KOHO is one of the best no-fee everyday accounts available to Canadians in 2026. It combines a prepaid Visa card, a high-interest savings account, and a credit building tool in a single app — with no monthly fees on the base plan and no credit check required to sign up.
This review covers everything you need to know before opening a KOHO account.
What is KOHO?
KOHO is a Canadian financial technology company founded in 2014 in Toronto. It is not a bank — your KOHO balance is held in trust at Peoples Bank of Canada, a CDIC member institution, providing up to $100,000 in deposit protection per eligible category.
KOHO offers a no-fee prepaid Visa card linked to a spending and savings account, with cashback on everyday purchases and interest on your balance. It is designed as a modern alternative to traditional bank chequing accounts.
KOHO Pros and Cons
Pros
- No monthly fees on the base plan
- No credit check to open an account
- Instant virtual card on sign-up — works with Apple Pay and Google Pay immediately
- Up to 3.5% interest on your balance (highest tier)
- 1–2% cashback on groceries, dining, and transit
- Credit building without a hard credit check
- RoundUps and Instant Pay tools for saving and budgeting
- CDIC-protected deposits via Peoples Bank of Canada
Cons
- Not a bank — no mortgage, line of credit, or full banking services
- Higher interest and cashback rates require a paid plan
- No joint accounts currently supported
- Cashback is lower than some premium credit cards for high spenders
KOHO Plans and Pricing
KOHO offers four plans:
| Plan | Monthly Fee | Cashback | Interest | FX Fees |
|---|---|---|---|---|
| Base | Free | 1% on select categories | Up to 2% | Standard |
| Essential | $4/mo | 1% everywhere | Up to 2.5% | Standard |
| Extra | $9/mo | 2% on select categories | Up to 3% | Standard |
| Everything | $19/mo | 2% everywhere + premium perks | Up to 3.5% | Zero |
For most Canadians, the free base plan delivers strong value. The paid plans make sense if you travel internationally (zero FX fees on Everything) or want to maximize cashback on high spending volumes.
KOHO Cashback: How It Works
KOHO earns cashback on the following categories on the base plan:
- Groceries — 1% back
- Eating and drinking — 1% back
- Transportation — 1% back
Cashback is credited instantly to your KOHO account after each qualifying purchase. There is no minimum threshold to redeem — your cashback balance is available immediately.
On paid plans, the cashback rate increases and the qualifying categories expand.
KOHO Interest Rate
KOHO pays interest on your entire balance — not just a savings bucket. The rate depends on your plan:
- Base — up to 2%
- Essential — up to 2.5%
- Extra — up to 3%
- Everything — up to 3.5%
Interest is calculated daily and paid monthly. There is no minimum balance and no lock-in period. This makes KOHO competitive with most Canadian HISAs for everyday balances.
KOHO Credit Building
KOHO's Credit Building feature is one of the most accessible credit-building tools in Canada:
- No hard credit check
- KOHO reports positive payment history to Equifax monthly
- Available as an add-on to any KOHO plan for a small monthly fee
- Suitable for new Canadians, students, or anyone rebuilding their credit
After 6–12 months of consistent use, most users see a measurable improvement in their credit score. This makes KOHO particularly valuable for Canadians who have been declined for traditional credit products.
KOHO RoundUps
RoundUps automatically rounds up every purchase to the nearest dollar and moves the difference into your savings. For example, a $4.60 coffee purchase triggers a $0.40 RoundUp that is added to your KOHO balance.
Over a month of regular spending, RoundUps can accumulate $15–$40 in passive savings with no effort. Combined with the interest KOHO pays on your balance, it is a simple and effective savings habit.
KOHO Instant Pay
KOHO Instant Pay lets you access up to $100 of your upcoming paycheck early at no cost. If you need a larger advance, KOHO Cover provides up to $250 for a small monthly subscription fee, with no interest charged.
This is a useful safety net for Canadians who occasionally run short between paydays — without resorting to high-interest payday loans or credit card cash advances.
KOHO Virtual and Physical Card
Your virtual KOHO Visa card is available immediately after account setup. Add it to Apple Pay or Google Pay and start spending right away — no waiting required.
Your physical KOHO Visa card arrives by mail within 5–10 business days. Both cards work anywhere Visa is accepted in Canada and internationally.
Who is KOHO Best For?
KOHO is a great fit for:
- Canadians who want a no-fee everyday spending account with cashback
- Anyone without a credit history who needs a no-credit-check card
- New Canadians looking for an accessible first financial product
- Students and young adults building financial habits
- Anyone looking to build their credit score without a credit card
- Canadians who want to earn interest on their everyday balance
KOHO may not be the best fit for:
- High spenders who would earn more with a premium rewards credit card
- Canadians who need a full banking relationship (mortgage, LOC, investments)
- Those who want a joint account
KOHO vs. Traditional Bank Chequing Accounts
| Feature | KOHO Base | Big Bank Chequing |
|---|---|---|
| Monthly Fee | Free | $4–$30/mo |
| Interest on Balance | Up to 2% | 0–0.01% |
| Cashback | Yes | Rarely |
| Credit Check | None | Sometimes |
| Credit Building | Yes (add-on) | No |
| CDIC Protection | Yes | Yes |
For Canadians paying monthly fees at a big bank and earning no interest on their balance, switching to KOHO's free plan is an immediate improvement.
Is KOHO Safe?
Yes. KOHO is registered with FINTRAC as a Money Services Business. Your balance is held in trust at Peoples Bank of Canada, a Schedule 1 Canadian bank and CDIC member. This means your funds are protected under the Canada Deposit Insurance Corporation framework, up to $100,000 per eligible deposit category.
KOHO also uses industry-standard data encryption and security practices to protect your personal and financial information.
KOHO Review: Final Verdict
KOHO delivers strong everyday value for Canadians — particularly those who want to avoid bank fees, earn cashback on daily spending, and earn interest on their balance without locking money away. The free base plan alone beats most traditional bank chequing accounts on cost and features.
The credit building add-on is one of the most accessible options in Canada for improving your credit score without taking on debt. And the instant virtual card, RoundUps, and Instant Pay features make it a well-rounded financial tool for day-to-day money management.
Rating: 4.5 / 5
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