KOHO Review: Get an interest-free cash advance of up to $250

KOHO offers cash advances of up to $250 with no credit check and no interest. However, you’ll need to pay for the cash advance feature – known as Cover – on top of a monthly subscription fee. Find out if the KOHO app is right for you.

KOHO is a fintech company founded in Toronto that offers a range of powerful banking features from your phone.

With three paid tiers of full-service mobile banking, KOHO’s most popular feature is Cover, a cash advance with a $250 limit to help you avoid overdraft fees while waiting for your next paycheck to land. With zero interest and no credit check, KOHO is a popular option used by over 1 million Canadians though there may be hoops to jump through and fees to consider.

Is KOHO a better way to manage your money?

Read on for our in-depth KOHO app review.

Pros	Cons
Fast and easy to apply	Monthly KOHO Cover fee
0% interest and no late fees	Monthly KOHO plan fee (waivable)
No credit check to get started	No effect on credit score
Earn cashback rewards

Is KOHO legit?

Yes, KOHO is a legit app used by over one million Canadians.

Toronto-based KOHO is a popular and highly downloaded app in the Canadian cash advance market. The app has a 4.8-star rating in the Apple Store from 78.5k ratings.

Offering a range of banking features, any money you deposit with KOHO is stored at Peoples Trust which is a federally regulated bank. This means your money is CDIC-insured and 100% safe.

What features come with the KOHO app?

Cover: Borrow up to $250 in minutes with no interest or late fees. Get access to extra cash right away through your KOHO debit card, or withdraw it from an ATM.
KOHO’s prepaid Mastercard®: Earn up to 5% cash back on groceries, dining and transportation. Unlike other prepaid cards, your deposit earns interest, too – currently a healthy 5%!
Credit Building Accounts: KOHO offers two ways to build credit – using your own money as collateral or a KOHO line of credit. KOHO reports on-time payments to Equifax and users see their credit scores go up by 22 points on average after 3 months.[efn_note]Credit scores are based on complex models involving a variety of factors. Consistent on-time payments help improve scores. Missed or late payments may cause credit scores to decrease. Outcomes may vary among users.[/efn_note]
High-Interest Savings Account: KOHO lets you earn up to 5% interest on the cash you deposit in your account (no minimum balance), depending on your subscription plan. In addition, the first $100K is eligible for CDIC protection.

Get a no-interest cash advance for up to $250 >>> Check out KOHO 👈

How does a KOHO cash advance work?

KOHO has three available plans:

Essential ($0/month*)
Extra ($9/month)
Everything ($19/month)

*$0/month subscription available with recurring deposits or monthly contributions of at least. $1,000

KOHO’s cash advance – known as Cover – generally starts at $50. You can increase your advance up to $250 as you build a track record of on-time repayments and app usage.

The Cover feature is NOT available on brand new accounts, so if you need funds ASAP, you may want to compare an app like Bree ($350 cash advance limit).

There is no application to access Cover and KOHO isn’t super transparent about how to qualify. There is no credit check though you’ll need to have an active membership.

Once you’re signed up, you can increase your chances of becoming eligible by:

Adding funds to your KOHO account
Keeping a balance and spending with KOHO
Setting up a direct deposit to your KOHO account
Using other KOHO services like credit building

Once you’re eligible, you’ll get an invite from KOHO to subscribe to Cover.

To maintain access to Cover cash advances, you’ll need to pay the Cover subscription fee starting at $2 per month. This fee is payable on top of any monthly membership fees and goes up if you decide to unlock higher limits for your cash advance amounts.

Once you’re eligible, KOHO will cover you up to the eligible amount you see in-app. This is delivered as a one-time sum to your total balance immediately upon enrolling. You can use your funds for individual purchases and draw down your overdraft amount, use it all at once, or even set up automatic payments.

Get a no-interest cash advance for up to $250 >>> Check out KOHO 👈

KOHO Feature	Details
Loan Amounts	$20 – $250
Loan Terms	Any time
Late Payments	Pay back your outstanding balance any time
Serviced provinces	All Canadian provinces and territories

Am I eligible for a KOHO advance?

There is no credit check to qualify for a KOHO cash advance. You will need to meet the following requirements:

18 years of age (or the age of majority in your province)
Canadian legal resident

There’s no credit check (though KOHO will pull a soft credit check that does not affect your credit score). You won’t need to provide proof of a recurring source of income either (though this will help).

KOHO claims everyone is eligible for a Cover cash advance. All users who sign up for Cover get instant access to funds.

What fees does KOHO charge?

There are two KOHO fees you’ll need to be aware of:

Your monthly KOHO subscription fee ($0 to $19 depending on your selection)
Your monthly KOHO Cover fee starting at $2 (this is paid separate to your monthly subscription fee)

KOHO says the exact Cover fee is calculated based on your cash advance amount “among other factors.” On the plus side, your Cover fee also provides access to KOHO’s certified, in-house financial coach.

There are no interest charges on your cash advance. There’s no late fee for missing your Cover repayments though KOHO states this will result in a cancellation of your subscription.

Get a no-interest cash advance for up to $250 >>> Check out KOHO 👈

💡 Eligibility for Cover may require you to use KOHO’s other features, like credit-building. These come with their own monthly subscription fees so if you want to get a cash advance, you’ll be paying at least $6/month in subscriptions, which can be steep considering the initial $50 limit. Make sure you’re planning to use the app’s services enough to justify the cost.

Looking for alternatives? Check out these apps like KOHO.