RBC is Canada's largest bank with over 150 years of history. KOHO is a Canadian fintech launched in 2017 that offers free banking with cashback rewards. These two institutions represent two very different philosophies about what banking should look and cost. This comparison helps you understand exactly what you gain and give up by choosing one over the other — or by using both.
This is the most obvious comparison point:
Over 10 years, that's a potential $2,000+ difference in banking fees for the same basic daily transaction capabilities. KOHO Extra ($9/month) and KOHO Everything ($19/month) add features like higher cashback, credit building, and financial coaching — but even KOHO Everything is comparable in price to RBC while offering different benefits.
KOHO earns cashback on everyday purchases:
RBC's standard chequing account does not earn cashback on debit purchases. To earn RBC rewards on spending, you need an RBC credit card — which charges its own annual fee for the best rewards cards. KOHO's debit cashback is rare and genuinely valuable for groceries and restaurant spending.
RBC has 1,300+ branches and 4,400+ ATMs across Canada. KOHO has zero physical branches. For Canadians who need to:
...RBC's physical presence is a meaningful advantage. For the majority of Canadians who do most banking digitally, KOHO's lack of branches is a minor inconvenience.
KOHO does not offer mortgages. RBC is one of Canada's largest mortgage lenders with a full range of fixed, variable, and flexible mortgage products. If home ownership is in your future or present, you'll need a relationship with a bank or mortgage lender. RBC's banking relationship can sometimes help in mortgage negotiations, though your actual mortgage rate will depend on your financial profile, not your chequing account type.
KOHO does not offer RRSP, TFSA, or investment accounts. RBC offers RBC Direct Investing (self-directed), RBC InvestEase (robo-advisor), and full wealth management services. For Canadians who want to keep all financial services at one institution, RBC provides an ecosystem that KOHO cannot match.
KOHO's Earn Interest feature (on KOHO Extra and Everything plans) provides competitive interest rates on savings. KOHO's Automatic Savings tool rounds up purchases and moves spare change into savings automatically. RBC's standard savings rate is significantly lower than online alternatives, though RBC's NOMI financial tool is a sophisticated AI savings assistant that KOHO's simpler tools don't fully match.
KOHO offers a Credit Building feature for $7/month that helps Canadians establish or improve their credit score by reporting on-time payments to credit bureaus — without requiring a traditional credit card or loan. This is particularly valuable for new Canadians, young adults without credit history, or those rebuilding after financial difficulties. RBC helps build credit through its credit card products, which require approval based on existing credit history.
RBC is a Big 5 bank and CDIC member. KOHO partners with Peoples Trust Company (a CDIC member) to hold client deposits, meaning KOHO balances are protected by CDIC insurance up to $100,000. Both institutions use bank-grade encryption. KOHO's prepaid model means you can only spend what's in your account — it's impossible to go into traditional overdraft with KOHO, which some users consider a security feature.
KOHO's app is clean, modern, and built mobile-first. Spending analytics, budgeting tools, savings automation, and cashback tracking are all presented in an intuitive interface. RBC's app is more feature-rich and integrates with a much broader product ecosystem, but KOHO's UI/UX for the daily banking experience is generally considered more enjoyable. For users who primarily care about their spending and saving habits, KOHO's app is the better daily tool.
RBC offers in-person, phone, and chat service with 24/7 telephone banking. KOHO offers chat and email support with no physical locations. RBC's service is more comprehensive for complex issues but can involve long wait times. KOHO's service is efficient for straightforward issues but limited for complex banking needs.
Many Canadians find the best solution is using both RBC and KOHO for different purposes:
Opening a KOHO account takes 5 minutes and is free. There's no reason you can't maintain a minimal RBC account for the products that require a big bank while routing daily spending through KOHO to earn cashback and avoid fees.
KOHO offers free banking with no monthly fees and no minimum balance — available to all Canadians. Use code 45ET55JSYA for a bonus when you sign up.
Open KOHO Free — No Fees — Code 45ET55JSYARBC alone makes sense if you consistently maintain the $4,000 minimum balance to waive fees, you heavily use in-branch services, and you want everything — banking, mortgages, investing — at one institution. Under these conditions, RBC's fee waiver eliminates the cost disadvantage.
KOHO alone works best for Canadians who rent (no mortgage needed), don't need self-directed investing, are comfortable with 100% digital banking, and primarily want to minimize fees and earn cashback. Young Canadians early in their financial journey often find KOHO meets all their current needs at zero cost.
KOHO wins for everyday banking in 2025 — it's free, earns cashback, and delivers a superior daily banking experience. RBC wins for the breadth of financial products, particularly mortgages, investing, and complex banking. The right answer for most Canadians is not "RBC or KOHO" but rather "KOHO for daily banking AND RBC when you need it." The cost of maintaining an RBC account without using it daily versus the cashback and fee savings of KOHO for everyday spending makes the hybrid approach financially optimal for the majority of Canadian bank customers.