The best option is the EQ Bank US Dollar Account, with the highest interest rate. There are several types of bank accounts that can hold your U.S. dollars with low/no-fee transactions, competitive rates, and unique perks.
Your options include chequing and savings accounts from big banks as well as online-only banks. You can also try alternative services such as Wise to manage your cross-border cash.
These accounts and services differ dramatically in their features, so let’s review the best U.S. bank accounts available in Canada to find the best one for your needs.
Key Takeaways
- The best U.S. chequing account for Canadians is the EQ Bank US Dollar Account.
- Some details to consider when comparing accounts are the monthly fees, included transactions, and whether or not you can make deposits or withdrawals from U.S. ATMs.
- Opening a U.S. dollar bank account in Canada is mostly the same as opening any other account and can usually be done either at a branch, over the phone, or online.
- The benefits of such an account include avoiding transaction and conversion fees, paying U.S. bills more easily, and earning passive income.
Best U.S. bank accounts for Canadians
We compared monthly fees, transfer limits, convenience, exchange rates, and available perks for the top 7 U.S. dollar bank accounts and cross-border transfer options for Canadians.
Each account review includes:
- Best features
- Disadvantages
- Ideal customer
For most people, the EQ Bank US Dollar Account is the best U.S. bank account in Canada. However, frequent travelers and people who need U.S. cheques and ATM access may prefer an alternative.
Best for earning interest: EQ Bank US Dollar Account
The EQ Bank US Dollar Account is one of the best U.S. bank accounts available in Canada, offering a higher interest rate than most similar accounts, as well as many other valuable money-saving features. EQ makes it easy to move your U.S. funds around, but it doesn't offer unlimited transactions, which would be a nice added touch.
- High interest rate on USD balance
- Competitive USD exchange rate
- Free EFT between linked accounts
- Send international transfers
- Not available in Quebec for now
- No physical locations
- No direct withdrawals or deposits
- Canadian citizen
- Age of majority in your province
- Need a social insurance number
- Need a Canadian phone number
- Need an EQ Bank Personal Account
- Send money abroad with Wise
- Free, unlimited USD to USD transfers within Canada
- Very reasonable exchange rates
Why we picked it: With an impressive interest rate, no monthly fee, and a ton of valuable features, EQ Bank US Dollar Account is a robust savings account.
- No monthly fee
- High interest rate
- Free USD-to-USD transfers in Canada
- Low exchange rate
- Easy international money transfers
- U.S. dollar deposits CDIC eligible
Monthly fee: $0
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Best mobile app experience: Tangerine US Dollar Savings Account
The Tangerine US Dollar Savings Account is made for people who need a place to put some USD they have kicking around – or even deposit some income that comes in as USD. By using this account, you don’t have to convert the money to CAD, which could be a big help if the exchange rates are particularly bad.
- No minimum balances or monthly fee
- Automatic Savings Program
- Standard interest rate is only relatively good
- No debit card access
- Automatic Savings Programs to help you save
Why we picked it: With no money fee, Tangerine’s account is an economical choice that can be accessed via a convenient, well-designed mobile app.
- No minimum balance
- No monthly fee
- Competitive exchange rates
- Highly rated, easy-to-use mobile app
Monthly fee: $0
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Best for additional currencies: Wise
- USD: Start at $7.40
- EUR: Start at $6.34
- GBP: Start at $6.78
- INR: Start at $8.21
- CNY: Start at $15.66
- Direct debit: $9,500/day, $30,000/week
- Debit/credit: $3,000/transfer
- Interac e-Transfer: $25,000
- Bill payment/wire transfer: $1.5 million
Wise, formerly known as Transferwise, is an international money transfer service that allows users to send funds to 80+ countries, including Wise transfers in Canada. Transferwise was launched in 2011 by two friends from Estonia. The company started out offering international money transfers, and soon grew to include multi-currency accounts, business accounts, and a debit card. In 2021, Transferwise changed its name to Wise.
