Banks are a great option for stashing cash and depositing your pay, but to transfer money from account to account or between banks, you need to consider account access, transaction fees and transfer limits. The good news is that most bank accounts offer easy access to Interac e-Transfers and mobile apps.
To help you choose the best option for your needs, here are the best ways to transfer money between banks in Canada, the best options for moving money between accounts and low-fee options for sending money internationally.
How to transfer money between banks in Canada (domestic transfers)
Estimated time: Immediately – 2 business days
Fee: None or usually a small fee
There are plenty of reasons why you might need to transfer money to another Canadian bank account. These include transferring money to someone else, buying something, paying bills, paying rent, paying off your credit cards and transferring funds from your chequing account into your savings account at another institution.
It’s easy to send money anywhere in the country – and in many cases, it’s free to transfer money between banks. However, a bank-to-bank transfer in Canada uses a different process than an account-to-account transfer of money.
Steps for how to transfer money from one bank to another bank?
It’s easy to transfer money from one bank to another bank via online or mobile banking. You’ll need to:
Log into your account and select “Send money” (or similar)
Enter your recipient’s name and bank account or personal details
Enter the amount of money you want to send
Review the details of the transaction
Complete the transfer
Options for how to transfer money between banks:
Interac e-transfer (through email or text message)
Online banking portal (using your bank’s bill pay feature)
Bank or wire transfer in person, by phone or online
Mobile banking app
Direct deposit
Cheques
Information you might need:
Recipient’s name
Recipient’s account number
Institution, routing and branch number of recipient’s bank
Transfer amount
Memo or message identifying what the funds are for
How does transferring money between banks in Canada work?
In Canada, each bank must communicate with each other using the CDX network, an external network that allows for private, encrypted data to pass from one secure site to another.
As a result, the process is actually far more complicated than transferring money from one account to another within the same bank and, as a result, it can take a bit longer.
Most banks in Canada use the CDX, which is owned by CDS Clearing and Depository Services Inc. and has been clearing electronic bank transfers since 2003. The CDSX provides a quick and secure way to transfer money. Here’s how it works:
Initiation. The sender initiates a direct deposit or direct payment transaction with their bank and the bank enters the transaction by transmitting a file to CDSX or by directly accessing CDSX.
Notifying parties of their payment obligations. The CDSX then communicates the sending and receiving bank’s obligations to each bank respectively. Bank personnel settle these obligations at the end of the day by transferring payments to the CDS via a Large-Value Transfer System (LVTS). Part of the CDSX process is that the CDS holds onto securities owned by banks in restricted-access accounts while transfers are being made and will use these securities as collateral to ensure that banks transmit payments as promised.
Settlement and release of funds. Once the CDS has received payment from the sending bank, it settles the transaction and releases the securities being held as collateral. The receiving bank can then accept the transferred funds.
Completion. Receiving institutions complete the transaction and credit the recipient’s account.
How to transfer money to another account within the same bank
Estimated time: Immediate or less than 1 business day
Fee: None
Whether you’re transferring money between your own accounts or sending money to someone else with the same bank, it’s easy – and usually free – to make transfers to other accounts within the same bank. The transaction is made on the bank’s internal network and servers.
Since transfers within the same bank don’t require much by way of external resources, they’re usually free (or low cost) and quick. Transactions are usually completed immediately or overnight — but in the meantime, your account will be debited for the amount you send and the recipient will be credited for that amount.
Options for how to transfer between accounts within the same bank:
Interac e-Transfer (through email or text message)
Mobile banking app
Online banking portal (using your bank’s bill pay feature)
The fully digital Simplii No Fee Chequing Account comes with no monthly account fee, no transaction fees, no e-Transfer fees, no minimum deposit requirements and a chance to earn interest on your account balance, and a debit card. Plus, pair Simplii No Fee Chequing Account with a no-fee Simplii High Interest Savings Account and you can earn more on your savings.
