Personal Finance

No Fee Bank Account Recommendations?

  • Last Updated:
  • Jun 27th, 2017 2:23 pm
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Aug 8, 2012
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TigerLilly wrote:
Jun 17th, 2017 11:09 pm
I KNOW!!! My whole family is on this and have so much money with them but they probably won't care. I'm going to phone my home branch next week and see if there's anything they can do. If not then I'm going to close it and go somewhere else. I have a LOC with them too and might just leave it there or close that as well out of spite.
What would be MUCH better is to close the chequing account and keep the LOC open and use that as your chequing account out of spite. You get free cheques and e-Transfers with the LOC if I'm not mistaken :)
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ace604 wrote:
Jun 18th, 2017 1:06 am
What would be MUCH better is to close the chequing account and keep the LOC open and use that as your chequing account out of spite. You get free cheques and e-Transfers with the LOC if I'm not mistaken :)
Thanks for the advice! I will look into this or potentially opening up something with PC Financial.
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Am I the only one who doesn't mind paying Banking Fees? I have the VIP at Royal Bank and Pay $20.05/month with the multi-product rebate.

1) When I call in super fast.
2) When I show up I get preferred service (cut ahead of people, etc).
3) Premium Credit Card fees of $170 waived every year.
4) Direct Investing Account (6 of them)....quarterly maintenance fee waived for all
5) Free cheques (I know others off this too..but I like it).
6) I don't have to to "drive to a RBC" to withdraw money...do it anywhere and no extra fees.
7) Under our account we have 2 checking and 6 savings accounts at no extra fees
8) Bank Drafts are free....use at least 1 or 2 a year

I dunno...I don't mind paying fees for something that I use and is a convenience.
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X360 wrote:
Jun 17th, 2017 9:17 pm
You could open a CIBC LOC or TD LOC which will give you free unlimited transactions and unlimited cheques...

https://www.cibc.com/en/personal-bankin ... redit.html
Pardon my ignorance but how do this work? Like it will work like a chequing account? You can withdraw money immediately? How will the interest work on this?
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Troydabes wrote:
Jun 18th, 2017 8:56 am
Pardon my ignorance but how do this work? Like it will work like a chequing account? You can withdraw money immediately? How will the interest work on this?
It works like any other chequing account. The different are...

1) For the real chequing account, you need to have (ie. $5000) balance in your account in other to waive the monthly fee (ie. $30).

2) For LOC account, ie. you want to withdraw $200 from ATM...

a) If your LOC account has more than $200 positive balance then then you don't have to pay interest as you LOC account balance still positive.

b) If your LOC account doesn't have any money, then your LOC account will have negative balance and you will have to pay the interest for the negative balance (ie $200 until you deposit / cover the $200 withdraw money).
Last edited by X360 on Jun 18th, 2017 9:58 am, edited 1 time in total.
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Troydabes wrote:
Jun 18th, 2017 8:56 am
Pardon my ignorance but how do this work? Like it will work like a chequing account? You can withdraw money immediately? How will the interest work on this?
Ideally you would always have it in a -ve balance....meaning you are never actually borrowing the money.

Much like overpaying your credit card and having a negative balance which you would never "borrow" from your lender.
[OP]
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May 6, 2007
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Toronto
kanewtz wrote:
Jun 18th, 2017 8:07 am
Am I the only one who doesn't mind paying Banking Fees? I have the VIP at Royal Bank and Pay $20.05/month with the multi-product rebate.

1) When I call in super fast.
2) When I show up I get preferred service (cut ahead of people, etc).
3) Premium Credit Card fees of $170 waived every year.
4) Direct Investing Account (6 of them)....quarterly maintenance fee waived for all
5) Free cheques (I know others off this too..but I like it).
6) I don't have to to "drive to a RBC" to withdraw money...do it anywhere and no extra fees.
7) Under our account we have 2 checking and 6 savings accounts at no extra fees
8) Bank Drafts are free....use at least 1 or 2 a year

