KOHO vs Wealthsimple Cash: At a Glance
Both KOHO and Wealthsimple Cash are popular no-fee digital banking accounts in Canada targeting younger, financially-savvy Canadians who are tired of paying Big Six bank fees. But they have different strengths. KOHO is built around everyday spending with strong cash back rewards and tiered plan options, while Wealthsimple Cash offers a high-interest savings component and tight integration with the broader Wealthsimple investing ecosystem.
This comparison digs deep into every fee, feature, and quirk of both accounts as of 2026 so you can make the right choice for your situation.
🏆 Winner Verdict
KOHO wins for everyday spending. If you use your account for groceries, bills, and transit, KOHO's cash back will put real money back in your pocket every month — with no fee required on the Essential plan. The credit building add-on is also a major differentiator: no other free Canadian bank account lets you build your credit score while spending normally.
Wealthsimple Cash wins for high-interest savings, especially if you already use Wealthsimple for investing. The up to 4% interest rate on uninvested cash is hard to beat — but it requires a Premium subscription or significant assets under management.
Bottom line: Most Canadians should start with KOHO for daily spending and potentially pair it with a dedicated HISA or Wealthsimple for savings.
Who Should Choose KOHO?
KOHO is the right choice if you want cash back on everyday purchases, are building or rebuilding credit, or want a free account with no hidden fees that acts as your primary spending card. It's especially good for young Canadians, newcomers, and people working to improve their credit scores.
The Essential plan (free) covers most needs. Upgrade to Extra ($9/month) for higher cash back and KOHO Cover, or Everything ($19/month) for no FX fees and the metal card.
Who Should Choose Wealthsimple Cash?
Wealthsimple Cash makes most sense if you're already in the Wealthsimple ecosystem (using their investment accounts or Wealthsimple Trade). The biggest draw is the high-interest rate on uninvested cash — if you keep significant balances, the interest earned can far outweigh any cash back from KOHO. It's also excellent for travel due to zero FX fees.
KOHO Plan Breakdown (2026)
KOHO Essential (Free): No monthly fee, Visa prepaid card, 1% cash back on groceries and transportation, 0.5% on everything else, savings goals, instant notifications.
KOHO Extra ($9/month): Everything in Essential plus higher cash back rates, KOHO Cover (small overdraft protection), and cash back on more categories.
KOHO Everything ($19/month): No foreign exchange fees, highest cash back tier, premium metal card, priority customer support.
Credit Building Add-on ($7–10/month): Reports to Equifax, builds your credit history without a hard check. Works with any KOHO plan.
How to Switch to KOHO from Wealthsimple (or Any Bank)
Frequently Asked Questions
Is KOHO better than Wealthsimple Cash?
For everyday spending and cash back, yes. KOHO's 1% cash back on groceries and 0.5% on everything else beats Wealthsimple's 0% cash back. However, Wealthsimple Cash offers superior interest rates on uninvested cash balances.
Is KOHO a real bank account?
KOHO is a prepaid Visa card, not a traditional bank account. However, your funds are held with Peoples Bank of Canada and are CDIC insured. You get a transit number, institution number, and account number for direct deposit.
Can I use KOHO for international travel?
Yes, but the Essential plan charges a 1.5% foreign transaction fee. Upgrade to KOHO Everything ($19/month) for zero FX fees, or consider pairing KOHO with a no-FX credit card for travel.
Does Wealthsimple Cash have cash back?
No. Wealthsimple Cash does not offer cash back on purchases. Its main benefit is high-interest savings integration, not spending rewards.