Bank Account Options for Citizens and Non-Residents
Canadians are offered different account options such as current, savings, money market, student accounts, and others. Non-residents have a more limited choice, but there are products available.
Solutions for Non-Residents and Foreigners
The large Canadian banks and other financial institutions offer accounts to non-residents. There is also an option for customers who live and work in another country where the bank maintains local branches. Banks have different criteria. For example, HSBC, requires that non-residents stay in the country for at least 183 days and reside outside of Canada. Another requirement is that applicants do not have residential ties. Banks offer different products to customers who meet the criteria, including foreign currency solutions, day-to-day banking, savings accounts, and others. Customers also benefit from no fee current and savings accounts, with banks helping non-residents to transfer their credit record. Fixed rate savings solutions are also offered to non-residents.
Products Available to Canadians
Canadians have plenty of options to choose from, with banks, credit unions, and other establishments offering current and savings accounts with attractive interest rates. In addition to standard solutions, customers are offered retirement savings plans and USD investment savings and tax-free investment savings accounts. The latter allows holders to earn tax-free interest and offers attractive rates of return. Some financial institutions offer benefits such as no service charges, no minimum balances, and other perks. This product is safe and secure when offered by establishments that are members of the Canada Deposit Insurance Corporation. Another option is to open a RSP ISA (RSP investment savings account) that allows holders to set up regular deposits.
Look for products with no minimums, fees, and service charges. Some banks also feature automatic savings programs whereby money is automatically transferred to the customerís savings account. This saves holders the hassle of making last minute contributions. Other options for Canadians are RIF mutual fund accounts, RSP mutual funds, and RSP guaranteed investments. Joint accounts are also offered.
High Interest Solutions
When it comes to high interest savings solutions, the requirements vary from bank to bank. Some banks feature no fees and attractive interest rates that are calculated on a daily basis. A minimum monthly balance applies if you want to have your transaction fees waived. Some products require a balance of $25,000 to get a fee waiver. Pre-authorized transfers are also available. Banks assess fees for withdrawals and debit transactions. The fees are different outside Mexico, Canada, and the United States. There are benefits for holders. For example, senior citizens are offered monthly fee rebates. Other beneficial features are an attractive interest rate on GICs, free certified checks and personal checks, and more.
With checking accounts, holders are allowed to make an unlimited number of transactions. The main benefit is liquidity. Savings solutions have a limit on the number of deposits and withdrawals allowed per month. There is a limit of up to 3 or 6 transactions.
Applicants for a high interest savings account should be Canadian citizens or residents of the age of majority.