Best US Dollar Savings Accounts in Canada (2024) (2024)

U.S. dollar savings accounts that pay a reasonable interest rate on your deposit are few and far between in Canada.

While USD accounts themselves are not uncommon, they rarely function as “savings” accounts even when they are called such.

With the best U.S. savings rates being offered by big banks as low as 0%, you must look elsewhere if you want to grow your account.

In this article, I cover the best USD personal savings accounts in Canada.

If you also want to maximize the returns on your CAD deposits, these high interest rate offers can help.

Table of Contents Show

Best US Dollar Savings Accounts

A few of these rates are great, and the rest are average. Overall, they beat the mediocre offerings from Canada’s biggest banks.

1. EQ Bank US Dollar Account

Rate: 3.00%*
Minimum balance: None
Fees: No monthly account balance; other fees may apply

The newly introduced EQ Bank US Dollar Account is one of a kind. It pays a “high interest rate” and has no monthly fees.

USD transfers to your linked bank accounts and USD or CAD deposits are free.

When you send USD funds outside of Canada, it is completed using Wise, an international money transfer service available right from your account dashboard.

2. ICICI Bank US$ HiSAVE Savings Account

Rate: 1.00%
Minimum balance: $50
Fees: No monthly account fees; other fees may apply

ICICI Bank Canada offers a US dollar account that pays 0.45% interest on your balance.

You can link up to three existing accounts at other financial institutions and transfer funds between them for free.

To open an account, complete the online application form.

You will also need to write a personalized cheque payable to you ($50 or more) and mail the cheque to ICICI Bank Canada, P.O.Box 396, Don. Mills, ON M3C 2S7.

Related posts:

ICICI Bank Review
Best Online Banks in Canada

3. Manulife Bank US Dollar Advantage Account

Rate: 0.20%
Minimum balance: None
Fees: No monthly account fee; other fees may apply

This online bank pays 0.20% interest on your USD balance.

When making deposits, you either transfer US funds from another Canadian bank or mail a US dollar cheque from a Canadian bank.

Withdrawals to your linked bank account are free.

To open an account with Manulife Bank, you need to contact one of the listed financial advisors in your area.

4. Tangerine US Dollar Savings Account

Rate: 0.10%
Minimum balance: None
Fees: No monthly account fee; other fees may apply

A Tangerine US dollar account is easy to open if you already have other accounts with them.

You can move funds back and forth between your linked account at another Canadian financial institution.

Tangerine Bank also offers US$ Guaranteed Investments (GICS).

Related posts:

Tangerine Savings Accounts
Tangerine Money-Back Mastercard review
Tangerine World Mastercard review

5. TD US Daily Interest Chequing Account

Rate: 0.010%
Minimum balance: None
Fees: No monthly account fees; other fees may apply

The TD US Daily Interest Chequing Account pays 0.010% interest on every US dollar.

TD charges a $1.25 (USD) fee for each transaction; however, it is waived if you keep a minimum balance of $1,500.

They offer competitive exchange rates, and you pay no monthly account fees.

You can easily transfer funds between your TD Canadian and USD accounts through their online portal or mobile app.

6. BMO US Dollar Premium Rate Savings Account

Rate: 0.050%
Minimum balance: None
Fees: No monthly account fees; other fees may apply

If you’re already a BMO customer, you can open a BMO US Dollar Premium Rate Savings Account. It pays a 0.050% interest rate with no monthly fees.

For existing customers, this USD savings account can be added to your Chequing Plan, and you only pay one monthly fee.

Bonus: Wise

Rate: 0%
Minimum balance: None
Fees: No monthly account fees; other fees may apply

If you want a versatile USD savings account for making and receiving payments and getting the best FX conversion rates, Wise may be for you.

With Wise (formerly TransferWise), you can open a free US dollar account within minutes. Although it doesn’t pay interest, it is free and requires no minimum balance.

You get personalized banking details and can move USD into and out of the account at a low rate.

As well as USD, you can open a Wise account for Canada, Australia, the Eurozone, New Zealand, the UK, Turkey, Hungary, Romania, and Singapore.

This Wise explainer provides more details.

What is a US Dollar Savings Account?

A US dollar savings account holds US funds and works like a regular savings account in that you expect it to earn interest and grow over time.

This account can either be opened in your name (personal account) or the name of a business (business account).

What to look for in a US dollar savings account:

Reasonable interest rate
No monthly account fees
Free transactions
No minimum balance
Eligibility for Canada Deposit Insurance Corporation (CDIC) protection
Easy access to your account and customer service

Benefits of a U.S. Savings Account

With U.S. dollars stashed away, you can avoid unfavourable USD-CAD exchange rates when you need to spend US funds.

If your account pays a decent interest rate, your deposit grows over time.

Also, you could benefit from FX rates and can decide to convert your US dollars to CAD and lock in gains if the Canadian dollar significantly weakens against the US dollar.

Disadvantages of U.S. Savings Accounts

You often have to jump through various hoops to open a USD account, especially when it is an online bank.

A U.S. dollar savings account does not offer Interac e-Transfers or support bill payments. Also, they do not support mobile cheque deposits, and fees may apply to in-branch deposits/withdrawals.

Lastly, many U.S. savings accounts do not support ATM withdrawals.

Related: Personal USD Chequing Accounts.