Exchange rates, Payment methods, How to, Transfer fees and much more
If you are looking to send money from Canada overseas, you may be interested in Scotiabank.
Since the beginning of 2020, Scotiabank has introduced a new digital option for international money transfers. This is available to Scotiabank customers who use mobile banking and online banking. The bank also offers the option to transfer money abroad by going into a branch.
But how does it all work, and is it the best option for you? Keep reading to find out everything you need to know about sending money overseas with Scotiabank.
When transferring money using Scotiabank, you can fund the transfer using your Canadian bank account. Note that the account must be in Canadian dollars. Scotiabank makes it easy to send to the same recipient multiple times. The recipient's details are automatically saved for future transfers.
Your recipient will need a bank account to receive the transfer as well. They will have the money in their account in 1 to 3 business days. If you prefer to have them pick it up in cash, you will need to use Scotiabank’s Western Union option.
Using Scotiabank International Money Transfer you can send up to CAD $999. This limit increases to $7,499.99 if you do it through a branch.
Sending via online banking and the Scotiabank app attracts a standard fee of CAD $1.99. However, there’s a possibility that the receiver’s bank or an intermediary bank may charge a fee for handling the transaction. Customers with Scotiabank’s Ultimate Package do not pay any transaction fees at all.
Flat fee for transfers so you know price in advance
Convenience of app and online access
Sending process is straightforward and can be done in seconds
Can save contacts for sending repeat transfers
Must be able to use online banking or mobile banking
Exchange rates are not transparent
Going into branch is time consuming and inconvenient
Receiver must have bank account
Transfers take 1-3 days to arrive
There are two methods for sending - either through the mobile app or online banking.
Scotiabank mobile app
Scotiabank is similar to most banks in that it is not transparent about its exchange rates. The rate offered changes daily. You will only know the rate of exchange on your particular transaction once you start the process to send the transfer.
It may seem that the flat fee for sending a Scotiabank International Money Transfer makes this a low cost option. However, Scotiabank still has to make a profit on the transfer.
When trading currencies among themselves, banks use something called the mid-market rate. This is the rate you’ll find if you search for the exchange rate on a search engine. For individual customers, however, they add a margin on that rate so that they make a profit.
How this works in practice is simple. For example, on a particular day the mid-market rate may be CAD $1.00 = US $0.75. A bank will offer a customer a rate close to CAD $1.00 = US $0.73. This means for every dollar you exchange, they get to keep $0.02.
So in addition to the transfer fee, you’ll pay that extra percentage on the exchange rate. For most money transfer services this averages 2% to 5% percent. With Scotiabank, it’s unclear how much the bank makes as they do not publicise the rate offered for a transfer
Scotiabank International Money Transfer is available on smartphones as Scotiabank mobile app and for all computers and web browsers through its online banking website.
Scotiabank is a trusted option for customers not only in Canada, but throughout the Americas. In addition to personal banking, it also has commercial, investment and wealth management branches. The company has over 100,000 people working overall and assets of over $1 trillion. In Canada, it can be found on the Toronto Stock Exchange, and in the US on the New York Stock Exchange.
By telephone: 1-800-472-6842
In the Greater Toronto Area: 1-416-701-7200 / 1-416-701-7200
Mobile Banking Help Desk: 1-877-908-8866
By mail: Scotiabank Head Office, 44 King St West, Toronto ON, M5H 1H1
Live chat: On the Scotiabank website https://www.scotiabank.com/
On Twitter: https://twitter.com/scotiabankhelps
Banks are seen as a safe and traditional option for international money transfers. This is because they are well-known and seen as trustworthy. Yet they may not always be the cheapest or fastest option. Banks need up to three days to complete a transfer, and sometimes may take even longer. The receiver also needs to have a bank branch near to them, which can be inconvenient. Scotiabank's online transfer option does benefit from a lower flat fee than other banks, however.
There are a number of other online providers such as Remitbee, Skrill, and Transferwise that provide international money transfers.
There are also traditional money transfer companies like Ria, Western union and MoneyGram.
A specialist international money transfer service like Transferwise may be a better alternative to Scotiabank. Like Scotiabank International Money Transfers, it is exclusively online. The difference is that Transferwise always uses the mid-market exchange rate. It does have a fee as well, but that fee is transparent and is usually small. Transferwise uses local bank accounts to transfer money, which is why they can keep fees low.
Remitly is another online international money transfer alternative to Scotiabank International Money Transfer. It has a user-friendly app and website. Remitly also has a large worldwide network of banks. This means no matter where your recipient is, it’s likely there’s a branch near them.Your recipient also doesn't need a bank account, as Remitly's payout options are numerous. These include home delivery, the mobile wallet, and cash pickup
Remitbee is another trusted alternative to Scotiabank International Money Transfer. Created specifically with the needs of immigrants in mind, it makes sending money to friends and family back home extremely easy. The exchange rate margins are low, so you keep more money in your pocket.
The minimum amount is $100 CAD.
You can only send a money transfer from Scotiabank using your bank account, which must be in Canadian dollars.
Unfortunately, Scotiabank does not allow for cancellation after the transfer has been submitted.
The standard transaction fee is $1.99. However, the exchange rate applied may increase the cost of your transfer.
The money will be in their account in approximately 1 to 3 business days. In some cases though it takes as long as 5 business days.
Scotiabank is a Canadian bank that can trace its roots back to 1832. This was the year the Bank of Nova Scotia opened. Fifty years later it had spread to the US and by the beginning of the 20th century even to the Caribbean. Now it has a presence across the Americas, including a large number of offices in South America. With 2,700 branches worldwide, it is one of the only Canadian banks that can call itself a truly international bank.
Scotiabank offers both chequing and savings bank accounts for its customers. It offers credit cards, insurance, and loans as well.
Scotiabank offers a program for new immigrants called StartRight. It is available for permanent residents with 0-3 years in Canada, for those studying in Canada and foreign workers.
Among the benefits of their Newcomer to Canada offering are the following:
Be sure to read the fine print on the benefits offered, before committing to a bank.
The StartRight program also includes personalised support at your local branch. This is offered in a variety of languages so you can communicate in the way that you feel most comfortable.
If you already have a bank account with Scotiabank, it may seem convenient to use their service to send money overseas too. The bank recognised the need for a faster and easier system of transfers. Their creation of an international money transfer service works well if you are tech savvy and can use apps and websites easily. If you need assistance with the process though, you’ll still need to visit a branch to send a transfer. However, there are more transparent and cheaper services out there. To learn more, read the Remitbee Blog for reviews of other money transfer services.
Best exchange rates, one-day delivery, free transfers over 500$ and amazing customer support! Too good to be true? How about a sweet 15$ bonus towards your first transfer? Just give us a shot!