Banking in Canada is effortless and uncomplicated, as there are very few rules and regulations. Canada’s banking sector is similar to that of the United States of America. Almost all Canadian banks offer online banking accounts to their customers.
Customers can also avail the service of Automated Banking Machines (ABM) all over the country, which is similar to the ATMs in America. These quality banking services has made the life easier for Canadians in terms of handling their bank accounts.
If you are migrating to Canada for any purpose and need to bank, then you will need to open a bank account here. In the long run, you will definitely require a bank account, if you have shifted to Canada for work purposes to deposit your salary. Next, you will again require a bank account for gas, electricity, phone connection, renting or buying an accommodation, and for few other basic requirements, while staying in Canada.
All Canadian Banks are government certified. The Canada Deposit Insurance Corporation (CDIC) is a centralized firm offering depositary cover, and thus providing solidity to the monetary organization. They are involved in these operations, since 1967 and are similar to that of Federal Deposit Insurance Corporation (FDIC) of America.
FDIC differs from CDIC in a way they cover your total cash. FIDC handles individual bank account deposits up to $100,000, whereas CDIC covers around $60,000 individual deposits.
There are many options for opening a bank account in Canada. It is always advisable to ask for help to explore many things. Every bank has different processing fees.
After selecting a bank, visit its nearby branch. Always choose a bank, which offers security, close by in terms of location, and good products. Also, check if any bank is providing some reasonable worthy package, and special concessions for the university or your office. This will be useful, as you will have to pay minimal banking fees to operate your bank account there.
Complete all the required formalities and documentation procedure to open a bank account. Choose the kind of service and facilities you require. Both, temporary and permanent residents need to offer identification proof.
You can offer any two identification proofs recognized by the Government such as Canadian driving license, Social Insurance Card, Passport, or Provincial Health Card. The bank may also ask for any residential proof in the form of any utility bill. If you are an immigrant, then the bank might ask for reference from your firm or university.
You can open a bank account without any prior deposits in Canada. Even those who are unemployed can open an account in the bank of their choice. For day-to-day banking affairs, it is good to have a Checking account. The bank will provide you a debit card, which will contain a PIN number to withdraw cash from your account through ABMs.
You have to pay certain fees such as check fees, monthly account fees, and withdrawal fees. Monthly account fees might range from $2 to $15. It is important and beneficial to keep a track of the following things, if you are planning to open an account in a Canadian Bank.
Always prefer to withdraw cash from your bank’s ABM.
Always prefer online transactions. They are mostly free of charge.
It is advisable to keep a track on your bank account on a monthly basis.
Banks to Consider:
Royal Bank of Canada, Bank of Montreal, Bank of Nova Scotia, Canadian Imperial Bank of Commerce, and, TD Canada Trust are some of the leading and prevalent banks in Canada.
You can also find some international banks in Canada such as HSBC, ING Bank, and Citibank. Finally, there are several regional banks and credit unions banks in Canada.