise

Transferwise is a fast and low-cost way to send money around the world. It provides fast and secure international transfers that keep costs low by using mid-market rates. TransferWise works seamlessly with your EQ Bank Savings Plus Account

Simply add TransferWise as a bill pay on your EQ Bank Savings Plus Account. This will let you send money quickly and directly to your TransferWise account. From there you can transfer it internationally as needed. 90% of TransferWise transfers are completed in less than 24 hours.

TransferWise seeks to make international money transfers cheap, fair, and simple. When you send money with TransferWise, they process the payment by making two local payments instead of one international transfer. Currency is exchanged at the real exchange rate. While EQ Bank is free, TransferWise does charge a fee for their service. You can learn more about Transferwise on their website.

Setting up your savings goals

This EQ Bank review wouldn’t be complete if we didn’t mention one of the best features: savings goals. You can set up a maximum of 4 distinct savings goals to track and maintain. EQ Bank will track your progress, and let you know what percentage you’ve completed so far.EQ Bank Savings Plus Account

I generally recommend everyone have separate savings accounts for separate savings goals. And it’s even better when you keep that savings separate from your everyday banking! EQ Bank is the perfect solution to your savings needs. 

Once you set up your goal it will show up in that account when you click on it, but it will also show up in the little sidebar if you have multiple savings accounts, so you can see right at a glance how much progress you’re making on all your goals.

Does EQ Bank offer credit cards or loans?

EQ Bank currently does not offer any credit products. There is no EQ Bank credit card, line of credit, mortgages, or loan. You also cannot get overdraft for your EQ Bank Savings Plus account.

Remember the focus of EQ Bank is on saving money. They are not a full-service financial institution offering every product you need. EQ Bank wants to help you do one thing and one thing only: save money. And they do it well!

EQ Bank Review

Limitations and downsides of EQ Bank

Other than having no registered accounts like the TFSA or RRSP, there is one major drawback of EQ Bank: they currently do not offer joint accounts.

Right now, EQ Bank is only offering the EQ Bank Savings Plus Accounts for individuals. If you were looking for a place for joint everyday banking or joint savings, this isn’t it. However, it is possible EQ Bank will expand their offering in the future.

How to make the most out of EQ Bank

In conclusion, EQ Bank is an awesome no-fee, high-interest bank that is perfect for short and long-term savings goals. This is where you want to keep savings to get the best interest rate possible. EQ Bank is ideal for savings like a house downpayment, savings for a car, vacation, or other large purchase. The combination of no fees, high interest, and GICs make it the perfect bank for saving.

EQ Bank is a great place to save for…

  • Emergency fund
  • House down payment
  • Vacation savings
  • Baby fund

EQ Bank Savings Plus Account

Final thoughts

I hope you enjoyed this EQ Bank review. And I hope you enjoy EQ Bank as much as I do! Leave a comment below letting me know what you’re saving for, and if there are any other financial reviews you’d like me to do next!

*Interest is calculated daily on the total closing balance and paid monthly. Rates are per
annum and subject to change without notice.

EQ Bank is the best savings bank in Canada!

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EQ Bank is one of the best online Canadian banks. They offer super high interest and let you open multiple savings accounts for all your financial goals!

SIGN NOW and start earning 2.30%* on all your savings.

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About Author

Student debt killer, super saver, and stock market addict. BSc. in Chemistry from the University of Alberta, MBA in Finance from the University of Calgary. CEO x 2 and MOM x 1. Currently residing in Calgary, Alberta, Canada, but hooked on travelling.

4 Comments

  1. How does EQ Bank make money if there are hardly any charges, it offers a high interest rate, and it doesn’t seem to give out loans? I’ve been wondering for a while how that works.

    • EQ Bank is actually by Equitable Bank which has been around for a few decades — and they offer mortgages, loans, etc. So I think EQ Bank does the saving side and Equitable Bank does the lending, so that’s why they’re able to offer such great rates without doing direct consumer lending themselves!

  2. I was interested in trying EQ bank, but their lack of joint accounts was a deal killer for me. May be worth a mention in your article. Hopefully they change this soon.

  3. I love being an EQ customer – have had accounts with them over 2 years for all my short/medium-term savings (vacation fund, annual expenses like home & auto i surance). I even managed to open 8 total sub-accounts with them before they limited it to 4 per customer (they grandfathered mine in, thankfully). It took a few minutes to figure their websites’s pay/transfer function but once that was conquered, it’s been great since.

    My only complaint is that not enough people I know have EQ accounts so I’m unable to do fund transfers using the EQ Connections feature. But the five free Interac transfers have proven handy.

    I know this sounds like a sponsored post but really, It isn’t!