- Cheap international money transfers
- Transparent fee structure
- Free multi-currency account to hold over 40 currencies
- FINTRAC regulated in Canada
- Ability to enable two factor authentication (2FA)
- Your Wise account can be deactivated with no reason given
- Limits on the amount that can be transferred
- Relatively small list of countries
- No hidden fees or markup
- USD: Start at $7.40
- EUR: Start at $6.34
- GBP: Start at $6.78
- INR: Start at $8.21
- CNY: Start at $15.66
- USD: Same day
- EUR: Same day
- GBP: Same day
- INR: Same day
- CNY: Same day
- Direct debit: $9,500/day, $30,000/week
- Debit/credit: $3,000/transfer
- Interac e-Transfer: $25,000
- Bill payment/wire transfer: $1.5 million
Why we picked it: With 40 currencies, affordable money transfers, and a transparent fee structure, Wise is a secure and easy way to manage money across borders.
- Same day transfers for many countries
- Cheaper global fees than banks
- Clear fee structure
- FINTRAC regulated
Monthly fee: N/A
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Best free add-on: BMO US Dollar Premium Rate Savings Account
The BMO US Dollar Premium Rate Savings Account is available for existing BMO customers who want a place to hold any USD they have coming in, without having to convert it to Canadian dollars first. This sort of account exists so you can save money in USD when conversion rates are less beneficial, then convert it all over when exchange rates are working more in your favour. Or if you spend money in USD, you won’t have to worry about getting it converted.
- No added monthly fees
- Average interest rate
- Easy to get at your money when you want it
- “Free” isn’t really free
- “Average” doesn’t mean good
- No welcome bonus or other sign-up incentives
- Age of majority
- Canadian citizen
- Hold USD without converting it to CAD first
- * Only available as an addition to your BMO chequing account
Why we picked it: Existing BMO customers will like this account, with potential debit card access to U.S. funds and no added fees on top of the BMO chequing account fee.
- Low but respectable interest rate (0.05%) for a big bank
- No added monthly fees
- No restrictions on taking out money
- Possible debit card access
Monthly fee: $0
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Best tiered interest rate: Scotiabank U.S. Dollar Daily Interest Account
If you have U.S. income or other sources of U.S. dollars, you can save on the USD to CAD exchange rate by depositing that money into a U.S. dollar account. The Scotiabank U.S. Dollar Daily Interest Account is one of these. Not only does it give you a place to stash your American dollars, it also has a tiered interest rate that goes up based on your daily balance in the account.
- Avoids currency exchange costs
- Tiered interest based on daily account balance
- Free with a minimum daily balance
- Also free with a Scotiabank Preferred Package
- Minimum balance to earn any interest at all
- Even top tier interest is pretty paltry
- Only 2 free transactions per month
- Tiered interest rate depending on balance
- Competitive foreign exchange rates
- No fee for U.S. dollar drafts
Why we picked it: Tiered interest rates mean higher interest on bigger balances. This account is also free with a Scotiabank Preferred Package.
- Tiered interest rate
- Competitive foreign exchange rates
- No fee for U.S. dollar drafts
Monthly fee: $1 (or $0, if your balance is above $200)
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$75 GeniusCash + Unlimited transactions for $0 + Ding-free non-affiliated ATM usage.
$25 GeniusCash + $50 bonus for funding a new account, and $0 commissions on stocks & ETFs
$12 GeniusCash + Access trusted news coverage 24/7 + Digital and home subscription options.
$25 GeniusCash + Delicious meal choices with fresh ingredients + Front-door delivery.Best for U.S. ATM access: RBC U.S. Direct Checking
Why we picked it: RBC’s account gives you 10 monthly transactions, a huge network of U.S. ATMs, and other valuable perks you won't get from competitors.
- Access to over 50,000 U.S. ATMs
- No minimum balance ($50 to open)
- Unlimited instant transfers between U.S. and Canada
- Various other perks
Monthly fee: $3.29
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Best for free transactions: TD Borderless Plan
Why we picked it: With competitive rates in multiple currencies, TD’s plan is an affordable and reliable banking solution for Canadians who regularly move money across borders.
- Unlimited free transactions
- U.S. credit card fee waiver
- Free U.S. bank drafts and cheques
- Waived monthly fee with $3,000+ balance
Monthly fee: $4.95
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Why do Canadians open U.S. bank accounts?
Avoiding conversion fees and being able to pay your U.S. bills more easily are just a few of the many reasons to open a U.S. dollar bank account in Canada.
