EQ Bank Business Account review
- Monthly Account Fee
- $0
Our verdict
Get free daily transactions and a competitive interest rate on your balance, but only if you’re already an EQ Bank customer (for the moment).
The EQ Bank Business Account is a hybrid account that combines the features of chequing and savings accounts. It offers free daily transactions like bill payments and e-Transfers, and there's no monthly fee or minimum balance requirement to worry about.
Yet at the same time it also pays 2.5% interest on your entire account balance, ensuring that your surplus cash works harder for you.
If you're a small business owner, there's a lot to like about the EQ Bank Business Account. But it's still in its beta phase, so as it stands you're only eligible to open an account if you already have an EQ Bank Personal Account.
Pros
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No transaction fees or monthly fee
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Competitive 2.5% interest rate
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No minimum balance requirement
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Security of CDIC coverage
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Easy to open an account online
Cons
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Still in beta phase
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Not available in Quebec
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No overdraft protection
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No physical bank branches
EQ Bank Business Account: The Basics
- No monthly fee. You don’t need to pay any monthly or annual fees on this account.
- Free transactions. You can pay bills, send and receive e-Transfers and electronic funds transfers and deposit cheques via mobile without having to pay any transaction fees.
- Earn 2.5% interest. An interest rate of 2.5% applies to your entire account balance.
- No minimum balance requirement. You don’t need to keep your balance above a minimum level to avoid extra fees or earn interest.
- CDIC coverage. EQ Bank is run by Equitable Bank, which is a CDIC member. This means up to $100,000 you deposit is covered by CDIC insurance.
- Mobile cheque deposit. It’s simple and free to deposit cheques into your account using the EQ Bank app.
EQ Bank Business Account fees and features
| Feature | Details |
|---|---|
| Electronic funds transfers (including recurring transfers) | Free |
| Sending and receiving Interac e-Transfers | Free |
| Bill payments | Free |
| Opening or closing an account | Free |
| NSF fees | Free |
| Assisted service transactions completed via Customer Care | Free |
| Maximum number of linked external accounts | 10 |
| Maximum number of signing officers per account | 1 |
| Paper statements | Not available |
| Overdraft protection | Not available |
| Outbound Interac e-Transfer limits | $10,000 per transfer $10,000 per 24 hours $30,000 per week $50,000 per month |
| Inbound Interac e-Transfer limit | $25,000 per transaction |
| Electronic fund transfer limits | $30,000 outbound to linked external bank, and $100,000 for inbound transfer from external bank account per transaction. |
| Bill payment limit | $25,000 per transaction |
| Payment to CRA | $100,000 per transaction |
| Maximum balance per business | $500,000 across all accounts |
What are the benefits of the EQ Bank Business Account?
- Hybrid account. The EQ Bank Business Account combines the easy access to funds and free transactions of a chequing account with the interest-earning power of a savings account.
- No transaction fees. You don’t have to worry about being slugged with fees when you perform your day-to-day transactions.
- Competitive interest rate. The 2.5% interest rate on this account makes it a competitive offering among business savings account, and interest applies to every dollar you deposit.
- Open up to 10 accounts. A business can open up to 10 EQ Bank Business Accounts if needed.
- Easy online application. It’s quick and easy to sign up for an account online if you already have an EQ Bank Personal Account.
- Online account management. It’s easy to manage your account via EQ online and mobile banking.
What are the drawbacks of the EQ Bank Business Account?
- Still in beta. The Business Account is still in the beta phase and only available to existing EQ Bank customers.
- Not available in Quebec. This account is not available to businesses in Quebec.
- No overdraft protection. There is no overdraft facility available on this account, so you’ll need to make sure you have sufficient funds to cover your transactions.
- No physical branches. EQ Bank is a digital bank with no branches, so you’ll need to look elsewhere if you enjoy in-person customer service.
- Some transaction limits apply. The maximum amount you can send per Interac e-Transfer is $10,000, which may not suit all businesses.
- Not suitable for all businesses. This account is designed for sole proprietorships and small businesses, with a maximum of one signing officer per account.
Is EQ Bank legit?
Yes. EQ Bank is a trade name of Equitable Bank, which was founded in 1970. Equitable Bank is a Schedule I bank that manages over $74.1B in assets.
EQ Bank is a digital bank that was launched in 2016. And because Equitable Bank is a member of the Canada Deposit Insurance Corporation (CDIC), eligible deposits of up to $100,000 you make into your EQ Bank Business Account are covered by CDIC insurance.
What should I know before I apply?
EQ Bank’s Business Account is still in its beta phase, so it’s currently only available to existing EQ Bank customers. If you don’t already have an EQ Bank account, you’re not yet able to open a Business Account.
The other factor worth mentioning is that this account is not available in Quebec, so Quebecois will need to consider other options when choosing a business bank account.
How do I open an EQ Bank Business Account?
You can open an account by completing the following steps:
- Visiting the EQ Bank Business Account website and clicking “Join now”.
- Entering the email address and password you use to log in to your EQ Bank Personal Account.
- Providing your business details to create an account.
If you run an incorporated business, you’ll need to provide your business registration information and director/shareholder information. You may also have to provide two forms of Government-issued ID to confirm your identity.
Compare with other business banking accounts
Not an existing EQ Bank customer, but still looking to open an account? Unfortunately, you’ll have to wait until the EQ Bank Business Account becomes more widely available. For now, you can compare other business account options from banks and fintechs below.
Finder Score for business bank accounts
To make comparing even easier we came up with the Finder Score. Interest rates, account fees and features across 20+ business bank accounts and 15+ lenders are all weighted and scaled to produce a score out of 10. The higher the score the better the account - simple.
Bottom line
The EQ Bank Business Account is a competitive option if you’re searching for the best business bank account. It combines the convenience of free transactions with an attractive savings rate, and there’s no monthly fee to worry about. But it’s still in the beta phase, so unless you’re already an EQ Bank customer, you’ll have to wait for the account to go live.
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