Choosing the right bank in Canada can feel overwhelming with dozens of options ranging from century-old institutions to digital platforms, each offering different fees, services, and benefits that directly impact your financial well-being. Whether you’re a newcomer to Canada, switching banks, or simply seeking better rates and features, finding the perfect banking partner requires navigating through complex fee structures, digital capabilities, and service quality differences.
This article solves that challenge by analyzing Canada’s top 13 banks, providing clear comparisons of their strengths, weaknesses, and ideal customer profiles. You’ll discover which banks suit your financial needs while learning about Canada’s legendary “Big Five” banks. By the end of this article, you’ll have the insights needed to select a Canadian bank that aligns with your financial goals, lifestyle, and banking preferences.
Snapshot: The state of Canadian banking in 2025
The Canadian banking landscape in 2025 reflects a sector in transformation, balancing traditional strength with digital innovation. Almost half (48%) of Canadian financial services CEOs who responded to PwC’s 28th Global CEO survey are very or extremely confident about their prospects for revenue growth in the next 12 months, demonstrating optimism despite economic uncertainties.
Digital adoption has accelerated dramatically, with 87 per cent of Canadians having banked online in the last year, while 70 per cent have used an app to do their banking, up from 65 per cent in 2021. Mobile banking usage averages 7.4 times per month, indicating strong customer engagement with digital platforms.
The sector’s stability remains a hallmark, with The Bank of Montreal paying dividends to shareholders every year since 1829 (196 years), Scotiabank since 1833 (192 years), and other Big Five banks maintaining similar long-term dividend records. Looking ahead, 41% of Canadians expect to increase their use of mobile banking apps in the next five years, 40% for Interac e-Transfer, and 32% for Tap & Pay, while 16% of Canadians (almost 5 million people) are expected to have an online bank account by 2026.
Tabular Roundup: Top 12 Banks in Canada
The table below presents Canada’s leading banks ranked by market capitalization, assets, and customer base. It showcases the dominance of the Big Five alongside emerging digital players and regional banks. This ranking reflects both traditional banks with century-long dividend histories and innovative digital banks responding to changing consumer preferences in 2025.
S/N | Bank | Headquarters | Specialization |
1 | Royal Bank of Canada (RBC) | Toronto | Universal banking, capital markets, wealth |
2 | Toronto-Dominion Bank | Toronto | Universal banking; strong U.S. footprint |
3 | Bank of Nova Scotia (Scotiabank) | Toronto | Universal banking; Latin America focus |
4 | Bank of Montreal (BMO) | Montreal/Toronto | Universal banking; North America platform |
5 | Canadian Imperial Bank of Commerce (CIBC) | Toronto | Universal banking; retail & SME |
6 | National Bank of Canada | Montreal | Universal banking; Québec leader |
7 | Desjardins Group | Lévis, QC | Cooperative financial group; retail, insurance, wealth |
8 | Equitable Bank (EQ Bank) | Toronto | Challenger bank; digital savings & mortgages |
9 | Tangerine Bank (Scotiabank) | Toronto | Digital-only retail bank |
10 | motusbank | Toronto | Direct bank; high-interest savings & mortgages |
11 | Simplii financial | Toronto | Digital-only bank (CIBC subsidiary); no-fee banking |
12 | Neo financial | Calgary | Fintech, high-yield savings & credit cards |
1. Royal Bank of Canada (RBC)
RBC maintains its position as Canada’s largest bank with strong performance across all business lines. The bank reported solid Q1 2025 results with net income growth driven by its diversified revenue streams spanning personal banking, wealth management, and capital markets. RBC’s digital platform serves millions of active users, while its U.S. operations provide geographic diversification. The bank continues investing in AI technology and sustainable finance initiatives. With robust capital ratios and consistent dividend growth, RBC remains the market leader in Canadian banking.
2. Toronto-Dominion Bank (TD)
This bank stands out with its extensive North American footprint, operating over 1,100 U.S. branches alongside its strong Canadian base. The bank delivered a strong Q1 2025 performance with gains across divisions, including $264 million for US Commercial Banking and Wealth Management. Despite regulatory challenges in the U.S., TD maintains excellent customer satisfaction ratings and operational efficiency. The bank is focusing on digital transformation and enhancing its wealth management services while managing through its current regulatory remediation process.
3. Bank of Nova Scotia (Scotiabank)
Scotiabank differentiates itself through international diversification, with significant operations across Latin America and the Caribbean. This global presence in Mexico, Peru, Chile, and Colombia provides exposure to growing economies and different market cycles. The bank combines strong Canadian retail operations with international commercial banking expertise. Scotiabank’s Pacific Alliance focus creates unique growth opportunities while its digital investments span all markets to improve customer experience.
4. Bank of Montreal (BMO)
As Canada’s oldest bank, founded in 1817, BMO has built a strong North American platform through strategic acquisitions and organic growth. The bank excels in commercial banking and wealth management, serving middle-market and large corporate clients effectively. BMO’s recent U.S. acquisitions have expanded its market reach and created new revenue opportunities. The bank continues modernizing through digital inclusions while maintaining its focus on sustainable finance and ESG leadership.
