I continue my presentation on “paperwork”. I am talking to you today about something very important: the choice of the bank account.
There are several banks in Canada. The most well-known are:
Royal Bank of Canada (RBC)
Toronto-Dominion Bank (TD)
Canadian Imperial Bank of Commerce (CIBC)
Bank of Montreal (BMO)
National Bank of Canada (NLC)
Laurentian Bank of Canada (BLC)
There are Several factors to consider when choosing your bank account:
1. Transaction fees
Yes, the transactions are paying here in Canada. And that even if you withdraw money from your bank. For example, the bank can limit you to 3 free transactions:
– pay a food = 1 Transaction
– withdraw money = 1 Transaction
– payment of a telephone bill = 1 Transaction
You will understand, the costs can be very high. So you have to be sure how many transactions you will have in the month.
2. Account handling fees Depending on your needs
You must compare the account handling fees that vary according to the chosen account formula. You should know that when you have just arrived in Canada and you do not have a job yet, you are only given a debit card. The debit card is connected to a current account and allows for shop transactions or simple withdrawals. In my case, I have a debit card and I can not even make purchases on the Internet. I should make the application for the credit card, as soon as I get a job. The credit card is associated with a reserve sum. You will certainly be shocked but the credit card is very important in North America. If you want to buy a house, a car or even in some cases rent an apartment, you will be asked to provide your “credit history”. That reflects your good faith and your ability to repay loans.
3. The location of agency according to your place of domicile or work
If we withdraw in banks other than our current bank, costs will be added there and that whatever your bank. You have to be careful and choose a bank that is present throughout the territory, preferably near home or at the workplace.
4. Welcome offers
Banks very often offer welcome offers. I opted for the six months offered.
5. My choice was on RBC
I had a choice of several formulas, I describe two:
Formula A, I am offered:
- 12 free transactions in the month
- Unlimited payments with the debit card for $4 per month.
Formula B, I am offered in particular:
- Unlimited transactions-unlimited payments by debit card
- 6 months of account fees offered and after 6 months, I will pay the sum of $14.95. I opted for option B.