A mari usque ad mare! (Meaning from Sea to Sea in Latin)
The maple tree, beavers, lakes, ice hockey and freezing weather! Are you ready to take a deep dive into the astonishing Canadian dream? With its kind and happy people, as sweet as the famous maple syrup, Canada has managed to create an excellent impression on everyone. Before going deep into how payments work in Canada, we better understand the charm of this land and its people.
It is a wealthy country in many aspects, from its natural beauty and a stable economy to worldwide known celebrities, including Celine Dion, Justin Bieber and Jim Carrey. Canada might be one of the coldest countries, but their love for good cuisine, local animals and well-mannered people definitely warm our hearts.
Being the second largest country in the world after Russia and having more than half of the lakes in the world, with over 3 million lakes, Canada is a unique beauty. It sure is as cold as it gets but thanks to the excellent living standards and splendid culture, it has one of the highest immigration rates in the world. The latest researchers show that Canada will have the most prominent rank in immigration applications by 2022.
Imagine a scenery country with Northern Lights, incredible craft beer, world-famous maple syrup and kind people. Who wouldn’t want to live there? Don’t think we forget about ice hockey! If you live in snow-cold weather most of the year, you will surely get good at winter games.
Canada has given the world so much more than its love for moose, maple syrup and ice hockey. Let’s talk about famous Canadians! From the most famous actors to the singers with the best voices, Canada has many celebrities to be proud of. Especially in the last decade, Justin Bieber managed to influence teenage girls from everywhere with his sweet smile and romantic songs. I could find a couple of million girls from all over the world who would want to be that “one less lonely girl”.
Many other talented people worldwide are from Canada, including Leonard Cohen, Neil Young, Joni Mitchell, Celine Dion, Margaret Atwood, Ryan Gosling and Rachel McAdams. If you think about it, this shouldn’t be surprising. Naturally, exceptional living standards lead to good education and free time for the arts.
This lovely land has excellent living conditions thanks to its strong economy. The three primary industries that take up the most percentage in Canada’s economy are the service, manufacturing, and natural resource industries. With the 24th highest nominal per capita income globally and the sixteenth-highest ranking in the Human Development Index, Canadian people have every chance to be happy and polite.
Canada has impressive statistics in income, job opportunities, education, health, environmental quality, and overall life satisfaction. Canada has a tax-funded universal health care system, meaning any Canadian citizen or permanent resident can apply for public health insurance.
While every province has different health plans, they are generally accessible in addition to the accessibility of education for every citizen.
Higher education in Canada isn’t complimentary, but it’s way more affordable than in the United States. It is so far from being only a dream through many job opportunities and high wages.
All those reasons make Canada a very attractive living place and every year thousands of people are immigrating to Canada to join this multicultural society. And Canada welcomes all people from all around the world and grants them better opportunities for their future.
Canadian multiculturalism is a real concept. Canada consists of people from a multitude of racial, religious and cultural backgrounds and is open to cultural pluralism.
Foreign direct investment (FDI) offers multiple opportunities and this creates a big market for foreign investors in Canada. When we look at the numbers in 2023 FDI reports we can clearly see the growth. No wonder the Canadian government is also investing in the banking system to keep the economy sustainable. The banking system is already known as one of the biggest and strongest in the world. Canada has all necessary networks to support all types of transactions across the country.
Choosing Payment Methods in Canada
Let’s cut the Canada praise short and focus on “How Canadians pay for things”. Canada is a well-developed country with access to new technologies. Even though Canada is not a cash-free country, cash usage has been declining, and the preferred payment methods and practices in Canada started shifting slowly but surely.
Canadians are science-centred people but can still be considered traditional. Considering that the new Canadian currency is smooth, well-designed and waterproof, it must be a joy to use to pay for a cup of coffee. Some Canadians believe the new banknotes have a sweet maple syrup scent. It cannot get better than this!
What are the Different Types of Payment Methods in Canada?
With the huge global change, Canada has been integrating the benefits of technology into the thriving world. In order to meet the needs of this huge economy and population, there are multiple payment methods available in Canada. These methods are developed to facilitate daily life of individuals and businesses. Let’s see what are the most popular ones:
Credit Cards in Canada
Credit card usage is a commonly preferred method in most of the world, and Canada is not an exception. While Canadians still prefer cash for small transactions, most large transactions are operated using a credit card. The majority of Canadian citizens over 18 own a credit card and choose the convenience of credit and debit cards over cash. While Visa and MasterCard are Canada’s most common credit and debit cards, some exceptions exist, such as Costco Canada only accepting cash or MasterCard and Walmart Canada not accepting Visa credit cards.
