Make Gifting Easier: Step by Step Guide For Sending Money To Canada From India

The beauty of Canada is truly captivating, from the majestic Rockies to the embrace of the boreal forests, vast prairies and rugged Atlantic shores. The Rockies offer stunning views, hiking trails and ski resorts that attract visitors all year. This incredible landscape is a true gem that invites exploration in every season. Meanwhile, there is an interesting economic aspect as well. India has shown remarkable growth with $1 billion in gift remittances to Canada, experiencing a 20% increase in 2023. On average, each transaction amounts to $3,000. Provinces like Ontario, British Columbia, Alberta, Quebec and Manitoba shine as popular destinations for these remittances. Whether it’s for family bonds, important occasions like education or healthcare needs, or during emergencies, this financial link plays a vital role in enriching lives on both ends. These statistics highlight how Indian remittances serve as a lifeline for Canadian families and businesses alike. Strengthening connections and echoing sentiments across continents.

Understanding Gifting Remittance

Sending money as a gift to someone in another country is known as gift remittance. It falls under the category of remittance, which refers to migrants transferring money back to their home countries. People send gift remittances for various purposes, including providing financial support to family members, marking special occasions with celebration, or simply expressing love and affection. Let’s take a look at an example

A Short Story of an Example Explained

• Shanaya has been living in Canada for quite a few years now. She puts in a lot of effort and diligently sends money back to her family in India every month. However, today holds special significance as it marks her parents’ wedding anniversary. Wanting to make it truly memorable, she decides to send them a unique gift by using HOPRemit for remittance.

• Shanaya visits the moneyHOP website and fills out all the necessary details for the remittance. This includes providing her parents’ names, addresses, and phone numbers as recipients, specifying the amount of money she intends to send, and sharing her payment information. Additionally, she selected Indian rupees as the currency for the transaction.

• To complete the process, she pays a $10 transfer fee along with an additional $5 for currency conversion. In total, the remittance costs her $15.

• Within 24 to 48 hours, her parents receive the transferred funds filled with joy. They are absolutely delighted by this thoughtful gift and decide to utilize it to purchase a brand new stove for their home.

Documents Required To Send Gift Money To Canada

Calculation of TCS on Remittances

Note: As per the RBI, Under the Liberalized Remittances Scheme (LRS), every Indian resident can send up to USD 2,50,000 in a financial year. An individual can remit multiple times during the year for various purposes permitted under the LRS limit. However, the total amount of all such transactions must not exceed USD 2,50,000 in a Financial Year.

Ways To Send Gift Remittances to Canada

In the era of fraud and identity theft, it is good to know the process and ways to send money abroad to loved ones safely. There are some common methods to send money across borders:

1. Cash: There are ways to send money to Canada, including using a courier service or sending it through the mail. It’s essential to be aware that sending cash internationally carries some risk as it is more vulnerable to theft and fraud.
2. Gift Cards: Sending money to Canada can be made easy with the use of gift cards. There are plenty of retailers where you can buy these gift cards and have them conveniently delivered to the recipient in Canada. The great thing about gift cards is that they provide the recipient with a range of shopping options, making them a versatile and thoughtful gift choice.
3. Certificate of Deposits: A CD is a savings account that provides a higher interest rate compared to a standard savings account. Individuals have the option to buy CD’s from either banks or non banking financial companies (NBFC’s) in India and have them delivered to recipients in Canada. The recipient can later convert the CD into cash upon its maturity. CD’s generally require a deposit and have a term ranging from 1 to 5 years.
4. Wire Transfer: Sending money internationally via wire transfer is an efficient method. You have the option to initiate a wire transfer either from your bank account or by using a money transfer company. On average, wire transfers usually take around 1–2 business days to complete the process successfully.
5. Money transfer companies: There are companies specializing in international money transfers that provide services for sending money across borders. Such companies often provide reasonable exchange rates and ensure speedy processing times.

Why Choose HOPRemit?

HOPRemit by moneyHOP is an instantaneous, cost-effective, user-intuitive, and contactless international remittance service that is tailor-made to serve Indians. It provides customers with complete transparency and significantly reduces the total transaction costs of sending money abroad. The HOPRemit platform represents the perfect concoction of a fintech’s agility and the security observed in a bank.

Here are some features that make HOPRemit different:

• Best Exchange Rates: HOPRemit provides some of the best exchange rates for currency conversions. They regularly update their exchange rates to ensure that customers get the most favorable rates possible.
• No Hidden Charges: HOPRemit is committed to transparency and honesty in their dealings. They do not charge any hidden fees or commissions, so customers can rest assured that the amount they see at the time of the transaction is the exact amount they will be charged.
• Fast Processing Time: HOPRemit understands the importance of timely money transfers. They process transactions quickly, usually within 48 hours, so that the money reaches the recipient as soon as possible.
• 24/7 Availability: HOPRemit operates round-the-clock, 365 days a year. Customers can access their services at any time of the day or night, regardless of their location.
• Freeze exchange rates for 24 hours: HOPRemit offers the option to freeze exchange rates for up to 24 hours. This means that customers can lock in a favorable exchange rate and be certain that the amount they will receive at the time of the transaction will remain the same, regardless of any fluctuations in the market.

How do I Transfer Gift Money From India To Canada With moneyHOP?

• Create An Account: To get started with HOPRemit, you’ll need to create an account by signing up using your email address and phone number. This process is quick and easy, and once you’ve signed up, you can start using the platform right away.
• Enter The Amount: Once you’re signed in, the first step is to choose the amount you want to send. You can do this by selecting the currency you want to send, choosing the purpose of the transfer, and entering the amount you want to send.
• We’ll Verify Your Details: To ensure security and prevent fraud, HOPRemit requires all users to complete their KYC (Know Your Customer) verification process. This involves providing some basic information about yourself, such as your name, date of birth, and address, and uploading a valid government-issued ID, such as an Aadhaar or PAN card. The verification process usually takes just a few minutes, and once completed, you’ll be able to use all the features of the platform.
• Enter Recipient Details: Once your account is verified, you can enter the details of the recipient you want to send money to. This includes their name, address, and other relevant information, such as their bank account details. You may also need to upload some additional documents, such as a proof of relationship or bank statement, depending on the purpose you have selected.
• Pay For Your Transfer: Finally, you’ll need to choose how you want to pay for your transfer. HOPRemit offers several payment options, including net banking, credit/debit cards, and UPI (Unified Payment Interface). Once you’ve selected your preferred payment method, you can complete the transaction, and your recipient will receive the funds within a few hours or days, depending on the country and payment method used.

Who Are All Considered As Close Relatives?

The following are considered to be close relatives:

• Members of HUF (Hindu Undivided Family)
• Husband and Wife
• Father (Provided that the term “Father” includes step-father)
• Mother (Provided that the term “Mother” includes the step-mother)
• Son (Provided that the term “Son” includes the step-son)
• Son’s wife
• Daughter
• Daughter’s husband
• Brother (Provided that the term “Brother” includes the step-brother)
• Sister (Provided that the term “Sister” includes the step-sister)

Who All Do We Serve?

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Wrap Up

To wrap things up, simplifying the process of sending gift money from India to Canada helps overcome distance barriers representing both ties and emotional connections. The role of technology in this transaction highlights the lasting power of affection across borders, while the act itself fosters relationships and shows care. This ease of access serves as a reminder that technology bridges gaps, which is especially meaningful for loved ones studying or working abroad. As technology continues to advance, we can expect new and innovative methods for international gift exchanges to emerge, further enhancing our ability to stay connected and show our concern.