How to Send Money to Mexico from Canada

Canadian businesses often need to send money to vendors in Mexico for goods or services. In this guide, we’ll walk through which payment methods work best for CAD to MXN, how to compare fees and exchange rates, tips to ensure a timely delivery and avoid hidden costs, and why Venn is the smart choice for Canada to Mexico payments. By the end, you’ll know how to pay your Mexico-based suppliers quickly and affordably.

Whether you’re importing textiles, working with remote contractors, or paying a manufacturer in Monterrey, sending money efficiently impacts your bottom line. The right method helps you avoid costly delays, reduce currency conversion losses, and build trust with your suppliers.

Step-by-Step: Paying a Vendor in Mexico

Step 1: Gather Vendor Banking Details

Before initiating any transfer, collect:

• Vendor name and address
• Bank name and branch address
• Account number (typically includes a CLABE number – 18 digits)
• SWIFT/BIC (for international wires)
• Currency to be received (MXN preferred)
• Vendor email and postal address

Step 2: Choose Your Payment Method

When paying vendors in Mexico, Canadian businesses typically choose between:

Bank Wire Transfers

• Overview: You initiate a CAD to MXN wire through your business banking provider, routed via SWIFT.
• Pros: Familiar and secure.
• Cons: High fees ($30–$50 CAD); FX markup of 2–3%; settlement times of 2–5 days.

Online Payment Platforms (Venn)

• Overview: Fintech platforms like Venn let you send CAD to MXN with faster speed and lower cost.
• Pros: Mid-market FX + flat 0.25–0.45% markup; next-day delivery; trackable and transparent, $6 CAD wire fee.
• Cons: Requires account setup (business verification takes under 1 hour with Venn).

Third-Party Bill Payment Providers

• Overview: You pay CAD to a provider who pays your vendor in MXN locally.
• Pros: Easy for vendors; local rail delivery.
• Cons: Service fees; no direct visibility or control once submitted.

Step 3: Compare Fees and Exchange Rates

Bank markup vs. mid-market: Banks often quote an FX rate 2–3% worse than mid-market. On $10,000 CAD, that’s a $200–$300 loss in hidden fees.
Venn’s transparent FX: Venn charges only 0.25–0.45% above the real-time rate, depending on your plan. You see the exact fee before confirming.
Intermediary bank fees: SWIFT payments often include surprise deductions from intermediary banks en route. Venn avoids these by using local payout rails when available.

Step 4: Initiate and Confirm

Before hitting “Send”:

• Confirm the vendor’s CLABE (18-digit) and account number
• Include a remittance note or invoice number
• Choose MXN as the destination currency (avoid USD if possible—banks in Mexico may convert again, charging your vendor twice)

Then:

• Bank wire: Confirm via two-factor or branch approval. Request a SWIFT reference number.
• Venn: Upload details or choose from a saved contact. Click "Send Transfer."
• Bill pay: Upload invoice, CAD funds, and approve transfer.

Save your confirmation record for reconciliation and audits.

Step 5: Track and Follow Up

After sending:

• Banks: Use the SWIFT ref number, but expect limited visibility.
• Venn: View real-time updates in your dashboard.
• Vendors: Ask for confirmation once funds are received in MXN.

If a delay occurs, confirm national holidays in Mexico or re-check recipient info. Venn alerts you to potential delivery issues so you can act faster.

Tips to Reduce Costs and Speed Up Delivery

• Use mid-market FX platforms: Venn minimizes markup and eliminates hidden intermediary deductions.
• Consolidate invoices: Bundle multiple vendor payments into one to save on transaction fees.
• Send MXN directly: Avoid USD-to-MXN double conversions, which increase vendor-side costs.
• Use automation: Set up recurring transfers or sync invoices directly from QuickBooks or Xero via Venn.

Why Choose Venn for Canada to Mexico Payments

Paying vendors in Mexico from Canada doesn’t have to be expensive or uncertain. Venn offers:

• Low, transparent FX fees (0.25%–0.45%)
• Same- or next-day delivery to Mexico
• No recipient deductions on local rails
• Direct sync with QuickBooks and Xero
• Support for 180+ countries and 36+ currencies

Most importantly, Venn was built specifically for Canadian businesses operating internationally. You don’t need to open a local account or navigate SWIFT on your own. Just log in, upload vendor info, and pay in MXN.

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About Venn – Built for Canadian Businesses with Global Needs

Venn is an all-in-one platform that helps Canadian SMBs manage global payments, multi-currency accounts, expense management, and invoicing—without bank branch delays or inflated FX fees.

You get:

• A local CAD account that supports EFTs, Interac e-Transfer®, and more
• Multi-currency USD, EUR, GBP accounts in your business’s name
• A corporate card with 1% uncapped cashback
• Transparent pricing and real-time payment tracking

Ready to modernize how you pay vendors in Mexico?

Disclaimer: This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Venn Software Inc 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.