I dunno...I don't mind paying fees for something that I use and is a convenience.
I think, like you said, if it's worth the convenience then pay the fee. You seem to have a lot of perks like waiving the credit card fees and free cheques. But if for something simple like transferring, depositing and withdrawing money - if one bank will charge $1.50 per transaction and another bank won't charge anything, then I'd go with the one that charges nothing. I think it depends what you use it for.
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kanewtz wrote:
Jun 18th, 2017 8:07 am
Am I the only one who doesn't mind paying Banking Fees?
You aren't the only one - RBC makes a lot of profit.
But you are on RFD here. Who wants to pay when you can get save money?
kanewtz wrote:
Jun 18th, 2017 8:07 am
I have the VIP at Royal Bank and Pay $20.05/month with the multi-product rebate.
Ouch. $240.60/yr of your hard-earned after tax money for a bank account? I haven't paid that much in fees combined over decades of banking :)
kanewtz wrote:
Jun 18th, 2017 8:07 am
1) When I call in super fast.
2) When I show up I get preferred service (cut ahead of people, etc).
A lot of people bank online primarily and never need to call or go to a branch. I only go to the branch to open/close accounts for $2-300 promotions :)
kanewtz wrote:
Jun 18th, 2017 8:07 am
3) Premium Credit Card fees of $170 waived every year.
RBC cards are not great. Avion just got compared to 2% Cap1 and Cap1 was better across the board. Charts showed Avion redemptions topping out more like 1.5% and often times lower.
kanewtz wrote:
Jun 18th, 2017 8:07 am
4) Direct Investing Account (6 of them)....quarterly maintenance fee waived for all
5) Free cheques (I know others off this too..but I like it).
6) I don't have to to "drive to a RBC" to withdraw money...do it anywhere and no extra fees.
You know other people don't have to drive to their bank to get money, right?

e.g. Tangerine uses Scotia ATMs which are in every 7-Eleven. PCF uses CIBC ATMs and they have PCF machines at the President's Choice stores.

If you withdraw from another bank's ATM once a month with Tangerine your cost is $4/mo, which is nowhere near $20.05.

A lot of people don't use cash that often any more.

I'm guessing people who visit branches often use cash more though.
kanewtz wrote:
Jun 18th, 2017 8:07 am
7) Under our account we have 2 checking and 6 savings accounts at no extra fees
I have over a dozen accounts all free at each of Tangerine and EQ. They let me nickname them to keep track of what they are for. Hopefully RBC lets you do that too?
8) Bank Drafts are free....use at least 1 or 2 a year
I've used 1 or 2 in my life. Curious why you need them so often?

They are $7.50 a pop and can be gotten at any bank you have a free savings account at.

Transfer money from real bank (Tangerine/EQ) to free brick & mortar savings account, get draft. Pay $7.50.

I admit this would be annoying if you did it weekly or even monthly. But once a year?
I dunno...I don't mind paying fees for something that I use and is a convenience.
It's not that you should mind paying fees. You are paying too many fees.

You should just pay $7.50 x 2 drafts + $5 x 10
"other-ATM" fees and save $175/yr in fees.

And get a better credit card that pays you to have it instead of you paying for it.

Cap 1 2% back with $400 bonus for $150 fee.
Free supplemental card.
Spouse gets one a year later, repeat. Transfer points to spouse.
Paid $250/yr to earn better rewards rate you can use more flexibly.
Last edited by ace604 on Jun 18th, 2017 1:12 pm, edited 1 time in total.
POLL: How frequent is your RRSP-matching?
Plastiq: Pay any bill with credit card for 0-2.5% fee (help meet min spending and keep old cards active!)
Rewards program transfer times (e.g. SPG->Aeroplan, Marriott->SPG, Amex MR->SPG...)
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kanewtz wrote:
Jun 18th, 2017 8:07 am
Am I the only one who doesn't mind paying Banking Fees? I have the VIP at Royal Bank and Pay $20.05/month with the multi-product rebate.

1) When I call in super fast.
2) When I show up I get preferred service (cut ahead of people, etc).
3) Premium Credit Card fees of $170 waived every year.
4) Direct Investing Account (6 of them)....quarterly maintenance fee waived for all
5) Free cheques (I know others off this too..but I like it).
6) I don't have to to "drive to a RBC" to withdraw money...do it anywhere and no extra fees.
7) Under our account we have 2 checking and 6 savings accounts at no extra fees
8) Bank Drafts are free....use at least 1 or 2 a year

I dunno...I don't mind paying fees for something that I use and is a convenience.
If it works for you... $20/month is $240 for stuff most people don't need.

