What Is KOHO?
KOHO is a Canadian financial technology company that provides a prepaid reloadable Mastercard paired with a mobile app for spending, saving, and building credit. Founded in 2014 and headquartered in Toronto, KOHO has grown to over 1 million users across Canada. It is not a bank -- funds are held at Peoples Trust Company, which is CDIC-insured -- but it functions as a modern alternative to traditional chequing accounts for everyday spending.
KOHO operates on a prepaid model: you load money onto your card via e-Transfer, direct deposit, or bank transfer, and spend using the Mastercard wherever Mastercard is accepted. There are no overdraft fees because you can only spend what you have loaded. This model appeals to budget-conscious Canadians, students, newcomers, and anyone who wants to avoid the monthly fees charged by traditional banks.
KOHO Plans and Pricing
KOHO offers four tiers in 2026, each adding more cashback and features:
| Plan | Monthly Cost | Cashback | Savings Interest | Key Features |
|---|---|---|---|---|
| Easy (Free) | $0 | 0.5% | 0.5% | Basic spending + savings |
| Essential | $4/mo | 1% | 1.5% | + Financial coaching |
| Extra | $9/mo | 2% | 3% | + Price protection, extended warranty |
| Everything | $19/mo | Up to 5% | 4.5% | + All features, highest rates |
The free Easy plan is sufficient for most users who want the signup bonus and basic cashback. The paid plans make sense for heavy spenders who will earn enough additional cashback to offset the monthly cost. At $9 per month for the Extra plan, you would need to spend at least $600 per month to break even on the additional 1.5% cashback versus the free plan. The Everything plan at $19 per month requires approximately $500 in monthly spending to justify the cost through cashback alone, but the 4.5% savings interest adds significant value for those maintaining a balance.
Cashback Program
KOHO cashback works differently from traditional credit card rewards. Base cashback (0.5% to 5% depending on your plan) is earned on every purchase made with the KOHO Mastercard. In addition, KOHO has partnerships with thousands of Canadian retailers that offer boosted cashback rates -- sometimes 5% to 10% -- when you shop at their locations or through the app. These partner offers rotate regularly and include grocery stores, restaurants, gas stations, and online retailers.
Cashback is credited instantly to your KOHO balance after each transaction. There is no minimum redemption threshold, no points conversion, and no expiry on earned cashback. This simplicity is one of KOHO's strongest advantages over traditional rewards programs that require accumulating points and navigating complex redemption charts.
Credit Building Feature
KOHO's Credit Building feature is one of its most valuable tools, particularly for newcomers to Canada, young adults building credit for the first time, or anyone recovering from credit damage. The feature works by reporting a small monthly payment to Equifax, one of Canada's two major credit bureaus. You set aside a small amount (as little as $7 per month) that KOHO holds as a secured payment and then reports as an on-time payment to Equifax each month.
Over time, this consistent positive reporting builds a credit history and can improve your credit score. The feature costs $7 to $10 per month depending on your plan tier, which is significantly less than secured credit cards that typically require a deposit of $200 to $500. For those with no credit history or a score below 600, KOHO Credit Building is one of the most accessible paths to establishing credit in Canada.
Savings and Interest
KOHO pays interest on your balance at rates ranging from 0.5% (Easy plan) to 4.5% (Everything plan). Interest is calculated daily on your full balance and paid monthly. There are no minimums, no promotional rates that expire, and no conditions beyond maintaining the appropriate plan tier. The 4.5% rate on the Everything plan is competitive with or better than most high-interest savings accounts from Canadian banks, and it applies to the same account you use for spending -- no need to transfer funds to a separate savings account.
KOHO also offers automatic round-up savings, where each purchase is rounded up to the nearest dollar and the difference is set aside in your savings balance. This passive savings feature can accumulate meaningful amounts over time without any conscious effort.
Referral Program
KOHO's referral program is one of the most generous in Canadian fintech. For each friend who signs up using your referral code and makes a qualifying purchase, both the referrer and the new user receive a cash bonus. As of April 2026, the referral bonus is $100 per successful referral with no cap on the number of referrals. This means that referring ten friends would earn $1,000 in bonus cash.
The referral process is straightforward: share your code, the friend signs up and enters the code during registration, the friend loads funds and makes a purchase, and both parties receive the bonus. The qualifying purchase threshold is low -- typically just $20 -- making it easy for referred friends to complete the process.
To get started with KOHO and the referral program, use code 45ET55JSYA at signup.
Pros and Cons
Pros
- No monthly fees on the base plan
- No credit check required
- Instant cashback on every purchase
- $100 per referral with no cap
- Credit building reports to Equifax
- Up to 4.5% interest on savings
- Accepted everywhere Mastercard works
- Instant virtual card for online shopping
- Automatic round-up savings
- No foreign transaction fees on some plans
Cons
- Prepaid model -- not a full bank account
- No cheques or branch access
- Cannot receive wire transfers
- Some employers cannot direct deposit to KOHO
- Paid plans needed for best rates
- Customer support can be slow during peak times
- No joint accounts available
- ATM withdrawals have fees on some plans
Who Should Use KOHO?
KOHO is an excellent fit for several groups of Canadians. Students and young adults benefit from the no-fee structure and credit building. Newcomers to Canada can use KOHO immediately without a Canadian credit history. Budget-conscious spenders appreciate the prepaid model that prevents overspending. Side-hustle earners and freelancers can use KOHO as a dedicated spending account to separate business and personal expenses. And anyone who wants to earn cashback without annual fees or minimum income requirements will find value in the platform.
KOHO is not ideal as a sole banking solution. Without cheque-writing capability, wire transfer reception, and full direct deposit compatibility with all employers, most users will want to maintain a traditional bank account alongside KOHO. The best approach is to use KOHO for everyday spending (to earn cashback) and a traditional bank for receiving pay, paying rent or mortgage, and managing bills.
KOHO vs Traditional Banks
| Feature | KOHO | Big Five Banks |
|---|---|---|
| Monthly Fee | $0 | $4.95 - $32.95 |
| Cashback | 0.5% - 5% | Typically 0% |
| Savings Interest | 0.5% - 4.5% | 0.01% - 0.10% |
| Credit Check | None | Soft or hard pull |
| Branch Access | None | Nationwide |
| Cheques | None | Available |
| Direct Deposit | Most employers | All employers |
| Credit Building | $7-10/mo to Equifax | Requires credit product |
How to Sign Up
- Download the KOHO app from the App Store or Google Play
- Enter your personal information and verify your identity
- Enter referral code 45ET55JSYA when prompted
- Load funds via e-Transfer, direct deposit, or bank transfer
- Make your first purchase of at least $20 to activate the signup bonus
- Receive your physical Mastercard in the mail within 5-10 business days
A virtual card is available immediately upon signup, so you can begin shopping online before the physical card arrives.
Bottom Line
KOHO earns a 4.5 out of 5 rating for 2026. It delivers on its core promises: no-fee spending with instant cashback, competitive savings interest, accessible credit building, and one of the best referral programs in Canada. Its limitations are inherent to the prepaid model and are well-understood by its target audience. For Canadians looking to maximize their everyday spending returns without paying bank fees, KOHO is one of the strongest options available. Sign up with code 45ET55JSYA to claim the signup bonus and start earning $100 per referral.