Maxa Financial Review

Maxa Financial is a digital financial institution offering some of the best high-interest savings and GIC rates in Canada.

Like other online banks like Oaken Financial, EQ Bank, Outlook Financial, and AcceleRate Financial, Maxa Financial is only available through online banking.

This Maxa Financial review provides insight into their savings and GIC offerings, expected fees, and how it compares to other digital banks in Canada.

Who is Maxa Financial?

Maxa Financial is the online banking arm of Westoba Credit Union, a Manitoba-based credit union. It was launched in 2006 and is available to Canadians nationwide, including Quebec residents.

Its parent company, Westoba Credit Union, was founded in 1963 and serves more than 37,000 members.

Maxa accounts can be accessed through online banking and a mobile app that can be downloaded for iOS and Android devices.

Maxa Financial Accounts

Maxa Financial offers a high-interest savings account and Guaranteed Investment Certificate products for TFSA, RRSP, and RRIF accounts.

Maxa Financial’s High-Interest Savings Account

If you are looking for a high-interest savings account that beats what’s being offered by the big banks, online banks such as Maxa Financial are your best bet.

Maxa Financial’s HISA offers a non-promotional high-interest rate, and you can either keep your funds in a regular savings account or utilize a TFSA, RRSP, or RRIF.

Here are some of the features of this account:

• No monthly account fee
• No minimum balance required
• Interest is calculated daily and paid out monthly
• You receive a Maxa MemberCard for ATM and POS transactions

Related: EQ Bank Review: Best HISA in Canada?

Maxa Financial GICs

Their 1-5 year GICs can be held in a non-registered account as well as registered accounts (TFSA, RRSP, and RRIF).

To open a Maxa Financial GIC account, you need to make a minimum deposit of $500. Interest is compounded annually on the GIC and paid into your savings account.

All Maxa GICs are non-redeemable before maturity and come with 1-5 year terms.

How To Open a Maxa Financial Account

To become a member, you must complete the Maxa membership application form or call 1-866-366-6292. After that, you can set up deposits to your account using a cheque or electronic funds transfer.

Members can also transfer account balances from another financial institution for both registered and non-registered accounts. Additional documentation is required to open a TFSA, RRSP, or RRIF account.

You can reach their customer service by calling 1-866-366-6292, chatting online, emailing, faxing, or sending your documents to their Brandon location at Maxa Financial, 220 10th Street Unit C, Brandon, MB R7A 4E8.

Customer service is available from 8am – 8pm (Monday to Friday) and 8am – 4pm on Saturdays.

Members get a Maxa MemberCard they can use to access thousands of credit union ATMs across Canada. Lastly, the Maxa Financial mobile app can be used to deposit cheques.

Maxa Financial Fees

While Maxa Financial’s deposit accounts do not attract a monthly maintenance fee, some service fees may apply depending on your transactions:

• Debits: 1 free and $1.50 each after (includes bill payments, ATM withdrawals, cheques, MemberCard purchases)
• Interac e-Transfers (send/request): $1.50 each
• Interac e-Transfer (cancel): $7.50
• Registered account transfer to another bank: $100
• Maxa support team assisted bill payment: $3.00

For a complete list of current fees, visit Maxa Financial’s website.

Is Maxa Financial Safe?

Maxa Financial is a division of Westoba Credit Union which is a member of the Deposit Guarantee Corporation of Manitoba (DGCM).

As such, your deposits with Maxa are 100% guaranteed by DGCM.

Maxa Financial vs. EQ Bank: High Interest Savings in Canada

Maxa Financial and EQ Bank are online banks that offer savings and GIC products with high-interest rates.

As of this update, EQ Bank’s HISA rate is up to 3.50%. The EQ Bank Personal account is a type of hybrid account with savings and chequing features. This EQ Bank account also offers:

• No monthly account fees
• Unlimited free transactions, including electronic fund transfers and bill payments
• Unlimited free Interac e-Transfers (save $1.50 each compared to Maxa)
• Zero minimum balance
• Free mobile cheque deposits
• Canada Deposit Insurance Corporation insurance up to $100,000

EQ Bank also offers high-interest GICs.

Is Maxa Financial Right For You?

Online banks have their pros and cons.

If you are comfortable completing your online banking transactions via a web interface or mobile app, you can take advantage of the great rates available through digital financial institutions.

Maxa Financial has decent rates on savings and GICs. If you plan to use your savings account to pay bills or send money, EQ Bank’s free and unlimited transactions and Interac e-Transfers will save you money on fees.

Those who want to keep all their accounts (savings, chequing, investments, etc.) in one place can also look at Tangerine Bank or Simplii Financial.

Related:

• Tangerine vs. Motusbank
• Best Passive Income Apps for Canadians
• Best Personal Finance Apps
• Outlook Financial Review