Is there a fee to close a bank account in Canada?

Last Updated: 11-Aug-2023

Short Answer

In Canada, a** bank account** can be closed due to numerous reasons and through multiple ways. If your bank does not have a minimum balance, then you have to pay a fee to close the bank account.

Detailed Answer

Banks usually have a minimum balance restriction that people must maintain in their accounts. When the balance is lower than that and you close an account, you have to pay a certain fee.

In addition to it, if you want to transfer the funds from your account to another account before closure, then also a fee is levied. Furthermore, there are some banks that will charge you to close an already dormant account.

Different Banks in Canada and the fee they charge

Given below are some banks in Canada, along with their rules about account closures including the fee they charge.

  • TD Bank Account

The TD Bank Account has 3 different ways through which you can close an account. They also have a minimum balance criteria below which you will be charged. So, when you close a TD Bank account make sure you have sufficient balance to transfer otherwise you will be charged a fee somewhere around $48. Also, if your account remains inactive for 1 year, they will consider it dormant.

  • RBC Bank Account

If you just opened your account in RBC and 15 days have not elapsed then you will not be charged a fee for closing the account. After 15 days they will charge $15 and if you do not fulfill the minimum balance criteria then you will be charged $45.

  • Scotia Bank

When closing a ScotiaBank account within 90 days of opening it, you will be charged no fee. For transfering your funds to another account, you have to pay a $20 fee. For not maintaining the minimum balance when closing the account you have to pay $48 as fees.

Likewise, different banks have different rules about charging a fee when closing your bank account. Once you initiate the closure and pay the fees, the account will be closed in a week or so. The information given is on "as is" basis. This might change with as per bank's policies and market conditions. So, do visit the respective bank's official website for the latest fees (if any) to close a bank account in Canada.

Tagged With: bank accountfeeminimum balanceaccount closurebank account canada
Categories: Banking
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