Switching From Big 5 Banks: A Step-by-Step Guide (2026)

Switching from a Big 5 bank to a no-fee bank takes about 3 months from start to finish and removes a chequing fee of $16.95 a month to $17.95 a month for anyone who doesn’t keep the waiver balance. This guide walks through the move step by step, with the missed-payment traps to watch for. YieldMaple checked the fees and rates below against the banks’ own pages between September 23 and October 7, 2026. This guide is general education, not financial advice.

How much does a Big 5 chequing account cost?

A flagship Big 5 chequing package costs $16.95 a month to $17.95 a month, which is $203.40 to $215.40 a year when no waiver applies.

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Bank by bank: RBC’s Signature No Limit Banking costs $16.95 a month and is not a no-fee account by default; rebates such as the RBC Value Program can bring it as low as $4 a month. TD Unlimited Chequing costs $17.95 a month, waived with $4,000 or more in the account at the end of each day of the month. BMO Performance Chequing costs $17.95 a month, waived with a $4,000 minimum balance. The CIBC Smart Account costs $16.95 a month for up to 3 accounts, rebated with an end-of-day balance of $4,000 every day of the month in one CIBC Smart Account. Scotiabank’s Preferred Package costs $16.95 a month, waived with a $4,000 daily closing balance.

Keeping a waiver balance avoids the fee, but that money usually earns little. Scotiabank’s High Interest Savings Account, for example, pays 0.00% when your Total Relationship Balance is under $10,000.

The no-fee alternatives compare like this:

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In words: EQ Bank’s Personal Account has $0 — no monthly fees and no minimum balance and pays 1.50%, rising to 2.75% with $2,000 a month of payroll direct deposits. Simplii’s No Fee Chequing Account costs $0, and its savings account pays 0.30% on balances up to $50,000 at the regular rate. Tangerine’s Chequing Account has no monthly account fees and no minimum balance, and its Savings Account pays 0.30%. Wealthsimple Chequing has a $0 monthly fee and pays 1.25% on the Core plan. For cash, Simplii ATM use is free at over 3,400 CIBC ATMs in Canada, Tangerine ABM use is free at 3,500+ Scotiabank ABMs in Canada and 44,000 Global ATM Alliance ABMs worldwide, and Wealthsimple has no Wealthsimple ATM fees in Canada or abroad; eligible ATM-operator fees reimbursed.

On a $5,000 balance, EQ Bank’s base rate earns about $75 a year, or about $137.50 at the bonus rate with qualifying payroll deposits, before counting the monthly fee you stop paying.

Step 1: Which bank should you switch to?

The four common replacements for a Big 5 chequing account are EQ Bank, Wealthsimple, Simplii Financial and Tangerine, and all four charge no monthly account fee.

1. EQ Bank: one account for spending and saving, joint accounts of up to 4 people (you plus 3 co-holders), and Notice Savings Accounts. EQ Bank review
2. Wealthsimple Chequing: suits people who already invest with Wealthsimple, with a Visa Platinum Prepaid card. CDIC coverage on Chequing balances goes up to $1 million, because funds are spread across up to 10 CDIC member institutions (Wealthsimple itself is not a CDIC member). Wealthsimple Cash review
3. Simplii Financial: a trade name of CIBC, which is a CDIC member; ATM use is free at over 3,400 CIBC ATMs in Canada. New clients can get a promotional savings rate of 4.60% on HISAs opened August 1 to October 31, 2026 by new clients (within 60 days of becoming a client). Simplii Financial review
4. Tangerine: a Scotiabank subsidiary; ABM use is free at 3,500+ Scotiabank ABMs in Canada and 44,000 Global ATM Alliance ABMs worldwide. New clients can get a promotional savings rate of 4.50% (new clients whose Client Number is created between July 28 and November 30, 2026). Tangerine review

Promotional savings rates last for a limited time and then fall back to the regular rate, so the regular rate matters more over several years.

Step 2: How do you open the new account?

You open the new account online in about 10–15 minutes, before touching the old one.

Go to the bank’s website, select the option to open an account, and complete the online application. You’ll need:

• Government-issued ID (driver’s licence, passport, or PR card)
• SIN
• Proof of address (utility bill, lease)
• Employment info

Many applicants are verified instantly. If not, the bank asks for a photo of your ID and may take 1–2 business days.

Step 3: Fund the new account

Once approved, move a small test amount in to confirm the account works:

• Interac e-Transfer from your Big 5 account to the new account
• Or: link your Big 5 account in the new bank’s app and pull funds (1–3 days)

Run a few test transactions: send an e-Transfer, pay a small bill from the new account. Confirm everything works before moving real money.

