Rating by Finanso®

The rating by Finanso® is determined by our editorial team. The scoring formula includes a financial product type as well as tariffs, fees, rewards and other options.


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About bank

VersaBank, a Schedule I chartered bank headquartered in London, Ontario, operates within the Canadian banking market, with its shares traded on the Toronto Stock Exchange under the symbol VBNK. Led by its Chief Executive Officer, VersaBank focuses on its core businesses, including providing innovative banking solutions such as leases electronically and security software, aimed at mitigating risk for both the bank and its customers. Established in 1980 as a trust company in Saskatoon, Saskatchewan, VersaBank received its Schedule I Canadian chartered bank license in 2002, a notable milestone in the Canadian financial landscape. This licensure positioned it as the first chartered bank to be granted such authority in nearly two decades, paving the way for its ascent as a leading innovator in digital banking.

Its digital banking model has enabled the bank to capitalize on superior net interest margins while leveraging technology to streamline operations and enhance customer experience. Through strategic acquisitions and partnerships, VersaBank has expanded its reach, including venturing into the US market in 2022 with the acquisition of a single-branch bank in Holdingford, Minnesota. With a commitment to innovation and a focus on meeting the evolving needs of its customers, VersaBank remains a driving force in shaping the future of banking in Canada and beyond.


Key features

  1. Digital Banking Model. VersaBank embraces a forward-thinking digital banking model, leveraging advanced technologies to deliver innovative financial solutions to its customers.

  2. Superior Net Interest Margins. The bank prioritizes profitability by capitalizing on superior net interest margins, a testament to its strategic approach to banking operations.

  3. Schedule I Chartered Bank. As a Schedule I chartered bank, VersaBank holds a distinguished position in the Canadian banking market, regulated by federal authorities to ensure adherence to rigorous standards.

Pros and cons


Canadian Market Presence. Headquartered in London, Ontario, VersaBank maintains a strong presence in the Canadian banking landscape, serving diverse customer segments across the country.

Expansion into US Market. VersaBank's strategic expansion into the US market in 2022 signifies its commitment to growth and diversification, extending its reach beyond Canadian borders.

Innovative Deposit and Lending Solutions. VersaBank offers innovative deposit and lending solutions tailored to meet the evolving needs of its customers, enhancing accessibility and choice in financial services.


Market Competition. VersaBank operates in a highly competitive banking landscape, facing competition from traditional banks as well as emerging fintech companies, which may pose challenges to market share and profitability.

Regulatory Compliance. As a chartered bank, VersaBank must adhere to stringent regulatory requirements imposed by federal authorities, which may necessitate significant investments in compliance and risk management.

Technological Risks. Reliance on digital banking technologies exposes VersaBank to potential cybersecurity threats and technological vulnerabilities, requiring continuous investments in security measures and infrastructure upgrades to mitigate risks.

VersaBank requirements

  1. Creditworthiness. Borrowers must demonstrate sufficient creditworthiness to qualify for financing. This involves having a positive credit history, a stable income, and a manageable debt-to-income ratio.

  2. Financial Stability. VersaBank typically requires borrowers to provide proof of financial stability, such as income statements, tax returns, and bank statements. This helps assess the borrower's ability to repay the loan and manage financial obligations.

  3. Collateral. Depending on the type of financing sought, VersaBank may require borrowers to provide collateral to secure the loan. Collateral could include real estate, equipment, inventory, or other assets that hold value and can be used to mitigate the bank's risk.

  4. Business Plan (for Commercial Borrowers). For commercial borrowers, VersaBank may request a detailed business plan outlining the purpose of the loan, the intended use of funds, revenue projections, and strategies for repayment. A well-developed business plan helps assess the viability of the borrower's business and its ability to generate sufficient cash flow to service the debt.

  5. Legal and Regulatory Compliance. Borrowers must comply with all legal and regulatory requirements related to borrowing, including providing accurate and complete documentation, adhering to lending guidelines, and meeting any specific industry regulations.

Access on the go

In 2020 VersaBank has commenced beta-testing for its newly developed high-volume mortgage software application in collaboration with the Cortel Group, a prominent player in Canada's home and condominium construction sector. Named "Direct Connect," this app aims to streamline and substantially shorten the often protracted finance approval procedure encountered by prospective home buyers during visits to pre-construction sales offices. However, details regarding the official launch of the app are currently unavailable.

VersaBank products

  1. Savings Accounts. VersaBank offers a range of savings accounts, including TFSA (Tax-Free Savings Account) and RRSP (Registered Retirement Savings Plan) options, providing customers with opportunities to save and grow their wealth while enjoying tax advantages.

  2. Guaranteed Investment Certificates (GICs). VersaBank provides GICs with various terms and interest rates, allowing customers to invest their funds securely for fixed periods and earn competitive returns on their investments.

  3. Commercial Real Estate Financing. VersaBank specializes in providing financing solutions for commercial real estate projects, offering flexible terms, competitive rates, and personalized service to developers and investors.

  4. Point of Sale Financing. Through its Receivable Purchase Program, VersaBank facilitates the purchase of loan and lease receivables from finance companies, providing much-needed capital for small businesses and enhancing consumer choice in financing options.

