Canada’s banking system enjoys a reputation for stability and strength, underpinned by conservative regulation, a robust capital framework and a risk culture honed over decades. A World Economic Forum survey of twelve thousand corporate executives gave Canada a score of 6.8 out of 7 for bank soundness—the highest in the world—in its 2008 Global Competitiveness Report Reuters. Fitch Ratings similarly highlights Canada’s Big Five banks as “among the highest rated in Fitch Ratings’ coverage universe, benefiting from their size, scale and diversified operations,” underscoring the value of choosing a Canadian institution when safeguarding your assets Fitch. Deposit protection by the Canada Deposit Insurance Corporation covers eligible deposits up to CAD 100,000 per category, and Global Finance ranked seven Canadian banks among the world’s 100 safest in 2023, with RBC placing 10th in North America Global Finance.
For a comprehensive guide to cross-border banking for US residents, check out our pillar article.
For US–Canada cross-border clients—be they dual citizens, frequent travelers, expats or businesses operating in both jurisdictions—Canadian banks offer an appealing blend of global reach, transactional transparency and strong regulatory oversight. While US banks also provide international services, the diversified model and systemically important status of Canada’s banking sector often mean that transaction flows, foreign exchange and wealth planning can be more seamlessly integrated with Canadian dollars, cross-currency credit facilities and integrated digital dashboards.
Key considerations for cross-border banking
US clients need to weigh several factors when selecting a Canadian bank:
- Deposit insurance: Canada Deposit Insurance Corporation (CDIC) covers eligible deposits up to CAD 100,000 per depositor per category, including individual, joint and registered accounts CDIC.
- Tax reporting: US persons must file FinCEN Form 114 (FBAR) if aggregate foreign account values exceed USD 10,000 and may also need to submit IRS Form 8938 (Statement of Specified Foreign Financial Assets) FinCEN Form 114.
- Accessibility: Consider branch and ATM networks. TD Bank has extensive East Coast coverage; BMO dominates the Midwest; RBC and CIBC emphasize digital channels; Scotiabank focuses on newcomer and international clients.
- Account features & fees: Compare fee waivers, GIC/CD rates, cross-border transfer costs, multi-currency accounts and minimum-balance requirements.
Major players
1. Toronto-Dominion Bank (TD)
Toronto-Dominion Bank, trading as TD Bank Group, ranks among the top global financial institutions and is one of Canada’s Big Five banks. It reported assets of $2.06 trillion, net income of $8.84 billion and employed 103,762 staff in fiscal 2024 Wikipedia. Its US subsidiary, TD Bank, N.A., serves more than 6.5 million customers through a network of 1,171 branches along the Eastern Seaboard Wikipedia.
However, in a landmark enforcement action on October 10, 2024, TD Bank N.A. pleaded guilty to violations of the Bank Secrecy Act and money laundering conspiracy, agreeing to pay over USD 3 billion in penalties—the largest under the BSA—and to enhanced AML controls and independent monitoring Reuters.
2. Bank of Montreal (BMO)
BMO Bank, N.A., the US banking arm of Bank of Montreal, ranks as the 15th largest US bank by consolidated assets, with over 600 branches and approximately 1,300 ATMs across Illinois, Wisconsin, Indiana, Kansas, Missouri, Minnesota, Arizona, Florida and California Wikipedia. BMO’s digital division, BMO Alto, leads the market for long-term CDs, offering 4-year products at 5.20% APY and 5-year options at 5.25% APY—among the highest nationally Investopedia.
3. Canadian Imperial Bank of Commerce (CIBC)
After acquiring Chicago-based PrivateBancorp in 2017, CIBC established CIBC Bank USA, now operating nearly 50 offices across 18 states, focusing on commercial banking and private wealth solutions for high-net-worth clients CIBC press release. As of March 31, 2024, CIBC Bank USA held total assets of USD 55.05 billion, placing it among the top 50 US banks by asset size MX Blog.
4. Royal Bank of Canada (RBC)
RBC is Canada’s largest bank by market capitalization, reporting CA$187.21 billion in market value, CA$53.66 billion revenue and CA$14.86 billion net income for fiscal 2023 Wikipedia. Its personal and commercial banking operations serve approximately 11 million clients through a network of 1,284 branches in Canada Wikipedia. Global Finance recognized RBC as North America’s 10th safest bank in its 2023 Global 100 list Global Finance.
5. Scotiabank
Scotiabank, known as Canada’s “most international bank,” reported market capitalization of CA$76.32 billion, revenue of CA$29.25 billion and net income of CA$7.41 billion in 2023 Wikipedia. Its StartRight® Program offers an International Account Opening feature, enabling newcomers—immigrants, students and foreign workers—to open a Canadian bank account online before arrival Scotiabank.
Actionable next steps
- Verify CDIC coverage for up to CAD 100,000 per category of deposits.
- Plan for FBAR (FinCEN Form 114) and IRS Form 8938 filings if your foreign assets exceed reporting thresholds.
- Test each bank’s digital platform and confirm US-accessible customer support hours and channels.
- Compare fee schedules for account maintenance, ATM usage (including surcharge policies) and cross-border transfers.
- Speak with a relationship manager or newcomer specialist for personalized guidance on mortgages, credit products or wealth services.
Which bank is right for you?
Choosing among these institutions depends on your priorities. TD stands out for US-facing accessibility along the Eastern Seaboard but carries a recent compliance legacy to monitor. BMO excels for Midwest customers seeking high CD yields and a strong regional footprint. CIBC Bank USA delivers specialized commercial and private banking services. RBC offers systemic safety and global reach for those valuing stability and scale. Scotiabank leads newcomer and international digital solutions for clients who need pre-arrival banking setup.
By aligning your needs with each bank’s core strengths—whether it’s TD’s branch network, BMO’s CD leadership, CIBC’s boutique services, RBC’s global importance or Scotiabank’s newcomer focus—you can secure both your assets and your peace of mind as you navigate cross-border banking.