Money transfer from CDN Banks

[ORAL KENZIE]

This question would be for any Canadians living in Ecuador. I have a US$ bank account at TDCanada trust, but I cannot use the Internet to wire funds to someone anywhere. I must go into the bank in person to do this. I will be in Ecuador in November and would like this option rather than carry lots of cash. I have checked into PayPal but of course they will only allow you to select your CND$ Account so they can get fees from the US to CND$ conversion. Essentially, this would cost me 172.00$ per $1000.00 ( ouch). Western union is not as bad for fees but it is still not the greatest.

So my question is: does any Canadian whom lives in Canada and snowbirds to Ecuador, or any Canadian who has figured out a better way to transfer money (US$) to Ecuador, know of a Canadian Bank with a US$ account that will let you wire or transfer money over the Internet? Or know of any other way to move US$ out of my Canadian bank using a Internet interface?

My email address is ckenzie1@shaw.ca if you want to email me privately!

[DANICA ROBERTSON]

Hi Oral,
We are struggling with the same issue. I did successfully put a positive balance (prepay) a US$ Credit Card (provided by a Canadian bank) and took a cash advance (paying the $3.50 usd fee) but avoiding the interest you would normally pay for a cash advance. As far as I can tell, your US$ account and the US$ credit card have to be issued from the same institution…TD does offer a US$ Visa http://www.tdcanadatrust.com/products-services/banking/credit-cards/more-cards/usd.jsp (No, I don’t work for TD). You simply pay your US$ Credit Card from your US$ account, the key is having a credit balance when you withdraw the funds. Your only issue would be the limit set on cash advances for the Visa card I’ve been reading up on RBC who offers an actual US account that you can link to your RBC Canadian account that might circumvent all of these issues, but haven’t talked to anyone there yet. Does that help?

[ORAL KENZIE]

Hi Danica
I have a US dollar account with TD in Canada, and I have their US credit card. My problem is that the person I wish to pay for a tour we are taking in Ecuador does not take credit cards. So I was hoping to do a wire transfer over the Internet from Ecuador to his bank account in the USA to pay for the balance remaining at the end of the tour. TD bank will not let you do this over the Internet, in fact you must do this while at your bank in Canada. They need a signature.

I phoned TD to see about a US Bank account with US$ located in the US. They have one but you can not do a transfer over the Internet.
They say you can phone them and transfer money, but I would like to know of a Canadian whom is doing this, before I go to the effort of opening a US$ bank account in the US. There are implications with IRS if you make interest on a US bank account and are a Canadian citizen. I looked into Paypal and depending on whom I talk to I get different answers. This is very frustrating!
I will contact the RBC and see what they say, as I have seen other info on the net saying they will be my best bet as well.

I am just not a big fan of carrying lots of cash on me, but in the end I may have to do that.
If you find a way to do this please let me know and if I find a way I will let you know. Sometimes I wish as a intl living subscriber they would have more info for Canadians but I guess we are such as all part of the market that we do not count.

Oral Kenzie

[DANICA ROBERTSON]

Could you not fax/scan a request to your bank to have the wire sent? They would then have your signature and the problem would be solved. I’ve worked for a couple financial institutions and did that for our customers. TD is supposed to have a top notch customer service reputation (so say their ads). This really shouldn’t be a problem, assuming you have all the wiring information.

[DANICA ROBERTSON]

Unless of course your signature has changed from what the bank has on record. If my previous suggestion was already tried, I apologise!

[COUNTRY EXPERT- SUZAN HASKINS]

HI Oral, of course you count. But banking overall is somewhat personal, so for IL to give advice that fits every situation just isn’t doable. One thing you might consider is that there are some banks in Ecuador where you can go in and make a cash withdrawal using your credit card. I’ve done this and it’s very simple. (In fact, I’ve done it in more countries than just Ecuador.) If I remember correctly, once place you can do it is at Banco Internacional — and I think the branch we used was at Quicentro Mall in Quito. You might try that.

[ORAL KENZIE]

Hi Suzan:

You are right you can use your credit cards at ATMs or banks but there is a daily limit usually $100.00, unless it is different in Ecuador. Also, interest on the amount you take out from an ATM is charged immediately. I was looking to minimize the charges. It just annoys me that I already have US$ in a US$ bank account in Canada that I have already paid conversion costs on and cannot use it. At this point it looks like I will have to bring money with me and carry it around or a Bank draft.

I may be able to get a US$ account in the US and set that up in Paypal. Out of my 4 inquiry’s with PayPal I have two saying I can and two saying I can not. I think I will try this!

Thanks for your suggestions!

Oral Kenzie

[COUNTRY EXPERT- SUZAN HASKINS]

I switched to a Capital One account since they don’t charge foreign ATM fees. I am uncertain what you mean about “interest” on the amount you withdraw via ATM??? And I can always withdraw $300 to $500 from ATMs, no problem, anywhere in the world. With my credit card, I have been able to get $1,000 in cash at the bank I mentioned earlier. I am sure I could have gotten more, but that’s all I needed. I pay off my credit cards every month so I don’t believe I incurred any interest there either.

[DANICA ROBERTSON]

You could try getting and international money order sent down. (You would still likely have the signature issue.) I think Suzan is talking about a hybrid credit/debit card that can use the credit card system to access funds from your account (no cash advance interest). But you’re right, US$ accounts in Canada aren’t friendly for anything other than cheques, paying that institution’s US$ credit card and withdrawing cash in person. I feel your pain. I’m guessing the tour company has refused to take a cheque from the account. Could you take a cheque from your account to an Ecuadorian bank and have it exchanged for a money order? As far as I can tell from PayPal, you can only withdraw Cdn funds from your account, convert them to US$ at their exchange plus 2.5% and a 0.5% to send to the US. Very pricey. I would push the issue with your financial institution, it’s your money, they should be looking for a solution for you (or at least helping to look).

[DANICA ROBERTSON]

Just came across a website called tranzfers.com. I’ve never used it, but it might solve your issue. I haven’t checked in to the BBB or looked for any complaints etc, but might be worthwhile looking in to. It looks like it cost $15 to transfer funds out of Canada.

[ORAL KENZIE]

Thanks Danica:

I will check it out.

Suzan:

In Canada if you use your credit card to withdraw money from an ATM you are charged interest from the Day that you do the withdrawal until until the time at which you pay your balance owing. If you purchase goods then you can pay the balance of your statement without interest.

Oral Kenzie

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