Demand for cheaper and faster international transfers has increased in Canada.
Wealth is simple is partnering with United Kingdom (UK)-based FinTech Wise to streamline cross-border transfers for its users as demand for low-cost, fast cross-border payments grows in Canada.
“Our partnership with Wealthsimple is a direct response to rising client expectations.”
The Toronto-based FinTech is now one of Canada's most valuable private tech companies with a valuation of $10 billion, announced a partnership with Wise introduction of cross-border payment services. In a press release, Wealthsimple said it now supports payments to 30 countries in more than 10 currencies directly from users' checking accounts. Users can send up to CAD 1 million per day.
Wise Platform, the UK company's corporate payments division, will power the new service by connecting its infrastructure and payments network. Hannah Zaidi, chief compliance officer and vice president of payments strategy at Wealthsimple, said in a press release that the product will give customers a “faster, more accessible and easier way” to send money internationally “without hidden fees.” Zaidi is also a member of BetaKit. Board of Directors.
“Our partnership with Wealthsimple is a direct response to rising customer expectations,” Lauren Langbridge, chief commercial officer at Wise Platform, said in a statement.
Wise was formerly known as TransferWise. The company first introduced the Wise Account offering to Canadians in 2017 and introduced Wise card in 2021. In an email, Langbridge told BetaKit that Canada is a “key part” of its North American strategy, where it has 700 employees. The London Stock Exchange-listed company has a market capitalization of £9.7 billion ($17.9 billion Canadian).
Currency exchange fees and payment terms increasingly disappointing for the growing number of Canadians who send money abroad through retail transactions or remittances. In 2024, about half of Canadian adults under 35 sent money abroad once a month, the data showed. data from Payments Canada. For young men working in the gig economy, that share jumped to more than 90 percent. Overall, the study found a 33 percent increase in cross-border payments from Canadian bank accounts in just one year.
According to Wealthsimple, most transfers will take a few hours to reach recipients, although the company warns that some may take several days. For example, sending money to India or the Philippines will take a maximum of one business day, while transferring money to the US or Japan can take up to five business days. The company notes that transfers cannot be canceled once they have been sent.
The company said transfer speeds may vary depending on the currency route, amount sent, payment method and, in some cases, the receiving bank's processing time or additional checks.
“We make sure every detail is covered up front: how much it will cost, how much the recipient will receive and when it will arrive,” Zaidi said in an email.
Founded in 2014 as a robo-advisor, Wealthsimple has expanded into investment management and banking services, attracting wealthier clients and more sophisticated traders as part of its commitment to creating a “full-service financial solution” for Canadians. The company serves more than 3 million customers and plans to raise $1 trillion. assets under management (AUA) by 2034.
This month the now profitable company crossed $100 billion for AUAthree years ahead of schedule, and signed a new financing agreement worth up to C$750 million. It was also named as part of the first batch registered by the Bank of Canada payment service providerssubjecting the firm to new reporting rules.
Wealthsimple's currency push comes from the Canadian government announced his intentions launch Real-Time Rail (instant payment system) in 2026 and legislate the issue st.Ablack coins (digital assets pegged to traditional currency). The fintech industry advocates for both measures as levers to increase competition in the country's financial sector. Zaidi said Wealthsimple is exploring how stablecoins can improve money transfers and is “closely monitoring” the government's work on related legislation.
“Our focus is on understanding where they can bring real value, whether that's improving back-office settlement and liquidity or ultimately creating new, customer-centric ways to move and store money more efficiently,” she said.
Image courtesy of Wealthsimple.
