money transfer

Transferwise Canada Review 2021

Before the establishment of modern money transfer solution services, international money transfer was an expensive, complicated, and time-consuming process. With the advent and influx of several money transfer services, you can transfer funds from any remote location to another country within a few minutes.

The challenge associated with the majority of these services, however, is the cost and reliability issues. Then comes a global fintech company, which is known as Transferwise. Transferwise opened a new way for Canadian businesses and freelancers to manage their money globally.

Here’s a review of Transferwise Canada’s services and functionality.

What is Transferwise?

Transferwise is an online fintech startup and an international money transfer service that makes it easy for people to send and access money across borders in a seamless, most affordable, and transparent way.

An Overview of Transferwise

COMPANYTransferwise Canada Inc.
LANGUAGEMultilingual
WEBSITEhttps://transferwise.com/ca
FOUNDED2010
LAUNCHED2011
HEADQUARTERSLondon, UK
REGULATIONSFINTRAC, AMF
CURRENCY SUPPORTOver 50 currencies
CUSTOMER SERVICETelephone and Email
PRODUCT AND SERVICEInternational Money Transfer
TRANSFER SPEED1-2 Days
TRANSFER METHODOnline
MAX TRANSFER AMOUNTC$1,500,000
MINIMUM TRANSFER AMOUNTC$1
CUSTOMER BASEOver 9 million customers
MOBILE APPAvailable
PAYMENT OPTIONSDirect Debit, Credit Card, Debit Card, Online Bill Payment, and Domestic Wire Transfer
FOREIGN EXCHANGE RATEMid-Market Exchange Rate

Founded in 2010 and launched in 2011, Transferwise has revolutionized the culture of international money transfers by making it more accessible, cheap, fair, and simple. With over nine million customers, Transferwise has helped move more than $6 billion every month and helping them to save above $1.5 billion annually.

With its multicurrency account, Transferwise lets you hold more than fifty currencies at once and convert them whenever you like. The company has one of the most competitive money transfer rates, eight times cheaper than what banks usually charge on money transfer.

With multiple transfer options and no hidden fees, the users of the platform enjoy top-class financial services. The company’s service is suitable for Canadians who travel, live, and work internationally.

Disclaimer: Rates and product offerings are always changing so this article might not reflect the current market situation. Please contact your financial advisor before making any financial decisions.

How Does Transferwise Work?

Transferwise provides an effortless and affordable way to send money from Canada to different countries and currencies, with a simple verification process.

Naturally, when you want to send money from Canada to another country, you must encounter intermediaries, such as banks, whose exchange rates are usually expensive. In addition to some hidden charges, you’ll end up paying high charges on transfer.

Transferwise aims at removing the middlemen and unnecessary charges associated with money transfers. Transferwise uses a transparent mid-market rate for all their currency exchanges, which you can confirm online through Google or Yahoo. With its borderless account and debit card, you can hold and exchange multiple currencies at the real exchange rate and cheap transfer fees.

As a result, if you want to send money via Transferwise, you need to create an account and select the amount you wish to send. The registration is free. Transferwise will charge an upfront fee. These fees are relatively affordable.

How to Send Money On Transferwise Canada

To use the Transferwise Canada money transfer service, you need to register on its platform.

Go to the Transferwise Canada website to create an account

Step 1: Click on the Register tab located at the top right corner of the page.

Step 2:

  • Choose the type of account you want to open – personal or business account.
  • Sign up with your email address and create a secure password.
  • Choose your country of residence and click on Sign Up.

Alternatively, you can create an account by using your Apple, Google, or Facebook account.

Step 3: Choose the transfer amount and currency you want to send, including the recipient’s currency. Transferwise will show you the transaction details, including the total fees that will be charged, the exchange rate, and the expected date of delivery. You can also choose your preferred payment method and compare rates with other money transfer service providers on this page.

Step 4: Select the payment channel, whether you’re paying in from your personal bank account or business bank account.

Step 5: Fill in your personal details or business details, depending on the account where the payment will be deducted. These details include your full legal name, date of birth, address and postal code, phone number, and occupation.

Step 6: Select the recipient of the money. Transferwise sends money to bank accounts. Hence, you can transfer funds to yourself (Myself), Someone Else, or a Business or Charity.

Step 7: Fill in the recipient’s address and bank details, and click on confirm.

Step 8: Upload a proof of identity, proof of address, and photo for verification. Transferwise’s verification usually takes up to two working days.

