Tips for landing on your financial feet as a newcomer

When you first arrive in Canada, you have to find a place to live, start a job and learn about your new community. It’s a lot to get organized. Getting your money matters in order often starts with opening a Canadian bank account. Here is a quick primer from Royal Bank of Canada on your options:

  • Chequing account: People use chequing accounts to hold their funds for monthly and everyday expenses and often ask their employers to deposit their paycheques directly into these accounts. These accounts can sometimes come with monthly fees, but they may feature unlimited transactions in return.
  • Savings account: This account allows you to put in your extra money to build an emergency fund or save for a larger purchase, while also earning a small amount of interest on the balance. Keeping this money in a separate account from chequing is helpful so you don’t accidentally spend it. With limited monthly transactions, a savings account works in tandem with a chequing account.
  • Debit card: You can access your chequing and savings accounts at a bank or use your debit card at an automatic teller machine (known as an ATM). While this card looks similar to a credit card, and you can use it to buy directly from some stores, it’s not credit. When you pay with debit, the money comes directly from your account. Debit cards typically can’t be used for online purchases.
  • E-transfer: When you want to send money to someone with a Canadian bank account, you can use an Interac e-transfer. Find this service by logging into your mobile or web banking. It’s free with some bank accounts, while others charge a small fee for each transfer.
  • Pre-authorized debit: This is a useful feature for people who may forget to pay their bills on time. When you set up a pre-authorized debit, you give your bank permission to pay a certain amount to a certain account on a certain date. So, for example, you could set up a pre-authorized debit to pay your cellphone provider every month.

Find more information about banking in Canada at rbc.com/newcomers

Related Content

Why you should check the label before you mail a package

Why you should check the label before you mail a package

Whether you’re a consumer returning something that you no longer want or need, or a manufacturer or retailer sending out products to your customers, it’s important that you know the rules about shipping certain products. Under federal regulations, some items are...

read more
The secret to shipping gifts safe and sound

The secret to shipping gifts safe and sound

So you’ve found the perfect gift for someone on your list. But if they live far away, how do you make sure it gets to your family member or friend without breaking, leaking or being otherwise damaged? While you’ll need to pay the right amount of postage and choose...

read more
3 ways to make sure your gifts arrive safe and sound

3 ways to make sure your gifts arrive safe and sound

As much as we love to gather with friends and family for holidays and other big life events, sometimes distance makes in-person meetings impossible. If you are sending packages out of town or out of the country, here are three ways to make sure they arrive as...

read more
3 common scams to watch for when shopping online

3 common scams to watch for when shopping online

Online shopping is a convenient and common way to shop for many of us these days. Whether you shop online all the time or only occasionally, there are some things you can do to keep yourself safe from scammers. Aside from best practices like choosing unique, complex...

read more
Finetune your finances in 2024

Finetune your finances in 2024

After the joy of the holidays has passed, you might be facing a bit of sticker shock when your bills start coming in. To avoid the pain of overspending, make this the year you finally get on top of your finances. Here are three things to keep in mind. Build a budget...

read more
Want to start exporting abroad? Two things to know

Want to start exporting abroad? Two things to know

Making a career out of taking raw ingredients or materials, transforming them into something new and selling your product can be both exciting and rewarding. You can use your imagination until it’s just right. But once you’ve cornered your local market, you might want...

read more