Earn a welcome bonus of up to the $400
Enjoy unlimited free transactions and e-Transfers
$0 monthly account fee
Earn 0.01% to 0.1% interest on your balance
$0 minimum deposit requirements
Possible referral bonus
Simplii is an online only provider
You can only earn the welcome bonus if you're a new Simplii customer
The BMO Performance Chequing Account is one of BMO's most popular chequing accounts. It offers unlimited free transactions and e-Transfers, and a generous welcome bonus (if you meet certain criteria).
Unlimited transactions
Access to a vast network of ATMs and bank branches
BMO offers a full suite of other banking products
The monthly account fee will be waived if you maintain a minimum monthly balance of at least $4,000.
Option to sign up through the BMO NewStart Program for additional perks
$16.95 monthly fee (unless fee-waive conditions are met)
The Scotiabank Preferred Package comes with $0 transactions, $0 Interac e-Transfers and a generous welcome bonus. The monthly account fee is $16.95, but this is waived with a minimum balance of $4,000+. Earn up to 6.05% interest for 3 months on your MomentumPLUS Savings Account.
Earn a welcome bonus of up to $400. Earn $350 when you complete two banking steps, earn $50 when you open a new RRSP or TFSA and set up and maintain a recurring pre-authorized contribution of at least $50 for a minimum of 3 months. Valid until July 31, 2024.
Get unlimited transactions
$0 e-Transfers
The monthly account fee will be waived if you have at least $4,000 in your account at all times.
The RBC Signature No Limit Banking Account is one of RBC's most popular chequing accounts. It comes with unlimited transactions and a host of other perks for a monthly fee. Notable benefits include free bank drafts, personalized cheques, rebates on basic credit card fees and no monthly overdraft fees. You'll also get free Interac e-Transfers and reimbursements for non-RBC ATM fees, up to a monthly limit.
The Simplii High Interest Savings Account earns a high promo rate of 6% interest for 5 months (and 0.4% thereafter). With a $0 account fee and $0 transactions, you can look forward to saving more of your hard-earned money.
$0 account fee
$0 transactions
High promo interest rate of 6% interest for 5 months (and 0.4% thereafter)
Earn 2.50% - 4.00% interest with an EQ Bank Personal Account. Enjoy zero everyday banking fees, free transactions and no minimum balance. Plus, you can also apply for a Joint account if you're looking to save with your partner or family.
$0 account fee
$0 transactions
$0 Interac eTransfers
Earn 2.50% - 4.00% interest on your balance
No physical branches for in-person service
Some standard banking features not available such as overdraft protection and the option to have paper statements
The highly-rated Neo Money account and mobile app from Neo Financial makes it easy to manage your account anytime, anywhere. With a high interest rate of 5%, the Neo Money Account provides solid returns on your savings. Enjoy a $5 bonus, $0 annual fees, no minimum balance requirement and free transactions.
KOHO Earn Interest is not only a savings account – you can also get a prepaid card and earn cashback on your purchases. Opt into earning interest and earn up to 5.00% on your balance.
$0 account fee
$0 transactions
$0 Interac eTransfers
Earn cashback on purchases
Earn up to 5% interest
Must opt-in to a monthly plan to earn higher interest
KOHO doesn't offer many other standard banking products
The Scotiabank MomentumPLUS Savings Account offers a high interest rate - especially if you take advantage of the promo rate. Earn a savings rate of up to 6.05% for 3 months. Plus, enjoy free unlimited transfers between Scotiabank accounts.
$0 account fee
Earn 6.05% for 3 months, 1.3% thereafter interest on your deposits
$0 Interac eTransfers
You’ll get an additional load of interest at regular intervals within your first year.
$1.50 out-of-network ATM withdrawal fee
It takes some time to earn a higher interest rate with this tiered interest rate account
The Mydoh spending app is not a traditional bank account, but the Mydoh app and Visa Debit card offers an instantaneous and interactive way for teens to learn about cashless transactions and the importance of budgeting. With Mydoh, teens get a spending account attached to a Visa Debit card. Parents can assign their teenagers tasks to complete or simply fund their teen's Mydoh spending account. Teenagers can then use the debit card to make online or point-of-sale digital purchases. Instantaneous account feedback helps teenagers learn the importance of budgeting and smart money management. The family app allows parents and up to five teens or kids to share one account at a low monthly fee of $0.
