RBC Axes Interac e-Transfer Fees, Says Over 50% of Transfers on Mobile

RBC has announced this morning it has eliminated fees to send Interac e-Transfers, on all personal chequing accounts, making it the first bank to do so.

Linda Mantia, executive vice-president, Digital, Payments and Cards at RBC, said in a statement “Offering free e-Transfers supports our commitment to helping our clients seamlessly and quickly send money how they want and when they want.”

This move, the bank says, will add value and convenience to customers as they increase their use of mobile and person-to-person payments. Mantia went on to reveal in 2015, RBC clients “sent more than $22 billion in payments between our two person-to-person payment services – far surpassing many incumbents and new entrants in the fintech space.”

As for today, RBC says over 50 per cent of e-Transfers are sent via a mobile device, a number that stood at less than 20 per cent just a couple years back.

Canada’s big banks charge fees when sending Interac e-Transfers, with TD, BMO and CIBC charging $1.50, while Scotiabank charges $1.00. It’ll be interesting if others follow suit and also eliminate this lucrative fee.

Back in January, RBC updated their iOS app to version 5.0, which introduced a new design plus Apple Watch support. The current version of the app, according to reviews in iTunes, says the mobile cheque deposit feature is broken and needs an update. Also added at the time was RBC Wallet for iPhone, which allows customers buy, send and redeem gift cards.

As for RBC support for Apple Pay? At the beginning of this year, Mantia told BNN they are working with Apple for a digital wallet solution, as the company’s complex in-house mobile wallet only works on select Android devices.

Founder and Editor-in-Chief of iPhoneinCanada.ca. Follow me on Twitter, and @iPhoneinCanada, and on Google+.

  • DoctorT

    Nice! Less fees are always better

  • Jason

    I don’t pay fees in my tangerine account if I’m okay with a 3 business day delay e transfers

  • applepaylocator

    RBC won’t be part of the first waves of banks that support Apple Pay.
    this is a way for them to suck up to us. DO NOT FALL FOR IT
    lol

  • sukisszoze

    Wow..when’s the last time a bank eliminated bank charges on anything..I really hope other banks will follow.

  • KIII

    CIBC did this already I think.

  • I looked at switching over much of my business to RBC since my spouse (who has had RBC credit cards for years) received a cash incentive to open a checking account. I was actually pleasantly surprised that the higher-tier accounts already included a certain number of free Interac e-transfers, and that the normal fee was only $1, versus the $1.50 I’m used to seeing banks charge. As somebody who relies on this feature a lot to take care of a few monthly bills and expenses, it’s definitely an incentive to switch.

  • Cornfed710

    NOT

  • Kevin Mccormick

    None of the big Canadian banks will be part of the “first waves of banks” to support Apple Pay fully. What you see with Apple Pay and American Express is about as far as it’s going to go in Canada. The Canadian version of Visa and Mastercard are owned by the banks here and they pay a fee to use the names. Canadian banks aren’t going to pay the expenses and let Apple take the revenue, and that’s a major sticking point. Another issue is the banks have mobile wallet solutions but can’t have access to the NFC chip on Apple devices, giving Apple an unfair advantage over the banks.

  • Tim

    A three day delay?! I’d considered making the switch,but knowing that..ffs…no.

  • bbousquet

    It’s usually 48 hours max when using the free Tangerine email transfers (instantaneous between Tangerine clients). They offer Interac transfers for 1$ a piece, too – those are more or less instantaneous (2 hours or so, I think).

  • Jason

    It does say 2-3 business days on their site. More then anything I think it depends on the time of day and day of the week of when you send payment if your transfer will be received in 2 or 3 days