CPPO: Canadians Are Avid Multi-Bankers

Why It Matters

The shift signals accelerating demand for digital financial tools, pressuring legacy banks and creating growth opportunities for fintech and prepaid providers, while also urging public‑sector payment modernization.

Key Takeaways

• 47% Canadians use online or challenger banks.
• 41% hold both traditional and digital bank accounts.
• 69% want government to end mailed cheques.
• 44% avoid credit cards for everyday purchases.
• Prepaid cards favored for budgeting and security.

Pulse Analysis

The rise of multi‑banking in Canada reflects a broader consumer desire for flexibility and cost efficiency. As economic uncertainty tightens household budgets, nearly half of Canadians are turning to challenger banks that promise lower fees and superior mobile experiences. Younger adults, particularly those aged 18‑34, are leading the charge, driving a 52% adoption rate among the 18‑64 cohort. This behavioral shift is reshaping the competitive landscape, forcing traditional institutions to innovate or risk losing relevance.

Fintech firms are capitalizing on this momentum, with the sector’s valuation expected to swell to roughly $13.9 billion USD by 2033. Central to this growth is the open‑loop prepaid ecosystem, a $10.4 billion USD market that underpins seamless money movement across platforms. Prepaid cards are prized for budgeting tools, spending limits, and security, attributes that resonate with 45% of users seeking better money‑management. By offering a bridge between cash, cards, and digital wallets, prepaid solutions are becoming the connective tissue that enables consumers to orchestrate complex financial lives.

Government payment modernization emerges as both a catalyst and a consequence of these trends. With 69% of Canadians urging an end to mailed cheques and 81% preferring direct deposit, public‑sector agencies have a clear mandate to upgrade legacy systems. Such reforms promise heightened efficiency, equity, and accessibility, while also opening new distribution channels for fintech providers. As the ecosystem evolves, stakeholders that align technology, regulatory support, and consumer‑centric design will shape the next phase of Canada’s financial transformation.