How do I transfer funds from UK to Canada
#16
Joined: Sep 2008
Posts: 12,830
Re: How do I transfer funds from UK to Canada
Hey I'm new to this site as well and hoping to stay permanently soon! Sorry if these questions have been asked time and again ...Is it unwise to travel with large amounts of money even if declared? If you don't bring it on first landing can you be taxed on it when you permanently land? Thanks everyone x
If carrying cash of 10k or above, you may be asked the source of the funds. If they are unreported earnings in another country, proceeds of criminal activity or extortion, there may be a problem.
Reporting any transaction over $10,000 is mandatory. If you do a bank transaction over $10k the bank reports it anyway.
You are only taxed on any gain on most assets after you become a tax resident of Canada. Monetary sums would be Fx gains, interest or a capital gain. If over $100k for most assets a T1135 needs to be filed with a tax return after then end of the calendar year.
#17
Just Joined
Joined: May 2015
Posts: 4
Re: How do I transfer funds from UK to Canada
My large sum isn't a large sum for most ...it would be around the 10k mark and if it's from a house sale that should be ok right?
#18
Re: How do I transfer funds from UK to Canada
I've only had to move a few thousand pounds to Canada, but have found withdrawing cash from a Canadian ATM using a Halifax Clarity Credit Card and then paying the balance on the credit card immediately quite an effective way of getting a good rate. There are no fees on the card and the rate is the same that Google quotes. The only disadvantage is that interest begins accruing immediately, so need to make sure to pay off ASAP.
Limit to how much you can withdraw from an ATM per day of £500 though.
Limit to how much you can withdraw from an ATM per day of £500 though.
#19
Joined: Sep 2008
Posts: 12,830
Re: How do I transfer funds from UK to Canada
I've only had to move a few thousand pounds to Canada, but have found withdrawing cash from a Canadian ATM using a Halifax Clarity Credit Card and then paying the balance on the credit card immediately quite an effective way of getting a good rate. There are no fees on the card and the rate is the same that Google quotes. The only disadvantage is that interest begins accruing immediately, so need to make sure to pay off ASAP.
#20
Joined: Sep 2008
Posts: 12,830
Re: How do I transfer funds from UK to Canada
Should be fine. Put it in a UK bank and write yourself a cheque here or use a FX broker to do it for you. Most definitely do not use a credit card.
#21
Re: How do I transfer funds from UK to Canada
Definitely not a good way to get the better rates. FX rates change by the second, so what Google quotes could be way off and Google last I checked is not a Fx broker. There are some sites that offer live rates though, then you will see how fats it changes. Credit card companies will give the Visa or Mastercard (or their own card rate) rate for the day, plus 2% premium. The only card I know of that does not charge the 2% is Amazon. Add the interest and this has to be the worst way to enact a FX transaction.
I estimate the 3 days worth of interest to only be 58p. Hardly the worst method of exchanging currency, and avoids the ridiculous wiring costs for lower value exchanges.
#22
Forum Regular
Joined: Apr 2014
Posts: 71
Re: How do I transfer funds from UK to Canada
We used transferwise to move over a biggish sum of money to our bank account in Canada. Was easy, fast and fees are very good (they explain how they you get better fees on their website). We saved £500 then if we had done it with the bank. https://transferwise.com/