EQ Bank vs Neo Financial
EQ Bank continues to hold its place as our top rated online bank in Canada, but have you ever heard of Neo Financial? In the field of online banks in Canada, Neo offers one of the top Canadian high interest savings accounts available.
For those seeking high-interest saving accounts with everyday spending capabilities, both Neo Financial and EQ Bank provide great options. They each offer impressive interest rates alongside low, or even no fees. Both banks feature associated credit/debit cards and robust mobile apps.
While there are some limitations in their product offerings, both banks are continually evolving to meet client needs by providing more options. A notable example of recent innovation is the new EQ Bank Notice Account.
In this comparison, you’ll learn how EQ Bank and Neo Financial compare in terms of account options, high-interest savings account rates, fees, credit cards, mobile apps, current promotions, and more.
Quick Comparison: Neo Financial vs EQ Bank
 |  | |
|---|---|---|
| Products |
|
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| Monthly Fee | $0 | $0 |
| ATM Access? | Yes |
|
| Savings Account Interest Rate | 3% | 3.5% with Savings Account / 3.05% with Notice Account |
| Point-of-sale Purchases? | Yes | Yes |
| Sign Up | Visit Neo | Visit EQ Bank |
EQ vs Neo Interest Rates (HISA)
When we compare EQ Bank vs Neo Money Account interest rates you’ll see that they both provide great options for high interest savings accounts.
The Neo High Interest Savings Account has an ongoing interest rate of 3%. This is not a teaser rate and doesn’t require that you are a new client or that you set up recurring deposits. The Neo Everyday Account, which can be used for everyday spending, offers an interest rate of 1%.
With EQ Bank, you have a few options for your high interest savings account. The first option is the EQ Personal Account, which offers an interest rate of 3.50% for the first year when direct deposit is set up.
Winner: EQ Bank, with their new Notice Account (detailed below).
EQ vs Neo: Fees
In addition to having stellar interest rates, both Neo Financial and EQ Bank have fee-free accounts. They’re able to do this because they’re not paying overhead costs for brick-and-mortar banking locations. This is another perk of online banks that I love!
| Neo Financial | EQ Bank | |
| Monthly Account Fees | Free | Free |
| Inactivity Fee | Free | Free |
| Electronic Funds Transfer (EFT) | Free | Free |
| Interac Money Transfers | Free | Free |
| ATM Withdrawal | Free | Free |
| Account Closing | Free | Free |
| Bill Payments | Free | Free |
| Overdraft Fee | Free (from card to account) | Free |
| NSF Fee (Non-Sufficient Fund Fee) | Free | Free |
Winner: Tie
Comparing Account Options
EQ Bank and Neo Financial both have a diversity of account options, with some comparable accounts, as well as each institution offering some products that the other does not.
EQ Bank has a hybrid savings and chequing account called the EQ Personal Account, that comes with the versatile EQ Bank Card. Neo Financial has the Everyday account for day-to-day spending (although it is not a chequing account), the Neo Money Card, and the Neo High Interest Savings Account.
EQ Bank provides choices for RRSP, TFSA, as well as FHSA accounts. With EQ Bank, you can enjoy a straightforward and guaranteed interest rate of 3.75% for an RRSP, TFSA, or FHSA. You could also purchase a GIC within any of these accounts to benefit from higher interest rates, which can reach up to 4% depending on the term length.
Neo Financial does not currently offer FHSAs or GICs. You can open an RRSP or TFSA with Neo Financial, but you’ll need to do so with Neo Invest. There you’ll build a portfolio of ETFs (which will incur some fees).
Neo only offers joint accounts to married or common-law couples and does not offer USD accounts. On the other hand, EQ Bank offers joint accounts, USD accounts, and the new Notice Account outlined in the following section.
If you’re looking for a mortgage, it is a product that Neo Financial offers. EQ currently does not have mortgages, although they have a “Mortgage Marketplace” that gives customers shopping access to over 2,000 mortgage products.
For a more complete list of account offerings check out our Neo Financial Account Review and EQ Bank Review.
Winner: EQ Bank (for having more account options).
EQ Bank’s New “Notice Account”
EQ Bank’s new Notice Account is an innovative new offering in Canada. Despite this account type having been available in the UK for decades, EQ is the first and only bank to offer it to Canadians.
Its impressive 3.65% interest rate, offered without fees, a minimum balance requirement, or requirements of deposits is a great option for those looking to make interest on their money. This account could best be described as a hybrid GIC/high interest savings account in which you have a flexible withdrawal period of either 10 or 30 days.
Additionally, the account is CDIC-insured, ensuring your money is secure. It’s an ideal option for saving up for a new car or a vacation.For more information, check out our full EQ Notice Account Review.
GICs from EQ Bank and Neo
One of the shortcomings of Neo Financial is that they don’t currently offer GICs. They have, however, indicated that their team is considering offering it.
