A quarter (24%) of Canadian residents reported opening a financial account at an institution other than their current bank in the past 12 months, according to a survey conducted in March 2025 by Environics Research. This represents an increase from 21% in the research firm’s two previous surveys and is the highest level observed in the survey’s 20-year history.
Among those who opened a new account with another financial institution, less than a third (29%) were « primary exchangers, » meaning they changed their primary financial institution within the past year. Conversely, the majority (71%) were « secondary exchangers, » having opened a new account without making that institution their primary bank.
The survey indicates that opening a new checking account can be a gateway to a broader business relationship. In fact, 25% of those who switched checking accounts also purchased other products from their new financial institution. Among these products, savings accounts were the most popular (56%), followed by credit cards (35%) and TFSAs (16%).
“It’s less about brand loyalty than it is about a mindset specific to the baby boomer generation,” says Heidi Wilson, vice president of financial services at Environics Research, in an interview. “[Consumers] want to optimize their financial lives and choose the best investment channel for them, whether it’s advisory services, self-directed investing, or everyday bank accounts.”
Reducing fees (27%) and receiving rewards (21%) were the main reasons cited for switching checking accounts in 2025. Next came convenience and recommendations from others (both at 14%).
Customers under 30 are more attracted to low-cost or no-cost offers, while financial institutions offering cash promotions are more appealing to those under 40.
Large banks have greater financial resources and can afford to attract customers with rewards such as technological gadgets, cash, and even gold, observes Heidi Wilson.
As 2026 approaches, banks will need to intensify their retention efforts, as the cost of acquiring a new customer is significantly higher than that of retaining an existing one, she emphasizes. « When a customer leaves, the institution loses a long-term revenue stream, including a source of low-cost funding for its loans, not to mention the reduced likelihood that this customer will purchase new products in the future. The risk is therefore considerable. »
Customers who switch institutions often show early warning signs of leaving. Initially, there may be a slight decrease in their account value when they transfer some of their funds to another bank to « test the waters. » Then, they may close an account with their current institution before leaving for good, explained Heidi Wilson. « This is a high-risk customer… what can be done to win them back? »
People aged 35 to 44 (5.8%) were the most likely to switch accounts, followed by those aged 25 to 34 (5.2%) and 45 to 54 (4.7%). Among the primary currency exchangers, 41% transferred all of their accounts, while 59% transferred only some of them.
The survey also shows that online account opening continues to grow: it represented 55% of all currency traders in 2025, compared to 22% in 2013. Conversely, the proportion of currency traders who opened an account in a physical branch fell to 31% last year, compared to 47% in 2013.
Changing automatic payroll deposits, closing accounts and opening new products used to be complicated, but it has become simpler thanks to online services, notes Heidi Wilson.
The survey was conducted among 45,000 Canadian adults in March 2025. The study, previously conducted twice a year, will switch to an annual schedule starting this year, with the next data collection scheduled for March.