Sending money from the US to Canada can mean two different jobs: converting dollars into Canadian dollars for a Canadian account, or moving US dollars into a US-dollar account at a Canadian bank. Both run on Canadian bank numbers rather than an IBAN, and most of the cost sits in the exchange rate and in wire fees at each end. The World Bank's cost survey doesn't cover this corridor, so judge every quote against the mid-market rate on our US to Canadian dollar converter. The basics that apply to any destination are in our guide to sending money internationally.
How does money get from a US account into a Canadian one?
Usually by SWIFT wire from your bank, or through a provider that debits your US account or card and pays out from its own account inside Canada.
| Route | How you pay | What completes it in Canada | When it runs |
|---|---|---|---|
| Bank wire in Canadian dollars | From your US checking account | Lynx, Payments Canada's high-value system, settles the Canadian-dollar leg | 12:30am to 7pm Eastern on Canadian business days |
| Bank wire in US dollars | From your US checking account | Settles in the US through the Canadian bank's correspondent, then lands in a US-dollar account | Business days in both countries |
| Provider paying by electronic funds transfer | ACH debit or card | Payments Canada's batch system, which settles between banks the next business day | Canadian business days |
| Provider paying by Interac e-Transfer | ACH debit or card | An e-Transfer from the provider's own Canadian account | Usually within minutes, weekends included |
Lynx replaced the Large Value Transfer System on August 30, 2021. It settles each wire on its own, in real time and with finality, so once a Canadian-dollar wire has settled, getting it back depends on the receiving bank and the recipient cooperating.
Providers that pull money from your US account by ACH usually convert it and pay the recipient from an account they hold in Canada. That payout normally travels as an electronic funds transfer through the Automated Clearing Settlement System, which settles between banks the next business day, though the recipient's bank may show the money sooner. Some providers hold a transfer until your ACH debit clears; ACH vs wire transfers explains why.
Interac e-Transfer is domestic only. Both accounts must be at participating Canadian institutions, it moves only Canadian dollars and each institution sets its own limits, so a US bank can't send one; a provider with a Canadian account can finish a transfer that way. Payments Canada is also launching its Real-Time Rail in phases from late 2026, with Interac e-Transfer clearing due to start moving onto it in early 2027.
Which bank numbers does a Canadian recipient need?
A 3-digit institution number, a 5-digit transit number and the account number, plus the account holder's full legal name and address for a wire.
| Detail | Format | Example | Notes |
|---|---|---|---|
| Institution number | 3 digits | 050 | Identifies the bank or credit union |
| Transit number | 5 digits | 01722 | Identifies the branch that holds the account |
| Routing code for wires (CACPA code) | 9 digits: a zero, the institution number, then the transit number | 005001722 | The routing code Payments Canada recommends on SWIFT payments into Canada |
| Account number | Up to 12 characters, varying by institution | 1234567 | Some banks expect the transit number included; ask the recipient's bank |
| Name and address | Full legal name, street, city, province and postal code | A. Example, 1 Any Street, Anytown ON A1A 1A1 | Mandatory on international payments processed in Canada |
| SWIFT/BIC code | 8 or 11 characters | XXXXCATT | Optional when the routing code is complete, though many US bank forms still ask for it |
| IBAN | Not used in Canada | None | If a form insists on one, ask your bank how to enter a Canadian account |
The 050 and 01722 in the examples come from the sample Payments Canada uses in its own formatting guidance. On a cheque or direct-deposit form, the same numbers appear the other way round: the five-digit transit number, a dash, then the three-digit institution number, as in 01722-050. Swap them and add the leading zero to get the routing code a wire needs. Routing number vs SWIFT code compares these codes with a US ABA number.
Don't count on the recipient's name to catch a typo. Payments Canada's standard for electronic funds transfers says the receiving institution relies solely on the account number to credit a payee, and the payee name is provided for reference. One wrong digit can put the money in a stranger's account, so copy the numbers from a void cheque or the recipient's banking app rather than a text message. The Real-Time Rail is due to add payee confirmation, but that doesn't help payments made today.
Should the money land in US or Canadian dollars?
Convert if the recipient spends Canadian dollars; keep US dollars if they have US costs ahead, because every conversion adds another markup.
