How To Send Money From the US to Canada

The main ways to transfer money to Canada

You can send money to Canada through a bank wire, a money transfer service like Western Union or MoneyGram, a peer-to-peer app, or your own bank's international transfer feature. Each method has different costs, speed, and exchange rates. A bank wire is usually cheapest for large amounts but takes one to three business days. Money transfer services are faster (sometimes same-day) but charge higher fees. Apps like Wise or PayPal are competitive on exchange rates but work best for smaller amounts to personal accounts.

The method you choose depends on how much you're sending, how fast you need it to arrive, and whether the recipient has a bank account or needs cash. If you're sending under $500, a money transfer service or app often makes sense. For $1,000 or more, a bank wire usually costs less overall despite the longer wait.

Key Takeaways

• Bank wires typically cost $15 to $50 and take one to three business days, making them the cheapest option for amounts over $1,000.
• Money transfer services like Western Union and MoneyGram deliver cash within hours but charge 5 to 10 percent of the amount sent.
• Peer-to-peer apps like Wise, PayPal, and Remitly offer competitive exchange rates but work best for transfers under $5,000 to bank accounts.
• You will need the recipient's full name, address, and either their bank account details or the location of a pickup point if they want cash.
• Exchange rates vary by provider and change throughout the day, so comparing quotes from at least two services before sending saves money on larger transfers.

Bank wires: slowest but cheapest for large amounts

A bank wire is an electronic transfer from your US bank account directly to a Canadian bank account. Your bank sends the money through the SWIFT network (the international banking system) to the recipient's bank. The process takes one to three business days because the transfer has to clear through multiple banks and currency conversion happens at the receiving end.

Costs run $15 to $50 depending on your bank and whether the receiving bank charges a fee on their end (many do, usually $10 to $15 CAD). You will need the recipient's full name, their Canadian bank account number, the bank's routing number (called a transit number in Canada), and the bank's SWIFT code. Ask your bank for a wire form or do it online if your bank offers that option. Once sent, a wire cannot be reversed, so double-check the account details before submitting.

Banks do not always offer the best exchange rate on wires. Some banks add a markup of 1 to 3 percent on top of the mid-market rate. Ask your bank what rate they are using before you send, and compare it to what Wise or another app quotes for the same amount — you might find the wire is not actually cheaper once the exchange rate difference is factored in.

Money transfer services: fastest for cash pickups

Western Union, MoneyGram, and similar services let you send money that the recipient can pick up as cash at a physical location within hours, or deposit into a bank account within one to two business days. You can start the transfer online, by phone, or in person at a Western Union or MoneyGram agent location (grocery stores, pharmacies, and check-cashing shops often host these). The recipient picks up the money using a reference number and ID, or it goes into their bank account if they provided those details.

Fees are steep: typically 5 to 10 percent of the amount sent, plus the exchange rate markup. Sending $500 might cost $30 to $50 in fees alone. The exchange rate is also usually worse than what banks or apps offer. These services make sense when speed matters more than cost — for example, if someone needs cash today and a bank wire would take three days.

Rates and fees change based on the amount, the delivery method (cash pickup versus bank deposit), and current promotions. Always get a quote before committing. Both Western Union and MoneyGram show the final amount the recipient will receive before you pay.

Peer-to-peer apps: best exchange rates for smaller transfers

Apps like Wise, PayPal, Remitly, and OFX let you transfer money from your US bank account to a Canadian bank account using your phone or computer. These services specialize in international transfers and typically offer exchange rates much closer to the mid-market rate than banks do. Fees are usually $1 to $5 for transfers under $1,000, though some charge a small percentage for larger amounts.

The tradeoff is speed: most app transfers take one to three business days, similar to a bank wire. Wise is often the fastest (sometimes next-day) and has the most transparent pricing. PayPal is convenient if both you and the recipient already use it, but the exchange rate is usually worse than Wise or Remitly. All of these services require the recipient to have a bank account; they do not offer cash pickup.

To use an app, you create an account, verify your identity (usually with a photo ID and sometimes a small deposit), link your US bank account, and enter the recipient's Canadian bank details. The app shows you the exact exchange rate and fee before you confirm. These services work well for regular transfers to family or friends, or for amounts under $5,000.

