You send an interac transfer from your regular online banking, assuming you've signed up with your institution for this service. Each bank's system is obviously a little different but somewhere in the menu system there should be the option to send an email interac transfer, or some such. All you need to know about the receiver at that point is their email address.
You don't really associate your email address to your bank account. The receiver receives an email from the banks (interac) with the instructions on how to deposit. Basically there's a transaction id that comes in the email that you then have to sign into your own online banking, enter that transaction id, and if you are the legitimate receiver of the funds then you will likely know how to answer the security question. But you don't really have to enter the transaction id, that part is more or less automatic, but I couldn't really think of a better way to explain it.
It's way more secure than paypal, and cheaper for that matter. And really easy. Once you've done it once, you'll be a pro. Honest.
