Different Ways of Transferring Large Amounts of Money and In-Trusts

Whether you’re purchasing a property, investing in a business, or gifting a substantial sum to a family member, transferring large amounts of money is a serious matter. It involves legal, financial, and even tax implications—so it’s important to understand your options, from escrow services to in-trusts, and how to handle the process properly.

Common Methods of Transferring Large Sums of Money

1. Bank Wire Transfers

This is one of the most common and secure methods. Wire transfers allow you to send funds from one bank to another, usually within the same day (or 1–2 days for international transfers). Fees apply, but they offer a paper trail and verification process that is essential for legal or real estate transactions.

2. Certified Cheques or Bank Drafts

These are physical forms of payment guaranteed by the issuing bank. They’re often used in real estate purchases and are considered safe because the bank certifies the funds are available. However, they can be cumbersome for very large amounts or long-distance transactions.

3. Interac e-Transfer (with Limits)

Popular for everyday transfers in Canada, but not ideal for large amounts due to per-transaction and daily limits (usually up to $10,000–$25,000 depending on your bank). Still, they can be used in stages or for smaller installments.

4. Escrow Services

In business deals, legal settlements, or cross-border investments, third-party escrow services hold the money until all terms are met. This protects both parties and is common in mergers, acquisitions, and high-value online transactions.

5. Notary Trust Accounts (In-Trust)

When dealing with real estate or estate matters in Québec, it’s very common to use a notaire and their trust account—also known as an in-trust account.

What are In-Trusts?

An in-trust account is a special type of bank account used by professionals like notaries, lawyers, and accountants to hold client money securely. These funds do not belong to the notary. They are held on behalf of a client or multiple parties involved in a transaction.

Why is this important?

In Québec (and especially in Laval or other parts of the province), notaries are central to real estate transactions. When you’re buying or selling a home, the buyer sends the money (often hundreds of thousands of dollars) to the notary’s in-trusts. The notary only releases the funds once all legal conditions are met—such as confirming mortgage payouts, verifying title transfers, and clearing any liens.

This system protects everyone involved:

• Buyers know the seller won’t get paid until the property legally changes hands.

• Sellers know the money is already secured before signing the deed.

• Lenders (like banks) are reassured that the payout for the mortgage will happen correctly.

When Do You Use a Notary’s In-Trusts in Laval?

Here are some examples:

• Real estate closings: The buyer sends the full purchase price to the notary, who then distributes it accordingly.

• Estate settlements: When dividing assets among heirs.

• Divorce settlements or business transactions: Where funds need to be held securely until all parties fulfill their obligations.

Transferring large sums of money is not just about moving numbers from one account to another. It’s about doing it safely, legally, and with documentation. Whether through a wire transfer, certified cheque, or notary’s in-trusts, the right method depends on the nature of your transaction.

If you’re working with a Laval notary—or anywhere in Québec—they’ll likely guide you through using their in-trusts to ensure your real estate or legal transaction is handled smoothly and safely.

Need help navigating a complex transaction? Always consult a financial advisor, legal expert, or notary to ensure you’re using the best method for your situation, make sure