Businesses: paying a foreign supplier in US dollars or euros

The real cost of an international payment

On a US$20,000 invoice, a one-percent difference in the exchange rate is about US$200, often more than the wire fee itself. To compare two options, always ask:

1. Which rate will be applied?

2. Which fees (sending, intermediary banks)?

3. Exactly how much will the supplier receive?

The details to prepare

• the supplier's legal name, as registered with their bank, and their address;

• their bank's name and address;

• their account number or IBAN, and their bank's SWIFT/BIC code;

• the invoice number and the exact currency requested.

As a FINTRAC-registered money services business, we must also confirm your business exists and verify the identity of the person making the transaction.

Watch out for change-of-banking-details fraud

It's one of the costliest frauds for small businesses: an email, apparently from the supplier, announces "new banking details". Before any payment to a new account:

• call the supplier at a number you already had;

• be wary of urgency and last-minute changes;

• check that the account holder's name matches the supplier.

An international wire is very hard to recover once sent.

Recurring invoices

If you regularly pay suppliers in the US or Europe, a contact who knows your file saves time. Our bank-to-bank transfer service converts your funds at the rate agreed upfront and settles them directly from one account to another, and our international wire specialists handle intermediary bank requirements.

Frequently asked questions

Can I know the rate before I commit?

Yes. We confirm the rate and all fees before anything is sent. Contact a branch.

Why does the rate change from day to day?

Because rates follow the market. See why the Canadian dollar goes up or down.