We recommend you to do a deep research about credit cards before you commit yourself to using a certain credit card from any provider. For example you can check reward cards where you don’t pay interest monthly. These credit cards often offer rewards or cashbacks that might be beneficial. These cards offer loyalty programs where you collect points such as Travel cards. Each time you use credit cards you get points and you can use these points for your travels or shopping. If you are choosing to use a credit card from a traditional banking entity, be aware that there are extra fees.
Cash in Canada
Nowadays, the cash use is decreasing everywhere in the world. As part of anti money laundering measures, the use of cash is subject to certain limits in many countries. We cannot say that Canadians give up cash totally. However Canada is focused on technological developments in finance, we assume that soon cash will become history. Currently cash is only used in local businesses or for small daily spending. With cash you can buy a cup of coffee or a muffin from your local bakery but if you are planning to buy something bigger, it is more convenient to use digital payment channels.
As we mentioned, Canadians still prefer using cash as payment practice in Canada for small transactions below 15 Canadian dollars, and we cannot blame them. In 2011, the Bank of Canada introduced a new series of polymer banknotes. The banknotes are waterproof, smooth, look good, and are a joy to use for smaller payments. If you are travelling to Canada and want to live the authentic Canadian experience, we advise you to get your hands on some cash and enjoy paying for your quality craft beer with the nicest banknotes. There is a limit for cash use in Canada. Please check this before you make a big purchase.
Digital Wallets in Canada
Digital wallets offer speed, trustworthiness, and convenience. Furthermore, they serve something traditional bank systems are totally unfamiliar with; Creating an account with no fuss. To open a digital wallet account takes less than ten minutes which is a drop in the bucket compared to snail’s pace account openings in bank branches along with a pile of necessary documents.
Thus, Canadians are having a slow transition towards online wallets. Every one of three Canadians now prefer to use digital payment methods. Digital wallet usage in Canada is becoming more and more popular each year. Especially for online payments, around 29% of Canadians, primarily young adults, made a purchase using mobile payment or digital wallets last year. Digital wallets might be one of the best payment methods online, and Canadians being open to technological improvements, the shift is expected to happen in the upcoming years. We cannot blame digital wallet users. Digital wallets are designed to make life easier.
You can manage all your funds from just one account. They offer compatible fees and they are secure and fast. Doesn’t matter if you use your digital wallet within the country or for international transactions. They offer endless benefits.
If you are planning to make a change in your life and adapt yourself with the new technologies, we recommend you to try to open a digital wallet account.
Cryptocurrency in Canada
Like every other country in the world, crypto assets are still perceived as risky compared to Canadian dollars. Also most businesses still don’t accept crypto payments, they are difficult to use in Canada.
Hence everyone in Canada can buy and trade cryptocurrencies legally. However, they are not considered legal assets by the Government of Canada or central bank of Canada. This means while businesses can prefer to accept cryptocurrency as a form of payment at their own risk, the more formal CRA does not take it as a form of payment in terms of taxes. There is no regulation available regarding cryptocurrencies in Canada.
In other words your assets are not protected. For example, the Canada Deposit Insurance Corporation (CDIC) covers eligible deposits in Canadian dollars at member financial institutions or entities if the institution fails. If the crypto trading platform or wallet provider that has your crypto assets goes out of business or goes bankrupt, you may lose your money. It is essential to consider that crypto transactions are not reversible.
For individuals, buying and trading are legal and highly popular. Some of Canada’s most popular cryptocurrency trading platforms are Coinsmart, Wealthsimple Crypto, Shakepay and Netcoins. Since Canadian people are pretty open to innovations and what’s new in any field, soon enough, as in any other developed country, cryptocurrencies might become a more legal payment. This is just a matter of time!
If you are planning to use cryptocurrencies for your business or individual transactions, we highly recommend you to talk to a legal Canadian financial advisor in order to avoid fines and losses. Please don’t forget to inform about your tax liabilities coming with cryptocurrencies.
Jeton in Canada!
Whadder yup to, Canada?
Our inner circle understands the needs of Canucks and is highly close to the unique Canadian culture. This is how we created our state of art digital payments, Jeton! We have been in the Canadian market for a while and have already expanded our clients here tremendously. Understanding the finance market’s expectations, current tensions and shaping our services according to the latest trends are highly appreciated here. Jeton has been operating successfully in more than 190 countries all around the world. Canada is one of them. Our big digital network allows us to reach every part of the country. Whether you are sending money abroad or receiving money, Jeton is here to facilitate your life. We are offering more than what traditional banks offer.
Are you looking for paths for speedy online money transfers, bill payments, and exchanges in Canada? Or simply you want to have a more secure account to protect your financial assets. Would it not be fantastic to reach your transaction history in seconds through a mobile application? Then, Jeton Canada is an excellent solution for your needs!
To meet our smooth payment services and become a user of Jeton App, simply visit jeton.com. Our professional customer service will inform you about every single detail to utilise our digital account to the fullest. Join us today to exceed your online experience!
