Converting Canadian dollars to Israeli new shekels is a common transaction for Canadians sending money to family in Israel, conducting business, or traveling. The exchange rate between the Canadian dollar and the Israeli new shekel fluctuates based on global financial markets and economic conditions in both countries. Canadians have several options for converting their money, including banks, credit cards, and specialized transfer services, each with different fees and exchange rate margins. Understanding how the rate is set and the costs involved can help individuals make more informed financial decisions when dealing with these two currencies.
The Canadian Dollar and Israeli New Shekel
The Canadian dollar is the official currency of Canada and is issued by the Bank of Canada. Its currency code is CAD and it is symbolized by the dollar sign. The Israeli new shekel is the official currency of Israel and is issued by the Bank of Israel. Its currency code is ILS and it uses the symbol ₪. Both currencies are freely traded on the global foreign exchange market. The most common exchange rate for the Canadian dollar internationally is the CAD to USD pair. Similarly, the most common exchange rate for the Israeli new shekel is the ILS to USD rate. These relationships with the United States dollar influence their relative values against each other.
How the CAD to ILS Exchange Rate Is Determined
The exchange rate between the Canadian dollar and the Israeli new shekel is a floating rate determined by supply and demand in the global foreign exchange market. The price you see quoted online as the mid-market rate is the midpoint between the global buy and sell prices for the currency pair. This rate is highly dynamic and can change frequently throughout the day as currency values shift. Financial institutions and money transfer services do not provide customers with this pure mid-market rate. Instead, they apply an exchange rate margin, which is a markup added to the mid-market rate, and often a separate service fee. The final rate a consumer receives is therefore the mid-market rate plus the provider's margin. This mid-market rate is for informational purposes only and is not the rate received when sending money. Login to a provider's platform to view the actual send rates that will apply to your transfer.
Factors Influencing the CAD/ILS Rate
Several key economic and geopolitical factors cause the CAD/ILS exchange rate to move. Changes in interest rates set by the Bank of Canada and the Bank of Israel can attract or repel foreign investment, affecting currency demand. Economic data from both countries, such as GDP growth, employment figures, and inflation reports, influences investor sentiment. Commodity prices are particularly relevant for Canada, as the Canadian dollar is often correlated with the price of oil and other natural resources. Political stability and regional security concerns in the Middle East can impact the Israeli new shekel. Global market risk sentiment also plays a role, as investors may move capital into or out of these currencies based on perceived safety. Because rates fluctuate, it is helpful to check live data before sending money, as the rate can vary by the hour.
Recent Volatility and Historical Context
The CAD to ILS exchange rate experiences regular volatility over short and medium time frames. Analysis of recent periods shows the rate can move within a defined range over weeks and months. Over a recent 90-day period, the rate moved between a high of 2.2039 and a low of 2.1279, with an average of 2.1634 and a change of 0.86. In a 30-day period, the range was between 2.2013 and 2.1318, with an average of 2.1607 and a change of 2.40. Over a 7-day span, the rate moved between 2.1549 and 2.2043, with an average of 2.1823 and a volatility of 0.29 percent. These movements illustrate the constant fluctuation in the currency pair. Providers offer interactive charts that track mid-market rates over the last 12 months or up to 5 years, allowing users to view historical data. You can set a rate alert to be notified when the market rate reaches a specific target. Waiting on a better rate is a common strategy, and alerts can tell you when the rate gets better.
Methods for Converting Canadian Dollars to Shekels
Canadians have multiple avenues to convert their money, each with distinct cost structures and conveniences. Traditional banks allow customers to order Israeli new shekels, but they typically charge both a service fee and a significant exchange rate margin on top of the mid-market rate. Credit and debit cards can be used for purchases or ATM withdrawals in Israel, but card issuers usually apply a foreign transaction fee and their own exchange rate margin. Specialized international money transfer services, such as Western Union, Wise, and OFX, offer alternatives that can sometimes provide better value. These services allow transfers online, via mobile apps, or in person at agent locations for cash pickup in Israel. They make money from currency exchange by applying a margin to the rate. Western Union, for example, moves money from Canada to over 200 countries and territories, including Israel. You can send money to Israel the way that is convenient for you, whether online, with an app, or in person at an agent location.
