Western Union Canada Fees: An Overview
Sending funds abroad through international money transfers is a task that should be taken seriously. In today’s highly competitive business world, there are so many foreign exchange options on the market – each boasting their own competitive advantage.
Truthfully, your focus when booking FX transactions should be to be as cost-efficient as possible. After all, the goal is to save as much as possible on a reliable and trustworthy currency conversion service.
In most cases, your ability to get the most “bang for your buck” will come down to your individual needs and preferences.
About Western Union
Western Union is a publicly traded (NYSE) financial services company that was initially founded in the 19th century United States, almost two centuries ago.
Their financial product offering range is incredibly diverse and inclusive from having spent so much time in the industry.
Western Union Canada
Today, Western Union specializes in payment processing, money transfers, and cash transactions in many countries around the world (Western Union Canada).
Since the company established roots in roughly 200 different countries, individuals and businesses can use their services to make payments/send money in a different currency to one of their offshore locations. This is performed through their 10 digit MTCN that is specific to your Western Union Money Transfer Order.
UNDERSTANDING WESTERN UNION CANADA FEES AND EXCHANGE RATES
We’ve created this brief overview of Western Union Canada’s FX service offering in order to expose you to the kinds of deals you’ll be offered by them (and by competitors) on money transfers.
Hopefully by witnessing their fee structure and understanding their value, you’ll have an easier time filtering through alternatives.
What Affects International Money Transfer Costs at Western Union Canada?
There are two primary factors that influence the service charge related to placing a money order abroad. Either one can affect your Western Union payment dues in different ways, but the exact dollar impact they will have is tailored to the individual.
(1) Geographical Location
Where you send your funds to/where your recipient is located plays a huge role in determining your total transaction fee. Different nations (with constantly fluctuating currency valuations) can come at a different cost.
This is mainly due to the inequality between the mid-market rates (the rate the currency pair is actually trading at) and the Western Union offered exchange rates. Some currencies may feature more favourable deals (closer to the mid-market) than others.
(2) Transfer Method
How you decide to place a transaction, or how you wish your recipient to acquire funds, is another crucial determinant to your foreign exchange service cost.
- DIRECT BANKING PAYMENT – Your money will be transferred directly into your recipient’s bank account electronically. This is exclusive to participating countries.
- MOBILE PAYMENT – Your transaction will be carried out digitally from the Western Union app into your recipient’s digital wallet. Your recipient must reside in a Western Union partnered country for this option to be available.
- CASH PAYMENT – While fast and reliable, cash payments require the most physical involvement. To receive the most benefit from this method, your recipient must also receive the funds in cash (from their local Western Union branch).
WHAT ARE THE FEES ASSOCIATED WITH WESTERN UNION CANADA?
There are a couple ways that Western Union Canada earns money through using their foreign exchange services.
The best way to get an accurate quote on their currency conversion is to use their in-house conversion tool.
Exchange Rate Mark-up
It’s widely understood that most (if not all) foreign exchange service providers include a mark-up on their exchange rates to profit from a currency transaction.
Western Union’s offered rates will always be higher than the mid-market rate of that currency pairing since it includes a margin.
Fixed Transfer Fee
In addition to this exchange rate mark-up, the company also charges a transfer fee that varies based on the amount you want exchanged and the associated transfer method.
Generally speaking, the more money you wish to send with Western Union Canada the more expensive it’ll be, especially since you’re limited to $999 CAD for bank transfer payments.
Large cash transaction amounts (such as $3000 CAD) will be hit with massive fees. Transfer fees for small-sized transactions are typically more reasonable, and can be brought down even further if the payment deposits directly into your recipient’s bank account.
When your recipient is taking out physical cash from a Western Union agent the fees can be quite substantial. For instance, sending out a $1000 CAD debit payment for an equivalent USD cash withdrawal will cost you a considerable $25 CAD in transfer fees.
If you were to instead make this payment from a local Western Union branch you can significantly lessen this charge.
How To Save Even More Money On Foreign Exchange
Given that Western Union Canada does not offer the most competitive exchange rates, and includes transfer fees in most of their cash transactions, it’s worth using KnightsbridgeFX for your international money transfer needs.
KFX offers competitive rates, no hidden fees, and free wire transfers for transactions that are over $2000 CAD: 1-877-355-5239
WESTERN UNION CANADA: THE GOOD AND THE BAD
|Western Union Canada – PROS
||Western Union Canada - CONS
|· Expansive international network
||· Fee structure is fairly unforgiving
|· Different payment/receiving options
||· Exchange rates are unfavourable
|· No banking information is needed (if choosing cash pickup)
||· Punished (rather than rewarded) for larger sized transactions
Quick Summary of Western Union Canada Pros and Cons
It’s generally a good idea to understand the pros and cons of Western Union Canada so you can be fully informed on the company’s money transfer services.
What We Liked
The company has built a solid reputation over the decades for being both reliable and secure. It’s also worth mentioning that with Western Union you could exchange around 200 different currency types which is aided by the brand’s global reputation.
Since your transactions can be done through Western Union exclusively (if you don’t like relying on third party intermediaries – usually associated with bank to bank transfers) you have the added benefit of knowing who is processing your transfer.
What We Didn’t Like
Compared to other foreign exchange service providers on the market, their fees and rate mark-ups are highly unfavourable. Since payment options and fees worsen as your transaction amount increases, booking large transfers with Western Union Canada may not be in your best interest.
FINAL THOUGHTS: WHAT YOU CAN DO TO SAVE MONEY ON INTERNATIONAL MONEY TRANSFERS
Fortunately, there are some currency conversion deals out there on the market today that no longer included fixed transfer fees.
A good example is KnightsbrideFX - a professional international money transfer company. While Western Union Canada may charge you fixed transfer fees upwards of $20 on a $2000 CAD transfer, KnightsbridgeFX will perform a bank transfer for that amount with zero fees.
Click here to get started!
Here are just a few of the many advantages to choosing KnightsbridgeFX as your primary currency converter:
- Safe – Secured and regulated by FINTRAC # M09819788 and AMF # 904210
- Legitimate – More than 70,000 satisfied customers (over $2 billion CAD traded)
- Transparent – No hidden fees, mutually agreed upon rates, and rate guarantees
- Convenient – Booking a transaction and receiving funds can be done within 24hrs
- Reputable – Featured on CTV, The Globe and Mail, BNN, Toronto Star, and CBC
Western Union Canada Frequently Asked Questions – FAQ
How many Canadian Western Union locations are there?
If you wish to visit a local Western Union to book a physical cash transfer you’re in luck. There are around 3000 Western Union Canada locations in the country.
How do I create an account with Western Union Canada?
The best way to set up a new account is to visit their website. Once you are there you may click the “register account” button which will redirect you to a new page. Western Union will then ask for some personal identification documents to confirm your identity.
How long does an international money transfer take with Western Union Canada?
The absolute fastest way to send money with Western Union is through a physical cash transaction. As soon as your order gets recognized in the Western Union system, your recipient can withdraw the cash from their local Western Union. Banking deposits can take anywhere from 1 to 3 business days.