In Canada banks are referred to as tier 1 and tier 2. What are the differences between them? What services are they allowed to offer and not offer? Are all covered by the CDIC?
The "Tier 1" banks in Canada are much like the "Original Six" for the NHL - they were created a long, long time ago, and the definition will (probably) never change :)
Specifically, they are:
- Royal Bank (RBC)
- Toronto-Dominon (TD)
- Bank of Nova Scotia (BNS)
- Bank of Montreal (BMO)
- Canadian Imperial Bank of Commerce (CIBC)
"Tier 2" is everyone else There are some more well-known ones like ING, National Bank, and HSBC.
They are all covered by the CDIC (except for credit unions / caisses populaires). For some reason the fin.gc.ca site is down right now so I'll update this post more tomorrow.
[Update]: Wow they are having issues; search page is completely broken now.