No. The KOHO card and the EQ Bank Card are both prepaid Mastercards, not credit cards. You load your own money onto them, there’s no credit limit, and using them doesn’t build your credit history. Here’s how each card works, what KOHO and EQ Bank offer if you do want credit, and when a real credit card makes more sense.
KOHO vs EQ Bank Card vs a credit card
| KOHO card | EQ Bank Card | Credit card | |
|---|---|---|---|
| Type | Prepaid Mastercard | Prepaid Mastercard | Credit card |
| Whose money you spend | Yours, loaded onto the card | Yours, moved from your EQ Bank account | The bank’s, until you pay your bill |
| Credit limit | None | None | Yes |
| Builds credit history | No (unless you add Credit Building) | No | Yes, with on-time payments |
| Monthly fee | $0 to $14.75, by plan | $0 | $0 on no-fee cards; more on premium cards |
| Cash back | Up to 2% on groceries, transport, food and drinks, by plan | 0.5% on purchases | Varies by card |
| Foreign transaction fee | 1.5% on Core, none on Extra and Everything | None | Usually 2.5% |
| Interest | Pays you 2% to 3.5% on your balance, by plan | Pays you the Personal Account rate | Charges about 20% or more if you carry a balance |
Is KOHO a credit card?
No. KOHO calls its card a reloadable prepaid Mastercard that is “neither a traditional debit card nor a traditional credit card.” The card is issued by KOHO Financial, and the money you load is held by Peoples Trust Company, a federally regulated financial institution. There’s no credit limit to borrow against, and KOHO says prepaid cards on their own don’t build credit.
KOHO doesn’t offer a traditional credit card. What it does have are separate credit products you can add to your account:
| KOHO product | What it is | Cost | Reports to credit bureaus? |
|---|---|---|---|
| Credit Building | A secured line of credit with no interest that you pay into each month | $10 a month (30% off on Extra, 50% off on Everything) | Yes, Equifax and TransUnion |
| Line of Credit | $1,000 to $15,000, lent by Fora Credit | 19.9% to 34.9% interest | Not stated on KOHO’s page |
| Cover (cash advance) | Covers purchases when your balance hits $0, up to $500 | A subscription fee starting at $2, 0% interest | Only if unpaid for over 3 months, at KOHO’s discretion |
KOHO plans
| Core | Extra | Everything | |
|---|---|---|---|
| Monthly fee | $0 | $12 | $14.75 |
| Cash back on groceries, transport, food and drinks | 1% | 1.5% | 2% |
| Cash back on everything else | 0% | 0.25% | 0.5% |
| Interest on your balance | 2% | 2.5% | 3.5% |
| Foreign transaction fee | 1.5% | None | None |
Rates are from KOHO’s plans page. KOHO’s pages don’t spell out the Core plan’s foreign transaction fee directly; its travel page says the 1.5% fee doesn’t apply on Extra or Everything.
Does EQ Bank have a credit card?
Not yet. The EQ Bank Card is a prepaid Mastercard issued by Equitable Bank (EQ Bank is its trade name). Its card agreement says plainly: it “is not a credit card or a debit card,” and using it won’t improve your credit rating. You move money onto it from your EQ Bank Personal or Joint Account.
- No monthly fee and 0.5% cash back on purchases (not on ATM withdrawals or fees).
- No foreign transaction fee, though Mastercard’s exchange rate applies.
- ATM fees refunded when other Canadian ATM owners charge you. Fees abroad aren’t refunded.
- Earns interest at the same rate as the EQ Bank Personal Account.
- Limits: up to $10,000 balance, $10,000 a day in purchases and $500 a day at ATMs.
- Available in Quebec as the Carte Banque EQ since November 2023.
