Goodbhoy

I just transferred some small amounts of money from the UK to my Canadian bank account to monitor what charges will be imposed and to find the cheapest option for frequent transactions.

one company I used charged £9 for the transaction (£100) and another company was free (£100) but the exchange rate was not as good.

On top of this, when the funds appeared in my Canadian bank (RBC), I was charged $15 for each transaction.

This can be quite expensive if I will be doing this frequently (which I suspect that I will).

Is there a cheaper option? I will upgrade my account or even swap banks if I have to.

Thanks.

Juggernaut1064

Just a thought but what about HSBC they are world wide ? I have no idea what charges would be involved if money was paid into a HSBC branch in the UK and then used here ???
Someone on here may know ?

Aviator

So they did charge you, it was factored into the FX. Bottom line is how many CAD you end up with for GBP

Depends on your account type and history. We have never paid anything for FX transactions with RBC. What happens for one, may not happen to another, so you'll have to phone the banks and ask. An alternative is do larger transactions to lessen the cost per CAD.

Try the RBC VIP account, we have used this for a couple of decades and been quite satisfied.

For smaller amounts, 3-5k, write yourself a cheque on a UK bank and deposit it into your RBC account.

Best bet is go in and talk to your account manager.

Goodbhoy

Thanks for your advice.
I already emailed the bank for their advice on this.
I was just wondering if there were any other opinions and how other people got around these charges.

I am moving to Canada full time at the end of Feb and I will still outstanding payments in the UK so I can see me making regular small transactions.
If the VIP account is the best option then I will do that.

As with having no credit history in Canada, I plan to carry on using my UK credit card when required until I have the credit history to obtain a Canadian one.

Aviator

The VIP account worked well for us, I managed to negotiate 3 years of no fees into the bargain, which turned into 5. For credit history, get store cards, credit cards, an Amazon.ca card is good if you make and non CAD purchases as there is no FX mark-up, Costco MasterCard.

Goodbhoy

Great tips, thanks.

harris

Has anyone used money transfer companies such as Moneycorp or UKForex? Just wondered if they would be better than our HSBC BANK.

orly

I use CurrencyFair myself. Usually charges a couple of quid even if you're moving thousands. The actual rate is generally quite good too. They aren't skimming a lot off the top like a regular currency exchange place will.

wiganfem

i just use paypal, then again dont transfer huge amounts. They charge £1 per hundred. Have Uk paypal linked to uk account, and same for Canadian. Just transfer between the two.

Goodbhoy

This sounds like a good idea but what is the exchange rate like?
My bank Canadian bank informs me that there is a flat fee $15 rate for wire transfers but actually writing a cheque from my UK bank would be free (but will get a crap bank exchange rate) and the funds will take 29 days to clear.

I asked my UK bank how much they charge (Lloyds) if I was transferring money into my UK bank and I was told there would be no fee.

wiganfem

well i just looked and at the minute it isnt brilliant
cibc Chequing xxxx $201.28 CAD
The money will be sent right away.
(Fee £0.50 GBP)
You'll Pay£100.50 GBP
Conversion rate: 1 CAD = 0.4993 GBP( $201.28 CAD )
thats from Canadian bank to English. Paypal money appears in the UK bank immediately, or does with halifax.

Last week i sent £150 from UK bank to Canadian and i got $278. The bank transfer from paypal to Canadian can take up to 5 working days

Goodbhoy

Do I need to open another paypal account in Canada with a .CA address?
My UK account only allows me to enter UK bank details for sort code and account number.

wiganfem

i did yes.
i have halifax in uk, linked to uk paypal account and one email address
i have cibc in canada linked to canada paypal and different email address, and just do transfer from one to the other, as sending money to family/friends.

Like i say its not that much that often. Usually birthday money, Xmas stuff like that, oh and kids in UK wanting to borrow lol, they never truly leave home

Allie73

We have HSBC accounts in both countries. We transfer money without paying fees. We used to, but the transfer fees stopped last year. We also have Canadian and UK paypal accounts, but don't really use them anymore.

Goodbhoy

Thanks, I may look at this.