1. I never call the bank. Call maybe once every few years
2. Never visit the bank. Only have gone a few times in the last 5 years to exchange money or get a draft and there is never a line when I go.
3. Don't like any of the RBC credit cards
4. Investing with questrade (registered accounts) and interactive brokers (non registered). There are no maintenance fees and trade fees are much cheaper.
5. I don't use chqs at all. If I do, I still have pc financial account. Haven't used a chq in over 10 years.
6. I don't "drive" to withdraw money either. I can walk to any ATM. All the same distance to me.
7. Not sure why having multiple savings accounts is a benefit but I can get that as well with my free bank account
8. Bank draft, have used about 3 times in the last 5 years.

For most people, the things you listed are neither a convenience, need, or want. Which is why they choose not to pay $240 a year.
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ace604 wrote:
Jun 18th, 2017 1:12 pm
I have over a doozen accounts all free at each of Tangerine and EQ. They let me nickname them to keep track of what they are for. Hopefully RBC lets you do that too?
Yes RBC allows nicknaming of accounts too.
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ace604 wrote:
Jun 18th, 2017 1:12 pm
You aren't the only one - RBC makes a lot of profit.
But you are on RFD here. Who wants to pay when you can get save money?
Ouch. $240.60/yr of your hard-earned after tax money for a bank account? I haven't paid that much in fees combined over decades of banking :)
A lot of people bank online primarily and never need to call or go to a branch. I only go to the branch to open/close accounts for $2-300 promotions :)
RBC cards are not great. Avion just got compared to 2% Cap1 and was better across the board. Charts showed Avion redemptions topping out more like 1.5% and often times lower.
You know other people don't have to drive to their bank to get money, right?

e.g. Tangerine uses Scotia ATMs which are in every 7-Eleven. PCF uses CIBC ATMs and they have PCF machines at the President's Choice stores.

If you withdraw from another bank's ATM once a month with Tangerine your cost is $4/mo, which is nowhere near $20.05.

A lot of people don't use cash that often any more.

I'm guessing people who visit branches often use cash more though.
I have over a doozen accounts all free at each of Tangerine and EQ. They let me nickname them to keep track of what they are for. Hopefully RBC lets you do that too?
I've used 1 or 2 in my life. Curious why you need them so often?

They are $7.50 a pop and can be gotten at any bank you have a free savings account at.

Transfer money from real bank (Tangerine/EQ) to free brick & mortar savings account, get draft. Pay $7.50.

I admit this would be annoying if you did it weekly or even monthly. But once a year?
It's not that you should mind paying fees. You are laying too many fees.

You should just pay $7.50 x 2 drafts + $5 x 10
"other-ATM" fees and save $175/yr in fees.

And get a better credit card that pays you to have it instead of you paying for it.

Cap 1 2% back with $400 bonus for $150 fee.
Free supplemental card.
Spouse gets one a year later, repeat. Transfer points to spouse.
Paid $250/yr to earn better rewards rate you can use more flexibly.
mech9t5 wrote:
Jun 18th, 2017 1:19 pm
If it works for you... $20/month is $240 for stuff most people don't need.

1. I never call the bank. Call maybe once every few years
2. Never visit the bank. Only have gone a few times in the last 5 years to exchange money or get a draft and there is never a line when I go.
3. Don't like any of the RBC credit cards
4. Investing with questrade (registered accounts) and interactive brokers (non registered). There are no maintenance fees and trade fees are much cheaper.
5. I don't use chqs at all. If I do, I still have pc financial account. Haven't used a chq in over 10 years.
6. I don't "drive" to withdraw money either. I can walk to any ATM. All the same distance to me.
7. Not sure why having multiple savings accounts is a benefit but I can get that as well with my free bank account
8. Bank draft, have used about 3 times in the last 5 years.