Step 9: Fund your transfer with any of the payment methods provided, such as Direct Debit, debit card, credit card, bank wire transfer, and bill payment.

Step 10: Track your funds transfer online and on the mobile app. Depending on your payment method, transfer from Canada to other countries on Transferwise Canada can take between one to three days or more.

Features and Benefits of Transferwise Canada

Affordability

Transferwise provides a cheap international money transfer service. The fees and exchange rates are eight times better than what banks offer or charge on transfers.

Transparency

Transferwise displays the charges and fees associated with each money transfer – no hidden charges. You can use the onscreen calculator to predetermine how much it will cost you to initiate a transfer.

Multiple Payment Options

There’s no limit to how you can fund your transfer. You can pay with any payment option that suits you, each with different rates and delivery times.

Global Delivery

Transferwise enables its users to send money to over 50 countries across different continents.

Mid-Market Rate

Transferwise uses the mid-market foreign exchange rate with no additional markup.

Transferwise Canada Mobile App

Transferwise Canada has interactive and easy-to-use mobile apps, equipped with all the tools and information you’ll need to make money transfer transactions. The mobile app is available for iPhone, iPad, and Android devices on the Apple Store and Google Play Store. You can also use the Transferwise Canada mobile app to make payments through Apple Pay (iOS) and Google Pay (Android).

Transferwise Canada Ease of Use

The money transfer service of Transferwise Canada is simple and straightforward. The sign-up process for account opening and money transfer takes a few minutes.

To test the platform’s usability and its service, we were able to create an account and initiate the money transfer process from Canada to other countries using the Transferwise Canada website. This process took less than five minutes.

Regulations of Transferwise Canada

Transferwise is a regulated fintech company. To do business in over 50 countries, the company is registered with numerous financial authorities worldwide.

In Canada, Transferwise Canada Inc. is registered with the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) as a Money Service Business (MSB). It is also licensed with the Autorité des Marchés Financiers (AMF).

Is Transferwise Canada Safe and Secure?

Yes. Transferwise Canada protects your funds and personal information from unauthorized access. The company uses HTTPS encryption and a 2-step login to protect your transactions. This encryption also ensures the safety of data communication between the server and the users of the platform. Besides, Transferwise Canada does not share your information with any third-party affiliates.

Transferwise Canada Fees and Charges

The fee charged on money transfer by Transferwise Canada is dependent on your currency, the recipient’s currency, and your payment method. Also, the fees you pay will depend on the amount of money you’re sending. Transferwise, Canada usually charge a percentage on the amount you’re sending. The more money you send, the more your transfer costs.

To have a comprehensive understanding of how it works, we initiated a money transfer process on 1000 CAD to Australia (AUD) and United States (USD).

Transferwise Fees for $1000 CAD TO AUD
Payment MethodPayment Fee
(CAD)
Transferwise Canada Fees
(CAD)
Total Fees
(CAD)
Converted Amount (CADGuaranteed Mid-Market RateTotal Amount Received by Recipient
(AUD)
Domestic Wire Transfer0.757.868.61991.391.042241,033.27
Direct Debit3.097.8510.94989.061.042241,030.84
Debit Card15.367.7723.13976.871.042241,018.13
Credit Card21.627.7329.35970.651.042241,011.65
Bill Payment0.757.868.61991.391.042241,033.27
Transferwise Fees for $1000 CAD TO USD
Payment MethodPayment Fee
(CAD)
Transferwise Canada Fees
(CAD)
Total Fees
(CAD)
Converted Amount (CADGuaranteed Mid-Market RateTotal Amount Received by Recipient
(USD)
Credit Card 21.628.5730.19969.810.769645746.41
Direct Debit3.098.6911.78988.220.769645760.58
Debit Card15.368.6123.97976.03 0.769645 751.20
Domestic Wire Transfer 0.758.719.46990.54 0.769645 762.36
Bill Payment0.758.719.46990.54 0.769645 762.36

Disclaimer: Exchange rate and transfer charges change often. Confirm current rates with the provider before making money transfers.

How Can I Pay For Transferwise Canada Transfers?

Canadians can fund their money transfer through the following payment methods:

  • Debit Card
  • Credit Card
  • Domestic Bank Wire Transfer
  • Direct Debit       
  • Bill Payment

Supported Banks in Canada

Transferwise Canada supports direct deposit from only personal bank accounts. Bill payment option has one of the cheapest rates to transfer money on Transferwise Canada. If you transact with any of the following Canadian banks, you can use the online Bill Payment option to fund your Transferwise money transfer.

