Banking
Canada — Banking: Opening an Account
Opening a personal bank account in Canada is a standardized process protected by consumer rights, which dictate that eligible individuals cannot be refused an account simply for being unemployed or having a past bankruptcy. Financial institutions are legally required to verify the identity of any applicant, requiring two valid pieces of acceptable identification, with at least one containing a photograph. While many accounts can be initialized online, in-person verification at a local branch remains a common requirement for foreign nationals and temporary residents.
Key facts
- Applicants must present two valid pieces of original, non-expired identification.
- Acceptable IDs include passports, permanent resident cards, driver's licenses, or study/work permits.
- A Social Insurance Number (SIN) is required specifically for interest-bearing accounts.
- Banks cannot refuse to open a basic savings or chequing account solely due to a poor credit rating.
- Newcomers may use a temporary Canadian address accompanied by supporting settlement documents.
- Minors can open accounts with parental consent and appropriate identification.
- Many banks offer dedicated newcomer packages featuring waived fees and basic credit card options.
Required documents
- Passport
- Permanent resident documents
- Work permit
- Study permit
- Canadian identification documents where available
Newcomer Banking Options
Many Canadian financial institutions offer newcomer programs with banking products tailored to people without existing Canadian banking history. Features worth comparing include monthly fees, transaction limits, international transfer options, credit-building support, and mobile banking services. Source: Financial Consumer Agency of Canada.
Deposit Protection
Deposits in Canadian banks are protected by the Canada Deposit Insurance Corporation (CDIC), a federal Crown corporation established in 1967. CDIC automatically insures eligible deposits up to $100,000 CAD (principal and interest) per depositor, per category, at each member institution — covering savings/chequing accounts, term deposits, and GICs across categories including individual, joint, RRSP, TFSA, and FHSA accounts. Investment products such as mutual funds, stocks, bonds, and cryptocurrencies are not covered. Provincial deposit guarantee corporations separately secure credit union deposits. Source: Canada Deposit Insurance Corporation.