Canada's most-loved free bank — detailed breakdown of every plan, feature, and fee
Best free bank in Canada. Zero monthly fees, cash back on every purchase, CDIC-insured, and genuinely useful savings tools. Over 1 million Canadians agree.
After reviewing every Canadian online bank, KOHO is our #1 pick for everyday banking. Free forever, cash back on purchases, no hidden fees. Over 1 million Canadians use it.
Get KOHO Free — Code 45ET55JSYAKOHO is a Canadian fintech company founded in 2017 by Daniel Eberhard. It operates as a neobank — a digital-only financial app with no physical branches. KOHO isn't technically a bank itself; instead, it partners with Peoples Trust Company (a CDIC member) to hold your deposits securely. This structure means your money is CDIC-insured for up to $100,000.
Since launching, KOHO has grown to over 1 million active users, making it Canada's largest independent neobank. The company has raised over $300 million in funding and continues to expand its product suite beyond basic banking.
KOHO's Credit Building feature is one of its most unique offerings. For $10/month, KOHO sets aside a small amount of your own money as a "loan" that gets reported to Equifax and TransUnion. As you make on-time payments, your credit score improves — without the risk of actual debt.
This is particularly valuable for newcomers to Canada, students, or anyone recovering from a damaged credit score. Most secured credit cards charge annual fees of $59–$120 for similar credit-building benefits. At $10/month, KOHO Credit Building is competitively priced and far simpler to use.
Every time you spend with your KOHO card — online, in-store, or internationally — you get an instant push notification. This makes it trivially easy to catch fraud immediately. Traditional banks often take hours or even days to show transactions in their apps.
KOHO's Roundups feature automatically rounds up every purchase to the nearest dollar (or $2, $5 — you choose) and moves the difference into your savings. Buy a coffee for $4.75, and $0.25 goes into savings automatically. Over a month, this can add up to $20–$50 in effortless savings.
Vaults are savings goals within your KOHO account. Name them whatever you want — vacation, new laptop, emergency fund — and set a target amount. KOHO keeps your savings visually separate from your spending balance so you're not tempted to dip in.
KOHO allows two people to share an account, making it ideal for couples managing shared expenses without the complexity of joint bank accounts at traditional banks.
| Feature | KOHO Essential | RBC Signature No Limit | TD All-Inclusive |
|---|---|---|---|
| Monthly Fee | $0 | $16.95 | $29.95 |
| Cash Back | 0.5% on all purchases | None | None |
| Savings Rate | Up to 3% | 0.01% | 0.01% |
| Instant Notifications | Yes | Delayed | Delayed |
| CDIC Insured | Yes (Peoples Trust) | Yes (RBC) | Yes (TD) |
| Annual Cost | $0 | $203.40 | $359.40 |
KOHO is not a bank itself, but your funds are held by Peoples Trust Company — a federally regulated financial institution and full CDIC member since 1985. This means:
KOHO earns our Editor's Choice because it genuinely delivers on its promise: zero fees, real cash back, and tools that help you spend smarter and save more. The free Essential plan is better than most paid accounts at traditional banks. The Credit Building feature is a standout — one of the simplest and most affordable ways to build a Canadian credit score without taking on real debt risk.
After reviewing every Canadian online bank, KOHO is our #1 pick for everyday banking. Free forever, cash back on purchases, no hidden fees. Over 1 million Canadians use it.
Get KOHO Free — Code 45ET55JSYARelated: Best Online Banks 2026 | Neobank Guide | CDIC Insurance | How to Switch Banks | Best HISA 2026