Parents set up and monitor the account
Helps keep track of tasks and chores
Dedicated Visa Debit card for your kid
Backed by RBC, a major Canadian bank
30-day free trial (for new subscribers)
Kids cannot deposit cheques or cash into their Mydoh account
Kids cannot withdraw or deposit using ATMs
Additional monthly fee of $0 (but includes up to five youth or kids' accounts under one plan)
How to transfer money: Breakdown of the most popular transfer methods
The methods for transferring money in Canada are relatively the same, whether it’s from account to account or bank to bank. To help you decide what transfer method is best, here’s a breakdown of how some of these most popular money transfer methods work.
Bank or wire transfer
Before e-transfers bank or wire transfers were one of the most common ways of sending money, domestically. Wire transfers can be done at a branch, by phone or online and will generally require the recipient’s name and address as well as the person’s bank account number, financial institution number and branch transit number.
Sending money with this method is easy and often takes less than 24 hours to complete but often comes with hefty fees. To learn more, read the Finder guide on bank wire transfer fees.
Mobile banking app
You can make transfers through your mobile banking app. In most cases, you’ll open the app on your phone and select the “transfers” or “pay bill” option. From there, you’ll select the type of payment you’d like to make and enter all the necessary information. Depending on the method you use, here’s what you might need for the initial setup: recipient’s name, bank account number, financial institution number and branch transit number.
Interac e-Transfer
A popular, super quick and easy way of transferring money is through email money transfer, known as an e-Transfer. Almost all banks and credit unions in Canada partner with Interac to offer Interac e-Transfers, which allows customers from the same or different banks within Canada to send money to each other’s accounts, usually within 12 hours or less. Currently, there are over 250 financial institutions in Canada that offer Interac e-Transfers, including:
TD Canada Trust
Scotiabank
CIBC
RBC
BMO
Simplii
National Bank
Tangerine
First Nations Bank
WealthOne Bank
Coast Capital Savings
Meridian Credit Union
Servus Credit Union Ltd.
Assiniboine Credit Union
Steinbach Credit Union
Vancity Credit Union
To send an Interac e-transfer simply:
1. Login to your online banking service or mobile banking app
2. Navigate to the link for transferring money
3. Select Interac e-Transfer from the options listed
4. Fill in the fields and select “send”
Unlike a regular transfer or bill pay, you’ll only need the following information handy: recipient’s name, email address or phone number. Recipients can set up Auto-deposit so that funds will be deposited immediately without needing to be manually accepted as per usual. In addition to sending funds with Interac e-Transfer, you can also request funds. Once the request is fulfilled and the sender has the funds, he or she will receive a notification to go ahead and initiate the transfer.
How to transfer money between banks internationally: International money transfers
International money transfers are a bit more complicated than sending money within the country, but you still have a number of different methods to set up international money transfers. Most of these methods will charge a fee to either the sender or recipient — sometimes both. The time frame for international money transfers can also vary depending on which method you use — anywhere from a day up to 14 business days.
International wire transfer
International wire transfers are not much different than domestic transfers, but they may require a bit more information. To get started, visit your local bank branch and ask for a wire transfer request form. In order to fill it out, you’ll most likely need:
Your bank account and contact information
Amount to be transferred
The recipient’s contact information
Swift code or IBAN number of their bank
Recipient’s bank account, institution and routing or transit numbers
Once the form is complete, you can return it to your bank, pay the fee and your money will be on its way.
International bank draft
International bank drafts are essentially more secure cheques that are accepted in most countries around the globe. With a standard cheque, there’s no guarantee that there’s enough money in the sender’s account to complete the transaction, as the funds aren’t withdrawn until the cheque clears.
With bank drafts, the sender pays for the transfer up front and the funds are withdrawn from the bank’s account, making it a much more secure way to send money. While it’s easy to send an international bank draft, there’s almost always a fee and it can take weeks to complete the transaction.
