Choosing the right chequing account in Canada is an important financial decision, as it directly impacts how you manage your day-to-day banking and savings. While savings accounts typically offer higher interest rates, some chequing accounts now also provide competitive interest rates, enabling you to earn money while keeping your funds accessible. This article will explore the five best Canadian chequing accounts that offer the highest interest, diving into their features, fees, and other relevant details to help you make an informed decision.

1. What is a Chequing Account?

A chequing account is a type of bank account designed for daily financial transactions, such as paying bills, receiving direct deposits, and making purchases. Unlike savings accounts, chequing accounts are built for frequent access, making it easy for users to withdraw, transfer, and spend their money without restrictions.

Traditionally, chequing accounts offered little to no interest. Their primary function has been to facilitate everyday transactions rather than build savings. However, in recent years, financial institutions in Canada have started offering high-interest chequing accounts to help customers grow their funds while maintaining liquidity. This shift benefits customers who want to earn a small return on the money sitting in their account while still having full access to it whenever needed.

2. Why Choose a High-Interest Chequing Account?

Most people associate high-interest rates with savings accounts, but there are several advantages to choosing a high-interest chequing account. Here’s why it might be worth considering:

• Earning Potential: You can earn interest on your balance, helping you make the most out of the funds sitting in your chequing account.
• Daily Transactions: Unlike savings accounts, where there may be withdrawal limits, high-interest chequing accounts allow you to access your money easily for daily use.
• No Fees: Many high-interest chequing accounts in Canada come with no monthly fees, making them a cost-effective choice for everyday banking.
• Combined Benefits: Some accounts offer hybrid features, allowing you to combine the benefits of both savings and chequing accounts.

If you frequently keep a sizable balance in your account, choosing one with interest could help maximize your returns without having to transfer funds to a separate savings account.

3. Criteria for Selecting the Best Chequing Accounts

Before we delve into the top five chequing accounts in Canada that offer the highest interest, let’s look at the main criteria you should consider when evaluating your options:

• Interest Rate: The primary reason for choosing a high-interest chequing account is the rate of return. A higher rate means more money earned.
• Monthly Fees: Avoid accounts that charge high fees, as they can quickly eat into your earnings.
• Accessibility: Some accounts are entirely online, while others offer brick-and-mortar branch services. Consider your preferences for accessing your money.
• Transaction Limits: Ensure the account allows for unlimited transactions or sufficient free transactions based on your needs.
• Other Perks: Some chequing accounts come with additional benefits like free Interac e-Transfers, cashback, or ATM access worldwide.

4. The 5 Best High-Interest No Monthly Fee Chequing Accounts in Canada

1. Wealthsimple Cash Account

Interest Rate: 3.25%-4.25%
Monthly Fee: $0
Transactions: Unlimited
Additional Perks: No minimum balance requirement, access to Wealthsimple’s other financial services, sleek app interface

Wealthsimple, known primarily as an investment platform, has expanded into the banking space with its Wealthsimple Cash Account. This is a hybrid account offering the flexibility of a chequing account combined with an interest rate comparable to many high-interest savings accounts.

With a 3.25% interest rate on all balances, the Wealthsimple Cash Account is one of the best no-fee accounts for Canadians who want to earn a modest return on their cash without having to move it into a dedicated savings account. The platform offers unlimited, free transactions, including bill payments, e-Transfers, and purchases, making it ideal for daily banking needs.

The Wealthsimple app is renowned for its clean design and ease of use, providing seamless access to the account, investments, and even cryptocurrency features within the same platform. Additionally, there’s no minimum balance requirement to earn interest, meaning you’ll benefit from the interest rate regardless of how much or how little you keep in the account.

Pros:

• No monthly fees
• Earns interest on every dollar in your account
• Integrated with Wealthsimple’s other financial services

Cons:

• No access to physical branches
• Limited ATM network (but you can use Interac e-Transfers to access funds)

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2. Koho Chequing Account

Interest Rate: 5%
Monthly Fee: From $0
Transactions: Unlimited
Additional Perks: Cashback on purchases, free international ATM withdrawals, budgeting tools

Koho is a fintech company offering a prepaid Visa card that operates similarly to a chequing account, allowing users to spend, save, and earn interest on their balance. The standard Koho account offers an interest rate of 5% Koho offers unlimited transactions without fees, and users can earn cashback on purchases (0.5% to 2%), making it a great option for those who want to earn rewards while also enjoying interest on their account balance. One of the major perks of the Koho account is its international ATM withdrawal benefits, as it waives any additional fees associated with global ATM usage, a rarity among Canadian chequing accounts.