What information you need from the recipient

For a bank wire or app transfer, you need the recipient's full legal name (exactly as it appears on their bank account), their Canadian bank account number, the bank's transit number (a five-digit code), and the bank's SWIFT code (usually eight characters). You also need their address. If you are unsure of any of these details, ask the recipient to provide a blank cheque — the account number and transit number are printed on it, and you can look up the SWIFT code online using the bank name.

For a money transfer service like Western Union, you need the recipient's full name and either their address (if they are picking up cash) or their bank details (if the money is going to their account). The service will give you a reference number to share with the recipient so they know the transfer is coming.

Double-check spelling of names and accuracy of account numbers before sending. A wire sent to the wrong account is extremely difficult to recover. If you are unsure, call the recipient and have them read the details aloud, or ask them to log into their online banking and confirm what they see.

Exchange rates and how they affect your total cost

The exchange rate is the price of Canadian dollars in US dollars, and it changes throughout the day. On any given day, the mid-market rate (the true rate between banks) might be 1.35 CAD per 1 USD. However, the rate your bank or service offers you is usually higher or lower than that, depending on their markup.

Banks typically add 1 to 3 percent to the mid-market rate. Money transfer services add 3 to 8 percent. Apps like Wise add less than 1 percent and are transparent about it. If you are sending $1,000 USD and the mid-market rate is 1.35, a bank might give you 1.32 (a 2 percent markup), while a money transfer service might give you 1.25 (a 7 percent markup). That difference is $70 CAD in the recipient's pocket.

Always ask what rate you will receive before you send, or compare quotes from at least two providers. Many banks and services show the rate online before you commit. The cheapest wire is not always the cheapest transfer once you factor in the exchange rate.

Timing: how long each method takes

Bank wires take one to three business days from the time you send them. The exact timing depends on when you send it (wires sent after 5 p.m. or on weekends start processing the next business day) and whether the receiving bank processes it the same day or the next day. Most wires arrive within two business days.

Money transfer services vary widely. Cash pickups can happen within hours (sometimes 15 minutes to a few hours after you send). Bank deposits through these services usually take one to two business days. Apps like Wise often deliver within one business day, sometimes overnight, depending on the time you send and the receiving bank's processing speed.

If you need the money to arrive by a specific date, send it at least one business day earlier than you think you need to. Do not count on a wire arriving the same day you send it, and do not send on a Friday if you need it Monday — the receiving bank may not process it until Tuesday.

Frequently Asked Questions

Do I need to report large transfers to the IRS?

If you send more than $10,000 USD in a single transfer, your bank must file a Currency Transaction Report with the IRS. This is routine and does not mean you are under investigation. If you are sending money regularly in amounts just under $10,000 to avoid reporting, that is called structuring and is illegal. Send what you actually need to send, and let the bank handle the reporting.

What if the recipient's bank rejects the transfer?

Banks reject transfers if the account number or routing information is wrong, if the account is closed, or if the account holder's name does not match what you sent. If this happens, the money returns to your account (usually within five to seven business days). Contact the recipient to verify their account details and try again. For apps and money transfer services, contact their customer support — they can sometimes resend the money or refund your fee.

Can I transfer money to a Canadian credit card or PayPal account?

Most bank wires and money transfer services require a bank account. PayPal can receive transfers from other PayPal accounts, but not from a bank wire. If the recipient does not have a bank account, they can open one at a Canadian bank (most require a Canadian address or phone number) or use a money transfer service to pick up cash in person.

Is it cheaper to use a credit card to send money?

No. Credit card companies charge foreign transaction fees (usually 3 percent) plus the exchange rate markup, and many do not allow direct transfers to bank accounts anyway. Bank wires, apps, and money transfer services are cheaper. If you are paying a Canadian bill with a credit card, that is different — the merchant handles the conversion. But for sending money to a person, use one of the methods described here.

What is the difference between a wire and an ACH transfer?

An ACH transfer is a slower, cheaper way to move money between US banks, but it does not work for international transfers. For Canada, you need a wire (SWIFT) or an international app. Do not confuse the two — if you ask your bank for an ACH to Canada, they will tell you it is not possible and offer you a wire instead.