The ADS (Accelerator Driven subcritical System) driver linac in China is designed to run in CW (Continuous Wave) mode with 10 mA designed beam current. In this scenario, the beam-induced parasitic modes in the ADS driver linac may make the beam unstable or deteriorate the beam performance. To evaluate the parasitic mode effect on the beam dynamics systematically, simulation studies using the ROOT-based numerical code SMD have been conducted. The longitudinal beam instability induced by the HOMs (High Order Modes) and SOMs (Same Order Modes) has little effect on the longitudinal beam performance for the current ADS driver linac design based on the 10 MeV/325 MHz injector I from previous studies. Here the transverse parasitic mode (i.e., dipole HOM) effect on the transverse beam performance at the ADS driver linac exit is investigated. To more reasonably quantify the dipole mode effect, the multi-bunch effective emittance is introduced in this paper.