The account also comes with built-in budgeting tools, helping users track spending, set savings goals, and analyze their financial habits—all through the Koho app.

Pros:

• No monthly fees for standard account
• Cashback on purchases
• Budgeting tools and spending insights
• High interest rates with Koho Extra subscription

Cons:

• Interest rate on standard account is lower than some competitors
• Koho Extra subscription required for highest interest rates and premium features
• Prepaid Visa card setup means it operates slightly differently than a traditional chequing account

3. EQ Bank Joint Chequing Account

Interest Rate: 2.25-4%
Monthly Fee: $0
Transactions: Unlimited
Additional Perks: No minimum balance requirement, free bill payments, and Interac e-Transfers

EQ Bank, which has made a name for itself by offering high-interest savings accounts, now provides a joint chequing account with a remarkable interest rate of 2.25-4%. This makes it one of the highest interest rates available on a Canadian chequing account. The account allows for unlimited free transactions, including bill payments, transfers, and Interac e-Transfers.

EQ Bank does not have any physical branches, so the account is fully digital. This is perfect for customers who are comfortable doing their banking online or through an app. Another perk of the EQ Bank Chequing Account is the lack of minimum balance requirements, meaning you will earn interest on every dollar in your account.

Pros:

• High interest rate
• No monthly fees
• Unlimited transactions

Cons:

• No physical branches
• Not suitable for individuals who prefer in-person banking

4. Manulife Advantage Account

Interest Rate: 2.35%
Monthly Fee: $0 (if $1,000 minimum balance maintained)
Transactions: Unlimited
Additional Perks: Combined features of both chequing and savings accounts, access to ATM network

The Manulife Advantage Account is a hybrid account that combines chequing and savings features, offering an attractive interest rate of 2.35% on balances up to $100,000. This account is particularly appealing for those who keep a higher balance in their chequing account and want to maximize their earnings. To waive the monthly fee, customers must maintain a minimum balance of $1,000, which is quite reasonable compared to some other banks.

Manulife provides easy access to ATMs and allows for unlimited transactions, making it a practical account for everyday use. The account is available entirely online, but users can also access an ATM network for withdrawals and deposits.

Pros:

• High interest rate
• Hybrid chequing and savings account features
• Access to ATM network

Cons:

• Monthly fee if balance falls below $1,000
• Limited in-branch services

5. Tangerine No Fee Daily Chequing Account

Interest Rate: 0.10% (with special promos up to 0.65%)
Monthly Fee: $0
Transactions: Unlimited
Additional Perks: Free unlimited Interac e-Transfers, cashback offers

Tangerine, the digital banking division of Scotiabank, provides a no-fee daily chequing account that offers an interest rate of 0.10%, with occasional promotions that can bump the rate up to 0.65%. One of the key advantages of Tangerine is its robust digital banking platform, offering ease of use and plenty of features for customers who prefer online banking.

Like Simplii Financial, Tangerine offers unlimited free transactions and free Interac e-Transfers. Customers also benefit from special cashback offers and promotions that can further enhance the value of this account.

Tangerine’s account is fully online, but you can access Scotiabank ATMs across Canada without additional charges, providing the convenience of ATM banking if needed.

Pros:

• No monthly fees
• Potential for higher promotional interest rates
• Free Interac e-Transfers and cashback offers

Cons:

• Promotional interest rates fluctuate
• No physical branches

5. Final Thoughts

Choosing the best high-interest chequing account in Canada depends on your individual needs, banking habits, and preferences. When making your decision, consider not only the interest rate but also other key factors such as transaction fees, accessibility, and additional perks. High-interest chequing accounts provide a valuable way to earn on your everyday funds while maintaining full access to your money. With these top five accounts, you can enjoy the best of both worlds: financial growth and easy, hassle-free banking.Both Wealthsimple Cash and Koho Chequing accounts provide excellent alternatives to traditional bank accounts, especially for those seeking digital-first banking experiences with low fees and interest-earning capabilities. Wealthsimple Cash shines for its straightforward, no-fee setup with integrated financial services, while Koho stands out with its unique rewards program and advanced features like cashback and international fee waivers. Depending on your financial habits, either of these accounts could offer valuable benefits for managing your daily finances.