Updated: April 2025  |  bremo.io financial guides

Wise (TransferWise) in Canada: Guide for Newcomers

Wise — formerly known as TransferWise — is one of the most popular ways to send money internationally from Canada. For newcomers who regularly send money to family abroad, or who need to move savings between countries, Wise offers dramatically lower costs than traditional banks. This guide explains how Wise works in Canada, what it costs, and whether it's the right option for you.

What Is Wise?

Wise is a financial technology company founded in 2011 in the UK. It is licensed and regulated in Canada as a money services business (MSB) under FINTRAC. It is not a bank, but it operates legally in Canada and is used by millions of people worldwide to send money internationally at much lower cost than banks.

Wise's key innovation is that instead of actually moving money across borders in many cases, they match transfers going in opposite directions. For example, if someone in India wants to send money to Canada and you want to send money from Canada to India, Wise nets these flows and only moves the difference — dramatically reducing currency conversion costs.

How Wise Works for Canadian Senders

Using Wise from Canada is straightforward:

1. Create an account at wise.com with your email and verify your identity (passport or driver's licence)
2. Enter how much you want to send and the destination country and currency
3. Wise shows you the mid-market exchange rate, the exact fee, and how much the recipient will receive — before you confirm
4. Fund the transfer via Interac e-Transfer, bank debit, or credit card (credit card has higher fees)
5. Wise sends the money, typically arriving in 1–2 business days for most destinations

Wise Fees from Canada

Wise fees vary by destination currency but are typically:

• CAD to USD: approximately 0.43% + a small fixed fee
• CAD to INR (India): approximately 0.64% + fixed fee
• CAD to PHP (Philippines): approximately 0.68% + fixed fee
• CAD to GBP (UK): approximately 0.41% + fixed fee
• CAD to EUR: approximately 0.43% + fixed fee

Compare this to banks, which typically take 2–4% in exchange rate markup plus a $15–$25 flat wire fee. On a $2,000 CAD transfer, Wise might cost $15 total versus $65–$100 through a bank.

The Wise Account: Multi-Currency Banking

Beyond transfers, Wise offers a multi-currency account available to Canadians. With a Wise account, you can:

• Hold balances in 50+ currencies simultaneously
• Receive money in USD, EUR, GBP, AUD, and other currencies with local bank details
• Get a Wise Visa debit card that spends in any currency at the mid-market rate
• Pay for international purchases without foreign transaction fees

The Wise account is not a replacement for a Canadian bank account — you need a Canadian bank account to fund it and receive CAD deposits. But as a supplement for newcomers who have multi-currency financial lives, it is extremely valuable.

Wise vs. Remitly vs. Western Union

• Wise: Best for transfers to developed countries (UK, US, Europe, Australia) and large amounts to any country. Most transparent pricing.
• Remitly: Better for fast transfers to developing countries, especially the Philippines, India, Nigeria, Mexico. Strong promotional rates for first transfers.
• Western Union: Best when recipient needs cash pickup rather than bank deposit. Coverage in more remote areas where Wise/Remitly can't deliver to bank accounts.

Wise Limitations to Know

• Wise does not offer cash pickup — recipients must have a bank account
• Transfer limits apply — individual transfers are typically capped at $100–$15,000 CAD, though account limits increase with verification
• Wise is not a Canadian bank and your balance is not CDIC insured — don't hold large balances in Wise for extended periods
• Some destination countries have slower delivery times or are not supported — check wise.com for current coverage

How to Verify Your Wise Account as a Newcomer

Wise requires identity verification before you can send transfers. As a newcomer, acceptable documents include:

• Passport (any country)
• Canadian PR card
• Canadian driver's licence

Verification is done through a selfie and document scan on the Wise app. It typically takes minutes to a few hours. Once verified, you can send immediately.