Meanwhile, EQ Bank offers some of the top GIC rates in Canada. They are available for registered (TFSA, RRSP, and FHSA) and non-registered accounts, and with a huge variety of options for term length.
Term | Registered (TFSA & RRSP) GIC Rate | Non-Registered GIC Rate |
3 Months | 3.10% | 3.10% |
6 Months | 3.15% | 3.15% |
9 Months | 3.20% | 3.20% |
1 Year | 3.55% | 3.55% |
15 Months | 3.90% | 3.90% |
2 Years | 3.65% | 3.65% |
27 Months | 3.90% | 3.90% |
3 Years | 3.50% | 3.50% |
4 Years | 3.60% | 3.60% |
5 Years | 3.65% | 3.65% |
6 Years | 3.00% | 3.00% |
7 Years | 3.00% | 3.00% |
10 Years | 3.00% | 3.00% |
For a comprehensive and updated list of GICs available to Canadians, visit our list of the Best GIC Rates in Canada.
Winner: EQ Bank
EQ vs. Neo Credit Cards
Over time, EQ Bank and Neo Financial have developed unique and practical cards for their clients.
While not a true credit card, the EQ Bank Card can be used anywhere Mastercard is accepted. After transferring money to it from your EQ Bank Account, you can use any ATM in Canada free of charge. The card offers 0.5% cash back on each purchase, 4% interest on your balance (if you set up direct deposit for your paycheck with EQ), and no foreign exchange fees.
Neo Financial has a few types of cards. The first is the Neo Mastercard, which is a prepaid Mastercard that can be used anywhere Mastercard is accepted. It’s how you can withdraw money from your Neo Everyday account. It has fantastic cashback rates: up to 6% on restaurants & bars, 4% on apps, and 4% on gas & groceries. You’ll also earn 1% interest on every dollar deposited into your Neo Everyday account.
As for credit cards, Neo has a few options, two of which take the top place in their respective categories in our lists of Canada’s best credit cards and Canada’s best secured credit cards. These cards can be applied for and approved in under 5 minutes, and are available to people with very low credit scores.
The card can be used immediately via Apple Pay or Google Pay digital wallets. While the premium plan in the table below does come with a monthly fee, it’ll only cost $60 a year which the increased cashback percentages will likely cover!
| Neo Mastercard *Base plan | Neo Mastercard *Premium plan | Secured Neo Mastercard | |
| Best for… | everyday spending | everyday spending with more cashback, exclusive perks & features | building or repairing credit |
| Fee | $0 | $4.99/month | $5/month |
| Credit limit | $10,000 | $10,000 | Flexible limit from $50-$10,000 |
| Approval | Instant | Instant | Guaranteed |
| Rewards/Cashback | Up to 5% on over 10,000 Neo partners, restaurants & bars Up to 3% on popular streaming services Up to 1% on gas & groceries | 6% average cashback at restaurants, bars & cafes 4% on popular streaming services 4% on ride sharing services 4% on food delivery services 3%+ at retail partners (online and in-store) 3% on gas & grocery Additional features: Credit score monitoring, Purchase protection with extended warranty, Dedicated priority support | Up to 5% on over 10,000 Neo partners, restaurants & bars Up to 3% on popular streaming services Up to 1% on gas & groceries |
Neo Financial also powers the Hudson’s Bay Mastercard, a no-annual-fee card. This card allows users to earn double the Rewards points on money spent at “The Bay” as well as 2 Rewards points for every $1 spent outside of Hudson’s Bay stores. Currently, it offers 15% off on first-day purchases at The Bay. This card is best for those who love shopping at Hudson’s Bay stores, either in-person or online at thebay.com.
Winner: Neo (for their excellent cashback rates and range of card options).
EQ vs. Neo Ease of Use
While you can’t go into a branch location of either EQ Bank or Neo Financial, they have both developed as easy-to-use online banks. Neither bank offers cheques, but their hybrid accounts allow you to perform money transfers via their webpage or mobile app.
EQ Bank has customer service phone lines open 7 days a week from 8am to midnight EST. Neo Financial is harder to get in contact with. They don’t have a listed phone line or email address. While they have an online chat available every day from 7am to 8pm EST you have to be a current client with a login. I have had success reaching them using Facebook Messenger, but responses sometimes take a day or 2. With EQ Bank anyone can start a conversation with the chatbot at any time.
Both banks allow for your card to be added to your mobile wallet and can be used at ATMs across Canada.
Winner: EQ Bank
Mobile App Comparison
EQ Bank and Neo Financial, having been created in 2016 and 2019 respectively, are on top of the game when it comes to modern-day online banking technology. Their versatile mobile apps are also secured with biometric login (FaceID and fingerprint lock) and 2-factor authentication.
