So if cost is an issue, Remitly might be a better choice. To calculate the cost of exchanging money from one currency to another, Wise relies on what’s known as the mid-market exchange rate, also called the “real” exchange rate. There are three rates that determine how much your money transfer will cost and how much money your recipient will receive. » Want to see how Wise stacks up against other options? Compare it with other ways to send money internationally. This overview of Wise is for U.S.-based audiences sending money from the U.S. to other countries abroad only.
- Here is a list of our partners and here’s how we make money.
- The company says half of its transfers arrive within an hour.
- Many or all of the products featured here are from our partners who compensate us.
- Setup and login are easy; you can register for Wise by using an email address, or syncing up your Apple, Google or Facebook account, which isn’t typical for a transfer provider.
When you check the exchange rate for an international transfer with services like Western Union, focus on the exchange rate markup by looking at the foreign currency amount. The higher it is, the lower the markup is, and the more money your recipient receives. Remitly allows delivery of cash to a home or business, while Wise does not. But Wise does provide the option to send money via Apple Pay or Google Pay, a feature that isn’t available from Remitly.
Definitions: Money Transfer Rates
Clear and upfront fees, delivery estimates & real-time payment tracking. Setup and login are easy; you can register for Wise by using an email address, or syncing up your Apple, Google or Facebook account, which isn’t typical for a transfer provider. Each month, London-based Wise processes more than £8 billion (nearly $9.7 billion USD) worth of international transactions. Over 13 million people and businesses use Wise, which was founded as TransferWise in 2011. We believe everyone should be able to make financial decisions with confidence.
General advice for international money transfers
Here is a list of our partners and here’s how we make money. By the way, Wise prides itself on not using automated systems to answer customer service calls. Wise charges lower fees if you send large sums of money (over the equivalent of £100,000 per transaction in U.S. dollars) at one time or several times a month.
Best Ways to Send Money
A transfer paid by bank account directly tends to be a much cheaper (and much slower) transfer. If you need money delivered quickly, use a debit card, which will also incur a lower fee than using a credit card. Know how exchange rates work (and how to find the best). One of the ways money transfer providers make money is through exchange rate markups. Most transfer providers won’t give you the exchange rate you’d find on a currency exchange platform like the one at Bloomberg.com or Reuters.com. Those sites just tell you the price of one currency in relation to another, but they are a helpful starting point to know what the best rate looks like this minute.
The financial tech company Wise, formerly TransferWise, offers a cheap way to send money from the U.S. to over 70 countries. You can fund a Wise money transfer in various ways, such as with a bank account or credit card, but recipients need to have a bank account. OFX enables someone to send money to people in 190 countries, while Wise is limited to fewer than 100 countries.
If you have a Wise account, you can sign up for a Wise debit card, which can be used in many, but not all countries. Each month, you can make two ATM withdrawals of up to $100 each month at no charge. Signing up for a free account takes just a few minutes, and Wise walks you through each step. In addition to entering personal information—your name, date of birth, address famous investors and phone number—you can register for an account using your Apple, Facebook or Google account. This login alternative isn’t available with most money transfer services. We save partners time and money by allowing them to deploy new products and services to customers seamlessly, helping them to speed up innovation and serve, retain, and grow their customer base.
Now, thanks to Wise Platform, other companies can gain access to our industry-leading, reliable service seamlessly. For a debit (ACH) transaction, you can send up to $15,000 per day. With a debit or credit card, the limit is $2,000 every 24 hours and $8,000 every seven days.
Meanwhile, Remitly’s Express option enables speedy transfers (within minutes using a debit card), whereas a Wise transfer may take up to two business days. You can send money from the U.S. to another country using a bank account (ACH), wire transfer, debit or credit card, international SWIFT network, Apple Pay or Google Pay. Transfer fees depend on the amount being sent, the type of currency the recipient will get and the payment method. Once you’ve registered for an account, Wise might need to verify your identity, typically by uploading a picture of your photo ID and proof of your address.
Wise uses HTTPS encryption and a two-step login process to protect data. The company says it will never “misuse” or sell customer data. However, the App Store page for the app indicates some types of data may be collected and linked to your identity, such as contact information, financial information and search history. The card also can be used to make online payments, and for Apple Pay and Google Pay transactions. 57% of cross-border payments are delivered instantly and 94% in under 1 day.
For a local bank transfer, you’re able to transfer as much as $1 million. The amount goes up to $1.6 million for an international wire transfer through the SWIFT network. Local bank transfers tend to be cheaper than international wire transfers. Navigation of the Wise website and app is user-friendly, with no glitches during our test of the platform. If you’re sending money in the same currency from one Wise account to another, there is no fee to convert the amount, but Wise charges a nominal fee to complete the transfer. If you’re looking for an international money transfer service that’s cheap, Wise might not be the best pick.
View NerdWallet’s picks for the best checking accounts. Through the Wise Assets program, you can invest money from your Wise account in the iShares World Equity Index Fund—its holdings include stock in Apple, Microsoft and Tesla. This free account lets you send, hold and receive money in a number of currencies. Wise is a publicly held company whose stock is owned by shareholders. The company’s stock began trading on the London Stock Exchange in July 2021.
The homepage has a cost calculator that makes it easy to see fees and rates, and FAQs are well-organized and helpful. Once you finish setting up a transfer, rates are guaranteed and you can cancel transfers that haven’t been converted or paid yet. A Xoom user can add cash to a prepaid mobile phone account or can pay international bills; neither of those features is available from Wise.
Wise is upfront about the fact that it’s not always the least expensive option, and the potentially higher cost might turn off some people. Transferring money from a Wise account to a bank account isn’t a smooth process. First, you must sign into your Wise account, choose the amount you want to send, enter the recipient’s banking information and select “bank transfer” https://bigbostrade.com/ as the payment method. Next, you must leave your Wise account, and complete the transfer by signing into your bank account and plugging in your Wise account information. At the other end of the spectrum, Wise’s offerings include a debit card and a multi-currency account, as well as features such as Apple Pay and Google Pay, while Xoom has none of those.
Perhaps the biggest difference between the two is that OFX does not charge transfer fees and Wise does charge them. Yet Wise stands out because it does not mark up the exchange rate for transfers; OFX hits customers with exchange-rate markups. Also, Wise offers a debit card and a multi-currency account, neither of which is available from OFX. It’s an option for some providers, but there might be a higher upfront fee and your credit card issuer may tack on costs such as interest and cash advance fees.