Personal Finance

Alternatives to PayPal for Interac e-Transfers in Canada

Piyush Singh

03.09.25

Read time 5 minutes

PayPal isn’t compatible with Interac e-Transfers, which limits its usefulness for Canadians who rely on this popular way to send money at home. If you’re splitting a bill or managing business payments, finding the right alternative is essential. Several alternatives now support Interac transfers, offer competitive fees, and simplify cross-border payments.. Options like Wise also include multi-currency accounts and low-cost international transfers for added convenience.

We will be looking at:
What PayPal can and can’t do in Canada Bank-based e‑Transfer Options Using your Canadian bank Fintech and money transfer services Payoneer Remitbee Skrill MuchBetter Wise – Bridging domestic & international transfers Interac e‑Transfer into Wise Domestic and borderless transfers Choosing the right PayPal alternative

What PayPal can and can’t do in Canada

What PayPal can do in Canada

Send and receive money using email or mobile. Domestic personal transfers are free when funded from your bank or PayPal balance¹.
Make online purchases and pay for goods/services without fees when in CAD.
Use Xoom to transfer money internationally in 130+ countries for a fee.
Withdraw money via bank transfer or linked debit card.
Open a business account with no monthly fees² and access payment tools like invoicing and QR code payments.

What PayPal can’t do in Canada

No Interac e-Transfer support as PayPal doesn't integrate with Canada’s Interac e-Transfer network.
No cash withdrawals at Canadian ATMs using Interac. You can only withdraw via bank or eligible debit card.
Limited instant transfers to debit cards are capped at 5,000 CAD per day/week and 15,000 CAD per month³.
Currency conversions typically include a markup of around 3–4% above market rates.
The PayPal Debit Card and PayPal Business Debit Mastercard are no longer available to Canadian users.

Bank-based e‑Transfer Options

Most Canadian banks offer Interac e‑Transfer capabilities, both for personal and business customers. These services usually include features like Autodeposit for hassle-free reception and no extra layers from third parties. Here's a quick look at some of the main providers:

Using your Canadian bank

You can send and receive money instantly across Canada using Interac e‑Transfers via online or mobile banking, with many banks supporting Autodeposit, allowing funds to go into your account automatically with no manual steps. However, fees, transaction limits, and included transfers vary depending on your account type.

Bank Interac e‑Transfer limits & fees at a glance

Bank	Fee per outgoing transfer	Per-transfer limit	Weekly limit
TD^4,5	0.50 - 1.50 CAD for business accounts, free for premium personal accounts	3,000 CAD	10,000 CAD
RBC^6,7	Free from personal accounts, 1 CAD from personal savings accounts, 1.50 CAD per transfer from business accounts	Up to 10,000 CAD	N/A
BMO^8,9,10	Free to 5 CAD depending on the account Business accounts include 2 free Interac e-Transfers free per month	Business accounts can send 3000 CAD to 25,000 CAD depending on the account setup	N/A
CIBC¹¹	Free with certain bank accounts; 1.50 CAD per transaction for all other accounts	Up to 3,000 CAD	Up to 10,000 CAD
Scotiabank^12,13,14	Free with certain accounts; 1.00 CAD per transaction for all other accounts	Can vary by customer; Up to 25,000 CAD per transfer for business accounts	N/A

Fintech and money transfer services

Payoneer

Payoneer offers Canadian-dollar receiving accounts, enabling businesses to accept domestic bank transfers like local bank users. You also get a business Mastercard for spending and withdrawals. However, integration isn't through Interac e‑Transfer, but via bank transfers. Receiving CAD payments is free, sending funds to non-Payoneer accounts costs 1%–3%, and the CAD card comes with a 29.95 USD annual fee¹⁵.

Remitbee

Remitbee is a Canadian money transfer service supporting Interac e‑Transfers domestically and internationally. It’s aimed at immigrants and freelancers sending money abroad, offering bill payments and currency exchange. Sending via Interac e‑Transfer costs 2.99 CAD¹⁶, but transfers over 500 are free¹⁶. You can also pay by debit card or EFT, with similar fee structures. While Remitbee doesn't provide business accounts or cards, it’s one of the few platforms that supports Interac as a payment method. Remitbee adds a small margin (typically 0.3%–0.8%¹⁶) to exchange rates.

