3 Canadian Bank Stocks Offering Decades and Decades of Dividends

The leading Canadian bank stocks have long been synonymous with top dividend-paying companies, thanks to their decades and decades of consistent dividend payments. Further, many of the country’s largest financial institutions have been paying dividends for more than a century. This remarkable track record reflects their solid earnings power and commitment to rewarding shareholders.

Their ability to maintain dividends through recessions, credit cycles, and market volatility stems from strong fundamentals. In addition, their diversified business models, spanning retail banking, wealth management, and capital markets, provide multiple revenue streams that help mitigate risk across different economic environments. Moreover, their low and sustainable payout ratios, adherence to regulatory frameworks, and solid balance sheet further enhance the stability of their payouts.

Against this background, here are three Canadian bank stocks that have paid dividends for decades.

Canadian bank stock #1: Bank of Montreal

Bank of Montreal (TSX:BMO) is a top stock to add to your passive-income portfolio. The financial services giant has paid dividends for 197 years, the longest among Canadian companies. In addition, BMO has increased its dividend at a compound annual growth rate (CAGR) of 5.7% in the last 15 years.

BMO’s payouts are supported by its diversified business model, a resilient deposit base, and consistently strong operating performance. Each of the bank’s major segments is contributing positively, but its wealth management arm remains particularly noteworthy. As the highest return-on-equity business within the organization, it continues to benefit from rising client asset levels and favourable market conditions, strengthening the bank’s earnings power and dividend reliability. At the same time, BMO’s improving efficiency ratio reflects disciplined cost management, which drives profitability and supports ongoing shareholder distributions.

Looking ahead, the bank is focused on optimizing its capital position while maintaining a rigorous approach to risk management. Its digital-first strategy, enhanced by investments in artificial intelligence (AI), positions BMO to modernize operations, drive client engagement, and add new avenues for growth. These strategic initiatives, combined with the bank’s solid operating metrics, provide a solid base for consistent dividend payments over the next few decades.

Canadian bank stock #2: Scotiabank

Bank of Nova Scotia (TSX:BNS), widely known as Scotiabank, is one of Canada’s most reliable income-generating stocks. Its dividend history is among the longest and most stable in the country, stretching back to its first declared payout in July 1833. Since that time, the bank has maintained its distributions. Moreover, BMO’s dividend has grown at a CAGR of 5% over the past decade.

In 2025, Scotiabank paid shareholders $4.32 per share in dividends, representing a 1.9% increase over 2024. Further, it targets a payout ratio of 40-50%.

Scotiabank’s payouts are supported by a diversified revenue mix and ongoing momentum in its core operating segments. Loan growth, rising deposits, and lower funding costs remain important contributors to earnings stability. The bank has also benefited from expanding fee-based revenue within the Global Wealth Management segment. Also, strength in underwriting and advisory activities further supports revenue generation.

Looking ahead, Scotiabank’s expanding wealth management operations and its global banking and markets platform provide a solid backdrop for future growth. Continued strength in lending and deposits, along with disciplined expense management and efficiency initiatives, should cushion earnings and dividend payouts.

Canadian bank stock #3: Toronto-Dominion Bank

Toronto-Dominion Bank (TSX:TD) is another top dividend-paying stock. It is known for its exceptional track record of dividend payments and growth. This leading banking stock has consistently paid dividends for 169 years. Further, its dividend grew at a CAGR of 8% since 2016. This reflects the durability of its earnings and its commitment to rewarding its investors with higher cash returns.

TD’s diversified revenue mix and steady expansion of its loan and deposit base position the bank for continued earnings growth. Management’s focus on operational efficiency and a resilient balance sheet provides a solid foundation for profitability. Further, strategic acquisitions are also expected to play a meaningful role in its future growth, broadening TD’s competitive footprint and supporting incremental income that can further strengthen its dividend profile.

With its solid earnings base and a target payout ratio of 40-50%, TD’s dividend appears well covered and sustainable over the long term.

The post 3 Canadian Bank Stocks Offering Decades and Decades of Dividends appeared first on The Motley Fool Canada.

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More reading

• 2 Recession-Resistant Dividend Stocks Perfect for Life-Long TFSA Income
• Outlook for Bank of Nova Scotia Stock in 2026
• 2 Canadian Bank Stocks to Buy at a Discount
• Where Will TD Stock Be in 5 Years?
• A Market-Proof Dividend Stock for Lasting TFSA Income

Fool contributor Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool recommends Bank Of Nova Scotia. The Motley Fool has a disclosure policy.