Implicitly Financial is an online bank and one of several digital financial institutions owned by credit unions in the province of Manitoba.
Virtual, digital, or online banks as they are called are financial institutions that offer branchless banking services to their clients with all or a majority of transactions occurring via a web interface or mobile app.
Online banks in Canada are popular for their high-interest savings account interest rates.
This Implicitly Financial review covers their products, services, fees, and competitors.
Who is Implicitly Financial?
Implicitly Financial is the online division of Entegra Credit Union. It was launched in 2012.
Entegra Credit Union was established in 1960 and has over $750 million in assets under administration.
Implicitly Financial is known to routinely offer one of the best savings interest rates in Canada.
Implicitly Financial Accounts
They offer a high-interest savings account (HISA) and 1-5 year term Guaranteed Investment Certificates (GICs).
Both products can be held in non-registered investment accounts and registered accounts including tax-free savings accounts (TFSA), registered retirement savings plans (RRSP), and Registered Retirement Income Funds (RRIF).
Implicitly Financial High-Interest Savings Account
This HISA has no monthly account maintenance fee or minimum balance. Interest is calculated daily and paid out monthly.
Savings account customers receive a debit card that they can use for ATM and POS transactions.
Implicitly Financial’s high-interest savings account offers a 2.00% interest rate. In addition to their general HISA, you can also hold your savings within TFSA, RRSP, and RRIF accounts.
Implicitly Financial GIC
They offer Guaranteed Investment Certificates with terms ranging from 1-5 years. The GICs are non-redeemable before maturity and you can start investing with as little as $1,000. Interest on GICs is calculated and paid monthly.
Implicitly Financial GIC rates as of this writing in May 2020 are:
- 1-year term: 2.00%
- 2-year term: 2.05%
- 3-year term: 2.10%
- 4-year term: 2.15%
- 5-year term: 2.20%
You can also hold these term deposit investments in your TFSA, RRSP, or RRIF.
Related: Best GIC Rates in Canada
How To Open an Account
To open an account with Implicitly Financial, you must be at least 18 years of age and a resident of Canada.
The application process is completed online and you can chat, email, or phone their customer support for assistance.
You will need to provide a cheque from your existing chequing account at another financial institution, SIN, and also verify your identity using either of a:
- Copy of a recent bank statement from a Canadian financial institution
- Utility bill
- Credit card statement
Ways to Bank
You can access your account online via the web and through Implicitly’s mobile app which is available on the App Store and Google Play.
Your Implicitly debit card provides access to over 1,800 “ding-free” credit union ATMs across Canada.
Related: Best RRSP Savings Accounts in Canada
Implicitly Financial Service Fees
Your Implicitly Financial deposit account does not charge a monthly maintenance fee. Depending on the transactions you conduct, service fees may apply including
- Interac ATM withdrawals within Canada: $1.50
- ATM withdrawals abroad: $3.50
- Debit card purchases: $1.00
- Interac e-Transfers (send/request): $1.50
- Registered account transfer fee: $75
- Account closure within 6 months of opening: $15
- Insufficient funds: $40
Other fees may apply – visit their website for a full list of service fees.
Is Implicitly Financial Safe?
Savings accounts and GIC deposits with Implicitly FInancial are guaranteed without limit through the Deposit Guarantee Corporation of Manitoba.
Implicitly Financial vs. Other Online Banks
Online bank competitors of Implicitly Financial include EQ Bank, Oaken Financial, Maxa Financial, AcceleRate Financial, and Alterna Bank.
Here are some of the HISA rates being offered by these financial institutions:
- EQ Bank: 2.00%
- Tangerine Bank: 2.50% 5-month promotional rate
- Oaken Financial: 2.00%
- AcceleRate Financial: 1.75%
- Alterna Bank: 1.69%
- Maxa Financial: 1.80%
The additional perks that come with these HISA’s vary.
For example, EQ Bank’s 2.00% Savings Plus Account is a hybrid account that combines savings and chequing account features including free and unlimited transactions, bill payments, Interac e-Transfers, mobile cheque deposits, and electronic fund transfers. EQ Bank does not offer registered accounts.
Tangerine’s 2.50% promotional interest rate is great for short-term savings. After the promotion ends, the rate falls to a dismal 0.25%. That being said, Tangerine is a “full-service” online bank with no-fee chequing, investments, mortgages, HELOC, credit cards, and more.
If you want to ditch your expensive traditional bank, Tangerine offers a viable alternative.
Credit unions and their online divisions can help you save money if all you are looking for is a place to keep your savings at a great rate and if you don’t plan to use the savings account for everyday transactions.
You can read my review of the top credit unions in Canada.