Are there any fees for using the account?
When moving to Alberta, newcomers are often surprised that in Canada you have to pay for the “right to keep money in a bank.” In fact, recent regulations and competition have made it possible to completely avoid monthly fees or minimize them to a symbolic $4 CAD. Below is a systematic overview of what fees exist, when they apply, and how to avoid them.
1. Why do banks charge fees in the first place?
Fees fall into two broad categories:
- Recurring – a fixed monthly fee for a package (“plan fee”).
- One-time – for specific actions: extra transactions, overdrafts, withdrawals from other banks' ATMs, paper statements, etc.
There are usually no periodic fees for savings accounts; the main source of income for the bank is the difference between the interest on deposits and loans. Therefore, it is checking accounts that are the subject of discussion.
2. How much do the most common packages cost
| Institution | Package name | Monthly fee | Transactions included | Conditions for full fee waiver | Source |
|---|---|---|---|---|---|
| RBC Day to Day Banking (low-cost) | $4.00 | 12 | – | Federal “low-cost” limit | |
| TD Minimum Chequing | $3.95 | 12 | – | Student/senior discount – $0 | |
| Scotiabank Preferred Package | $16.95 | Unlimited | Balance ≥ $4,000 daily | ||
| TD All-Inclusive Plan | $30.95 | Unlimited | Balance ≥ $6,000 daily | ||
| ATB Unlimited | $15.95 | Unlimited | Balance ≥ $4,000 | ||
| Servus Essential 60 | $16.95 | 60 | Balance ≥ $4,000 | ||
| Online banks (Tangerine, Simplii, Innovation) | $0 | Unlimited | No balance requirements |
Note: The fees charged by the “Big Five” (RBC, TD, BMO, Scotiabank, CIBC) correlate with the number of free transactions and bonus services (credit cards with no annual fees, safe deposit boxes, cashback programs).
3. Federal Low-Cost & No-Cost Account Standard
Starting December 1, 2025, all signatories to the agreement with the Government of Canada are required to offer a basic account for ≤ $4 per month, which includes at least 12 debit transactions, the ability to write checks, and free deposits. For certain categories (students, GIS recipients, RDSP beneficiaries), such an account must be free of charge.
So, you never have to pay more than $4: you can always switch to a low-cost package or a credit union/online bank.
4. Four main ways to eliminate monthly fees
- Minimum daily balance – from $3,000 to $6,000 depending on the bank; failure to meet this requirement even for one day of the month will result in the full fee being charged.
- Special customer groups — students, young people under 25, seniors 59+, beneficiaries of government programs (GIS, RDSP) receive packages for free or for $0-4.
- Promotional period for newcomers – first year (sometimes two) free with RBC Newcomer, TD New to Canada, Scotiabank StartRight, and other packages.
- Switch to online banking – Tangerine, Simplii, Innovation FCU, KOHO, and EQ Bank do not charge monthly or transaction fees.
5. Additional and hidden fees you should know about
| Type of service | Average cost | Comment |
|---|---|---|
| Withdrawal from a “foreign” ATM in Canada | $2.00 | Plus possible ATM surcharge |
| Withdrawal abroad | $3–5 + 2.5% conversion fee | $0 with TD/Scotia premium packages |
| NSF (Insufficient Funds) | $45–48 | TD offers overdraft with a limit of $5 + 21% per annum |
| Paper statement | $2/month | Free in electronic format |
| Certified check | $10–15 | Rarely needed (car purchase) |
6. Is it worth keeping a “minimum balance”?
Keeping $6,000 in a checking account that earns almost no interest saves $371 per year (TD All-Inclusive). Invested at 5%, the same $6,000 would earn about $300 in interest. The benefit of not paying fees is completely offset by lost income, so mathematically, it is cheaper to pay $11-17 per month or switch to a free online account than to “freeze” large amounts of money.
7. Alternative to traditional banks
- Tangerine No-Fee Daily – $0, unlimited transactions, network of 3,500 Scotiabank ATMs.
- Simplii Financial No Fee Chequing – $0 and CIBC network, $300 bonus for opening an account.
- Innovation FCU No-Fee Chequing – $0, unlimited e-Transfers, and profit-sharing dividends.
Disadvantage: no branches and difficulties with depositing cash or obtaining bank drafts, which are sometimes required for renting a home or buying a car.
8. Credit unions and local banks
The Servus and Innovation cooperatives, as well as the provincial ATB Financial, have more flexible terms: lower minimum balances, profit sharing, and often free/low fees for international transfers. However, their ATM networks in Calgary are smaller than those of the “big five.”
9. Practical steps to avoid paying extra
- Assess your habits: calculate your average monthly number of transactions, cash needs, and international transfers.
- Compare packages on bank websites or using the official FCAC calculator.
- Take advantage of a newcomer promotion or low-cost account to get started, while opening a free online account for reserve funds at a higher interest rate.
- Opt out of paper statements and check your balance in the mobile app.
- Don't park large amounts in your checking account to avoid fees — it's better to put them in a HISA or TFSA/RRSP investment account.
Conclusion
Paying account fees in Calgary is not inevitable. The federal standard guarantees an account for ≤ $4, and the online banking market offers no monthly fees at all. If you need the premium services of a large bank, you can easily eliminate fees with a minimum balance or a promotion for newcomers. The key is to regularly review your needs and not overpay for features you don't use.