Users of both apps can view and handle all their transactions in one place: transfer funds, send e-transfers, pay bills, deposit cheques, etc. One highly appreciated feature of the Neo app for credit card holders is the ability to check which businesses have partnered with Neo for increased cashback. And with the EQ Bank app, clients can purchase GICs.
The EQ Bank app boasts a high rating of 4.8 stars on the Apple Store but only 3.1 stars on the Google Play Store. Recent low reviews on Android cite issues with logging in or staying logged in, and with paying bills. EQ Bank has responded to all reviews, indicating their commitment to addressing these concerns and hopefully improving the app for Android users.
Neo Financial app users are a very satisfied bunch with ratings of 4.8 stars on the Apple Store and 4.7 stars on the Google Play Store!
Winner: Neo Financial by a slim margin based on user reviews.
Current Promotions and Referral Programs
Neo Financial
- Promotions: new Neo Credit card or Neo Everyday account customers are eligible to receive up to $25 when approved for a Neo Credit card or deposit at least $50 into a newly opened Neo Everyday Account.
- Referrals: none.
EQ Bank
- Promotions: 4% interest rate for the Personal Account for a year when you add direct deposit
- Referrals: earn up to $500. The more friends you refer, the greater your bonuses. You’ll earn $20 for each of your first three referrals, $30 for the next four, and $40 for any additional referrals, up to a maximum of $500. Additionally, the new client will receive $20.
Editor’s Note: Remember that these promotions have specific terms and conditions, as well as required actions to claim the bonuses or activate the rates. For more offers, check out our list of Canada’s Best Bank Account Promotions.
Winner: EQ Bank
EQ vs. Neo vs. Tangerine
Tangerine Bank is another comparable online bank option. It is a digital subsidiary of Scotiabank with a wide variety of product offerings. While it may have more product offerings than both EQ Bank and Neo Financial, its high interest savings account rates don’t come close to matching either!
The table below compares the 3 banks. For a more detailed comparison between Tangerine and EQ, check out our Tangerine vs EQ Bank Comparison.
| EQ Bank | Neo | Tangerine | |
| Products | – Hybrid Chequing/Savings accounts – U.S. Dollar savings – Joint accounts – Reloadable EQ Bank Cash Back card – Notice Account – Mortgage Marketplace – GICs – RRSP – TFSA – FHSA – Elite currency exchange – HELOC | – Neo Everyday Account – Neo High Interest Savings account – Joint accounts (married/ common-law only) – Reloadable Neo Money card – Credit card – Secured card – Mortgages – Neo Invest (ETFs) | – Chequing accounts – Savings accounts – U.S. Dollar savings – Joint accounts – Debit cards – Credit cards – Mortgages – GICs – RRSP – TFSA – HELOC – Business Savings accounts |
| ATM/INTERAC Transactions? | Yes, with the reloadable EQ Bank card. Free withdrawals from any ATM in Canada. No currency conversion fees when abroad. 0.5% cash back on every purchase. | Yes, with the Neo Money card wherever Mastercard is accepted. | Yes, for free from Scotiabank ATMs. |
| Account Transaction Fees | $0 | $0 | $0 |
| Savings Account Interest Rates | 3.65% with the EQ Notice Account 3.75% with the EQ Personal Account | 4% | 0.60% although a new client offer of 6.00% for 5 months is currently available. |
| GIC 1-Year Interest Rate | 4.00% | GICs not available with Neo Financial | 4.10% |
EQ or Neo – FAQ
Is EQ Bank Better Than Neo?
So who comes out on top, EQ Bank or Neo Financial?
While the Neo High Interest Savings Account comes with an impressive and dependable interest rate of 3%, EQ Bank is still better with 3.75%. In addition, EQ also offers GICs with impressive interest rates and various term lengths, whereas Neo doesn’t have GICs at all.
Neo Financial also trailed behind in a few other categories: no USD accounts, limited joint accounts, and unavailability in Quebec.
Neo Financial did take the win for a few categories, however, such as for their cashback credit card, which is top of our list for the best credit cards in Canada. Credit card approval is quick and easy, and clients are highly satisfied with the mobile app.
After having compared all features we recommend EQ Bank over Neo Financial for those looking for an easy to use, high interest savings account. For more information on why EQ continues to come out on top of our ratings, check out our 2024 EQ Bank Review.
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EQ Bank app is very easy to use for a senior
Incredible good the Customer Service over the phone. They always answer in less than five minutes. Believe me. The person is always knowledge
EQ card works well , no foreign transactions fees, the Mastercard exchange rest in our case always have been better than the Visa exchange rate. We stop using regular credit cards or travel credit cards. We get a savings of 2.5% . No need to have too much money on the card, just what you need for the day and before going to sleep you can reload from the saving account using data ( no WIFI). No need to have your phone active. Just need data. Used in five countries so far