A bank transfer is a process where money is sent from one bank account to another. This can be done within the same bank or between different banks.
The types of bank transfers include immediate Interac e-Transfers, scheduled payments, and international money transfers. Each serves unique needs, whether it's paying bills, sending money to family, or conducting business transactions.
Learning how to do a bank transfer is straightforward, and you can typically complete a transfer using online banking, by phone, or in person at a bank branch. In this article, we’ll walk you through the steps to complete a bank transfer and share tips on transferring money.
Key Takeaways
- A bank transfer is when money is moved electronically, either between accounts or to another recipient.
- To transfer money within your account, log in to your online banking platform, locate the Transfer section, enter the details, and confirm the transfer.
- To send an e-Transfer, log in to your online banking, select the e-Transfer option, enter the recipient’s details, amount, and a security question if required, and submit the transfer.
- You’ll require additional details to send a wire transfer or international money transfer, such as the recipient’s account information.
- Send transfers safely by double-checking details, being aware of fees, using a secure internet connection, and keeping a record of transfer details.
How to do a bank transfer between your accounts
It’s very simple to transfer funds between your bank accounts, and there are multiple ways to tackle this task:
- Online banking is the most popular method, allowing users to log into their bank's website or app, select the transfer option, input the amount, and choose the recipient's account details.
- Phone banking offers a secure alternative for those who prefer not to bank online. By calling the bank's customer service line, you can request a transfer after verifying your identity.
- In person at a branch allows you to deal directly with a teller who will help you process your request, or you can use an ATM to move money as well.
These methods ensure a swift and secure transfer of funds, catering to different preferences and needs.
Based on information provided by the big banks, here are the steps to complete a transfer of funds between your accounts using online banking:
- Log into your online banking platform or mobile app
- Navigate to the "Transfer" section
- Select the accounts you want to transfer from and to
- Enter the amount you wish to transfer
- Review the details for accuracy
- Confirm the transfer
It’s that simple!
How to do a bank transfer to another bank account
Digital money transfers have become extremely popular, so to remain competitive, nearly every bank has adopted a simple, user-friendly process for customers to move funds electronically from one person to another.
But while it may be simple to do, transferring money to someone else's bank account requires careful attention to detail. Let’s take a look at the different types of transfers available.
Interac e-Transfer
One of the simplest ways to send money from one person’s account to another is using Interac e-Transfers.
The simplicity of this method has also made it incredibly popular. In fact, in 2022 the Interac Corporation announced it had facilitated over 1 billion e-Transfers over 12 months.
Here's a simplified step-by-step guide for sending an e-Transfer:
- Log into your bank's online banking or mobile app
- Select the option to send an Interac e-Transfer (sometimes under the Transfer tab)
- Enter the recipient's email address or mobile phone number
- Specify the amount you wish to send
- Set a security question that the recipient knows the answer to (if required)
- Review the details and confirm the transfer
Most banks also provide account holders an option to enable Autodeposit, meaning that once an Interac e-Transfer is sent to their email address, the transfer is automatically accepted and deposited without the need to answer a security question.
This is an added safety feature that eliminates the potential for a hacker to interrupt the transfer, but it also means that once the transfer is sent, there’s no turning back. Autodeposits are a very popular and well-utilized feature, so be very certain that the information you’re providing in your transfer request is accurate and up-to-date.
Wire transfer
If you've never sent a wire transfer, it’s a good idea to get some support from your bank the first time. This payment is facilitated by your financial institution.
You’ll need to provide the recipient's bank details, including:
- Contact information
- Account number
- Bank information
- Routing number
- SWIFT/BIC code
- Amount to be transferred.
Banks charge a fee for wire transfers, and fees vary based on the transaction. For specific instructions and fee details, call your bank or refer to the wire transfer section on their website.
International money transfers
International money transfers are slightly more complicated (and expensive) than transfers that take place between two Canadian accounts.
There are multiple services available to facilitate these transactions, including banks, money transfer services, etc. One of the least expensive and most straightforward is offered by Wise.
To transfer money internationally using Wise, you start by creating an account or logging in to their platform. Then, enter the amount you want to send, specify the currency, and provide the recipient's banking details.
Wise shows you the fee and exchange rate upfront. After confirming the details, you fund the transfer, which Wise then processes, sending the money directly to the recipient's bank account.
Learn more about Wise here:
- USD: Start at $7.40
- EUR: Start at $6.34
- GBP: Start at $6.78
- INR: Start at $8.21
- CNY: Start at $15.66
- Direct debit: $9,500/day, $30,000/week
- Debit/credit: $3,000/transfer
- Interac e-Transfer: $25,000
- Bill payment/wire transfer: $1.5 million
Wise, formerly known as Transferwise, is an international money transfer service that allows users to send funds to 80+ countries, including Wise transfers in Canada. Transferwise was launched in 2011 by two friends from Estonia. The company started out offering international money transfers, and soon grew to include multi-currency accounts, business accounts, and a debit card. In 2021, Transferwise changed its name to Wise.
- Cheap international money transfers
- Transparent fee structure
- Free multi-currency account to hold over 40 currencies
- FINTRAC regulated in Canada
- Ability to enable two factor authentication (2FA)
- Your Wise account can be deactivated with no reason given
- Limits on the amount that can be transferred
- Relatively small list of countries
- No hidden fees or markup
- USD: Start at $7.40
- EUR: Start at $6.34
- GBP: Start at $6.78
- INR: Start at $8.21
- CNY: Start at $15.66
- USD: Same day
- EUR: Same day
- GBP: Same day
- INR: Same day
- CNY: Same day
- Direct debit: $9,500/day, $30,000/week
- Debit/credit: $3,000/transfer
- Interac e-Transfer: $25,000
- Bill payment/wire transfer: $1.5 million
Tips for transferring money
Electronic money transfers have become the norm, and nearly every bank and account offers multiple options to help you move funds from one account to another safely and securely.
However, humans make mistakes sometimes, and so do banks. Here are some tips to help ensure your bank transfers are successful:
- Always double-check the amount being transferred and the recipient's account details before confirming the transfer.
- Be aware of the fees associated with different types of transfers, especially international transactions.
- Use secure internet connections when making online transfers to protect your financial information.
- Keep a record of the transaction details including confirmation numbers, in case you need to trace the transfer or resolve any issues.
These steps can help ensure a smooth and secure transfer process, whether you're sending money domestically or internationally.
Have you made a bank transfer?
We've covered a lot of information about bank transfers, from the basics to international transactions.
Now, we want to hear about your experiences.
Have you found a particular method of bank transfer that’s more efficient or cost-effective? How do you ensure your transfers are secure, especially when sending money internationally?
Please share your tips and experiences in the comments below.
FAQ
What is a bank transfer?
A bank transfer is a method of sending money from one bank account to another, either within the same institution or across different banks. This process can be completed online, via phone, or in person, offering a secure and efficient way to manage financial transactions.
What details do I need for a bank transfer?
Each type of bank transfer requires different details. To transfer funds via Interac e-Transfer, all you need is the recipient’s email address or phone number. For international money transfers and wire transfers, you'll need more information such as the recipient’s account number.
How do I do a bank transfer online?
To start, ensure you have access to online banking. Log into your online banking platform or mobile app, navigate to the "Transfer" section, enter the account details and transfer amount, and confirm the transfer.
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