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EQ Bank vs Tangerine
Compare two of Canada’s most popular digital banks, EQ Bank and Tangerine, to determine the best fit for your financial situation.
Digital banks continue to grow in popularity among Canadian consumers due to their low monthly fees, high interest rates and streamlined mobile and online apps. As two of the most popular online banks in Canada, EQ Bank and Tangerine have a lot to offer in this domain.
Learn more about the features and financial products on offer from these reputable digital banks and delve into how they compare and contrast to decide on the best fit for your unique financial situation.
EQ Bank vs Tangerine: A quick review
EQ Bank is a popular digital banking provider in Canada that has over 60,000 clients. It acts as the online banking arm of Equitable Bank, which was founded in 1970 but began offering savings products in 2013. EQ Bank offers a range of savings accounts and guaranteed investment certificates. It also works with TransferWise to save you money on international money transfers. EQ doesn’t offer products such as chequing accounts or credit cards. | Tangerine is an online-only digital bank that has nearly 2 million clients and over $38 billion in managed assets. Originally called ING Direct, Tangerine was acquired by Scotiabank in 2012 and was re-labelled as Tangerine in 2014. This bank offers a wide range of financial products such as chequing and savings accounts as well as GICs, loans and mortgages. All of its accounts come with low fees and give a decent return on interest. |
Why should I choose a digital bank?
Unlike brick and mortar establishments, digital banks such as EQ Bank and Tangerine operate exclusively online. This means they don’t have to pay overhead costs for rent, office supplies, in-branch personnel or other expenses.
These savings then get passed onto customers in the form of fee-free accounts, high interest rates, unlimited withdrawals and free e-transfers (among many other benefits). The only downside is that you can’t visit a physical branch in-person to do your banking.
EQ Bank vs Tangerine
Product | ||
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Chequing accounts |
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Savings accounts |
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Guaranteed investment certificates |
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Other products |
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Compare EQ Bank and Tangerine Savings Accounts
EQ Bank vs Tangerine: Comparison of features
Compare some of the main features for accounts offered by EQ Bank and Tangerine. This should give you a better idea of which one might be the best fit for your financial situation.
Feature | EQ Bank | Tangerine |
|---|---|---|
Monthly fees | No monthly fees | No monthly fees |
Interest rates |
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Welcome bonus | Not applicable | Intro offer. |
Debits and withdrawals | Unlimited for free | Unlimited for free |
ATM withdrawals | Not available | Free from Scotiabank ATMs |
Interac e-Transfers | Unlimited for free | Unlimited for free |
Automatic deposits | Yes | Yes |
Overdraft protection | Not available | Yes |
Global money transfers | Yes | Not available |
Mobile app | Yes | Yes |
Branches | Not available | Tangerine Cafes in Toronto, Montreal and Vancouver |
Card delivery | Not available | Yes |
Free cheques | Not available | Yes (50 for free) |
Find out more | Go to site | Go to site |
EQ Bank vs Tangerine: Pros and cons
EQ Bank
EQ Bank is the digital arm of Equitable Bank, which is one of Canada’s largest independent banks. It offers high-interest savings accounts and guaranteed investment certificates but has a limited selection of other financial products.
Savings accounts are fee-free and come with unlimited transactions, free Interac e-Transfers, cheap global money transfers and a 1.25% interest rate. Guaranteed investment certificates offer higher interest rates than what you would get from a similar-term GIC with Tangerine.
The downside of EQ Bank is that it doesn’t offer chequing accounts or ATM withdrawals, and you won’t get a welcome bonus when you sign up. That said, this account could be a good fit for you if you want a high interest rate on your savings or you send money overseas regularly.
| Pros | Cons |
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Tangerine
Tangerine is owned by Scotiabank and offers a wide range of financial products, including chequing and savings accounts, credit cards, mortgages, loans, GICs and registered investment accounts (such as RRSPs, RESPs and RRIFs).
All of Tangerine’s chequing and savings accounts come with no monthly fees, unlimited transactions, free Interac e-Transfers and a welcome bonus when you sign up. You’ll also be able to withdraw cash for free from Scotiabank ATMs.
The downside of Tangerine is that you’ll get a much lower interest rate on your savings and GICs than you would with EQ Bank. That said, this bank could be a good fit for you if you’d like to open an online chequing account or you want to get a welcome bonus for signing up.
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Tangerine vs EQ Bank: Which one should I pick?
There are a couple of main differences between EQ Bank and Tangerine that could help you decide which one is the best fit for you. These include the following:
Feature | Winner (EQ Bank vs Tangerine) |
|---|---|
Financial products | Tangerine offers a wide range of financial products while EQ Bank only offers savings accounts and GICs. |
| Interest rates | EQ Bank offers much higher interest rates for its savings accounts and GICs than Tangerine. |
Promo offers | Tangerine will give you an accelerated interest rate and a bonus credit when you sign up (while there’s no promo offer with EQ Bank). |
International money transfers | EQ Bank provides international money transfers for a low rate (while Tangerine doesn’t have this feature). |
Physical branches | Tangerine offers a couple of physical Tangerine cafe locations in major cities while EQ Bank has no branches at all. |
Network of ATMs | Tangerine offers a network of ATMs while EQ Bank doesn’t seem to facilitate ATM withdrawals as part of its service. |
Bottom line: EQ Bank vs Tangerine
EQ Bank and Tangerine are quite different in terms of product offerings. As a baseline, EQ Bank could be a better fit for you if you send regular money transfers overseas or you’re interested in maximizing the interest you earn on your savings or GICs. Tangerine may be a better option if you want to open an online chequing account or if you would prefer to access multiple financial products at one time from the same institution.
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