Canadian banks commonly offer US-dollar accounts, and a US-dollar wire into one arrives without being converted. That suits a recipient who will spend the money in the US or wants to choose when to convert, but it postpones the exchange cost rather than removing it: converting later happens at the bank's rate on that day.
Deposit insurance still applies. Since April 30, 2020, the Canada Deposit Insurance Corporation has covered eligible deposits in foreign currencies, US dollars included. They aren't a separate category, though: they count toward the same C$100,000 limit per category as Canadian-dollar deposits, converted at the exchange rate on the day a member institution fails.
Converting later can also create a small tax item. The CRA treats gains from disposing of foreign currency as capital gains, but individuals report only the net gain or loss above C$200 for the year, converted at the Bank of Canada rate for each day.
Snowbirds and households in both countries
Snowbirds who keep a US account for winter bills face rules that matter more than the transfer itself. In the US, you become a tax resident under the substantial presence test after at least 31 days in the current year and 183 days over three years, counting every day this year, a third of last year's days and a sixth of the year before's. A Canadian with fewer than 183 US days in the current year can still be treated as a nonresident by filing Form 8840 to claim a closer connection to Canada, due by June 15 for those without US wages subject to withholding.
In Canada, a resident must file Form T1135 when foreign property, including money in US bank accounts, has a total cost of more than C$100,000 at any time in the year (Canada Revenue Agency, as of Nov 1, 2026). Moving Canadian dollars south for the season? Check the Canadian to US dollar rate the same way you would a quote going north.
Pricing a US-to-Canada transfer
Quotes on this route run in Canadian dollars per US dollar, the reverse of pound and euro quotes, so here a higher rate leaves more for the recipient. Subtract the quoted rate from the mid-market rate and divide by the mid-market rate to get the markup; our guide to exchange-rate markups explains the method. The Bank of Canada publishes a daily average rate by 4:30pm Eastern each business day, a useful reference for checking a quote after the fact.
| You send | At the mid-market rate | With a 0.5% markup | With a 1.5% markup | With a 3% markup |
|---|---|---|---|---|
| $1,000 | CA$1,399 | CA$1,392 | CA$1,378 | CA$1,357 |
| $10,000 | CA$13,987 | CA$13,917 | CA$13,777 | CA$13,567 |
| $25,000 | CA$34,968 | CA$34,793 | CA$34,443 | CA$33,919 |
Read across the US$10,000 row: moving from the 0.5% column to the 3% column costs US$250 of value before any fee.
Worked example: Three ways to send US$12,000 to a Canadian account
The Bank of Canada's average rate on October 30, 2026 was C$1.3960 per US dollar, so US$12,000 was worth C$16,752.00 at mid-market. Three hypothetical quotes at that rate:
| Bank wire in Canadian dollars | Provider paying out by electronic funds transfer | US-dollar wire to a US-dollar account | |
|---|---|---|---|
| Rate | C$1.3541 (3.0% below mid) | C$1.3876 (0.6% below mid) | No conversion |
| Sending fee | US$45.00 | US$5.00 | US$45.00 |
| Receiving bank fee | C$15.00 | None | US$15.00 |
| Amount that arrives | C$16,234.20 | C$16,651.20 | US$11,985.00 |
| Total you pay | US$12,045.00 | US$12,005.00 | US$12,045.00 |
| Arrival valued at mid-market | US$11,629.08 | US$11,927.79 | US$11,985.00 |
| True cost | US$415.92 (3.47%) | US$77.21 (0.64%) | US$60.00 so far |
- True cost is what you pay minus the mid-market value of what arrives: US$12,045.00 − (C$16,234.20 ÷ 1.3960) = US$415.92
- The provider route delivers C$417.00 more than the Canadian-dollar wire
- The US-dollar route only defers the exchange cost, which the recipient pays when converting
- All three exceed C$10,000, so a Canadian bank or money services business reports the transfer to FINTRAC; that's routine and isn't a tax
Our money transfer cost calculator uses this formula too; it's labeled for pounds and rupees, but works for any pair if you enter your own figures. Receiving fees and intermediary charges are explained in international wire transfer fees.
What does Canada report, and does the recipient owe tax?
Canadian banks and money services businesses report international transfers of C$10,000 or more to FINTRAC, and a gift is generally not taxed in the recipient's hands.
