Best way to send/transfer money Internationally

Jun 6th, 2017 12:52 pm

#1

MrsPotato [OP]: Deal Addict; Apr 7, 2012; 2542 posts; 635 upvotes; Toronto

Jun 6th, 2017 12:52 pm

Best way to send/transfer money Internationally

I'm transferring large (5k+) and smaller amounts (<1k) between accounts in Ecuador (USD) and Toronto (CAD).
Funds are being held at major banks at both ends.

I've been wiring funds, and it's costing me approx $45 per transaction.

I've looked at Xoom, and OFC.

Does anyone have any suggestions on the cheapest way to do this?

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Jun 6th, 2017 3:16 pm

#2

NtodaL: Newbie; Apr 25, 2017; 83 posts; 52 upvotes

Jun 6th, 2017 3:16 pm

I use Visa Direct from TD Canada Trust. When I was visiting my family. I transferred some money to my friend's credit card over there and it goes in his account in like 10 minutes.

You can transfer money directly to a cardholder domestically or internationally.

Fees are:
$8.95 for international transactions up to $1,000
$12.95 for transactions greater than $1,000.01 up to $2,500
$1.50 for all domestic transactions

https://www.tdcanadatrust.com/products- ... direct.jsp

Jun 6th, 2017 4:00 pm

#3

ace604: Deal Guru; Aug 8, 2012; 10198 posts; 4010 upvotes; BC

Jun 6th, 2017 4:00 pm

You left out some details that may be relevant...
Are you transferring southbound only?
Are both accounts in your name?
Are you always exchanging currency or would you sometimes (if you could) want to keep the funds in USD on both ends?

Checkout currency exchange places like XE or Transferwise.

POLL: How frequent is your RRSP-matching?
Plastiq: Pay any bill with credit card for 0-2.5% fee (help meet min spending and keep old cards active!)
Rewards program transfer times (e.g. SPG->Aeroplan, Marriott->SPG, Amex MR->SPG...)

Jun 6th, 2017 4:44 pm

#4

jeffyjaixx: Deal Fanatic; Feb 28, 2006; 7620 posts; 1050 upvotes; Richmond Hill

Jun 6th, 2017 4:44 pm

Xe.com/radio

Heard that on the radio so can give it a try.

Heat 44-0-0

Jun 6th, 2017 4:50 pm

#5

VESTEGAARD: Sr. Member; Dec 28, 2010; 641 posts; 289 upvotes

Jun 6th, 2017 4:50 pm

Transferwise

.

Jun 6th, 2017 10:32 pm

#6

ace604: Deal Guru; Aug 8, 2012; 10198 posts; 4010 upvotes; BC

Jun 6th, 2017 10:32 pm

ace604 wrote: ↑You left out some details that may be relevant...
Checkout currency exchange places like XE or Transferwise.

jeffyjaixx wrote: ↑Xe.com/radio

Heard that on the radio so can give it a try.

VESTEGAARD wrote: ↑ Transferwise

LOL

POLL: How frequent is your RRSP-matching?
Plastiq: Pay any bill with credit card for 0-2.5% fee (help meet min spending and keep old cards active!)
Rewards program transfer times (e.g. SPG->Aeroplan, Marriott->SPG, Amex MR->SPG...)

Jun 7th, 2017 9:34 am

#7

Faith24: Deal Addict; Feb 29, 2012; 2654 posts; 1456 upvotes; Richmond

Jun 7th, 2017 9:34 am

Bank wire: expensive, fees at both ends, poor exchange rate, can take several days to/from countries like Ecuador

Visa Direct: less expensive on fees, poor exchange rate, only an option if you can transfer to an an-country Visa credit card account, not well known in countries like Ecuador (I've had Visa Direct transactions rejected or go missing for an extended period because they didn't know how to process them)

Western Union: high fees at both ends (discounts available at banks like BMO), poor exchange rate, many restrictions, poor customer service, not recommended

Discount bank direct transfers (like CIBC Global Money Transfer service) - free to supported countries, but the short list does not include Ecuador. Poor exchange rate.

Transferwise: best exchange rate, reasonable fees if using direct account payment, deposit by local transfer at the other end usually avoids fees at that end, but insecure payment method and delays of several days

The biggest problem with international money transfers is generally the poor exchange rate you receive when going through banks and traditional money transfer services. It generally comes out to about a 2.5% penalty on top of the fees.

The second biggest problem is that a good percentage of transfers to countries outside of USA/Europe get lost in a black hole in the middle. Banks in Canada are useless at tracing the funds, and it usually takes a fight of several months to get the money back. It's one of the annoying costs of doing business internationally.