Send more money to Israel with the right transfer service.
Located at the eastern end of the Mediterranean Sea, Israel is bordered by Lebanon, Syria, Jordan and Egypt. Despite its small size, the country boasts an expansive coastal plain punctuated by the infamous multi-coloured canyon of Makhtesh Ramon and the timeworn walls and pathways of Nazareth and Jerusalem.
Canada and Israel have strong bilateral relations reinforced by a 1997 free trade agreement which makes Israel only the third country (after the US and Mexico) to enjoy an uninhibited trade status with Canada. It’s estimated that as many as 30,000 Israelis live in Canada, accounting for one of the largest Israeli diaspora populations in the world.
When it comes to sending money to Israel, for travel or remittances, Canadians have plenty of suitable options. So how do you make sure you choose the right service for you? Look for one that offers the most return on your dollar, with better exchange rates and lower transaction fees.
Compare transfer options for sending money to Israel
Banks versus money transfer companies/services
While banks can help you send money from Canada to Israel in a tight spot, that doesn’t mean that they should be your first choice. Unlike money transfer services, banks are notorious for jacking up exchange rates and tacking on exorbitant administrative fees to boot. For this reason, it’s often worth your time and energy to compare your options.
When it comes to transferring funds overseas, many Canadians use the services of a specialist money transfer company. While banks tend to cast a broad net, offering a wide range of financial services, money transfer companies focus specifically on currency exchange, meaning they are better-positioned to offer competitive exchange rates with lower fees than the bank.
Case Study: Tom sends money to Israel
Tom is working and living in Canada, and wants to send $1,000 home to Israel to support his parents. Eager to ensure that as much of his money makes it to his parents as possible, Tom compares the fees and exchange rates of his bank and an online money transfer company. The results of his comparison are shown in the table below:
|Bank||Money transfer company|
|Exchange rate||CAD$1 = ILS 2.79||CAD$1 = ILS 2.74|
|Transfer method||Bank account deposit||Bank account deposit|
|Processing time||2-4 business days||2 business days|
|Amount received (in Israeli New Shekels)||ILS 2,790||ILS 2,740|
Tom realizes that he can save approximately ILS 50 (around $18) in the exchange rate with the first option, but will have to pay $10 more in transfer fees, for a total savings of around $8.
How do I compare transfer companies when transferring money to Korea?
Tom learned a lot from his inquiry into his money transfer options. When comparing services, look for the following features and rates to find the one that offers the most value.
- Competitive exchange rates. Track down the best rates. While official rates are set, financial institutions can make adjustments to cover their costs, which means more money out of your pocket. Exchange rates can have a big impact on your bottom line and it pays (quite literally) to do your homework.
- Minimal fees. Look for flexible fees. The bank charges a standard fee on all transfers regardless of the amount. Money transfer services have flexible fees that vary according to the amount being transferred. Simply plug in different cash amounts to see how much your fee is going to be with each service.
- Various transfer methods. Discover your options. Depending on your circumstances, you may prefer a bank account to bank account transfer rather than a cash pickup. Figure out your limitations, and then choose the right fit for you.
- Fast transfer times. Don’t get left behind. Money transfer services have faster processing times (most completed within one business day). For regularly scheduled payments the bank is an option, but in case of an emergency, your friendly neighborhood transfer service is your best bet.
- Suitable transfer amounts. Know your limits and play within them. Some services have a minimum and maximum amount that can be sent with each transaction. Make sure to do your homework.
- Reliable customer service. Hold reputation in high regard. When transferring money frequently, ensure peace of mind by using a reputable service that will connect you with an agent immediately if there’s a problem with pick-up.
How do I send money to Israel from Canada?
There are several transfer methods from which to choose, including:
- Canadian Banks. Many Canadian banks can facilitate overseas transfers online, but most cost more than a dedicated international money transfer service.
- Money Transfer Services. Most money transfer services offer lower exchange rates and fees.
- Cash pickup transfer companies. Western Union and MoneyGram both have several cash pickup locations in Israel.
- PayPal. Paypal is operational in Israel, so if you and your recipient have Paypal accounts, you can send money online.
- International money order. Most banks accept deposits in exchange for an internationally bank-guaranteed cheque that your recipient can deposit into his or her bank account.
Compare Money Transfer Services
|Money Transfer Service||Transfer Fee (CAD)||Exchange Rate Markup||Total in ILS minus fees (from $1000.00)|
Rates updated as of 17 February 2018
Emergency cash transfers in Israel
If you’re stuck between a rock and a hard place and you need to send money to Israel as quickly as possible than search for a cash pick-up option like Western Union to complete transactions in as little as 10 minutes. With this type of service, higher transaction fees and exchange rates often apply, so just make sure you know what you’re agreeing to before you sign on the dotted line. Once the money is sent, the recipient just needs to present with their passport at the appropriate pick-up location to collect funds.Back to top
Cash pickup locations in Israel
With scores of locations in Canada and Israel, Western Union and Moneygram both offer fast and convenient cash transfers between the two countries. You’ll typically need to provide a reference number, transfer details and some identification when picking up cash.
- Find a pick-up location with the Western Union Agent Location tool.
- Cash is available to collect instantly from any Moneygram agent.
Tips for picking up cash in Israel
If you do plan to visit Isreal, the Government of Canada recommends that you exercise a high degree of caution (as of 19 February 2018). Petty crime, such as pickpocketing and purse snatching occurs, particularly on beaches, in large crowds and at public markets. Ensure that your wallet, money and valuables are out of sight and be extra careful around automated banking machines (ABMs) when picking up cash.Back to top
What are the steps to send money to Israel?
- Sign up for an account. The first step is to sign up for a free account with a transfer provider. This can usually be done online by providing your contact details, proof of ID and bank account information.
- Enter your transaction information. Input amount, currency and destination country.
- Finalize your transaction. The final step is to closely review the details of your transfer and then submit your transaction request. Many providers will allow you to track the progress of your transfer online.