Step 4: Update direct deposits FIRST

Direct deposits = money coming in to your account. Update these before changing pre-authorized debits.

Employer payroll

1. Download a “direct deposit form” or “void cheque PDF” from your new bank’s app (most Canadian banks provide this digitally)
2. Submit to your employer’s HR or payroll
3. Most employers process within 1–2 pay cycles (1–4 weeks)

CRA

1. Log into CRA My Account and open the direct deposit section of your profile
2. Update account info and save
3. Future tax refunds, GST/HST credit and Canada Child Benefit payments go to the new account

Provincial benefits

If you receive provincial benefits (Ontario Trillium, BC Family Benefit, etc.):

1. Log into your provincial government online service
2. Update banking and save

Other recurring deposits

• Government pensions (CPP, OAS, GIS): Service Canada online
• Disability benefits (CPP-D, ODSP): same
• Investment dividends: your brokerage’s banking settings

Important: verify each new direct deposit successfully lands in the new account before stopping the old one.

Step 5: Migrate pre-authorized debits ONE AT A TIME

Pre-authorized debits = money going out. This is where most missed-payment problems happen.

The rule: change one PAD at a time, verify it processes correctly, then move to the next.

Common PADs to update:

• Mortgage payment: bank’s online portal or mortgage department
• Rent (if PAD): landlord (often via change-of-account form)
• Utilities: gas/electric/water company online portal
• Internet/phone: Rogers/Bell/Telus account settings
• Insurance: auto/home/life provider online portal
• Gym/subscriptions: each provider’s account settings
• Credit card auto-pay: each card issuer’s website
• Investment auto-deposits: brokerage’s banking settings
• TFSA/RRSP/FHSA contributions: Wealthsimple/Questrade banking settings

For each one:

1. Log into the provider
2. Update payment method to new bank account
3. Note the next billing date
4. Confirm that bill processes from the new account
5. Move to the next PAD

Spread these out over 2–4 weeks. Updating everything in one day means one mistake can cause several missed payments at once.

Step 6: Keep both accounts open for 60 days

After all direct deposits and PADs are updated, keep the old Big 5 account open with a small buffer, such as $100, for 60 days.

This catches:

• Forgotten subscriptions you haven’t updated yet
• One-off annual bills (insurance, memberships) that bill from the old account
• Refunds processed back to the old account
• Cheques you wrote that haven’t cleared yet

The old account may charge one or two more monthly fees during this period, up to $35.90 at the highest flagship fee, which works as insurance against missed payments.

Step 7: How do you close the old account?

You close the old account only after 60 days with no activity, then get the closure confirmed in writing.

1. Verify the old account has zero pre-authorized debits hitting it (ask the bank for a list)
2. Verify the old account has zero direct deposits coming in
3. Withdraw the remaining balance to your new account
4. Contact the bank or visit a branch to formally close the account
5. Get written confirmation of closure

Most Big 5 banks allow online closure for chequing/savings, but some require a phone call. Written confirmation matters: a stray PAD hitting a closed account can create problems that are easier to fix with proof of the closure date.

Common switching mistakes

1. Closing the old account before migration is complete. Causes missed payments and PAD failures. Overlapping accounts for 60 days prevents this.

2. Migrating PADs all at once. If something goes wrong, several payments fail together. One at a time, verified.

3. Forgetting one-off annual bills. Car insurance, gym memberships, professional memberships often bill annually. They’ll hit the old account 11 months after you “switched” if you missed them.

4. Closing credit cards with the old bank. Reduces your total credit limit (which raises your utilization) and shortens credit history.

5. Forgetting to download statements. Old statements can be harder or costlier to get after an account closes. Saving at least six years of statements covers the CRA’s general record-keeping period.

What about credit cards from the old bank?

You don’t need to close them: credit cards and chequing accounts are independent products at the same bank. You can keep a TD Visa Infinite while moving your chequing to EQ Bank. Just:

1. Update the credit card’s auto-payment to draw from the new bank account
2. Continue using the credit card normally
3. Pay off the balance from the new account

Anyone who later closes the card too usually does it months after the chequing account closure, and only with other long-held cards maintaining their credit history.

How long does switching banks take?

Switching banks takes about 3 months from opening the new account to closing the old one, with 4–6 hours of active work.

Total elapsed time: about 14 weeks (3 months). Total active work: about 4–6 hours spread over the period.

Read next

• EQ Bank review: fees, rates and CDIC coverage
• Wealthsimple Cash review: Wealthsimple’s chequing account
• Best high-interest savings account in Canada: full HISA comparison
• Best credit cards in Canada: pair with the new account