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December 18, 2023
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4 mins
Canada is an amazing destination for work, study, or living, drawing people from all over the world with its stunning natural beauty, excellent quality of life, and welcoming local culture. It's consistently ranked as a top choice for immigration. If you're getting ready to begin a new phase of your life in Canada, setting up a Canadian bank account is one of the first things to consider.
To open a bank account using the traditional method, visit the financial institution in person. A customer service representative will guide you through the process, which usually takes just a few minutes. It's a straightforward procedure, and you don't necessarily need to be employed or have money to deposit immediately. Once your account is set up, you'll receive a debit card and can begin using it immediately.
Given the widespread popularity of online banking, numerous banks, including both traditional and online ones, offer the option to open a bank account through their websites. The steps closely resemble those taken in-person. You'll be required to respond to personal questions and confirm your identity using the appropriate identification. After completing the process, the bank will send your debit card to you by mail.
Typically, you cannot open a bank account with a major Canadian bank or establish lines of credit while outside Canada. Physical presence is usually required to verify your identity and complete the account opening process.
However, if you possess a valid residence permit and a social insurance number, you may have the option to open a Canadian bank account with a digital bank. Recommended digital banking services for this purpose include Tangerine, Koho, and EQ Bank.
Regular Chequing: This is the most prevalent type of chequing account, offering daily use of your funds. With this account, you typically have access to point-of-sale purchases using your debit card, writing cheques, and the capability to transfer money and settle bills electronically.
Interest-Earning Chequing: Certain chequing accounts provide a modest amount of interest on the balances in the account.
Student/Teen Account: Youth chequing accounts often have the monthly account fee waived or reduced.
When opening your first bank account, it's crucial to consider your usage preferences. If your goal is to handle day-to-day transactions, a chequing account is the way to go. On the other hand, if you're saving up for a specific purpose, a savings account would be your best choice. Keep in mind that each bank offers different options, and various accounts within banks come with distinct fees, interest rates, withdrawal limits, and perks. To ensure the best fit for your needs, take the time to research and select the most suitable financial institution and account before making a decision.
To meet the requirements of Canadian law, you need to submit certain documents to initiate the opening of your Canadian bank account.
Documents usually accepted by banks include:
When applying for a designated newcomer account, banks may adopt a slightly more adaptable approach, permitting the submission of a distinct set of documents. Usually accepted documents include:
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For entrepreneurs, digital nomads, or newcomers to Canada, the vibrant culture, modern banking, and global connectivity offer seamless financial management. Ensure you secure a visa or relevant permits before exploring banking services. For additional support, explore Niural's work visa assistance, by contacting us at sales@niural.com.
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