EQ Bank says it plans to offer a credit card “in the future.” Its parent company, EQB, completed its purchase of PC Financial on July 1, 2026. For now the PC Mastercard is still offered through PC Financial, and EQB says it will move to the EQ Bank brand over time. See our PC Optimum points guide for what PC Mastercard points are worth, and our PC Financial Mastercard comparison to pick between the four cards.
Prepaid, debit or credit: what’s the difference?
| Prepaid card | Debit card | Credit card | |
|---|---|---|---|
| Money comes from | Money you load onto the card | Your bank account | A loan from the card issuer |
| Credit check to get one | No | No | Yes |
| Builds credit history | No | No | Yes |
| Interest charged | No | No | Only if you don’t pay in full |
With a credit card, paying your full statement balance each month means you pay no interest on purchases. See statement balance vs current balance for how that works.
Ready for a real credit card with no fee?
See the no-fee shortlist →When a real credit card makes more sense
| You want to… | Better choice | Why |
|---|---|---|
| Build a credit history | A no-fee credit card, paid in full monthly | On-time payments are reported to credit bureaus |
| Earn more rewards | A credit card | Many no-fee cards earn 2% to 4% in their best category |
| Avoid debt completely | KOHO or EQ Bank Card | You can only spend what you’ve loaded |
| Spend in other currencies | EQ Bank Card or KOHO Extra/Everything | No foreign transaction fee, unlike most credit cards |
For no-fee credit cards that suit beginners, see our best no-fee credit cards and our Simplii credit card review.
Frequently asked questions
Is KOHO a credit card?
No. The KOHO card is a reloadable prepaid Mastercard. You spend money you’ve loaded onto it, there’s no credit limit, and it doesn’t build credit on its own.
Does KOHO build credit?
The regular KOHO card doesn’t. KOHO’s separate Credit Building feature does: it costs $10 a month (less on paid plans) and reports your payments to Equifax and TransUnion.
Does KOHO have a credit card?
No. KOHO offers a prepaid Mastercard, plus separate credit products: Credit Building, a Line of Credit from $1,000 to $15,000, and Cover cash advances up to $500.
Is the EQ Bank card a debit or credit card?
Neither. EQ Bank’s card agreement says the EQ Bank Card is a prepaid card, not a credit card or a debit card. You move money onto it from your EQ Bank account.
Does EQ Bank have a credit card?
Not yet. EQ Bank says it plans to offer one in the future. Its parent company, EQB, bought PC Financial in July 2026, and the PC Mastercard is still offered through PC Financial for now.
Does the EQ Bank card have foreign transaction fees?
No. The EQ Bank Card charges no foreign transaction fee, though Mastercard’s exchange rate applies.
Can I use a prepaid card to rent a car or book a hotel?
Often yes, but the merchant may hold more than the final amount for days. EQ Bank’s terms say holds can be up to 30% more and last up to 30 days, so keep enough balance to cover them.
Related reading
- Best no-fee credit cards: good first credit cards
- Simplii credit card review: 4% on restaurants, no fee
- Statement balance vs current balance: how to avoid interest
- All credit card reviews: reviews and best-card shortlists
- Home Trust credit card review: no foreign transaction fee
- Credit utilization calculator: keep your balance low as you build credit
How we checked: KOHO details come from KOHO’s own card, plans, Credit Building, Line of Credit, Cover and travel pages. EQ Bank Card details come from EQ Bank’s card page, fees and features page and card agreement, and the PC Financial details from EQ Bank’s PC Financial page and EQB’s July 2026 news release. Plans and rates change, so check each company’s site before you sign up. This page is general information, not financial advice. Sources: KOHO: Is KOHO debit or credit?; KOHO prepaid Mastercard; What is KOHO; KOHO Credit Building; KOHO plans; KOHO travel; KOHO Line of Credit; KOHO Cover; EQ Bank Card agreement; EQ Bank Card; EQ Bank Card fees and features; EQ Bank and PC Financial; EQB completes PC Financial acquisition; EQ Bank Card in Quebec. Last checked October 2026.