Neo vs Koho vs Wealthsimple Cash 2026: The No-Fee Account Showdown
The 30-second answer
Wealthsimple Cash is the best free no-fee account in Canada in 2026. Koho Extra ($9/mo) wins on raw yield + perks. Neo Money wins only if you already use the Neo Credit card.
Side-by-side comparison
| Feature | Wealthsimple Cash | Neo Money | Koho Earn Interest |
|---|---|---|---|
| Free-tier interest | 2.75% | 2.25% | 2.00% |
| Top paid tier | 4.00% (Generation $500K) | N/A | 5.00% (Extra $9/mo) |
| Monthly fee (free tier) | $0 | $0 | $0 |
| Debit card | Yes (virtual + physical) | No (savings only) | Yes (virtual + physical) |
| Free outgoing e-Transfer | Unlimited | Not supported | Unlimited |
| Direct deposit (payroll) | Yes | Yes (incoming) | Yes |
| Cashback on debit | Up to 1% rotating | N/A | 1–2% (5% with Extra) |
| Credit-building feature | No | No | Yes ($7/mo Credit Building) |
| CDIC coverage | Yes ($100K/category) | Yes ($100K/category) | Yes ($100K/category) |
1. Wealthsimple Cash — best all-rounder
On the free tier, Wealthsimple Cash beats both rivals on interest (2.75%), gives you a real debit card, and includes free Interac e-Transfers in and out. It's effectively a no-fee chequing account that pays you to keep your paycheque parked. The catch: rate is variable and the app can be quirky on payday peaks.
Full deep-dive: Wealthsimple Cash Review 2026.
2. Koho — best for credit building + maximum yield
Koho's free Earn Interest sits at 2.00% — the lowest of the three. But Koho Extra ($9/month) jumps to 5.00% and adds 2% cashback on three categories. Add the optional Credit Building feature ($7/mo) and you have a fintech package that beats every Big Six bundle. Make sense for newcomers and people rebuilding credit.
Full reviews: Koho Review 2026 · Koho vs EQ Bank 2026.
3. Neo Money — best if you're already in the Neo ecosystem
Neo Money is solid at 2.25% with no fees and CDIC coverage, but it's a savings-only account — no debit card, no outgoing e-Transfer. If you already use the Neo Credit Mastercard, it's a tidy stack: spending on credit, parking on Neo Money, all in one app. Outside that ecosystem, Wealthsimple Cash is just better.
Full deep-dive: Neo Money Account Review 2026.
What about taxes?
Interest from any of these is fully taxable as ordinary income. On a $20,000 balance:
- Wealthsimple Cash 2.75% → $550/year → ~$313 after a 43% combined rate
- Neo Money 2.25% → $450/year → ~$257 after tax
- Koho Extra 5.00% → $1,000/year → ~$570 after tax (minus $108 subscription = ~$462 net)
Run your own numbers in the income tax calculator. To shelter the interest, hold cash inside a TFSA or FHSA.
The verdict
- Pick Wealthsimple Cash if you want one no-fee account that does everything — chequing, savings, debit, e-Transfers — at the highest free-tier rate.
- Pick Koho Extra if you want maximum yield + cashback + credit building and the $9/mo fee makes sense for your balance.
- Pick Neo Money if you already own a Neo Credit card and want everything in one app.
Related guides
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- Credit card comparison tool
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Not financial advice. Rates, fees, and features are current as of publication and can change at any time. Verify on each provider's official site before signing up. We do not accept referral commissions. Last reviewed: April 22, 2026.
Editorial disclaimer
This article is published by LoonieLabs for general information only. It is not financial, tax, legal, accounting, or immigration advice and must not be relied on as such. Rules, dollar figures, interest rates, and program eligibility change — always verify with the Canada Revenue Agency, IRCC, or a qualified professional before acting. Spotted an error? See our corrections policy. Last reviewed: April 22, 2026.
Frequently Asked Questions
Written and reviewed by Shrey Patel — Founder & Editor-in-Chief
Winnipeg, MB · Fact-checked by our Banking & Credit reviewer · Last reviewed April 22, 2026 · LinkedIn
Founder of LoonieLabs · based in Winnipeg, MB · writes and reviews every page on the site I oversee every figure on this page personally — verified against primary sources (CRA, IRCC, Statistics Canada, the Bank of Canada, or the originating provincial ministry). LoonieLabs has no affiliate relationships with any bank, credit card, or immigration consultant featured on this site. Spotted a mistake? Tell us.
Published by the LoonieLabs Editorial Team.