- Avoid USD to CAD transaction and conversion fees
- Easily receive U.S. income for remote work
- Doing business in the U.S.
- Online shopping with U.S. retailers
- Conveniently pay U.S. bills
- Choose your transfer date when exchanges rates are favorable
You can also open a credit card that doesn’t charge foreign transaction fees. If you frequently make purchases in U.S. dollars, this is another clever way for Canadians to get around transaction and conversion fees.
How to choose a U.S. bank account in Canada
Consider these key factors to choose the best U.S. bank account in Canada for your needs:
- Account fees: Look for low or no-fee options to save the most money.
- Exchange rates: Traditional banks may have less competitive rates.
- Withdrawal options: Some banks charge fees or limit withdrawals.
- Interest rates: Look at promotional vs. long-term rates, as well as tiered vs. flat.
- Convenience: Your current bank may offer an account, or you may prefer a mobile app.
- Other perks: Ask about cash bonuses, fee waivers, and other promotional perks.
Remember to read the fine print, as some features may disappear after an initial promotional period.
How to open a U.S. bank account in Canada
Most U.S. dollar bank accounts can be opened in Canada either in person, over the phone, or even online.
The process of opening a U.S. dollar account is pretty simple, especially if you're opening one with a big bank that you already do business with. The steps will look something like this:
- Visit a branch, call customer service, or go to the bank's website
- Fill in the required information
- Fund your account
While the exact personal information required will vary between banks, it's a good idea to have the following documents on hand when starting your application:
- Your passport
- Proof of address
- Proof of employment
- SIN (for Canadian citizens)
- ITIN or SSN (for U.S. citizens)
- W-8BEN form (for U.S. residents)
Keep in mind that some of your other bank accounts may allow you to open a U.S. dollar account for free.
For instance, those with a Scotiabank Preferred Package are offered the Scotiabank U.S. Dollar Daily Interest Account at no cost, allowing you to save and earn interest on those American dollars without worrying about monthly fees.
FAQ
What's the best U.S. bank account for a Canadian to open?
The EQ Bank US Dollar Account is the best option for Canadians who want a U.S. bank account. There's no monthly fee, you'll earn an impressive 2.75% interest, and EQ's exchange rates are some of the best available.
Can I open a U.S. bank account from Canada?
Yes, there are several U.S. bank accounts available from Canadian banks, designed for Canadians to save and spend in U.S. dollars. BMO, CIBC, National Bank, RBC, and TD all provide this valuable type of product.
Should Canadians have a U.S. bank account?
Some Canadians can benefit from having a U.S. bank account, including those who frequently do business in the U.S., make purchases in U.S. dollars, or need to send money to American friends/family.
Is there a drawback of U.S. bank accounts?
Many U.S. bank accounts in Canada don't include monthly transactions, instead charging rather high per-usage fees. It's also not as easy to add or transfer funds as it is with a typical Canadian bank account.
What’s better: a U.S. dollar bank account in Canada or a bank account based in the U.S.?
It's definitely easier to open a U.S. dollar bank account here in Canada, rather than open one with a U.S.-based bank. But which one is better for you will depend on your specific wants and needs.
Leave a comment
Comments
Hey Sasha,
Thanks for reaching out! You're right, this article is definitely in need of some updating. We'll address this soon.
Hi Harv,
That's not a dumb question at all.
According to TD's About Accounts and Related Services pdf file, for US Dollar accounts, "Banking via ATM machines and debit payment purchase is not available."
Great point, thanks for sharing Sean.
I'd suggest calling whatever bank you plan to use in the USA and asking them that question. I would hope you'd be able to do it through online banking but I can't confirm that because I've never had the need to do something similar myself.
I don't focus on interest in my USD accounts. You aren't going to earn much interest with any account right now. Tangerine is probably your best bet or trying to open up an account with an actual US bank. Haven't done the research on this so I can't really say for sure.
You should be able to deposit it at the ATM as well.
Unfortunately this is too complicated a situation for me to really advise you on Patricia. I would need more personal experience before I could give you this kind of advice. I'd suggest calling some of the banks mentioned in this article, explaining your specific scenario, and see how they are able to accomodate you.