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Hi
I have some inheritance money in the UK which I wish to transfer to my account in Canada. I understand that I don't have to pay tax on inheritance but there was no probate made as property was not involved and it was under the UK inheritance tax limit. I don't want to bring it over all at once as I wish to just dip into it as I need it and, with the variable exchange rate I don't want to bring it all over and then miss out if the rate is to my advantage later. Do I need to contact Finbar/CRA, as it's over $10,000 and, if so, how can I confirm it's inheritance without probate? Thanks.
 

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Just wire transfer it. The receiving financial institution is the one that reports to FINTRAC. That institution may ask you where the funds come from but you will unlikely have to prove it. Just keep all your records from when you received it, etc.

P.S. if you keep more than $100k Cad equivalent outside the country, you will need to file a T1135 with your tax return
 

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Be very careful about what advice you listen to on this issue. First, do NOT wire transfer from one bank to the other. You will lose money on the exchange rate doing that. You need to set up a Forex account with a company like Moneycorp or the like. They will only take 1% on the currency transfer. You can also hedge your exchange rate bets by buying at a fixed rate for a future date. I'm thinking of Brexit when I write this. If the UK ends up with no deal, it is pretty likely the Pound will tank at least initially and if you want to move some money near that time, you could take a real hit. I can tell you that the exchange rate between the UK Pound and the Canadian Dollar has varied by as much as 25% over the last 13 years.

Of course this all depends on just how much money you are talking about. What can be considered a substantial amount by one person may be peanuts to another person and to all parties involved. If you are talking low 5 figures it is not the same as 6 figures.
 

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The point is to wire transfer between accounts of the same currency.

I agree that if one wants to do currency exchange, there are any number of online forex houses charging far less than banks. Knightsbridge, Transferwise etc.

The point is to avoid the mailing or couriering of cheques, bank drafts, etc. Electronic transfers are the key.
 

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I believe TD will still let you set up accounts in Sterling. I would expect Scotia would -- they do Euros. HSBC for sure would.
I can confirm TD had these accounts still around a year or 2 ago. The front line people don't really know of them though so you may have to push to get one opened up.
 

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Oh come on, that isn't even anything near a decent attempt to back pedal. The OP clearly wrote, " with the variable exchange rate I don't want to bring it all over and then miss out if the rate is to my advantage later." He intends to exchange it to Canadian Dollars. End of story unless the OP wants to change his story.

Stop digging the hole deeper AltaRed.
 

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Not sure why you are so concerned about the side bar issue of currency exchange rates while ignoring the OP's question.

It was "Do I need to contact Finbar/CRA, as it's over $10,000 and, if so, how can I confirm it's inheritance without probate?"

My understanding is that the wiring institution (or possibly receiving one) has to do the reporting so like some articles have written - wiring may be a good choice.
The currency exchange and wire transfer could be the same financial group or a couple of different ones - depending on where one finds the better deal with whatever work is associated with it.


Cheers
 

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I agree the currency exchange issue has nothing to do with the OPs question. The question has been answered. LTA seems to have a latent need to go off on his tangents to demonstrate supposed wisdom and great knowledge.
 

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I agree the currency exchange issue has nothing to do with the OPs question. The question has been answered. LTA seems to have a latent need to go off on his tangents to demonstrate supposed wisdom and great knowledge.
LOL, so now you want to avoid having to admit to 'foot in mouth' disease altogether AltaRed. 'I can't justify my remark re 'Just wire transfer it.', by saying it meant transfers kept in the same currency, so I will jump on Eclectic12's comment re currency exchange was not the question asked.

The OP Is writing about transferring Pounds Sterling to Canada and to Canadian Dollars but you want to try and say talking about that is 'off on a tangent'? Really? You think you can cover up your first comment with that?
 

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I agree the OP wrote about transferring Sterling to Canada, likely to Cdn dollars or maybe not... That was not explicitly said though assumed based on wording used. I concede that point, but it is not a given one would do that with the original wire transfer from the UK.

I've wire transferred USD from an account in the USA to a USD account in Canada several times in the 2000-2010 period and then taken opportunities to convert to CAD via various means when the timing was right, such as Norbert's Gambit, or wholesale @ 1% via the Scotia currency trading desk. There are numerous ways to do cost effective forex conversions.

Notwithstanding all that, the concern was about regulatory 'reporting' of the transfer, and that question has been answered.
 

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Not sure why you are so concerned about the side bar issue of currency exchange rates while ignoring the OP's question.

It was "Do I need to contact Finbar/CRA, as it's over $10,000 and, if so, how can I confirm it's inheritance without probate?"

My understanding is that the wiring institution (or possibly receiving one) has to do the reporting so like some articles have written - wiring may be a good choice.
The currency exchange and wire transfer could be the same financial group or a couple of different ones - depending on where one finds the better deal with whatever work is associated with it.


Cheers
Eclectic12, while the question asked was as you say, the OP is in fact talking about a currency exchange and was initially given advice that ignored the cost of an exchange. That ignoring of the exchange by AltaRed's comment is what makes bringing up currency exchange relevant. We don't know if the OP would realize that doing a 'wire transfer' as suggested would cost him more money. We don't even know what kind of 'wire transfer' AltaRed was referring to or the OP would interpret as being suggested. Instead of a transfer between banks, the OP could think it was referring to a wire transfer using Western Union which would cost even more.

People often don't know which questions they should be asking and when it is obvious that more than just the question they have asked, should be asked, then someone responding to them should make sure they realize there is more than one question to be asked. Especially when advice already being given ignores that other unasked question and will result in it costing the OP money if the advice was followed.

To me it is about whether you think you should only answer specific questions as asked or whether you want to help the person asking a question and be sure they realize there are other questions they should be asking if they haven't already considered them.
 

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LTA:
That's why the currency exchange was referred to as a side bar. It is a step in the overall process.

For whatever reason you are making the currency exchange the key issue when we don't know if the OP has options available to them for cheaper currency FX and possibly cheaper wire transfer fees. It is important to the final costs but makes no difference to the question about Fintrac and possible CRA reporting.

Where there are two questions with multiple ways to achieve the end goal - why dump on a suggested method instead of outlining the pros/cons and clear up what the two questions are?

This executor with the benefit of hind sight would have preferred wiring the funds versus missing the required paperwork.
https://www.cbc.ca/news/canada/ottawa/bank-drafts-seized-us-border-td-bank-customer-service-1.4749780


Cheers
 

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Seems the OP might have been scared off.... Has yet to return and get caught in this debate.
Maybe ... or then again, they might be busy with real life, a last summer vacation and potentially the last week before school starts again. :biggrin:


Cheers
 

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Maybe ... or then again, they might be busy with real life, a last summer vacation and potentially the last week before school starts again. :biggrin:


Cheers
Yes I just returned from an extended trip to Ontario to visit family and friends. No internet time and in places (as they were all in cottage country) no internet. Reading a whole thread that was mostly our buddies debating each other with no involvement by OP seems to be a waste of CMF resources.

I can see why sub-reddit PersonalFinanceCanada is more popular.
 

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Discussion Starter #18
Thanks for the replies. Yes, it was just a question about who I might need to inform when bringing inheritance over. I was intending to use an fx firm via chaps which people I know have used before and have been pleased with. Thanks again.
 
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