Sending money to your loved ones doesn’t have to be frustrating or time-consuming. With a little research, you can find a quick and secure payment transfer method.
Here is a list of five such convenient ways to get you started:
- Online Money Transfer
Online money transfer services, such as Wise and PayPal, have transformed the way people send money abroad. These services offer a cheaper, convenient, and quicker transfer experience. Many of these online services charge low transfer fees and exchange rates compared to traditional banks.
When it comes to convenience, online transfer is the best way to send money to Canada. Whether it’s for a special occasion or a family emergency, you can send money to your loved ones with just one tap.
- Wire Transfer
Wire transfer is one of the most commonly used methods by overseas Canadians. It consists of a network of banks and transfer service agencies that are digitally connected. Funds are sent between banks or through a non-bank service such as Western Union.
There is no need for physical cash as the transfer is conducted electronically. As the sender, you have to enter the recipient’s name, contact number, and bank account information. Through a secure system, the recipient’s bank receives the information and credits their account. Wire transfers are usually delivered within 2 to 5 business days.
- International Money Order
Money orders are another budget-friendly and secure way to send money to Canada. They are prepaid, which means the recipient is sure to receive the funds. You can purchase a money order from a bank, credit union, or even a supermarket. Fill out the money order by entering the recipient’s contact and bank information. The recipient can collect the payment from a cheque location.
Money orders are safer than sending cash because no one other than your loved one can claim the funds. There is usually a transfer limit of $1000. The only drawback with this method is that it takes more time than electronic transfers.
- Bank Drafts
If you’re sending a large payment, such as a down payment for a home, bank drafts are the safest option. There is no maximum limit. Bank drafts can only be obtained at a bank. As the issuer, the payment is backed by your bank.
On the flip side, acquiring and filling out a bank draft is time-consuming for many overseas Canadians. Your bank may charge you a fee higher than money orders or online transfer services.
- Peer-to-Peer Transfer
As the name indicates, peer-to-peer money transfer apps create a direct link between the sender and the receiver. The bank doesn’t act as an intermediary, which might lead to lower fees and exchange rates. Famous P2P services include Cash App, Venmo, and Zelle.
There is no need for you or your family to deal with physical cash. Most P2P services have dedicated applications, which means you can send money with your mobile phone anytime. P2P platforms are excellent for sending small amounts of money to your loved ones in Canada.