  5. Project Financing. VersaBank offers project financing solutions for public sector, infrastructure, real estate, and development projects, leveraging its expertise and resources to support large-scale initiatives across Canada.

  6. Condominium Financing. VersaBank provides financing options tailored to the unique needs of condominium developments, helping developers secure funding for construction, renovation, and other essential projects.

VersaBank services

  1. Personalized Customer Service. VersaBank prioritizes personalized customer service, offering dedicated support to assist customers with account inquiries, financial planning, and other banking needs.

  2. Risk Management. VersaBank employs robust risk management practices to safeguard the interests of its customers and stakeholders, implementing advanced security measures and compliance protocols to mitigate risks associated with banking operations.

  3. Regulatory Compliance. As a Schedule I chartered bank, VersaBank adheres to strict regulatory requirements mandated by federal authorities, ensuring compliance with banking laws and regulations to maintain trust and transparency in its operations.

  4. Investment Advisory Services. VersaBank provides investment advisory services to assist customers in making informed financial decisions, offering expert guidance on savings, investment strategies, and wealth management solutions tailored to individual needs and goals.

Which associations does VersaBank belong to?

  1. Canada Deposit Insurance Corporation (CDIC). VersaBank is a member of the CDIC, which provides deposit insurance to protect eligible deposits held at member institutions in case of bank failure.

  2. Canada Mortgage and Housing Corporation (CMHC). As a member of the CMHC, VersaBank participates in programs and initiatives aimed at supporting affordable housing and promoting a stable and sustainable housing market in Canada.

VersaBank reliability

VersaBank maintains a reputation for reliability within the Canadian banking sector, bolstered by its adherence to stringent regulatory standards, robust risk management practices, and commitment to customer service. As a Schedule I chartered bank, VersaBank operates under the oversight of federal regulatory authorities, ensuring compliance with established banking laws and regulations. The bank's emphasis on risk mitigation, coupled with its investment in advanced security measures and technology infrastructure, underscores its dedication to safeguarding the interests of its customers and stakeholders. With a track record of stability and resilience, VersaBank continues to instill confidence among its clientele, positioning itself as a trusted financial institution in the Canadian market.

Editorial opinion

VersaBank obtains all of its deposits and provides the majority of its loans and leases electronically, with innovative deposit and lending solutions for financial intermediaries that allow them to excel in their core businesses. However, challenges may arise in the fiercely competitive banking industry, particularly in terms of customer acquisition and retention, regulatory compliance, and technological risks. As VersaBank continues to navigate these complexities, its success will hinge on its ability to effectively balance innovation with risk management while delivering value to its customers and shareholders.

Additional resources

  • VersaBank Customer Reviews



Is VersaBank a good bank?

Assessing whether VersaBank is a "good" bank depends on individual needs, preferences, and experiences. VersaBank has established itself as a reputable financial institution within the Canadian banking sector, offering innovative digital banking solutions, competitive products, and personalized customer service. Its adherence to regulatory standards, commitment to risk management, and track record of stability contribute to its overall reliability. However, like any bank, VersaBank may have strengths and weaknesses that vary depending on factors such as customer service satisfaction, product offerings, and accessibility. Prospective customers should conduct thorough research and consider their specific banking requirements before determining if VersaBank aligns with their financial goals.

Is VersaBank hard to get approved for?

VersaBank, like other financial institutions, evaluates loan and credit applications based on factors such as creditworthiness, financial stability, and collateral. While VersaBank strives to provide access to financing solutions for a wide range of customers, the approval process may vary depending on individual circumstances and the specific product or service being sought. Factors such as credit history, income level, debt-to-income ratio, and the purpose of the loan may influence the likelihood of approval. Prospective borrowers are encouraged to discuss their financial situation with VersaBank representatives to understand the eligibility criteria and determine their likelihood of approval.

Is VersaBank covered by CDIC?

Yes, VersaBank is covered by the Canada Deposit Insurance Corporation (CDIC). As a member of CDIC, VersaBank provides deposit insurance coverage to eligible deposits held at the bank, protecting customers' funds in the event of bank failure or insolvency. CDIC coverage applies to a wide range of deposit accounts, including savings accounts, chequing accounts, and guaranteed investment certificates (GICs), up to specified limits. By being a member of CDIC, VersaBank offers customers peace of mind knowing that their deposits are protected by a government-backed deposit insurance program, enhancing confidence in the safety.

What was the old name of VersaBank?

The old name of VersaBank was Pacific & Western Bank of Canada. Founded in 1980 as a trust company in Saskatoon, Saskatchewan, it later moved its headquarters to London, Ontario. In May 2016, the bank rebranded as VersaBank to better reflect its national and virtual focus, as "Versa" is the prefix for versatile. This change marked a strategic shift towards embracing digital banking and innovative financial solutions to meet the evolving needs of its customers.

Company documents

Code of Conduct

Our success is based on our initial vision for a new kind of financial institution: a “branchless” commercial bank that makes full use of innovative technologies.

© VersaBank
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