The threshold covers a single transfer or several that add up to C$10,000 within 24 hours when they come from the same person or go to the same recipient, and the report is due within five business days. It's an obligation on the institution, not a charge on the money. Cash is tracked separately: depositing C$10,000 or more in cash triggers a large cash transaction report.
The CRA lists most gifts and inheritances among amounts that aren't reported or taxed, but income earned on them is taxable. On the US side, three points apply:
- Gift tax. Gifts above $19,000 per recipient (IRS, as of Nov 1, 2026) in 2026 require Form 709, with tax due only after lifetime gifts pass $15,000,000 per person. A Canadian spouse who isn't a US citizen has a separate limit of $194,000. The IRS lists the US-Canada treaty as covering estate tax only, not gifts. More in gift tax on money sent abroad.
- Paying in cash. What the federal remittance tax covers: 1% of the amount sent, on transfers paid with cash, a money order, a cashier's check or a similar physical instrument. What it doesn't: Transfers funded from a bank or other financial-institution account, or with a US-issued debit or credit card. See the remittance transfer tax guide.
- Your rights. For personal transfers, federal rules give you a disclosure before paying and time to cancel; remittance transfer rights has the details.
Holidays on both sides of the border
Payments Canada's systems close on Canadian federal holidays and the Federal Reserve on US ones, and a wire or electronic transfer waits whenever either side is shut. Several days close both, including New Year's Day, Labour Day, Canadian Thanksgiving, which shares the second Monday of October with Columbus Day, and Remembrance Day, which falls on Veterans Day. The table lists the days through 2027 when only one side closes. Payments Canada had published only its 2026 schedule as of November 2, 2026, so the 2027 Canadian dates follow the federal holidays that closed its systems in 2026.
| Date | Payments Canada systems | US Federal Reserve |
|---|---|---|
| Thu, Nov 26, 2026 | Open | Closed (Thanksgiving) |
| Mon, Dec 28, 2026 | Closed (Boxing Day observed) | Open |
| Mon, Jan 18, 2027 | Open | Closed (Martin Luther King Jr. Day) |
| Mon, Feb 15, 2027 | Open | Closed (Washington's Birthday) |
| Fri, Mar 26, 2027 | Closed (Good Friday) | Open |
| Mon, May 24, 2027 | Closed (Victoria Day) | Open |
| Mon, May 31, 2027 | Open | Closed (Memorial Day) |
| Thu, Jul 1, 2027 | Closed (Canada Day) | Open |
| Mon, Jul 5, 2027 | Open | Closed (Independence Day observed) |
| Thu, Sep 30, 2027 | Closed (National Day for Truth and Reconciliation) | Open |
| Thu, Nov 25, 2027 | Open | Closed (Thanksgiving) |
| Mon, Dec 27, 2027 | Closed (Christmas Day observed) | Open |
| Tue, Dec 28, 2027 | Closed (Boxing Day observed) | Open |
Year-end is the tightest stretch: a transfer that misses Friday, December 24, 2027 won't settle in Canada until Wednesday, December 29. Provincial holidays such as Family Day in February, Saint-Jean-Baptiste Day in Quebec and the August civic holiday don't close the national systems, though local branches may shut. Toronto, Montreal and Ottawa share New York's time zone and Vancouver runs three hours behind, which matters less here than on transatlantic routes because Lynx's processing day runs from 12:30am to 7pm Eastern.
Where US-to-Canada transfers go wrong
The common failures on this route are mechanical, and each is easy to prevent:
- Numbers in the wrong order. A cheque shows the transit number first; the routing code wants a zero, then the institution number, then the transit number.
- A missing address. Payments Canada's guidance treats the payee's full legal name and address as mandatory on international payments, so a wire without them can be delayed or returned.
- The transit number wrongly left out of, or added to, the account number. Banks differ, and Payments Canada tells senders to confirm the format with the payee or their bank.
- US dollars sent to a Canadian-dollar account. The receiving bank converts them at its own rate, so state the currency and the account type.
- Expecting Interac to work from the US. It won't; pick a provider that pays out in Canada.
Fraud is the other risk. The Canadian Anti-Fraud Centre received more than 112,000 reports with over C$704 million in losses in 2025 and estimates that only 5% to 10% of fraud is reported; investment scams caused the largest losses. Treat an urgent request to send money to a relative in trouble, or to a new online contact in Canada, as a warning sign until you've called someone you already know. Our guide to money transfer scams covers the usual scripts.