Tangerine Bank (trading under Tangerine) functions as a Canadian direct banking entity which belongs to Scotiabank. Tangerine Bank provides accounts with free chequing and savings features as well as GICs, mortgages, and mutual funds (through a subsidiary). Different savings and investment products qualify for registration under three main Canadian tax-advantaged accounts, including Tax-Free Savings Account (TFSA), Registered Retirement Savings Plan (RRSP) and Registered Retirement Income Fund (RRIF).
ING Group established ING Bank of Canada under the name ING Direct during April 1997. Scotiabank purchased Tangerine in November 2012. The bank unveiled its new name along with Tangerine branding in November 2013 before launching the Tangerine brand in April 2014. Tangerine operates as a standalone entity under Scotiabank ownership while maintaining its Institution Number 614 and having all accounts linked through transit number 00152.
History
The origin of Tangerine began in April 1997 when ING Bank of Canada launched its operations under the ING Direct brand for telephone-based savings account services. The establishment of ING Group’s direct banking business model began with a Canadian test market that aimed to provide better rates to customers through avoiding branch operation expenses. Dutch actor Frederik de Groot became the spokesperson for ING Direct Canada television commercials. The bank expanded its offerings by adding mortgages along with RRSPs, TFSAs, GICs and mutual funds and no-fee chequing accounts, while it established online banking services. The customer base of ING Direct Canada reached 1.8 million people in November 2013 while the workforce consisted of almost 1,000 employees, and the bank managed close to $40 billion in total assets.
Acquisition by Scotiabank and name change
Scotiabank finalized the ING Direct Canada acquisition from ING Group through a CAD$3.1 billion transaction which started as an August 2012 press announcement before the completion in November 2012. Under the acquisition agreement, the bank needed to change its identity from ING Direct before May 2014.
The company ING Direct Canada declared on November 5, 2013 that it would transform into Tangerine before 2014 began. The bank declared that Tangerine emerged from a year-long research phase which included qualitative and quantitative data collection from more than 10,000 participants. The ‘Forward Banking’ tagline Tangerine maintains remains unchanged from the period that ING Direct Canada applied it starting from 2012. The original tagline ‘Save Your Money’ was used by ING Direct Canada before 2012. Waterstone Human Capital selected Tangerine to receive recognition as one of Canada’s 10 Most Admired Corporate Cultures of 2015 on November 19, 2015.
Tangerine reached an agreement with Bike Share Toronto for a five-year sponsorship during May 2023. The system implementation will receive funding from Tangerine Bank customer rewards associated with its four-year growth plan.
Products and services
Tangerine provides all services which ING Direct Canada offered, including saving accounts and checking accounts, and mutual funds, as well as mortgage products. Tangerine markets its mutual funds under the name ‘portfolios’ which employ indexing techniques by following weighted combinations of three to four equity or bond market indices.
The Tangerine Mastercard cash-back credit card became available in 2016, enabling users to receive up to 2% cash back on their selected purchases.
The Tangerine banking app provides service through iOS, Android, BlackBerry and Windows Mobile platforms. Support for Wear OS and Apple Watch existed before Tangerine discontinued these services on February 29, 2020. Through its app Tangerine customers access real-time account data and transactions in addition to making transfers and locating ATMs and depositing cheques through photo capture.
Tangerine customers gained free access to Scotiabank ABMs along with ABMs operated by other Global ATM Alliance banks starting in June 2014. On September 28, 2014, Tangerine Bank chose to exit the Exchange network, which used to offer no-fee ABMs. Between February 2020 and the present time, Tangerine maintained a small selection of branded automated teller machines.
Locations
Tangerine Bank operated a downtown Toronto Yonge Street branch as a cafe establishment until 2020 when it permanently closed its doors.
The Canadian division of ING Direct operated a limited network of ING Direct Cafes to provide personal assistance instead of traditional banking branches. Tangerine Bank launched its first Canadian café in Toronto in 1997 and subsequently established three more in Vancouver, Montreal, Calgary and a second Toronto location.
Scotiabank maintained operation of these cafés, which became known as Tangerine outlets after the acquisition. The bank occasionally established short-term temporary locations to enhance product promotion.
The COVID-19 pandemic led Tangerine to maintain all locations closed until the bank permanently shut down its entire café chain except for its Toronto North site, which remained in its head office. The bank confirmed through its 2023 public accountability statement released in March 2024 that the Toronto North café joined the other facilities in permanent closure.
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