Your guide to purchasing and importing a car from the US to Canada

Navigating international vehicle purchases can seem complicated, particularly when it involves cross-border transaction dynamics between the United States and Canada.

This article aims to address the purchase of your car in the US and its import to Canada. Whether motivated by favourable pricing, availability of specific models, or other personal preferences, understanding the regulatory, logistical, and financial aspects is crucial.

As Wise has been making international money transfers easier since 2011, we are committed to offering insightful, practical information to ensure a smooth and informed car purchasing experience across borders. Read on to learn more!

Can I Buy A Car In The US And Import It To Canada?¹

You can buy a car in the US and import it to Canada. However, it must fit the criteria of the Registrar of Imported Vehicles (RIV) Compatibility List, including:

• The car must be 15 years or older based on manufacture date, or a bus made before 1971.
• It should be certified by the Original Equipment Manufacturer (OEM) to meet all U.S. Federal Motor Vehicle Safety Standards (FMVSSs), except for certain vehicles like snowmobiles and ATVs, which need different certification.
• Modified vehicles aren't allowed.
• If the car originally had airbags, they must be in working condition when inspected by RIV.
• Cars that didn't meet Canadian seat belt standards (CMVSS 210) when made can't be imported.
• Trailers altered beyond normal repairs lose their U.S. FMVSS certification and can’t be imported.
• All imported passenger vehicles must have functional daytime running lamps

It is always best to check with the RIV to see if your vehicle fits their criteria. You can do so on their website or by contacting them at:

How to Import a Vehicle from the US to Canada

Importing a vehicle from the US to Canada involves several important steps to ensure compliance with both countries' regulations and to facilitate a smooth transition. Below is a step-by-step guide to help you through the process:

Step 1. Research and Compliance Verification

Safety and Emission Standards: Ensure that the vehicle meets Canadian safety and emission standards by consulting the RIV Compatibility List, or RIV’s handy online tool.²

Manufacturer Approval: Obtain a compliance letter from the vehicle manufacturer indicating that the vehicle complies with Canadian standards.

Step 2. Purchase the Vehicle
Bill of Sale: Obtain a detailed bill of sale from the seller, including the purchase price, vehicle identification number (VIN), and other pertinent details.

Title Transfer: Ensure the title is transferred legally and that you receive the original title document.

Step 3. Temporary Import Permit

If necessary, obtain a temporary import permit for bringing the vehicle across the US-Canada border.

Step 4. Check for Recalls

Verify that there are no outstanding recalls on the vehicle and complete Recall Clearance Documentation, which the RIV states can be “a letter from the vehicle manufacturer’s U.S. or Canadian head office” or “a printout or screenshot from an authorized American or Canadian dealer’s vehicle service database.” You can find the contact information to complete this documentation on the RIV’s website.³

Step 5. Notify US Customs

Notify US Customs at least 72 hours before exporting the vehicle. Provide them with the vehicle title and other documentation they require.

Visit the designated US port of entry to confirm that the vehicle is cleared for export.

Step 6. Prepare Documentation for Canadian Customs

Gather all necessary documentation, including the bill of sale, title certificate, recall clearance documentation, and compliance letter from the manufacturer. You can use the RIV importer checklist to be sure you have everything you need for your vehicle.⁴

Step 7. Cross the Border

Upon arrival, officers of the Canada Border Services Agency (CBSA) will check your documentation, look over your vehicle import form, verify admissibility, and potentially facilitate payment of the RIV fee.⁵

Step 8. Registrar of Imported Vehicles Inspection

You must complete an RIV inspection within 45 days after importing. You can find an inspection centre on RIV’s site.⁶

Step 9. Complete the Necessary Modifications

If any modifications are needed to meet Canadian standards, ensure they are performed by a qualified technician. You can find typical vehicle modifications required by the Motor Vehicle Safety Act on the RIV’s website.⁷

Step 10. Provincial or Territorial Registration

After passing the RIV inspection, register the vehicle with your local provincial or territorial authorities. Obtain a new license plate, and pay additional provincial taxes and registration fees. You can find contact information for each province on RIV’s website.⁸

Step 11. Insurance

Make sure you have insurance before driving the vehicle.

Step 12. Final Steps

Keep all your importation documents, receipts, and inspection certificates in a safe place. These documents will be important for future reference, especially if you decide to sell the vehicle later.

By following these steps, you can ensure a smooth and compliant process for importing a vehicle from the US to Canada.

Wise will help you with the financial aspects and make your cross-border vehicle purchase as seamless as possible.

Avoid Expensive Currency Conversions with Wise

When purchasing a vehicle in the United States for import into Canada, you need to consider currency conversion between Canadian dollars and US dollars.

Banks and payment providers often mark up exchange rates, adding hidden fees to your transaction. This can significantly increase the total cost of your purchase. Fortunately, there is a more cost-effective solution: Wise.

Wise differentiates itself by utilizing the mid-market exchange rate, sometimes referred to as the “real” exchange rate. This rate is the midpoint between the buying and selling rates of two currencies on the global market.

Unlike the rates offered by banks and other financial institutions, which typically include a substantial markup, the mid-market rate is free from hidden fees, ensuring you get more value.

Don't let high currency conversion fees inflate your car import costs. With Wise, you can take advantage of the mid-market rate, transparent fees, and fast transfers to ensure a smooth and economical financial transaction.

Ready to experience the savings and convenience for yourself? Sign up with Wise today and make your cross-border vehicle purchase as cost-effective and hassle-free as possible.

About the author:
	Piyush is an expert in finance topics for the Canadian market, covering everything you need to live without borders. He creates high quality content to help you make the best cross-border decisions. You can read more useful articles on his author profile.

Sources verified on 4 September 2024