As a beginner, starting a new chapter in life might be accompanied with a tornado of emotions and obligations. Building a strong financial base is one of the most important things to do when adjusting to a new environment. Understanding the ins and outs of banking is essential to securing your financial future, whether you’ve just moved to a new country or are embarking on a new journey in your own.
Newcomers may find it difficult to navigate the banking industry because each nation has its own distinct financial system and set of rules. There are a number of important factors to take into account when making decisions that will help you build a solid financial foundation, from selecting the correct bank to managing your funds well.
Finding a place to live, getting a job, and getting acquainted with your new neighborhood are all necessary when you first arrive in Canada. There is a lot to organize. Opening a Canadian bank account is frequently the first step in getting your financial affairs in order. Here is a brief overview of your options from Royal Bank of Canada.
Chequing account
People frequently request that their employers deposit their paycheques immediately into their chequing accounts in order to hold the money for their monthly and daily expenses. These accounts may occasionally charge a monthly fee in exchange for limitless transactions.
Savings account
You can use this account to store your extra cash for a larger purchase or to start an emergency fund while also earning a little bit of interest on the principal. It is advantageous to keep this money in a different account from your checking to prevent unintentional spending. A savings account works in conjunction with a checking account when there are few transactions each month.
Debit card
You can use your debit card at an ATM or a bank to access your checking and savings accounts, respectively. Although you can make purchases directly from some retailers using this card, it is not a credit card. Debit payments are made with funds that are taken directly out of your account. Normally, debit cards cannot be used to make purchases online.
E-transfer
You can utilize an Interac e-transfer to send money to someone who has a Canadian bank account. Logging into your mobile or web banking will help you find this service. Some bank accounts don’t charge anything for transfers, while others do.
Pre-authorized debit
For those who might fail to pay their payments on time, this function is helpful. You permit your bank to transfer a specific sum of money to a specific account on a specific date when you set up a pre-authorized debit. As an illustration, you may arrange for a pre-authorized debit to be used each month to pay your cellular carrier.
More financial tips for you at https://newscanada.com/en/setting-up-your-financial-foundation-3a-essential-banking-tips-for-newcomers-135701
Reference: https://newscanada.com/
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