The complete guide to banking in Canada for newcomers (2026)

What bank account should a newcomer open first?

Open a chequing account first. It is the account for everyday money: your salary goes in, and rent, bills and card payments come out. It comes with a debit card you can tap almost everywhere.

Then add, in this order:

1. A savings account for your emergency fund. Online banks often pay more interest than the big banks.
2. A starter credit card to begin your Canadian credit history. Most big banks give newcomers a card with no Canadian credit history.
3. A Tax-Free Savings Account (TFSA) once you are a resident, 18 or older, with a Social Insurance Number (SIN). Interest earned inside it is tax-free.

You do not need to choose one bank for life. Many newcomers open a big-bank newcomer package for the branch and the credit card, and a no-fee online account for savings. Compare offers in best bank accounts for newcomers, or answer six questions in our bank picker quiz.

What ID do you need to open a bank account in Canada?

The Financial Consumer Agency of Canada (FCAC) sets the ID rules for banks. You can prove who you are in one of two ways:

• Two documents from reliable sources. One must show your name and address. The other must show your name and date of birth. A foreign passport counts, and so do government ID, utility bills and bank or credit card statements.
• One document plus a reference. A reliable document with your name and date of birth, and your identity confirmed by a customer in good standing with the bank, or by someone well known in your community.

In practice, bring:

• Your passport
• Your status document: Confirmation of Permanent Residence (COPR), PR card, work permit or study permit
• Your Canadian address, even a temporary one
• Your SIN, if you already have it (see how to get a SIN)
• A phone number and email address

You can open an account even if you do not have a job, do not have money to deposit yet, or have been bankrupt. A bank can refuse only for specific reasons, such as reasonable grounds to suspect fraud. If it refuses, it must tell you in writing.

Can newcomers get a free bank account?

Yes. Under a federal commitment that has been fully in place since December 1, 2025, 14 banks offer a $0 a month account to newcomers in their first year in Canada. This covers permanent residents, refugees (protected persons) and temporary residents. The banks include RBC, TD, Scotiabank, BMO, CIBC, National Bank, Tangerine, Laurentian Bank and ICICI Bank.

These accounts include at least 18 debit transactions a month (Interac e-Transfers count), free digital statements and cheque writing, with no minimum balance. Other people can get the same basic account for no more than $4 a month.

The free account is basic. Newcomer packages give you more (unlimited transactions, bonuses, a credit card), but the fees return after 12 or 24 months. Our fee waiver calculator shows the date your free period ends.

Newcomer packages at a glance

Every big bank has a newcomer package. Here is a summary as of October 5, 2026. Full details and end dates are in our newcomer offers tracker and the Big 5 side-by-side.

At TD, Scotiabank, BMO and CIBC, keeping $4,000 in the account every day of the month also waives the fee after the free period. To compare total costs over three years, use the cost of banking calculator.

Can you open an account before you arrive?

Some banks let you open an account from abroad and send money before you land. RBC (from India, China, the Philippines, Hong Kong, Vietnam and a few other countries), BMO, CIBC (Smart Arrival) and National Bank have online options. TD offers it by phone from China and India. You usually must visit a branch after you arrive to activate the account. Read the rules and limits in how to open a Canadian bank account before you arrive.

If you bring cash or cheques worth $10,000 or more, you must declare them at the border. See declaring money at the border.

How everyday banking works in Canada

• Interac e-Transfer. Send money to anyone in Canada with an email address or phone number. Many landlords accept rent this way.
• Debit cards. Tap to pay almost everywhere. Debit purchases come straight from your account and do not build credit.
• Direct deposit. Your employer pays your salary into your account. Government benefits also arrive this way.
• Pre-authorized debits. Bills such as your phone plan come out automatically on a set date.
• Cheque holds. A bank can hold a deposited cheque for a few days. The government has announced that the amount you can use right away will rise from $100 to $250.
• Overdraft and NSF fees. If a payment bounces, the non-sufficient funds (NSF) fee is capped at $10 since March 12, 2026, down from up to $50.

Building credit and saving

Canada has two credit bureaus, Equifax and TransUnion. They track how you use credit and give you a score from 300 to 900. Your home-country history usually does not transfer. To start:

1. Get a starter card. Compare credit cards for newcomers with no credit history, or a secured credit card if you are refused.
2. Use less than 30% of your limit and pay the full balance on time every month. Plan this with the credit score builder.
3. Do not apply for many cards at once.

For savings, compare the savings account rates tracker. Promotional rates last only a few months and often apply only to new money. For money you will not touch for a year or more, a Guaranteed Investment Certificate (GIC) can pay more. Try the GIC calculator.

Is your money safe? CDIC and scams

Deposits at members of the Canada Deposit Insurance Corporation (CDIC) are insured up to $100,000 per insured category, including interest. Categories include money in your own name, joint deposits, TFSAs, RRSPs and First Home Savings Accounts (FHSAs). Canadian and foreign currency deposits and GICs are covered. Stocks, mutual funds, ETFs and crypto are not.

Newcomers are a common target for fraud. Watch for:

• Calls that claim to be from the bank, the CRA or IRCC and ask for passwords, codes or urgent payment. Banks never ask for your one-time code.
• Rental deposits sent by e-Transfer before you see the home. See rental scams.
• Job offers that ask you to receive and forward money. This is money laundering, and the account holder can be held responsible.

Report fraud to your bank right away and to the Canadian Anti-Fraud Centre. Read more in immigration scams.

Sending money home

Several banks now advertise $0 fees on international transfers for newcomers. A $0 fee is not the full cost: banks also add a margin to the exchange rate, which can cost more than the fee. Before you send, compare how much your family will actually receive. Our guide to sending money home explains how.

Common questions

Sources

• FCAC: Opening a bank account
• FCAC: Commitment on low-cost and no-cost accounts
• FCAC: Free and low-cost bank accounts now available (Nov 2025)
• Finance Canada: $10 cap on NSF fees (March 2026)
• CDIC: What’s covered
• FCAC: Credit report and score basics
• FCAC: Improving your credit score
• Canadian Anti-Fraud Centre
• RBC: Offers for permanent resident and foreign worker newcomers
• TD: New to Canada banking package
• Scotiabank: StartRight newcomer offer
• BMO: NewStart newcomer bank account offers
• CIBC: Banking offers for newcomers
• National Bank: Bank account for newcomers

Checked against these sources on October 5, 2026. Spotted something out of date? Tell us.