  • Bank of Montreal (BMO)
  • National bank of Canada
  • Tangerine
  • Coast capital
  • Manulife Bank of Canada
  • First Calgary
  • CS Alterna
  • EQ Bank

Pros of Transferwise Canada

  • Cheap money transfer
  • Transparent transfer fees and charges
  • Responsive customer support
  • Competitive exchange rate.
  • Free borderless account to hold balances in over 40 currencies.
  • Suitable for personal or business transactions.

Cons of Transferwise Canada

  • Transfer amount limit on Transferwise Canada.
  • Delay in the verification of the account.
  • Transferwise Canada only supports bank account transfers. It has no option for cash pickup, cheque, or bank drafts.
  • Not suitable for urgent or emergency money transfer.

Supported Currencies

At the time of writing, Transferwise currently provides money transfer services in over 80 countries. You can hold, use, manage, and send money in more than 50 currencies, which include:

  • British pound
  • Australian Dollar 
  • UAE Dirham
  • Argentina Peso
  • Bangladeshi Taka
  • Bulgarian Lev
  • Botswana Pula
  • Swiss Franc
  • Chilean Peso
  • Costa Rican Colon
  • Czech Koruna
  • Danish Krone
  • Egyptian Pound
  • Georgian Lari
  • Ghanaian Cedi
  • Hong Kong Dollar
  • Croatian Kuna
  • Euro
  • Canadian Dollar
  • Hungarian Forint
  • Indonesian Rupiah
  • Israeli Shekel
  • Indian Rupee
  • Japanese Yen
  • Kenyan Shilling
  • South Korean Won
  • Sri Lankan Rupee
  • Moroccan Dirham
  • Mexican Peso
  • Malaysian Ringgit
  • Nigerian Naira
  • Norwegian Krone
  • Nepalese Rupee
  • Peruvian Sol
  • Philippine Peso
  • New Zealand Dollar
  • Us Dollar
  • Polish Zloty
  • Pakistani Rupee
  • Romanian Leu
  • Russian Ruble
  • Swedish Krona
  • Singapore Dollar
  • Thai Baht
  • Turkish Lira
  • Tanzanian Shilling
  • Ukrainian Hryvnia
  • Ugandan Shilling
  • Uruguayan Peso
  • Vietnamese Dong
  • West African
  • CFA Franc
  • South African Rand
  • Zambian Kwacha

Transferwise Canada Phone Number

You can contact Transferwise Canada via email or phone on 1-888-445-2780 for regular customer service and 1-888-403-2696 for business customer service. You can also use their in-app chat on your mobile. Note that you can call them from 9 am to 5 pm Eastern Time or use the Live Chat from 9 am to 8 pm Eastern Time.

Transferwise Canada FAQs

Does Transferwise report to CRA?

At this time, Transferwise does not report information to the CRA or any other tax authority. Customers are required to disclose and pay any necessary taxes associated with transfers made through Transferwise Canada.

How do I use the Transferwise app?

  • Sign up with Transferwise Canada, online or in the mobile app for free.
  • Choose a transfer amount you would like to transfer.
  • Choose the type of transfer you want.
  • Fill in your details
  • Select who you’re sending the money to and add the recipient’s bank details.
  • Verify your identity
  • Review the details of your transfer.
  • Choose the transfer type and payment method.

Does Transferwise Canada have a debit card?

Transferwise has a debit card but not available to Canadian residents.

Can I use Transferwise for business payments?

Yes. Set up a business profile with Transferwise to begin saving on business payments.

How do I reach Transferwise customer service?

You can reach the Transferwise customer service and support in two ways:

  • By email on the Contact Us page 
  • By phone to Standard Users and Business Users

Is TransferWise available in Canada?

Transfers to and from Canadian Dollar (CAD) are now available on TransferWise Canada. Here’s what you need to know about CAD transfers: Transfers are fast, fair, and low cost. Sending money to Canada starts at just 0.5%, and sending money from Canada costs 1.4%. You can access Transferwise Canada here.

Is TransferWise safe for large amounts?

Safeguarding means that, by law, TransferWise has to keep all of your money in accounts that are completely separate from the ones it uses to run the business. So, if anything were to happen to TransferWise, your money would be safe.

Leave a Reply

Your email address will not be published. Required fields are marked *