Low fees and higher interest rates on savings are some of the factors that make many Canadians switch to online-only banks.
As most of the big banks now have their digital subdivisions, several credit unions in Canada are also doing the same.
Digital financial institutions have running costs because they do not have physical branches to maintain like their traditional counterparts.
As a result, these institutions often reward their customers with lower fees and higher interest rates on savings and investments.
MAXA Financial is an online subsidiary of Westoba Credit Union based in Manitoba, Canada. The digital institution currently offers one of the highest savings rates in Canada.
This article provides you with a comprehensive MAXA Financial review that gives insight into the savings accounts and GIC offerings of the bank.
Toward the end of this article, you will also see a comparison of MAXA Financial savings and investment accounts to that of other online Canadian credit union divisions.
Let’s dig in!
Table of Contents
What is MAXA Financial?
It is a digital subsidiary of the Manitoba-based financial institution, Westoba Credit Union Ltd.
Westoba Credit Union is currently the 8th largest credit union in Manitoba province. The institution currently serves more than 37,000 members and manages over $1.5 billion worth of assets.
In 2006, MAXA Financial was launched as the online-only subsidiary of Westoba Credit Union.
Although MAXA Financial operates completely online, it has built a really good reputation for itself over the past 16 years since it launched.
Also, MAXA Financial currently offers competitive interest rates on its savings accounts and GICs.
Key Features of MAXA Financial
Before getting into the comprehensive details of MAXA Financial, let us take a brief overview of the bank.
The table below shows some of the key features of MAXA Financial:
| Bank Name | MAXA Financial |
| Parent Company | Westoba Credit Union Ltd |
| Account Opening | Online |
| Minimum opening deposit | $5 |
| Financial products | HISAs and GICs |
| HISA Rate (or savings rate) | 2.90% |
| Credit Check | No |
| Registered Account types being offered | TFSA, RRSP and RRIF |
| Monthly Maintenance/Service fee | Zero |
| Deposit Insurance | 100% by DGCM |
| Loans | None |
| Credit Cards | None |
MAXA Financial Products
Although MAXA Financial is popular for offering high-interest savings accounts, it also offers competitive GICs accounts.
Both MAXA HISAs and GICs are eligible for unique TFSA, RRSP and RRIF accounts.
Let’s take a closer look at each of the MAXA Financial products listed above.
MAXA Financial Savings Accounts
MAXA Financial offers high-interest savings accounts offering a decent interest rate of 2.90% on every dollar you save.
This 2.90% savings rate also applies to the TFSA, RRSP and RRIF savings accounts offered by MAXA Financial.
Key Features
Here are the key features of all MAXA Financial savings accounts:
- No monthly maintenance or service fee
- Competitive interest rate (2.90%) that is calculated daily and paid monthly into your account
- No minimum balance requirement
- MAXA MemberCard for point-of-sale and ATM transactions
- 100% deposit protection by DGCM (Deposit Guarantee Corporation of Manitoba)
MAXA Financial Guaranteed Investment Certificates
One way to earn higher interest with MAXA Financial is by investing in its Guaranteed Investment Certificates (GICs).
Currently, the bank offers four types of GICs which include TFSA, RRSP and RRIF GICs.
MAXA Financial gives the option of 1 to 5-year longer-term investment GICs with high-interest rates. The bank doesn’t offer 3-9 months shorter term GICs.
Key Features
Below is a highlight of key features that apply to all MAXA Financial GICs:
- $500 minimum investment deposit
- 1 to 5-year terms
- Interest is compounded or paid yearly to your MAXA Financial savings account
- Online access to your account information via phone
- Prior to maturity, all MAXA GICs are non-redeemable
- 100% deposit protection by DGCM (Deposit Guarantee Corporation of Manitoba)
The table below shows the current interest rate for all MAXA Financial GICs.
| Term | Interest Rate |
| 1-year | 4.35% |
| 2-year | 4.50% |
| 3-year | 4.70% |
| 4-year | 4.85% |
| 5-year | 5.10% |
MAXA GIC Rate Guarantee
This is a brilliant arrangement by MAXA Financial as it allows you to lock in a favourable GIC rate for 21 days.
There can be a situation whereby you feel that interest rates might drop at a time you intend to invest in a GIC term.
All you need to do in such a case is to apply for the MAXA 21-day rate guarantee.
This arrangement will ensure that you get the favourable MAXA GIC rate of your choice when you invest within the 21-day “locked-in” period.
If you like the current GIC rates offered by MAXA Financial and you plan on investing soon, click this link to apply for the 21-day rate guarantee now.
MAXA Financial Fees
Similarly to other financial institutions in Canada, MAXA Financial charges certain fees for the financial products it provides to you.
