Why the branch account stopped fitting
Canadian business banking has a quiet structural problem. The headline monthly fee is rarely the real cost. TD's Business Unlimited account runs C$125 a month unless you hold C$65,000 in daily balances. RBC's Ultimate Business Account costs C$100 monthly with a C$75,000 daily balance requirement. National Bank's business package sits at C$100, dropping to zero at C$80,000. On paper those waivers look generous. In practice, keeping C$65,000 idle to dodge roughly C$1,500 in annual fees means giving up about C$1,460 in interest at a 2.25% rate, plus the flexibility that cash would have given you during a slow quarter.
Then come the transaction charges that never appear in the comparison ads. Interac e-Transfers typically cost around C$1.50 each once the monthly allowance is used up. Cash deposits above an included threshold often carry a per-thousand charge. Incoming and outgoing international wires commonly land between C$30 and C$80. For a business earning foreign revenue, currency conversion is usually the largest line of all. A typical bank markup of roughly 3% on C$200,000 of US sales works out to about C$6,000 a year, which dwarfs every account fee on this page combined.
The cheap entry tiers do exist. BMO's Essential Business Account sits at C$5 monthly with unlimited self-serve electronic transactions. TD Business Digital and RBC Digital Choice both charge C$6 and include ten e-Transfers before overage kicks in. These are reasonable starting points for a consultancy with a dozen transactions a month. They are a poor fit for anyone handling inventory, payroll, and cross-border invoices.
What digital-first accounts change, and what they drop
The no-fee tier has genuinely improved. EQ Bank's business account pays 2.25% on the entire balance with no tiers and no minimum, includes 50 outgoing and 100 incoming e-Transfers monthly, and charges C$0.50 for extras. Because it operates through Equitable Bank, a Schedule I institution, deposits carry direct CDIC coverage rather than pass-through coverage. The catch is geographic: businesses operating in Quebec cannot open one, and there is no foreign currency support at all.
Venn Essentials charges nothing monthly and pays 2.00% on both CAD and USD balances. E-Transfers are unlimited and free. Currency conversion runs 0.45% on the free plan, and international wires cost C$10. Local account details cover CAD, USD, EUR, and GBP, which handles most export corridors. Quebec incorporation is excluded here too, and the platform has not been tested through a full credit cycle, so treat it as a strong operating account rather than a crisis-proof one.
Wealthsimple's business chequing account charges no monthly fee, pays up to 2.25%, and processes CRA payments at no cost. Airwallex suits exporters and marketplace sellers holding balances in several currencies, with a free plan and no minimum balance. Wise Business charges no monthly fee but adds a one-time C$55 setup charge.
Every one of these platforms shares the same limitation. None of them accepts cash or paper cheques at a counter. If your revenue includes cash from a storefront, a market stall, or a clinic front desk, you either keep a small branch account for deposits or arrange a courier pickup service. That is a workflow decision, not a fee decision, and it deserves an honest look before you switch.
Comparing the realistic options
| Account | Monthly fee | Interest on balance | Works well for | Worth knowing |
|---|
| EQ Bank Business | C$0 | 2.25% flat | Domestic businesses holding CAD operating cash | No Quebec access, no multi-currency |
| Venn Essentials | C$0 | 2.00% CAD and USD | Exporters wanting yield and low-cost conversion | 0.45% FX on free tier, Quebec excluded |
| Wealthsimple Business | C$0 | Up to 2.25% | Freelancers and small teams paying CRA often | Limited cash handling |
| Airwallex Business | C$0 plan | Varies by balance | E-commerce and SaaS with multi-currency revenue | No physical cash or cheque deposits |
| Wise Business | C$0 plus C$55 setup | Around 2.22% on CAD | Frequent international transfers | Pay-as-you-go pricing needs modelling |
| TD Business Digital | C$6 | None | Owners who want an app-first Big Five account | 10 e-Transfers included, C$1.50 after |
| RBC Digital Choice Business | C$6 | None | Simple domestic banking with branch backup | 10 free e-Transfers, then C$1.50 |
| BMO Essential Business | C$5 | None | Low-volume businesses wanting branch access | 6 e-Transfers included, C$0.25 per cheque deposit |
| TD Business Unlimited | C$125 | None | High-volume operations with paper activity | Waiver needs C$65,000 daily balance |
| National Bank Business Package | C$100 | None | Quebec businesses needing bilingual service | Waiver needs C$80,000 daily balance |
A pattern that repeats across Canadian small businesses
Picture an Ottawa-based online retailer doing about C$200,000 in US sales through a payment processor. On a Big Five business account, conversion happens automatically at the bank's rate, and the markup quietly costs several thousand dollars a year. Moving settlement into a multi-currency account and converting at 0.45% instead cuts that line item substantially, without touching the monthly fee at all.
The same story shows up with trades and clinics. A Calgary contractor depositing several thousand dollars in cash each week often finds that branch deposit charges and e-Transfer overages add up to more than a digital account's entire annual cost. Keeping the branch account for deposits and running payables through a no-fee platform is usually the cheapest arrangement, even though it means managing two logins.
Opening the account without wasting a week
- Register the business properly. You need a nine-digit CRA Business Number, plus provincial registration or a master business licence where applicable. Sole proprietors can legally use a personal account, but separating business spending keeps CRA reporting and expense tracking far cleaner.
- Assemble the documents. Articles of incorporation or a partnership agreement, trade name registration, and government photo ID for every beneficial owner holding 25% or more of the equity.
- Expect identity verification. Most digital platforms run FINTRAC-compliant checks with a biometric photo and a document scan. Big Five applications can start online and finish with a short branch visit or a phone appointment.
- Fund the account to activate it. An e-Transfer or initial deposit usually does the job. Non-resident founders should prepare notarized identification, foreign registration records, and proof of Canadian trade activity.
- Wire up the plumbing early. Connect your accounting software, set up GST/HST and payroll remittances, and confirm how CRA payments will be made. Some platforms process them free; others charge a couple of dollars per payment.
Province and protection details that decide the choice
Quebec incorporation rules out the two strongest no-fee digital accounts, which pushes most Montreal and Quebec City businesses toward National Bank, RBC, or BMO. Alberta has a regional option in ATB's no-fee digital account. Credit unions remain a solid alternative in smaller communities, though their deposit protection falls under provincial plans rather than CDIC.
Deposit insurance deserves a quick check. CDIC covers eligible deposits up to C$100,000 per depositor, per insured category, per member institution. Holding larger operating balances across two institutions is a simple way to stay inside that limit.
Pull three months of statements before you commit to anything. Count your electronic debits, e-Transfers, cash deposits, and foreign receipts, then price each shortlisted account against those real numbers. If the arithmetic shows your balance is working harder for the bank than for your business, that is your signal to move.
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