EQ Bank, Too good too be true? | EQ Bank | Discussion forum

EQ Bank is the online presence of Equitable Bank. It has many good features besides the interest rate, as described in various threads, that make it more than just a savings account. However, there is only one type of account - not registered (no TFSA, RRSP, etc) and you cannot make it joint.

'Is this bank trustworthy' is a difficult question to answer - after all, what can go wrong in the online world? (sarcasm intended)

I certainly wouldn't put all my money in a single bank, including EQ Bank.

Overall, no better or worse than the rest of them probably. Every bank has its pros and cons. 2of3aintbad has named the ongoing limitations with this one.
I too would never put all my eggs in one basket, especially not an online-only basket, but I do have some at EQ. I like the rate. I don't like anything else about it particularly. The rate is the only reason for being there. The staff I have dealt with have been brusque, and I find the website cuts me off too soon. It's comparable to grocery shopping at No Frills. Not much variety; not much service; not pretty; good prices.

Halvor13 said
… Now this seems too good too be true 2.3% interest!! … Also if someone could explain the intrest rate to me when they say "interest is calculated daily and paid monthly". Does this mean say if i have 1000$ in the account, each day of the month you'd earn 23$ and be paid out 23$ x total days in the month? …

NorthernRaven said

… In any case, the wording means that each day interest on your balance is calculated at 2.3%/365 (one day's worth of the annual rate), and the accumulated daily bits are paid into the account at the end of each month. So about ~6.3 cents per day, or ~$1.90 for the first month, and $23.24 for a year.  

I agree with that. The "per annum" in the fine print (not "per diem") means the rate is 2.3% per year and, sadly, not 2.3% per day:

Current Interest Rate*

2.30%

* Interest is calculated daily on the total closing balance and paid monthly. Rates are per annum and subject to change without notice.

My experience with EQ has been all negative and I would not, and in fact cannot deposit money there.

Initially my wife and I went through their absurd lottery process to win a chance to be a customer, last year.

Once we "won" our chance, we made our initial deposits, which they held before depositing, but my deposit "got lost" even though it was made using their app.

Weeks went by, with no response, so I closed the account and my wife closed hers as well.

If I recall correctly, there was another hold placed on her outgoing withdrawal.

With their recent rate increase, I thought I would give them another try, and let bygones be bygones. I was told that once you close an account there is no mechanism to re-open an account as I reported in this Forum post

I don't like playing games with companies I do business with, and expect a certain level of competence and respect for my business.

I don't feel EQ Bank provides any of these for me and so I stay away, preferring choosing other options where routine transactions are predictable, safe and staff is courteous and helpful.

I see the decision to deal with them as a benefits vs risks assessment.

EQ has basically a saving account that is it.

Does a good job of it with a 2.3% return right now and always has been at the top for regular savings account (non promo).

Micro deposits, makes setting up connections with other banks very easy. Up to 10 connections. Which is more than triple what Tangerine allows to connect this way.

Interface was initially confusing but after a few tries. It's easy and simple. A little counter intuitive.

Overall a 4/5 from me as a bank. Needs more things like TFSAs maybe RRSPs, maybe term deposits, etc.

Halvor13 said
… From reading different reviews about them on website sounds like getting your account started and depositing money into it can be a real pain.…

Those may be reviews from a year ago when EQ Bank launched their savings account with a 3% per annum rate.

Instead of a run of people withdrawing their money, there was a stampede of people trying to open accounts and deposit money. EQ Bank thought they would be lucky to get 10,000 depositors after a year. Instead, they got 15,000 in just six weeks and people were still coming. Their staff and onboarding processes were overwhelmed. Some details in a previous post from that time.

Things have been much better since then.

Giving the hundreds of times EQ runs their 'new branch at Ted's house' ad on BNN (and likely elsewhere), I've given up watching BNN for the most part. It's freaking annoying.

Really don't know what their end game is because we all know from HCG's experience, HISA accounts are 'fleeting'. Deposits can vanish in a month. And if their back office operations are as poor as mentioned in this thread, I wish those now opening accounts the best of luck.