The table below shows all the fees that currently apply to any MAXA Financial account:
| Title | Fee |
| Debit transactions (ATM withdrawals, bill payments, MemberCard purchases, cheques pre-authorized debits) | 1 Free $1.50 debit item fee after which it is $1.50 per additional debit item |
| ATM withdrawals (Interac network in Canada) | $2.00 |
| ATM withdrawals (International) | $5.00 |
| Replacement of MemberCard (Damaged, stolen, lost) | $15.00 |
| Interac flash disabling fee | $40.00 |
| MAXA Interac e-Transfers (Send or request) | $1.50 |
| MAXA Interac e-Transfers (Cancel) | $7.50 |
| Registered direct transfer to another financial institution | $100.00 |
| MAXA support team assisted transfer (excluding investments) | $3.00 |
| Incoming wire fee | Contact MAXA Financial customer care |
| Non-registered investment transfer to another financial institution | $20.00 |
| Stop payment (all information) | $15.00 |
| Stop payment (Incomplete information) | $20.00 |
| Primary orders | $10.00 |
| Mail fee | $10.00 |
| Personalize cheque order | 24 cheques – $31.00 12 cheques – $28.90 |
| Returned item (Non-sufficient funds – NSF) | $40 per item |
| Overdraft fee | $10 per item |
| Full membership closure (for a 6-month-old account or less) | $50.00 |
Aside from the fees listed in the table above, all other MAXA Financial services are free of charge.
How to Open a MAXA Financial Account
The process of opening a MAXA Financial account is very simple. When you open an account with MAXA Financial, you also become a member of its parent company – Westoba Credit Union.
This is the reason why MAXA Financial account registration is like a membership application.
Before you can successfully join MAXA Financial, there are certain requirements you have to meet. You must meet the following requirements:
- Be of 18 years or older
- Have a Social Insurance Number (SIN)
- Be a permanent resident or citizen of Canada
- Have a valid email address
- Be willing to pay a one-time membership share of $5 that will be deducted from your first deposit
You have to pay a $5 membership share because it is a necessary step to joining Westoba Credit Union.
Immediately your account is opened, you can start enjoying the products and services offered by MAXA Financial.
But if you still need clarity on anything, please contact MAXA Financial via the following medium:
- Email: [email protected]
- Phone: 1-866-366-MAXA (6292)
- Write a Mail to: MAXA Financial
220 10th Street Unit C
Brandon, MB R7A 4E8
Note: MAXA Financial’s customer care service is only available from 8 am to 8 pm between Monday and Friday.
You can also contact MAXA Financial customer care from 8 am to 4 pm on Saturdays.
MAXA Financial Mobile App
The bank’s mobile app is currently available on iOS and Android OS.
You can get the MAXA Financial mobile app on your iPhone and iPad devices as well as any Android phone or tablet.
MAXA Financial’s app allows its customers to perform all types of transactions that can be done with the online banking platform.
One great feature of the MAXA Financial app is that it supports mobile cheque deposits by using the phone’s camera alone.
You can also use the MAXA app to send Interac e-Transfers to anyone as long as they can receive e-Transfers.
Pros and Cons of MAXA Financial
Just like every other bank out there, MAXA Financial is not all “rosy” without its flaws.
There are advantages and disadvantages to using MAXA Financial you need to be aware of.
Understanding the pros and cons of MAXA Financial is essential because it will help you decide if it is the right financial institution for you.
Here are the pros and cons of the financial institution:
Pros
- High and competitive savings rate (2.90%)
- No monthly fee or minimum balance for savings accounts
- You can choose between registered and non-registered GICs or savings accounts
- $500 is the lowest GIC investment requirement compared to other banks
Cons
- Limited financial products (only HISAs and GICs)
- Slightly higher fees on debit transactions
- All accounts only allow Canadian dollars (No USD account offering)
- The high-interest savings account is unsuitable for bills payment
MAXA Financial Vs Other Canadian Online Banks and Institutions
MAXA Financial has been in business for up to 16 years. The bank has been offering great financial services to Canadians since its inception.
Although MAXA Financial offers great financial products with high-interest rates, it is not the only great option out there.
Let’s compare MAXA Financial to other Canadian financial institutions so that you can make an informed decision:
MAXA Financial vs EQ Bank: HISA and GIC Rates
One of the top trending online banks in Canada today is EQ Bank. The financial institution also offers high-interest rates on its savings accounts and GICs.
At the moment, EQ Bank’s savings rate is 2.50% and its GIC rates are also close to that of MAXA Financial.
See the table below for a quick comparison of MAXA Financial interest rates and that of EQ Bank.
| Features | MAXA Financial | EQ Bank |
| Savings Rate | 2.90% | 2.50% |
| 1-year GIC rate | 4.35% | 5.00% |
| 2-year GIC rate | 4.50% | 5.00% |
| 3-year GIC rate | 4.70% | 4.95% |
| 4-year GIC rate | 4.85% | 4.80% |
| 5-year GIC rate | 5.10% | 4.75% |
| Interac e-Transfers | $1.50 (send/request) | Free |
| Debits (ATM withdrawals, bill payments, etc) | 1 free per month $1.50 afterwards | Free |
| Monthly maintenance/service fee | Zero | Zero |
From this brief comparison, MAXA Financial outshines EQ Bank with a higher savings rate and 5-year GIC rate.
