International Money Transfer Guide
Money Transfer Knowledge HubLearn the basics of sending money abroad in clear, simple language.
International Money Transfer Guide
Sending money to family or friends abroad for the first time? This guide explains everything in simple language – no banking degree needed.
30-second summary
- Banks are usually safe, but often expensive.
- Specialist apps (like Wise, Remitly, etc.) are often cheaper and faster.
- The exchange rate matters just as much as the fee.
- Always compare before you send – small differences add up.
How international money transfers actually work
No magic here. Every international transfer is basically the same three steps, no matter which company you use.
You pay in your currency
You send money from Canada in CAD (or from your local currency) using a bank account, debit card, or sometimes credit card.
Example: You pay $1,000 CAD to send to your family.
The provider converts the money
The company exchanges your CAD into the other currency using an exchange rate. This is where many providers hide profit.
Small difference in rate = big difference in what your family gets.
Recipient gets paid
Your family receives money by bank deposit, cash pickup, mobile wallet, or even home delivery (in some countries).
Check how long it takes: minutes, hours, or days.
Types of money transfer services (simple comparison)
There are three main ways to send money abroad. Here’s the “explain like I’m 5” version:
Banks
- Very safe and familiar.
- Often higher fees and weaker exchange rates.
- Transfers can be slower (1–5 business days).
Good for: Very large amounts when you want everything with your main bank.
Always check the exchange rate your bank uses.
Specialist apps & websites
- Designed just for international transfers.
- Often lower fees and better exchange rates.
- Fast – sometimes minutes or same day.
Good for: Most everyday transfers to family/friends.
This is where you often save the most.
Cash transfer shops
- Walk into a store and pay cash.
- Useful if you or your family don’t use bank accounts.
- Fees and exchange rates can vary a lot.
Good for: Cash pickup in areas with low banking access.
Always compare two or three options in your area.
Easy example: sending $1,000 CAD
Let’s say you want to send $1,000 CAD to family. Two companies give you:
Option A – Bank
- Transfer fee: $20
- Exchange rate is worse than Google’s “mid-market” rate.
- Your family gets, for example, 70,000 BDT.
Option B – Specialist app
- Transfer fee: $3
- Exchange rate is very close to mid-market.
- Your family gets, for example, 73,500 BDT.
Difference: Same $1,000 from you, but your family could get 3,500 BDT more just by choosing a better provider.
Which option is best for me?
“I just want the easiest option”
Your bank is the simplest, but usually not the cheapest. Use it if you don’t mind paying more for convenience.
“I want to save money every time”
Compare specialist money transfer services. This is where RateBuddy can help you find the best combination of fees + rate.
“My family needs cash pickup”
Look at providers that offer cash pickup locations near your family. Check both the fee and the rate, not just the brand name.
Safety checklist (before you click “Send”)
- Double-check the recipient’s full name and account details.
- Use trusted, regulated companies (not random social media ads).
- Never send money to someone you just met online.
- Turn on 2-factor authentication for your banking / transfer apps.
- Save your transfer receipt or reference number.
- Tell your family how and where they’ll receive the money.
- If something feels off, stop and contact customer support.