Skrill

Skrill: Skrill is a global digital wallet offering online payments, currency exchange, and money transfers. In Canada, you can fund your Skrill wallet using Interac, but you can’t send Interac e-Transfers directly to others. Sending funds internationally is possible via bank transfer, debit, or credit card, with fees ranging from 0% to 2.99%, plus up to a 4.99% FX markup¹⁷. Domestic transfers cost up to 2%, and sending to other Skrill users costs 2.99%¹⁷. Skrill offers multi-currency support and is widely used in e-commerce and gaming.

MuchBetter

MuchBetter: MuchBetter is a mobile wallet offering Interac e‑Transfer support for funding accounts, though not for sending to others directly via Interac. Funding via Interac e‑Transfer costs 4.5%, while CAD withdrawals to bank accounts are free, aside from a 5 CAD flat withdrawal fee¹⁸. Peer-to-peer transfers and spending with the MuchBetter card are free and currency conversions cost 0.99% for USD/EUR/GBP, with higher margins for other currencies¹⁸.

Comparison of e‑Transfer and similar transfer providers

Provider	Interac support	CAD transfer fee	International?	Notes
Payoneer¹⁵	No	1%–3% (to non-Payoneer accounts)	Yes	Offers free CAD receiving accounts, business Mastercard, and multi-currency transfers. No Interac, operates via local and SWIFT transfers. Mastercard has a 29.95 USD annual fee.
Remitbee¹⁶	Yes	2.99 CAD (free above 500 CAD)	Yes	Supports Interac e‑Transfer, debit, EFT, and Interac Online. Also offers bill payments and FX. Exchange markup is 0.3%–0.8%. No business account/card.
Skrill¹⁷	Yes	0–2% domestic (same-country transfers); international: 0–2.99% depending on method, plus up to 4.99% FX markup	Yes	Send money by email, card, or bank. CAD account supported. Fees apply for withdrawals and currency conversion. 2.99% for Skrill-to-Skrill transfers
MuchBetter¹⁸	Yes - for deposits only	4.5% to fund via Interac e‑Transfer	Yes	CAD bank withdrawal: free + $5 flat fee; 0.99% FX for major currencies

Wise – Bridging domestic & international transfers

Wise (formerly Wise) offers a powerful alternative to banks and e‑Transfer-only platforms. With Wise, you can send, receive, and hold money in multiple currencies, including CAD, while benefiting from low fees and real exchange rates, combining the familiarity of local transfers with the efficiency of borderless money movement.

Interac e‑Transfer into Wise

While you can’t send Interac e‑Transfers from Wise, you can fund your Wise account via Interac e‑Transfer through your Canadian bank. Once your Wise account is topped up in CAD, you can hold it in CAD, convert it to other currencies, or send it elsewhere, domestically or internationally, at low costs and with the mid-market exchange rate.

Domestic & borderless transfers

Wise supports CAD-to-CAD domestic transfers and international transfers in up to 40+ currencies, all from one account. You can:

Send CAD to a local Canadian bank account.
Convert and send funds internationally using the real mid-market rate.
Hold and manage over 40 currencies.
Get local account details (like a Canadian routing/account number or a US ABA number) to receive payments as if you had a local bank account.

For individuals and businesses alike, one Wise account can cover both your domestic and international money needs, without the hidden fees or poor rates that are commonly associated with banks.

Wise vs bank e‑Transfers

Feature	Banks (e‑Transfer)	Wise
Domestic CAD transfers	Yes, via Interac	Yes, via bank transfer (no Interac send, but Interac to fund account)
Fee transparency	Sometimes unclear	Full breakdown before you send
Currency options	CAD only	40+ currencies
Exchange rate	Bank rate (includes markup)	Real mid-market rate, no hidden markup
International transfers	Yes, but higher fees	Yes, low-cost to 160+ countries
Multi-currency wallet	Not common	Yes, hold, convert, and receive in 40+ currencies

Choosing the right PayPal alternative

The best PayPal alternative for you depends on how you’re sending money, who you’re sending it to, and your priorities - cost, convenience, or speed.

If you’re looking for one platform to handle domestic and international payments transparently, Wise offers CAD transfers, local bank payments, currency conversion, and multi-currency wallets.

You can send CAD locally, hold and convert over 40 currencies, and access local account details for getting paid globally while avoiding hidden exchange rate markups. While it doesn’t send Interac e‑Transfers, Wise is a practical alternative for users seeking transparent fees, fair exchange rates, and multi-currency capabilities.

Sources:

*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.

We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.