However, in all other aspects including fees, EQ Bank takes the lead.
MAXA Financial vs Tangerine
Tangerine is another online bank that is gaining a lot of attention in Canada due to its great services.
When it comes to interest on savings, Tangerine bank offers a lower regular savings rate compared to MAXA Financial. You can only get an interest rate of 1.00% on your savings in Tangerine savings accounts.
However, Tangerine offers a promotional high interest of up to 5.00%. All you have to do to earn this high interest is to sign up to become a Tangerine client using the code “EARNMORE”.
Some of Tangerine’s GIC rates are also slightly higher than that of MAXA Financial. See the table below for a quick comparison.
| Features | MAXA Financial | Tangerine |
| Savings Rate | 2.90% | 1.00% |
| 1-year GIC rate | 4.35% | 4.85% |
| 2-year GIC rate | 4.50% | 4.95% |
| 3-year GIC rate | 4.70% | 4.90% |
| 4-year GIC rate | 4.85% | 4.75% |
| 5-year GIC rate | 5.10% | 4.75% |
| Interac e-Transfers | $1.50 (send/request) | Free (Chequing account) |
| Debits (ATM withdrawals, bill payments, etc) | 1 free per month $1.50 afterwards | Free |
| Monthly maintenance/service fee | Zero | Zero |
From the table, MAXA Financial takes the lead in terms of regular savings interest rates.
The 4-year and 5-year GIC rates offered by MAXA Financial are also higher than that of Tangerine.
However, Tangerine gives a much higher rate for its 1-year, 2-year and 3-year GIC terms.
Also, Interac e-Transfers, ATM withdrawals and bills payment are all free with Tangerine bank. MAXA Financial, on the other hand, charges different fees for all such transactions.
MAXA Financial vs Hubert Financial
While MAXA Financial is the online division of Westoba Credit Union, Hubert Financial is an online division of Access Credit Union.
Since these two online banks are subdivisions of credit unions, let’s compare their interest rates for savings accounts and GICs. See the table below.
| Features | MAXA Financial | Hubert Financial |
| Savings Rate | 2.90% | 3.00% |
| 1-year GIC rate | 4.35% | 4.50% |
| 2-year GIC rate | 4.50% | 4.60% |
| 3-year GIC rate | 4.70% | 4.70% |
| 4-year GIC rate | 4.85% | 4.90% |
| 5-year GIC rate | 5.10% | 5.10% |
| Interac e-Transfers | $1.50 (send/request) | N/A |
| Minimum investment amount | Zero for Savings accounts $500 for GICs | Zero for Savings accounts $1,000 for Term deposit |
| Debits (ATM Withdrawals, bill payments, etc) | 1 free per month $1.50 afterwards | Free |
| Monthly Maintenance/Service Fee | Zero | Zero |
From the above comparison, you can see that the savings and GIC rates offered by MAXA Financial are lower than that of Hubert Financial.
Also, Hubert Financial charges higher fees for debit transactions compared to that MAXA Financial.
Hubert Financial leads in many ways except for its higher investment deposit requirement.
If the $1,000 minimum investment deposit is not an issue for you, then Hubert Financial might be a better choice for your savings and investment rather than MAXA Financial.
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MAXA Financial Review – Final thoughts
MAXA Financial offers some of the highest rates on its products, making them a great choice for those looking to grow their money.
Also, they are an online bank, which means you can do your banking from anywhere in the world.
This article has presented a comprehensive MAXA Financial review.
Hopefully, now that you are done reading it, you have a good idea of what the company has to offer and whether or not its services are right for you.
Thanks for reading and we hope this article was helpful!
FAQs on MAXA Financial Review
Is MAXA Financial safe?
Yes, MAXA Financial operates with proper security standards. All deposits made to MAXA Financial accounts are also protected with a 100% guarantee by DGCM (Deposit Guarantee Corporation of Manitoba).
How do I make deposits to my MAXA Financial account?
Here are six ways you can make deposits to your MAXA account:
- Send a cheque to MAXA via mail
- Do a mobile cheque deposit by taking a picture of your cheque
- Use an ATM for deposit
- Complete an electronic funds deposit form
- Send an e-Transfer to yourself (limits may apply in some cases)
- If you have funds held in a registered plan somewhere else, you can deposit them to MAXA through a direct transfer for registered plans
How do I withdraw from my MAXA account?
You can withdraw funds from a MAXA Financial account through:
- ATM
- Cheque
- Sending e-Transfer (limits may apply)
- Arranging with the crediting financial institution or bank on the available option(s)
What is MAXA Financial e-Transfer Limit?
Like other financial institutions in Canada, MAXA Financial has e-Transfer limits that apply to different types of transactions.
If you wish to find out the limits for your account, please contact MAXA Financial support team by calling 1-866-366-6292. You can also send an email to [email protected] or click this link and fill out the form on the page.
