Simplii Financial Review 2024: A Comprehensive Product Offering For An Online Bank

As with many other digital banks, Simplii focuses on accounts meant for everyday banking with no monthly fees, unlimited transactions and impressive promotional offers. For instance, new Simplii clients that open a Simplii Financial No Fee Chequing Account can earn $400 in cash† (Terms apply. Offer ends October 31, 2024) or they can take advantage of a Simplii Financial High Interest Savings Account (HISA) interest rate of 5.90% for five months† (Terms apply. Offer ends July 31, 2024).

Chequing Accounts

Simplii’s stand-alone chequing account, the No Fee Chequing Account, carries benefits and features similar to other online offerings. It comes with no monthly fees, unlimited transactions and free Interac e-Transfers. Though the account has a low interest rate, it does not require a minimum balance.

Savings Accounts

People looking to save will find less than optimal interest rates compared to other digital banks. Simplii’s High Interest Savings Account offers a starting interest rate of 0.40% on $50,000 or less, up to a maximum of 5.50% if your balance is over $1,000,001. That said, from May 1st through July 31, 2024, you can get a special 5.90% of Simplii’s High Interest Savings Account for the first five months—as long as you are a new customer (Terms and Limits apply).

For Canadians looking to save U.S. dollars, Simplii’s USD Savings Account has a better offering than its HISA. Its interest rate sits at an impressive 3.05%, and with no monthly fees or minimum balance requirement. Keep in mind, account holders wanting to transfer funds to their Canadian dollar Simplii accounts will pay a fee.

In addition, Simplii also offers registered savings accounts: both tax-free savings accounts (TFSAs) and RRSPs. The RRSP account has no monthly fees or minimum balance requirement, and carries a daily interest rate of 0.40%. Simplii’s Tax-Free Savings Account does the same.

GICs

Simplii Financial also has guaranteed investment certificates (GICs). The institution’s GICs are non-redeemable, so they cannot be cashed in before the maturity date. They also require a minimum investment of $100 and come with a variety of terms to choose from. Interested investors can choose from both registered and non-registered GICs.

Note that the below term options and APY percentages are identical for both registered and non-registered products:

In addition to chequing accounts, savings accounts and GICs, Simplii also offers the following products and services:

• Mortgages
• Personal and secured lines of credit
• Three different mutual funds accounts
• Cash Back Visa card
• Personal loans
• Creditor insurance
• Visa Digital Gift Cards (can be sent anywhere in Canada except Quebec)

Although Simplii Financial has no in-person branches, they do offer robust online services on both the web and their mobile app available for both iOS and android devices. The app has an average user rating on both platforms of four out of five stars and with the app installed, users are able to:

• View their account holdings
• Pay bills
• Transfer funds between accounts
• Send funds via e-transfer
• Send digital gifts cards
• Set up recurring transfers

Keep in mind that people looking to open an account, or invest in GICs, will need to register for online banking. However, they can also call their customer service number to open an account. Simplii offers 24/7 customer service through the same phone number, or through their virtual assistant.

Simplii Financial vs. EQ Bank

As with many other online-only banks, both EQ Bank and Simplii offer no monthly fees, no minimum balance requirements and unlimited transactions on all account types. However, EQ’s interest rates on all accounts come well above Simplii’s. While EQ and Simplii have similar GIC rates and minimum investment requirements, EQ inches ahead in this category due to its wider array of term options.

However, Simplii does offer full-fledged banking services such as mutual funds, mortgages, personal lines of credit and loans, thus filling a gap that EQ doesn’t have in its product offering.

Simplii Financial vs. Wealthsimple

On its face, comparing Simplii Financial to Wealthsimple (WS) is like comparing apples to oranges: WS is not a financial institution. That aside, WS does offer a cash account comparable to Simplii’s No-Fee Chequing—albeit with higher interest rates. WS’s chequing account comes with a 1% rate that climbs to 3% if users deposit $500 or more to their account. Both institutions have no monthly fees and unlimited transactions.

Conversely, Simplii offers much more robust banking products giving it an edge in its product offerings. Though WS does offer registered accounts, they are strictly investment vehicles, not savings accounts.

Simplii Financial vs. Tangerine

Tangerine and Simplii are arguably the most parallel institutions when it comes to product offering breadth and promotional incentives. Both banks have a $400 cash back offer and a strong 5.25% promo interest rate for five months on their savings accounts. Each institution also offers a combination of USD accounts, savings accounts (registered and non-registered), GICs, mortgages and mutual fund investment opportunities.

Tangerine’s GIC investments have higher interest rates: up to 5.10% from 4.90% on a one-year term. Tangerine’s savings account also takes the lead on interest rates, offering a competitive rate compared to Simplii accounts.

To create this list, Forbes Advisor compared 46 nationally available banks—both traditional brick-and-mortar institutions and online-only banks—to find the best options available. To make this list, the bank had to be available to Canadians nationwide. They were rated out of five stars according to the following data points and formula out of 100%:

• Product Offerings – 11%
• APY – 25%
• Fees – 20%
• Minimum Deposit – 5%
• Minimum Balance – 5%
• Availability – 5%
• 3P Ratings – 5%
• Customer Reviews – 2%
• Live Chat – 2%
• Digital Experience – 10%
• ATM Network – 10%

Simplii Financial is one of a number of online-only banks that are full-service: offering savings and chequing accounts, GICs, mortgages, mutual funds and credit opportunities. Individuals looking to move away from traditional brick-and-mortar institutions could find Simplii’s model refreshing. Moreover, Simplii offers multiple banking promotions for students to take advantage of.

On the other hand, Simplii’s interest rates on its chequing and savings accounts leave much to be desired. Customers that are looking to utilize high-interest financial products will likely find options better suited to them elsewhere.