Exploring The Best Student Bank Accounts In Canada

Students pursuing higher education can open a student bank account. Student banking comes with a lot of benefits that help students get a grasp on their finances. Financial institutions offer different types of student bank accounts with different perks, which makes choosing the best student account challenging. Take a look at some useful tips when exploring student banking in Canada.

What's A Student Bank Account?

Student bank accounts have different benefits than standard checking accounts. Student accounts are designed for students enrolled in higher education who need to make deposits, transfers, and withdrawals or to pay bills. These accounts come with interest-free overdrafts so you can borrow from your bank while studying. You must be at least 17 years old to open a student bank account and have proof of enrollment in higher education. You can provide a Universities and Colleges Admissions Service (UCAS) letter of enrollment of an unconditional or conditional university, or a letter from your university confirming enrollment.

Maximize Your Account

Depending on your financial goals, you can open a checking account, savings account, or both. Student checking accounts have fewer fees than standard checking accounts, and there's no minimum balance requirement. Students can take advantage of a debit card for purchases, checks, online bill pay, and more with student financial products.

The best way to determine the best student account for your finances is to compare accounts from different banks. There's a different type of account for every type of financial need. Canadian banks offer personal chequing accounts with a monthly maintenance fee that can be avoided if you maintain a minimum balance. Business checking accounts have the same services as personal chequing; however, employees can use a debit card or write cheques on behalf of the business. There are also senior and youth chequing accounts.

Wealth Rocket is a reputable personal finance site dedicated to helping readers improve their financial literacy. The site offers its choice of the best student bank accounts for Canada. The list includes chequing accounts from Tangerine, EQ Bank, Scotiabank, and BMO. When choosing a chequing account, pay close attention to the features and perks that come with it. See if there are any overdraft fees or a monthly service fee, and what you can do to avoid them.

Look for features like a mobile app that lets you take advantage of mobile banking services. Most banks provide online banking, mobile banking, and online bill pay services free of charge. Some even have free email or text alerts when your balance is low or payments are due. This helps college students manage their money and avoid fees. Some financial institutions have promotions or give a bonus offer to college students for opening a new account. Make sure that you choose an accessible financial institution that has multiple locations and is convenient to get to.

Choose The Right Bank

There are a few things to keep in mind when choosing the right bank to open a new account with. Find out about all service fees charged by the bank, including overdraft fees, monthly maintenance fees, and ATM fees for making withdrawals. It's a good idea for a college student to choose a bank that doesn't charge service fees, such as an online bank. Make sure you choose a bank that's convenient to access. Credit unions and local banks may offer attractive perks and bonus offers, but they are limited to a certain geographic area.

Once you're ready to open a student bank account, you'll need to have all of your documents ready. This includes proof of enrollment, proof of ID, and proof of address. As you build a relationship with your bank, you'll begin to qualify for other financial products, such as credit cards and mortgage.