Review: Tangerine No Fee Daily Chequing Account

Craig Sebastiano
by Craig Sebastiano June 1, 2017 / No Comments

Tangerine Bank launched its high-interest savings account in Canada 20 years ago. Now, the company offers mortgages, home equity lines of credit, mutual funds, credit cards, and chequing accounts.

About Tangerine

Tangerine began operating in Canada in 1997 and was originally known as ING Direct. The company was the eighth largest bank in Canada before being acquired by Scotiabank in 2012. It was renamed Tangerine in 2014.

Chequing account

Instead of offering a variety of chequing accounts like the Big Five banks, Tangerine offers just one account: The Tangerine No Fee Daily Chequing account. Best of all, it’s a no-fee chequing account with no minimum monthly balance required. You get free, unlimited debit purchases, pre-authorized payments, withdrawals, bill payments, and Tangerine Email Money Transfers. You’ll also earn interest on your balance.

Read: Checking account

Interest rates

It’s rare to find a chequing account that actually pays interest. One of those rarities is the Tangerine No Fee Daily Chequing account, which has a tiered rate. That means the more money you have in your account, the higher the interest rate will be:

Balance Interest rate
$0 to $49,999.99 0.15%
$50,000 to $99,999.99 0.55%
$100,000 or more 0.65%

Fees

While the account is a no-fee account, there are instances when you do have to pay fees. If you have overdraft protection on your account, it’ll only be charged if your account is overdrawn. The $5 fee is charged if the negative balance on your account is unpaid at the end of the day. There are also interest charges of 19% (per annum).

The first 50 cheques are free, but additional books of 50 cost $20 a pop. (Hint: PC Financial, which also offers a no-fee chequing account, doesn’t charge you if you need to order additional cheques).

There aren’t any fees if you make a withdrawal from a Tangerine or Scotiabank ATM. However, you will be charged a $1 fee if you use another Canadian bank’s ATM and the other bank may charge you a convenience fee.

If you’re south of the border or overseas, you won’t have to pay surcharges or access fees if you make a withdrawal from an international bank machine that’s part of the Global ATM Alliance. Members include Bank of America in the United States, Barclays in the United Kingdom, BNP Paribas in France and Italy, Westpac in Australia and New Zealand, and Deutsche Bank in Germany. There also aren’t any fees if you make a withdrawal from a Scotiabank ATM in another country. The bank has operations in parts of the Caribbean and Latin America, including Bahamas, Barbados, Dominican Republic, Jamaica, Mexico, and Peru. However, you’ll pay a $2 fee for withdrawals from ATMs that aren’t part of the alliance.

There are also some other fees to be aware of:

Description Cost
Interac e-Transfer $1
Stop payment 1 free/year; $10 each thereafter
Replacement card 1 free/year; $15 each thereafter
Bank draft $10
Non-sufficient funds fee $40
Returned items $4
One-year inactivity fee $10
10-year dormancy fee $40

Read: Review: Tangerine Savings Account

The bottom line

The Tangerine No Fee Daily Chequing account is a great option if you don’t want to pay fees for your everyday banking transactions. And since the company is owned by Scotiabank, it’s free to withdraw cash at one of more than 3,500 ATMs in a number of convenient locations across the country. Plus, it’s one of the few chequing accounts that pays interest.

Also read: