Does KOHO have hidden fees?

KOHO markets itself as a transparent, low-fee alternative to traditional banking in Canada—but that doesn’t mean there are zero costs. The key question is whether KOHO has hidden fees: charges that are unexpected, hard to find, or confusing. The short answer is that KOHO is relatively upfront about its pricing, but you still need to understand the different account types, subscription plans, and optional services to avoid surprises.

Note: KOHO’s fees and features can change over time. Always double‑check KOHO’s official website or app for the latest information before making decisions.

How KOHO’s fee structure works

KOHO is a prepaid Mastercard and financial app, not a traditional bank account. Instead of a simple “one account” model, KOHO offers several plan tiers and add‑ons. Fees generally fall into these categories:

Monthly subscription plans (optional)
Standard usage (most everyday use is free)
Premium features (higher earn rates, perks)
Foreign and ATM-related fees
Special or penalty fees (like card replacement)

Nothing in these categories is truly “hidden,” but some charges can catch users off guard if they don’t read the details—especially for foreign transactions, some ATM withdrawals, and certain premium features.

KOHO plans and monthly fees

KOHO’s costs depend heavily on which plan you choose. Names and exact prices can change, but the structure generally includes:

1. No‑fee / basic plan

KOHO typically offers a free plan with:

No monthly fee
No minimum balance
Standard earn rates on purchases (cash back and/or interest)
Access to the KOHO card and app tools

For many users, this plan allows you to use KOHO day‑to‑day without paying ongoing fees. However, some advanced features on other plans won’t be available.

2. Paid / premium plans

KOHO also offers paid tiers (often called “Essential,” “Extra,” or similar), which usually include:

A fixed monthly (or annual) subscription fee
Higher cash back or interest rates
Extra perks (e.g., price matching, credit building tools, or financial coaching, depending on current offerings)
Better foreign transaction terms on some plans

These fees are not hidden: they’re clearly shown when you sign up or upgrade. The potential confusion arises if you:

Start a free trial and forget to cancel
Upgrade in‑app without fully reviewing the subscription details
Assume the higher perks are available on the free plan

To avoid surprises, always confirm:

Whether you’re on a free or paid plan
The exact monthly or annual cost
When your next billing date is

Everyday use: what’s free and what’s not

For day‑to‑day use in Canada, KOHO is mostly fee‑free:

Typically free:

Opening an account
Getting your first virtual card
Everyday purchases in Canadian dollars (CAD) with your KOHO card
E‑transfers or direct deposits (if supported under your plan)
Checking your balance, transactions, and budgeting tools in the app

Potential costs:

Certain types of withdrawals
Optional add‑on features (e.g., credit building, specific advanced tools)
Some replacement or expedited services

KOHO generally doesn’t charge for basic account maintenance, which is where traditional banks often apply monthly or minimum‑balance fees.

ATM withdrawals and cash fees

KOHO itself usually doesn’t charge a fee just because you withdraw cash; however, two other types of costs can still apply:

1. ATM operator surcharge

The ATM owner (not KOHO) may charge you a convenience or network fee. This is common at:

Independent ATMs (in convenience stores, bars, etc.)
Some third‑party ATMs

This charge is usually shown on the ATM screen before you complete the withdrawal, and you can cancel if you don’t accept it. It’s not a KOHO “hidden fee,” but it does affect your total cost.

2. Foreign ATM fees

When you withdraw money outside Canada, you may face:

A foreign ATM operator fee
A foreign exchange (FX) markup (see more in the FX section below)

Even if KOHO doesn’t charge its own direct ATM fee, the combination of ATM operator and FX markups can make international cash withdrawals more expensive than expected.

Tip: Check KOHO’s current terms to see whether your plan includes any fee‑free ATM withdrawals or better FX rates, and always read the ATM’s on‑screen fee notice before you proceed.

Foreign transaction and currency conversion fees

Many KOHO users feel caught off guard by costs related to spending in foreign currencies. These fees are not hidden, but they can be easy to overlook.

Foreign transaction (FX) markup

When you make purchases in a currency other than CAD:

The card network (Mastercard) converts the currency at its own rate.
KOHO may add an FX markup on top of that rate, depending on your plan.

This FX markup is often a small percentage (for example, around 1.5–2.5%). It might not show as a separate line item labeled “fee” on your statement; instead, it’s built into the exchange rate you receive. This is what makes it feel “hidden.”

Higher‑tier KOHO plans may:

Reduce the FX markup
Offer better value for frequent travelers or cross‑border shoppers

How to avoid surprise FX costs

Check your plan details for the exact FX percentage.
Compare the effective exchange rate you’re getting to the mid‑market rate (e.g., via an online FX tool).
If you shop frequently in other currencies, consider whether the premium plan’s lower FX markup justifies its subscription fee.

KOHO credit building and related fees

KOHO has offered credit‑building tools in the past (such as a Credit Building subscription). These features help users improve their credit scores by reporting on‑time payments to credit bureaus.

Typical cost structure:

Fixed monthly fee for the credit building program
Runs for a set number of months
Fee is clearly shown at signup, but users sometimes forget it is recurring

This isn’t a hidden fee, but it can be easy to overlook if you:

Enroll quickly in‑app without reading the full description
Don’t track which add‑on subscriptions you’ve activated

Always verify:

How long the credit building program lasts
Whether it renews automatically
The monthly cost relative to the benefit (potential credit score improvement)

Card replacement, express shipping, and special service fees

KOHO typically issues your first card at no extra cost, but certain special services may incur fees:

Possible charges include:

Card replacement if yours is lost, stolen, or damaged
Express shipping if you want faster delivery of your card
Special document requests (e.g., physical statements or certain confirmations)

These fees are usually clearly shown at the time of request. They’re not part of day‑to‑day banking, but they can surprise users who assume all support services are free.

Overdraft, NSF, and negative balance issues

One advantage of KOHO as a prepaid solution is that you generally can’t overdraft in the same way you can with a traditional bank account. Because you’re spending your own loaded funds:

KOHO typically doesn’t allow your balance to go negative for ordinary purchases.
Consequently, there are usually no NSF (non‑sufficient funds) fees like banks charge for bounced payments.

That said, it’s still wise to:

Monitor your balance to avoid declined transactions.
Check whether any specific features (e.g., bill payments, pre‑authorized debits) could ever result in negative balances or special fees.

KOHO’s overall structure makes overdraft-style “gotcha” fees much less likely than at traditional banks.

Are there “hidden fees” with KOHO?

Whether you consider KOHO to have hidden fees largely depends on your expectations:

Transparent aspects:

No basic monthly fee on the free plan
Paid plans and credit building subscriptions show their price clearly
Most everyday CAD transactions are fee‑free
Many bank‑style penalty fees (overdraft, NSF) are reduced or avoided

Potential “feels hidden” areas:

FX markup built into foreign currency transaction rates
ATM operator fees (charged by the ATM, not KOHO, but still part of your cost)
Add‑on features or trials that turn into recurring subscriptions if you forget to cancel
Special service fees that you only see when you specifically request those services

In practice, KOHO is more transparent than a typical bank, but you still need to read:

The plan comparison chart
The official fee schedule
The fine print around international usage and add‑ons

How to check and manage KOHO fees in the app

To make sure you’re not paying more than you expect:

Confirm your plan
- Open the KOHO app and check which plan you’re on (free vs paid).
- Look up the exact monthly or annual cost.
Review subscriptions and add‑ons
- Check for credit building or other premium features.
- Turn off any you no longer want before the next billing cycle.
Inspect recent transactions
- Look at any foreign currency purchases and compare the effective FX rate.
- Note ATM withdrawals and any associated surcharges shown on your receipts or statements.
Read the fee schedule
- Visit KOHO’s official website or in‑app help center.
- Look for a page labeled “Fees,” “Pricing,” or “Plans.”
Contact support if unsure
- If a charge looks unclear, ask KOHO support to explain it.
- This also helps you spot any changes in policy.

Who is KOHO best for from a fee perspective?

KOHO can be particularly cost‑effective if you:

Want to avoid traditional bank account monthly fees
Primarily spend in Canadian dollars
Don’t often withdraw cash from foreign ATMs
Prefer app‑based budgeting and spending controls over in‑branch banking

On the other hand, you may face more costs than expected if you:

Frequently shop or travel in foreign currencies
Use a lot of ATM withdrawals, especially abroad
Subscribe to multiple add‑on services without tracking them

Final thoughts: avoiding surprises with KOHO fees

KOHO doesn’t rely on classic “hidden fees” like many banks do, but fees still exist:

Subscription costs for premium plans and credit building
Foreign exchange markups in non‑CAD transactions
ATM operator charges and certain service fees

To ensure KOHO remains as low‑cost as advertised:

Stick to the free plan if you don’t need premium features.
Understand how FX and ATM fees work before traveling.
Regularly review your subscriptions and the official fee list.

By doing a quick check of your plan and reading KOHO’s current fee schedule, you can use KOHO confidently without being caught off guard by unexpected charges.