Key steps in the conversion process with a transfer service are consistent across providers. First, you enter the amount of Canadian dollars you wish to send. Next, you select Canadian dollar as the sending currency and Israeli new shekel as the receiving currency. The service will then show an estimated conversion based on its offered exchange rate and any transfer fees. Before confirming, you review the total cost, which includes the exchange rate, the transfer fee, and the delivery method. Finally, you complete the transfer by paying online via bank account or card, or in cash at an agent location. You can then track the transfer using a provided tracking number like a Money Transfer Control Number. Many services also offer rewards programs. For instance, Western Union Rewards members can earn points, with 500 points equalling up to a 2 CAD discount on transfer fees. It is easy to sign up and start using these money transfer services.
Understanding Fees and Getting the Best Value
The total cost of converting CAD to ILS is a combination of a transfer fee and the exchange rate margin applied by the provider. Fees can vary widely depending on the amount you send, your payment method, the destination country, the payout option, and the CAD to ILS exchange rate at the time of transfer. For example, using a credit card to fund a transfer may trigger additional cash advance fees and associated interest charges from the card issuer. It is crucial to review the complete fee breakdown and the final exchange rate before confirming any transaction. The rate shown on general internet searches is the mid-market reference rate, which consumers do not receive. Providers are required to show all costs upfront, allowing for comparison. To assess value, look at the total amount of Israeli new shekels that will be delivered after all costs, not just the advertised exchange rate. Some services, like Wise, advertise using the real mid-market rate with no hidden mark-up, while others clearly state they make money from currency exchange. Western Union notes that exchange rates and fees shown are estimates, vary by a number of factors, and are subject to change.
| Cost Component | Description | Variability Factors |
|---|---|---|
| Exchange Rate Margin | Markup added by provider to mid-market rate. | Provider, transfer amount, timing. |
| Transfer Service Fee | Fixed or percentage-based fee for the transaction. | Amount sent, payment method, payout option. |
| Payment Method Fee | Potential extra charges for credit card use. | Card issuer's cash advance policy. |
| Payout Method | Cost may differ for bank deposit vs. cash pickup. | Receiver's location and preferences. |
Security is a priority for all reputable transfer services. Providers use encryption and fraud prevention systems to help protect international money transfers. Consumers should also take precautions, such as sending money only to people they know and trust, carefully checking receiver details, and keeping transfer tracking numbers private. Being aware of common scam tactics adds an extra layer of safety to the process. Western Union specifically advises customers to learn how to be fraud smart and to stay alert for scam warning signs. Their encryption and fraud prevention efforts help protect your Western Union money transfers.
Using Transfer Services and Tools
Services like Western Union and Wise provide specific tools to facilitate currency conversion and transfers. Their online platforms feature currency converters that give estimated conversions based on current offered rates. These tools allow you to select the currencies and enter the amount to see what the recipient would receive. Many services also offer rate alert functions, where you can set a target CAD to ILS exchange rate and receive a notification if the market reaches that level. This can help you time your transfer if you are waiting for a more favourable rate. Historical rate charts are available on some platforms, showing how the mid-market rate has moved over the previous months or years. These tools are designed for informational purposes to help users make decisions, though the final rate for a transfer is always confirmed at the time of transaction. For large transfers or business needs, some providers offer foreign exchange risk management solutions and schedule international transfers across 130 currencies in over 190 countries. Whether you need to make cross-border payments or FX risk management solutions, these specialized services have you covered.
Comparison of Transfer Providers
When choosing a service to convert CAD to ILS, it is useful to understand how different providers operate. Banks are a familiar option but often have higher exchange rate margins and fees compared to specialized transfer companies. International money transfer specialists like Wise, OFX, and Western Union compete on offering more competitive rates and lower fees. Wise promotes a model with no hidden fees and the mid-market exchange rate. Western Union provides multiple access points, including online, app-based, and a large network of agent locations for cash payouts. OFX markets itself with great exchange rates and services for both individuals and businesses. Comparison savings between providers are calculated based on specific transfer examples, such as a single transfer of 20,000 GBP to USD, but these results may not be indicative of actual savings for all transfers. Different currency amounts, types, dates, and times will result in different comparison savings. The comparison savings provided are only accurate for the given example and may not include all costs and charges.