5. Canadian Imperial Bank of Commerce (CIBC)
CIBC topped analysts’ profit expectations in recent quarters, demonstrating its successful transformation into a client-focused organization. The bank has strengthened its Canadian retail banking position while expanding wealth management and private banking services. CIBC’s operational excellence initiatives have improved efficiency and cost management. The bank’s investments in digital banking platforms ensure competitive positioning while maintaining strong customer relationships in personal and small business banking.
6. National Bank of Canada
They leverage their dominant Quebec market position to build national capabilities while preserving their francophone culture and local expertise. The bank’s deep community relationships in Quebec create strong customer loyalty and market barriers for competitors. Beyond Quebec, National Bank has expanded its wealth management and commercial banking services across Canada. The bank’s relationship-focused approach and cultural sensitivity provide differentiation in serving middle-market businesses and high-net-worth clients.
7. Desjardins Group
This bank operates as Canada’s largest federation of credit unions and North America’s biggest financial cooperative. They serve members rather than shareholders since theit founding in 1900. Their unique structure allows Desjardins to return profits to its member-owners through dividends and community investments. The cooperative posted excellent 2024 results with surplus earnings of $3.356 billion, up $1.097 billion from 2023. Beyond traditional banking, Desjardins offers insurance and wealth management services while maintaining strong ties to Quebec communities.
8. Equitable Bank (EQ Bank)
EQ Bank has established itself as Canada’s leading challenger bank, focusing on high-interest savings accounts and competitive mortgage products. The bank has consistently delivered strong performance, averaging over 16% return on equity over the last 10 years. EQ Bank’s digital-first approach attracts customers seeking better rates than traditional banks offer, with its Notice Savings Account offering 3.00% interest compared to much lower rates from the Big Five banks. The bank’s mortgage business drives growth through lending solutions and efficient digital processes. EQ Bank continues expanding its product lineup while maintaining advantages in savings and lending.
9. Tangerine Bank
They operate as Scotiabank’s digital banking subsidiary, offering no-fee banking products and competitive rates to Canadian consumers. The bank targets customers who are not satisfied with traditional banking fees through its straightforward digital platform and café-style physical locations in major cities. Tangerine currently offers promotional savings rates up to 4.50% for new customers, helping it compete effectively against other digital banks. Tangerine’s brand recognition and Scotiabank backing provide customer confidence. The bank continues modernizing its platform and expanding product offerings.
10. Motusbank
This is a direct banking division of Meridian Credit Union, focusing on high-interest savings accounts and mortgage products. The bank targets rate-conscious consumers across Canada with simple, digital-first banking solutions. Motusbank differentiates itself through consistently competitive rates and minimal fees, appealing to customers seeking alternatives to traditional banking relationships. The bank’s product lineup allows it to maintain operational efficiency while delivering value to customers. Motusbank continues growing its deposit base and mortgage portfolio through digital marketing and competitive pricing strategies.
11. Simplii Financial
They serve as CIBC’s digital banking platform, offering no monthly fees and online services to Canadian consumers. The bank provides full-service banking, including chequing accounts, savings, mortgages, and investment products through its digital channels. Simplii competes directly with other digital banks by eliminating traditional banking fees while leveraging CIBC’s infrastructure and regulatory backing. The platform attracts younger customers and digital-first users seeking convenience and value.
12. Neo Financial
They emerged as one of Canada’s most innovative fintech companies, offering high-yield savings accounts and unique credit card products from its Calgary headquarters. The company’s Neo Money high-interest savings account and cashback credit cards appeal to tech-savvy consumers seeking better financial products. Neo differentiates itself through partnerships with popular retailers and brands, offering enhanced rewards and cashback opportunities. This fintech continues expanding rapidly, attracting significant investment and growing its customer base through innovative product design and digital marketing. Neo represents the new generation of Canadian financial services companies challenging traditional banking models.
Canadian Banks Industry Trends
The Canadian banking sector continues to demonstrate resilience and stability in 2025, with the Big Six banks maintaining their dominant market positions. Key industry trends include:
Digital Transformation: All major banks are investing heavily in AI, machine learning, and digital banking platforms to enhance customer experience and operational efficiency.
Sustainable Finance: ESG commitments and sustainable finance offerings are becoming increasingly important competitive differentiators.
Interest Rate Environment: Banks are benefiting from higher interest rates, which have improved net interest margins across the sector.
Regulatory Stability: Canada’s robust regulatory framework continues to support banking sector stability and consumer protection.
Competition: Increased competition from fintech companies and digital-only banks is driving innovation across the traditional banking sector.
Conclusion: Picking the right Canadian bank for your financial needs.
Choosing the right Canadian bank requires balancing traditional banking reliability with modern digital capabilities. Consider your digital preferences carefully, as digital banking has become the norm, with more than 4 in 10 Canadians saying their use of apps and online banking has been increasing in recent years.
Your choice should align with your lifestyle, whether you prioritize extensive branch networks, international accessibility, digital innovation, or specialized services. Notably, 41 percent of Canadians with bank accounts expressed confidence in their financial awareness in 2023. The key is selecting a bank that enhances your financial literacy and meets your evolving needs in Canada’s increasingly digital banking environment.