Access to basic banking is a right in Canada. Under the Bank Act and federal financial consumer protection rules, federally regulated banks must open a personal deposit account for anyone who presents valid identification — regardless of their credit history or past banking problems. You cannot be refused a basic chequing account at a Big Six bank simply because of bad credit.
That said, many Canadians don't know this, and others want accounts with added features like no fees, cash back, or credit-building tools. This guide covers your options.
Under the Financial Consumer Agency of Canada (FCAC) rules, all federally regulated banks must open a Low-Cost Basic Account for anyone who:
The basic account typically has a monthly fee under $5 and provides a debit card, access to deposits, and bill payments. It does not include an overdraft or credit products.
KOHO is a prepaid Visa and spending account with no credit check, no monthly fees on the base plan, and no minimum balance. Uniquely, KOHO's Credit Building feature (add-on, $7/month) reports to Equifax monthly, actively improving your credit score while you bank normally. Used by hundreds of thousands of Canadians rebuilding their finances.
No monthly fee chequing account from a major bank's online division. No credit check to open. Unlimited transactions. Interac e-Transfer included. CDIC insured.
Free chequing and savings accounts. No credit check required. Online and mobile banking. Earns interest on savings. CDIC insured.
High-interest savings account with no fees and no minimum balance. Excellent interest rates. No credit check. Primarily a savings vehicle but also used as a primary account by many Canadians.
Free banking with no minimum balance and PC points on eligible purchases. No credit check required. Available through Loblaw/PC network.
| Account | Monthly Fee | Credit Check | Credit Building |
|---|---|---|---|
| KOHO (base) | $0 | No | Yes ($7/mo add-on) |
| Simplii Financial | $0 | No | No |
| Tangerine | $0 | No | No |
| EQ Bank | $0 | No | No |
| PC Financial | $0 | No | No |
ChexSystems is a US banking report system — it does not apply in Canada. Canadian banks do not use ChexSystems. If you've had a US banking problem, it won't affect your Canadian banking access. Canadian banks may check internal records for previous accounts held with them, but they don't share a centralized negative banking database the way ChexSystems works in the US.
If you're new to Canada and have no Canadian credit history, the same rules apply — banks must open accounts with valid ID. Many banks also offer "newcomer" banking packages with added perks. KOHO is particularly popular with newcomers because it has no credit check, no fees, and the Credit Building feature helps establish a Canadian credit file quickly.
KOHO's Credit Building feature reports to Equifax monthly for just $7/month. Combined with no monthly banking fees, it's the smartest way to rebuild your credit score while getting your finances on track. Use code 45ET55JSYA for a bonus.
Get KOHO + Credit Building — Code 45ET55JSYAA standard bank account (chequing or savings) does not appear on your credit report and does not directly affect your credit score. However:
If rebuilding credit is important to you, pair a free account with a secured credit card or KOHO Credit Building to actively build your file.