- Banks: Convenient but often have higher margins and fees.
- Wise: Uses real mid-market rate, no hidden mark-up.
- Western Union: Extensive agent network for cash pickup.
- OFX: Targets both personal and business transfers.
- Credit/Debit Cards: Useful for spending abroad but watch for foreign transaction fees.
The choice depends on factors like transfer speed, the need for cash pickup versus bank deposit, the transfer amount, and the total cost. All providers must show pricing upfront before you confirm a transfer, including the exchange rate, all fees, and estimated delivery times. This transparency allows Canadians to make an informed choice for their specific needs when sending money to Israel. You can get a live quote on a provider's send money page and see the full price upfront before starting your transfer.
Frequently asked questions
What is the Israeli new shekel currency code and symbol?
The official currency code for the Israeli new shekel is ILS. The currency symbol used for the shekel is ₪. This information is standard across financial platforms and currency converters. The Israeli New Shekel is the official currency of Israel. When converting currencies, you will see this code and symbol used to denote amounts, such as ₪2.19 for every 1 Canadian dollar. These identifiers are crucial for accurate international money transfers and financial transactions.
How do I convert Canadian dollars to Israeli shekels?
You can convert CAD to ILS by entering your amount into a currency converter tool from a service like Western Union. You select Canadian dollar as the sending currency and Israeli new shekel as the receiving currency to see an estimated conversion based on the latest rates. For instance, you might see a rate where 1 CAD equals approximately 2.19 ILS. You can then proceed with a money transfer online, through an app, or at an agent location. It is important to review the final exchange rate, any transfer fees, and the delivery option before confirming the transaction to understand the full cost.
Why is the exchange rate I get different from the rate on Google?
Google typically displays the mid-market rate, which is the midpoint between buy and sell prices on global currency markets and is used for informational purposes. Money transfer providers apply an exchange rate margin to this rate, and the final rate for a personal transfer will therefore be different. The rate you receive can also vary based on the transfer amount, your chosen payment method, the payout option, and the timing of the transaction. Therefore, you should always review the specific rate and any transfer fees provided by your service before confirming a transfer to see the total cost.
What factors affect the CAD to ILS exchange rate?
The CAD to ILS exchange rate is influenced by several key economic factors. These include interest rate decisions from the Bank of Canada and the Bank of Israel, which impact currency demand. Economic data from both countries, such as inflation and employment figures, also cause fluctuations. Furthermore, overall global market risk sentiment can affect the value of these currencies relative to each other. These dynamic factors cause the rate to change frequently throughout the day, which is why live rates from financial markets show constant movement.
Are there fees for sending money from Canada to Israel?
Yes, there are almost always fees associated with sending money from Canada to Israel. The total cost consists of a transfer service fee, which varies depending on the amount you send, your payment method, and the payout option. Additionally, an exchange rate margin is built into the conversion rate you are offered, which differs from the pure mid-market rate. Some payment methods, like credit cards, may incur additional cash advance fees and interest charges from the card issuer. It is recommended to review all fees and the final exchange rate upfront before confirming any international money transfer.
How can I track my money transfer to Israel?
After sending money through a service like Western Union, you will receive a unique Money Transfer Control Number, or MTCN. You can use this MTCN to track the status of your transfer online through the provider's website or through their mobile application. This tracking allows you to monitor the progress of your transaction in real time. The MTCN is a crucial piece of information for both the sender and the receiver to reference. Keeping this number private is also an important security measure to help protect your transfer.
Sources and further reading
- Canadian dollars to Israeli new sheqels today wise.com
- 1 CAD to ILS, Canadian Dollars to Israeli New Shekels ... xe.com
- CAD to ILS | Convert Canadian Dollar to Israeli New Shekel westernunion.com
This article explains how things work and is not financial, tax or legal advice. Rules, limits and rates change, so check the current figures with the Canada Revenue Agency, your province or your financial institution before you act.