International money transfers are popular around the globe. Despite the fact that banks are usually seen as the go-to place for money transfers, the truth is that transferring money via banks is incredibly expensive, with the fee being as high as 11% of the total amount that you plan to send.
On that note, here are five secure and affordable ways to send money internationally.
Western Union
Western Union offers the best way to send money internationally by covering over two hundred countries and regions. The transfer cost varies and can be as low as $5 for $1000 – but – depending on the delivery method and funding source, it can also be higher. The potential rate markups of Western Union are typically based on the following aspects:
- Delivery Method
- Payment Type
- Destination
As one of the biggest money transfer services, the primary advantage of using Western Union lies in its networking, especially regarding cash-pickup and sending money in-person options. Customer support is available 24/7.
OFX
OFX is another platform that can be used to transfer international money. Typically, OFX offers its services to 190 countries and regions. This money transfer platform doesn’t charge transfer costs, whereas its exchange rate can be somewhere between 0.5% and 1%.
OFX doesn’t offer same-day transfers and usually takes up to three business days to transfer the money. Speaking of transfers, money can only be transferred between bank accounts.
Wise
Previously known as TransferWise, this money transfer platform offers its services in more than 70 countries and regions. With Wise, you can find some of the best exchange rate options. Besides, the upfront fees are typically lower than 1% of the transfer amount, especially if you use a bank to fund the transfer.
Wise offers same-day delivery to a few countries where money transfers using a debit or credit card can take a few seconds. On the other hand, transferring money using a bank account can take as long as a few business days. Also, the speed of transfer depends on the destination.
Irrespective of the money transfer method you choose with Wise, the recipient must have a bank account.
Xoom
Xoom is a money transfer platform that offers its services in more than 160 countries and regions. The upfront fees for transferring money are typically as low as ranging between $0 and $5. These low, upfront fees contribute to the use of a bank account or PayPal instead of a credit or debit card.
Also, the exchange rate for international transfers can be over 1%, but it is still cheaper than banks and international wire transfers. The transfer speed depends on the different time zones and banking hours, but it usually takes only a few minutes.
MoneyGram
This international money transfer platform offers its services in more than two hundred countries. If you make the transfer via a bank, you can expect a low upfront fee. But – if you choose other payment methods, you can expect a high upfront fee. Also, the markup rate can surpass 3% – depending on the region where you send the money.
Usually, the transfer limit with MoneyGram maxes out at ten thousand dollars a month. But – depending on the country, the limit can be higher than this.