EQ Bank RRSP Savings Account

Pros

• Contributions are tax-deductible, which can lower your taxable income in the year you contribute
• No fees on the account itself, and no minimum balance stated
• RRSP GICs are available if you want a locked-in rate on part of your balance
• Can be used for more than retirement: the Home Buyers’ Plan (up to $60,000) and Lifelong Learning Plan (up to $20,000) both allow tax-free withdrawals for specific goals
• Recurring automatic contributions can be set up and adjusted anytime through the app
• Eligible for CDIC protection

Cons

• Not available to Quebec residents, unlike EQ Bank’s TFSA
• 1.50% is lower than EQ Bank’s own Notice Savings Account or Personal Account for money you don’t need the tax deduction on
• Withdrawals are taxed as income, and withholding tax applies at the time of withdrawal outside the Home Buyers’ or Lifelong Learning Plans
• You can only contribute up to December 31 of the year you turn 71, and EQ Bank doesn’t offer a RRIF for after that
• Contribution limits depend on your personal income and any employer pension adjustment, so you need to confirm your own room with the CRA

Best For

• Canadians with earned income and available RRSP contribution room who want a tax deduction now
• First-time home buyers or students planning to use the Home Buyers’ Plan or Lifelong Learning Plan
• Anyone who wants a simple, no-fee digital RRSP without branch banking

Not For

• Quebec residents, since the account isn’t available there
• Anyone turning 71 this year or older, since EQ Bank stops accepting contributions at that point and doesn’t offer a RRIF
• Savers who want the tax deduction and expect to need the money before retirement without an eligible plan, since regular withdrawals are taxed as income