Canadians are increasingly satisfied with their midsize banks compared to the Big Five, according to a J.D. Power survey released last Thursday. Overall banking satisfaction rose by three points on a 1,000-point scale, with midsize banks averaging 641 points, slightly down from 649 the previous year. The Big Five averaged 610 points, up from 604.
RBC led the Big Five for the third consecutive year with 619 points, followed by BMO and CIBC, both at 611. TD scored 610, while Scotiabank trailed at 597. Among midsize banks, Tangerine ranked first with 676 points, followed by ATB Financial at 650, Simplii Financial at 637, National Bank of Canada at 636, and Desjardins at 624.
Midsize banks scored higher on service quality and personalization, while fintechs attracted customers with lower fees, better interest rates, and easier online banking. Nearly two-thirds (63%) of Canadians reported not paying fees for retail banking, up four percentage points from 2025. Paul McAdam, senior director of banking and payments intelligence at J.D. Power, emphasized the importance of fees, noting that consumers are looking to cut expenses amid rising living costs.
Fintechs, though holding only about 5% of Canada’s retail banking market, are capturing a growing share of customers switching banks. McAdam predicted similar dynamics in Canada as seen in the U.S., where fintechs hold around 20% of the market. Traditional banks retain an advantage through their branch networks, with about 70% of Canadians valuing nearby branches. However, fintechs are expanding their services to compete, offering additional benefits to customers with higher account balances.