Are you wondering how to send money from Canada to India? If you are a Canadian customer and looking for options to send money to India, selecting a money transfer service is not an easy task. In recent times, we can see that many online money transfer platforms provide their unique set of services and benefits. To make sure you are striking a balance between cost-effectiveness and efficiency, there are several factors to take into account during this process.
In this blog, you will find out how to do so in the most secure ways regardless of the amount or payment method.
How To Send Money From Canada To India
There are several ways to transfer funds from Canada to India:
- Using Bank Transfer
Cross-border payments are accepted by many banks, both online and over the phone in Canada. Customers can effortlessly transfer funds from the bank account to the recipient’s bank account in India. Customers can visit the branch physically and make transactions or they can opt to send money online.
If you want to make payment online, you can use your bank’s online service or an international payment specialist. Generally, international specialist services provide better exchange rates than banks.
- Using global accounts and multicurrency accounts offered by Neobanks
Global Accounts or foreign currency accounts along with Multicurrency accounts are one of the most popular methods for making cross-border payments worldwide these days. Moreover, Canada is also not an exception. Different businesses and individuals have already started using global accounts to make overseas transactions. The major reason for this popularity is the benefits associated with it.
Since users can manage several currencies in a single platform, a global account/multicurrency account is seen to be the one-stop solution for every overseas finance need. Similarly, the cheaper exchange rate as compared to traditional banks is just like cherry on top. (Using the global account of Walcy Bank is one of the better options for making payments from Canada to India).
- Using Money transfer companies or remittance companies.
The third way of transferring funds from Canada to India is to use Money transfer companies such as World Remit, Western Union, etc. It might cost you more but is one of the easiest methods of transferring funds. These companies also allow cash pickups which is one of the best options if you want to send money instantly to the recipient’s hand. Because of its quick money transfer, it is also one of the most expensive ways.
The Fastest Way To Send Money
Typically, sending money to India from Canada can take between just minutes to 3 business days. This generally, depends on the payment method you are using. Money pickup can be a quicker way to send money to the recipient’s hand than banks. This is because banks usually operate international money transfers via SWIFT networks. This causes the money transfer process to slow down because the system must pass the payment process through several intermediaries.
Essential Points To Remember For Money Transfers
- Exchange rates:
Customers should choose a service provider that charges currency exchange rates based on the live current rate.
- Security:
Before choosing a service provider, it is recommended that customers should investigate their track records and verify their compliance with financial regulations. Priority should be given to service providers that offer prominent security measures, encryption, and multi-factor authentication.
- Convenience and service time:
Ultimately, you want your money to be moved as soon as possible, conveniently available to you, and supported by customer service around the clock.
So, before selecting a service provider or neo banks, make sure to verify these things for easy and quick cross-border payments.
Send Money From Canada To India In The Cheapest Way
We all want to select the money transfer services that provide the cheapest way for overseas transfer. When transferring money from Canadian dollars (CND) to Indian rupees (INR), you possibly want to keep the currency exchange fees to the absolute lowest. For this, you should pay attention to the upfront fees the provider shows and current CAD-INR exchange rates.
Often, providers claim to provide money transfer services with low, or even no fees, but the fact is that they are hidden with exchange rates. What most of the traditional banks do is that they add a hidden markup to the exchange rate they offer to their customers. For example, currently, the CND – INR exchange rate is 60.62. Your bank might be adding up a 2% exchange rate markup and provide you with an exchange rate of 61.8324. Now, this could either mean that you are paying more, or your recipient is receiving less.
The Safest Way To Make Transactions From Canada To India
Generally, customers should choose providers who are registered and compliant with the Financial Crimes Act (FCA). These providers provide the safest ways to transfer funds. Some of the operators might also be subjected to PRA regulations. And, if you are sending money through banks, you can also read about the FSCS. Overwhelmed by acronyms? Let’s break down what they stand for:
Financial Crimes Art (FCA):
FCA is the financial regulatory body that regulates and ensures that financial organizations are conducting financial activities lawfully and safely.
Prudential Regulation Authority (PRA):
The purpose of the PRA is to ensure that financial institutions such as banks, providers, etc. are managed in a way that minimizes risk and protects client funds.
Financial Services Compensation Scheme (FSCS):
The FSCS is a compensation scheme for customers to ensure that customers don’t lose out if in case, their bank, or financial service company goes bankrupt or faces financial difficulties.
How To Send Money To Another Bank Account In India From Canada?
There are several ways to send money to another bank account in India from Canada. The money just falls in the designated account in the chosen currency and can be readily spent or withdrawn; your receiver doesn’t need to do anything to receive it.
It is very convenient to send money to another bank account in India from Canada. The money is deposited into the recipient’s account and can be easily withdrawn. Customers can choose specialist providers and can transfer money from Canada to India most cost-effectively and efficiently. Below are the concise steps that provide guidelines on how to send money using a money transfer provider:
- Create account.
- Prove your identity: You may need to verify your account by uploading your identification documents. This is a legal requirement and is essential to keep your money safe.
- Top-up your account: Top up your account in pounds using a bank transfer or credit/debit card.
- Add recipient’s details and transfer: Add your recipient’s personal information, and account details check the live exchange rates and fees applied to your payment, and make the transfer. Now, you can keep track of your money sent and its progress online or through the provider’s application.
Exceptional Cases That Might Cause Your Money Transfer To Fail
Below listed points are some of the exceptional cases which can lead to delays or disruption in cross-border payments:
- Regulatory Restrictions: Canada and India have different rules and regulations regarding overseas money transfers. This can cause compliance and can cause delays in money transfers and even failures.
- Inaccurate Information: Mistakes and errors while filling up the recipient’s personal and account information can lead to failed transactions.
- Banking System Issues: The Bank’s system might face technical issues or maintenance which might lead to disrupted transfers.
- Transfer Limit: Customers might exceed the transfer limit, either per transaction or annually, which also causes failure.
- Recipient account status: If the recipient’s account is blocked or inactive, the transfer might not be completed.
Conclusion
In conclusion, sending money from Canada to India is a common practice for many people, whether it’s supporting family, paying for education, or investing in businesses. Understanding the different transfer methods, fees, and exchange rates is crucial for making informed decisions. By carefully comparing your options, you can choose the most cost-effective and reliable way to send money to India. I hope this blog has clarified your queries and provided the information you were looking for.
Learn everything about overseas payments.
FAQs
Is there a transaction limit to sending money from Canada to India?
If you are sending money more than 50,000 INR to a person who is not blood-related, the recipient must pay tax to the Indian government. If the transaction limit is more than $10,000 you must report it to the Internal Revenue Service (IRS).
Is a money transfer sent from Canada to India taxable?
Transferring funds abroad does not impose tax obligations in Canada.
What is the best way to send money from Canada to India?
If you are considering fast and rapid means to send money, Neobanks like Walcy are the most common means.
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