You can get started by visiting your local branch and asking to send an international bank draft. All you’ll need is the amount to be sent and a way to fund the transfer, along with the recipient’s name and address.
International money transfer service
There is a slew of international money transfer services out there that are specifically designed to help you send money across the globe. These services can take anywhere from a few seconds to a few days for your recipient to get the funds. The transfer speed usually depends on how you’re funding the transaction, your recipient’s location and how they plan on receiving the money.
Depending on the service you choose, transfers can usually be funded by:
Bank transfer
Cash
Debit card
Credit card
And then there are multiple ways for the recipient to access the money you send, including:
Directly to their bank account
Directly to their mobile wallet
For pickup at an agent location
Fees will vary by the money transfer specialist you choose and usually depend on where the money is being sent, the currency you’re sending, how the transfer is funded and how the recipient will receive the money.
Compare international money transfer services
Bottom line
Thanks to new technology and innovative services, you can easily transfer money between banks in Canada. Whether you need to reimburse a friend or pay bills, transferring from one bank to another takes just a few simple steps
How to transfer money between banks in Canada FAQs
No, it typically will not cost you anything to transfer money from one bank to another. However, keep in mind that your bank account may have a limit on the amount of transactions you can perform per month, so a transaction fee may apply if you've already exceeded your monthly limit.
Transfer times vary depending on the service, destination, currency, funding method and many other factors. For example, Wise (formerly TransferWise) money transfers can be instant if you pay with a debit or credit card, but can take around 3 days if you fund the transaction through a bank transfer.
Sometimes. Some services will allow you to set up recurring transfers, whereas others will require you to make a new transaction each time you want to send money.
Yes. You can use the "payments and transfers" feature of your online banking account to transfer funds between your chequing and savings accounts or pay off your credit card, among other options.
Yes. However, limits vary depending on which service you use. Sometimes, you may send a larger amount, but a hold will be placed on the funds for several days, a week or even longer before the recipient can access the money. This is done for security purposes. In order to avoid such delays, talk to a representative from your bank to find out what limits are enforced as well as when and why a hold may be placed on transferred funds.
In most cases, you won't be able to cancel or change a transfer once it has been sent. In fact, according to the detailed rules of the CDS, Canada's clearinghouse for electronic money transfers, once your bank has effectively transferred funds to the CDS via the Large-Value Transfer System, the money cannot be revoked. This allows the CDS to settle the transfer without interference so that the receiving bank can accept it and pass it on to the recipient.
Some transfer service providers and banks may have a small window of time before funds have actually been claimed by the CDS to settle the transfer, during which you can cancel or change your request. It's important to check the policy before you make your transfer. Be sure to hang on to any receipts or confirmation documents/emails you receive for the transfer in case you need to reference this information while attempting to cancel.
In most cases, you won't need to pay any fees when you send a domestic transfer, as many banks have accounts that allow you to send free e-transfers (either an unlimited number of times or up to a certain number of transactions). In other cases, the per-transfer fee is fairly small – typically less than several dollars. Be sure to check with your bank for confirmation before submitting a transfer request to avoid being surprised by unexpected fees.
You can transfer money from RBC to CIBC using RBC Online Banking or RBC Mobile Banking. In Online Banking, go to the "Quick Payments & Transfers" section and select the account you want to send money from. You can then add an Interac e-Transfer recipient in the "To:" field, enter the amount you want to transfer and click "Submit."
In the app, tap "Move Money" and then "Send an Interac e-Transfer." You'll then be able to select the account you want to send from, enter your recipient's details and the amount you want to transfer.
Yes, you can transfer money from your TD account to an account at another bank through online or mobile banking. Simply log into your account, select "Send Money" and enter the details of the recipient you want to transfer money to. Then enter the amount you want to send and submit your transaction.
Tim Falk is a freelance writer for Finder. Over the course of his 15-year writing career, he has reported on a wide range of personal finance topics. Whether you're investing in stocks and ETFs, comparing savings accounts or choosing a credit card, Tim wants to make it easier for you to understand. When he’s not staring at his computer, you can usually find him exploring the great outdoors.
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