Banking in Canada for international students
Exploring the world of banking in Canada is essential for your success as an international student. Here's some key information on the banking system, from understanding different banking environments and selecting the right types of accounts, to building your credit and managing your finances effectively.
Financial literacy and budgeting
Mastering the basics of banking is crucial to thriving as an international student in Canada. Learning key financial terms and concepts can greatly enhance your ability to manage your finances wisely. Let's look at some essential terms:
Budgeting: This is the practice of planning your spending to ensure you live within your means. It involves tracking your income against your expenses and planning for both fixed costs (like rent) and variable costs (like groceries).
Interest rate: The interest rate on credit products (like loans or credit cards) is what you'll be charged for borrowing over a year. It's important to understand interest rates and the type (fixed vs. variable) because they affect how much you pay to borrow money. Understanding when and how much interest you receive interest or pay is critical for your budgeting and your financial goals.
Credit score: This is a number that expresses your creditworthiness as an individual which is reported on your credit report. A higher credit score could help you secure a car loan or even rent an apartment, and may determine whether you pay a higher or lower interest rate on borrowed money.
Exchange rates: These are the rates at which one currency will be exchanged for another. It's beneficial to understand this as it impacts how much money you'll be assessed when transferring funds between different currencies.
International fund transfers: As an international student, you might need to send or receive money from abroad. Understanding the best methods to do this can help you save on fees and receive the best exchange rates.
TD Bank* offers various tools such as webinars and a free budgeting calculator to help understand and manage your finances. Use these tools to keep your spending on track and potentially grow your savings.
Credit building
As an international student, establishing a good credit history in Canada can be immensely beneficial, especially if you plan to stay in the country after graduation. Good credit can help you rent an apartment, purchase a car or even borrow more when needed. Start by applying for a student credit card and consistently pay your bills on time to build your credit profile.
Learn more about how to build good credit.
Banking environments
Canada's banking sector has robust safety measures and stringent regulatory standards. This ensures that your bank deposits are safe and well-protected. As technology evolves, so does the Canadian banking system with a significant shift towards digital banking. Many Canadians are utilizing online and mobile banking platforms for their everyday financial activities. These digital tools provide you with the convenience of managing your accounts from anywhere at any time, whether it's paying bills, transferring funds or simply checking account balances.
TD Bank
TD Bank is the sixth largest bank in North America and serves one in three Canadians.1 TD has a proud history of delivering financial solutions to Canadians for more than 150 years. With over a century of experience helping newcomers navigate the Canadian banking system, TD is the number one most valuable brand in Canada1 and offers:
- #1 bank in online and mobile reach and branch coverage in Canada2
- 1000+ branches with advisors speaking more than 80 languages
- 2500+ automated teller machines (ATMs) across Canada in seven languages
- Telephone support 24/7 in 200+ languages, including a toll-free number from India
- Longer branch hours and more branch coverage than any other bank in Canada3
International student banking package from TD Bank
TD Bank offers a special banking package created for international students, designed to ease the transition and establish a solid foundation for financial management in Canada.
The TD international student banking package offers up to CA$900 in value and includes:
- CA$125 when you open a TD Student Chequing Account
- No monthly fee (until 23 years old or with proof of enrollment in full-time, postsecondary education)
- Unlimited transactions
- No transfer fee to send or request money using Interac e-Transfer®
- No monthly fee for Monthly Plan Overdraft Protection
- Ability to earn up to CA$60 in value when you open a TD Cash Back Visa Card4
- Ability to earn Cash Back Dollars; redeemable to help pay down your account balance4
- No annual fee
Start saving with the TD Every Day Savings Account
- No monthly fee
- Daily interest calculated on every dollar
- Unlimited free online transfers to your other TD deposit accounts
- Special 1.00% bonus interest rate for three months
Additional bonuses:
- Earn a CA$50 Amazon.ca gift card when you bundle a chequing account, savings account and Visa card.
- Earn up to CA$250 in value when you open a new TD Direct Investing account.
- Save CA$60 a year in Overdraft Protection fees.4
- Get up to CA$360 when you use TD Global Transfer.™
Get started! Book an appointment with a banking specialist at your nearest TD branch or by phone once you arrive in Canada. A specialist will help you set up your account, understand the banking services you need, and start your financial journey in Canada confidently.
* MPOWER has referral agreements with TD Bank and may earn referral fees from this relationship.
Legal:
12023 Brand Finance Annual Report
2Data.ai Usage Intelligence: Based on Q1'23 (MAU data for iOS and Android devices) and 2023 Brand Finance Annual Report
35% more Canadians live within 2km of a TD branch vs. peers
4Terms and conditions apply; to learn more click here.
InternationalStudent.com is a participant in an affiliate advertising program designed to provide a means for sites to earn affiliate fees by advertising and linking to the organization listed on this page.