For most people, the things you listed are neither a convenience, need, or want. Which is why they choose not to pay $240 a year.
1. Call the bank about once every couple of months. Usually to set up appointments and/or discuss financial things
2. Kinda hard to withdraw $1000's of dollars from the ATM. I purposely put a $500 limit on my debit card incase it ever got stolen/compromised.
3. Our RBC Avion is great. I'll be honest I only use it for travel, but we fly 2-3 times a year out of country. Have used the flight delay insurance 4 times so far and every time has been a flawless procedure. We were going to use the out of province medical when our son was in the hospital in Florida, but my wife's employers insurance was easier.
4. I pay $0 in trade fees with RBC Direct Investing. I prefer having my trading account with my bank account. Easier to transfer funds, IMO.
5. I write two cheques a week. One for our cleaning lady and one for our daycare provider.
6. Those of you in bigger cities have great access to all these "no-brick" banks. I live in a small city of ~20,000. There is no PC branded store. There is limited banking. There, are, however two RBC Branches. Perhaps the convenience is worth it alone.
7. Aside from checking accounts, I have the savings accounts for both our kids (leo accounts are crap), $USD, etc.
8. We use bank drafts for various reasons. Last year was my truck. This year I'm not to sure yet. They really do come in handy and if I'm spending more than $5k I prefer to get a bank draft.

The other reason I am with RBC is when my wife and I had our mortgage, RBC was the only bank that would come close to giving us a great offer. We have just never left. We also really like the account manager at our local branch.
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Oct 22, 2015
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kanewtz wrote:
Jun 18th, 2017 2:33 pm
1. Call the bank about once every couple of months. Usually to set up appointments and/or discuss financial things
2. Kinda hard to withdraw $1000's of dollars from the ATM. I purposely put a $500 limit on my debit card incase it ever got stolen/compromised.
3. Our RBC Avion is great. I'll be honest I only use it for travel, but we fly 2-3 times a year out of country. Have used the flight delay insurance 4 times so far and every time has been a flawless procedure. We were going to use the out of province medical when our son was in the hospital in Florida, but my wife's employers insurance was easier.
4. I pay $0 in trade fees with RBC Direct Investing. I prefer having my trading account with my bank account. Easier to transfer funds, IMO.
5. I write two cheques a week. One for our cleaning lady and one for our daycare provider.
6. Those of you in bigger cities have great access to all these "no-brick" banks. I live in a small city of ~20,000. There is no PC branded store. There is limited banking. There, are, however two RBC Branches. Perhaps the convenience is worth it alone.
7. Aside from checking accounts, I have the savings accounts for both our kids (leo accounts are crap), $USD, etc.
8. We use bank drafts for various reasons. Last year was my truck. This year I'm not to sure yet. They really do come in handy and if I'm spending more than $5k I prefer to get a bank draft.

The other reason I am with RBC is when my wife and I had our mortgage, RBC was the only bank that would come close to giving us a great offer. We have just never left. We also really like the account manager at our local branch.
How do you get this:
4. I pay $0 in trade fees with RBC Direct Investing.

Is it part of VIP package? I don't see this.
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wra45mon wrote:
Jun 18th, 2017 5:18 pm
How do you get this:
4. I pay $0 in trade fees with RBC Direct Investing.

Is it part of VIP package? I don't see this.
I think he means quarterly maintenance fee... If $0 trade fee then all of us will switch to RBC lol...
kanewtz wrote:
Jun 18th, 2017 8:07 am
4) Direct Investing Account (6 of them)....quarterly maintenance fee waived for all
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Nov 9, 2015
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Toronto, ON
Check out BMO Bank Up promo:

bmo-free-unlimited-bank-account-new-cus ... y-2085669/

You get free chequing, savings account and "free" World Elite Card: Cashback at 1.75% or BMO Travel WE 2%.

Free etransfers, guaranteed by a brick and mortar if that is what you want (BMO).

Keep in mind you need 80K to be elegible for the cards.

The reason I mentioned "free" is because:
a. Nobody knows how long this promo will last
B. Cards are $150, but are waived with the promo.

The only condition you need is to deposit $1500 to to your BMO account. Once a month.

I have my payroll going to BMO and etransfering it straight to EQ.

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