Essential insights
Wire transfers aren’t the sole gateway to international fund movements; a variety of alternatives exist.
When picking your money-moving method, consider fees, speed, limits, and payment options carefully.
Accuracy is king—triple-check recipient details, currency choices, and conversion costs before clicking send.
Sending cash overseas to family or friends inevitably means navigating the world of international money transfers. While wire transfers hold the crown for familiarity, they’re far from your only choice.
Exploring how best to move money abroad? You’ll want to weigh points like fees, transfer caps, and delivery times. Below, we unpack some of the go-to methods for sending money internationally, paired with what you need to know to get started.
Side-by-Side: International Money Transfer Services
| Wire Transfer | Around $44 outgoing on average | Typically within 24 hours or by next business day | Varies; $1,000 to unlimited depending on bank |
| Wise (formerly TransferWise) | Approx. $6.42 (currency-dependent) | 1 to 2 business days | Generally no cap |
| Xoom | 5% + fixed currency fee | Often within minutes | Up to $50,000 daily |
| MoneyGram | Usually $1.99 with debit card, varies | By next business day | $10,000 limit |
Wire Transfers in the International Arena
Sending money overseas via wire transfer remains a popular option. Whether through your bank or a third-party like Western Union, this traditional path is well-trodden.
Setting up a wire transfer is often as simple as heading online or visiting your bank. You’ll need the recipient’s account and routing numbers, their full name, and sometimes their address.
If your transfer hits the wire before your bank’s daily cutoff on a working day, funds typically land within one or two business days, though delays may occur during weekends or holidays. Wire transfers are among the speedier methods but usually come with heftier charges. For context, analyses place the average outgoing international wire cost at around $44.
The Wise Approach
Previously known as TransferWise, Wise revolutionizes international transfers by sidestepping the steep fees wire transfers carry.
This platform acts as a global money matchmaker, linking your local bank account to another’s abroad. Instead of physically moving funds across borders, Wise makes local payments from its domestic accounts, saving on hefty cross-border fees.
Say you’re transferring $1,000 from the US to France: you input both accounts on Wise, which then pulls funds from your US bank via an ACH transfer costing about $1.30, plus a small service fee, totaling roughly $6.42 (currency dependent). The recipient receives euros from Wise’s French account, bypassing international transfer fees.
Transfer times fluctuate by destination but usually don’t exceed two business days. Paying via debit or credit card is possible but pricier.
Xoom: Instant and Versatile
Xoom, powered by PayPal, lets you send cash worldwide with ease. Although you’ll need your own PayPal account to send funds, recipients don’t require one.
Funds can be sent from bank accounts, debit or credit cards, and PayPal balances. Debit and credit card usage tends to attract added charges. The standard fees combine 5% of the amount plus a fixed currency conversion fee.
A handy feature: cash pickup. This allows recipients to collect money as physical cash at banks, retailers, or other nearby points.
Sending limits depend on how much info you share: a base $2,999 daily limit jumps to $10,000 with an SSN or passport, and can reach $50,000 if you provide additional ID like a driver’s license, bank statement, or answer security questions.
Xoom transfers usually hit accounts or balances in minutes. If funds go into a PayPal account, the recipient might wait up to 3 days to move it to their bank—instant transfers come at an extra cost.
MoneyGram: Old-School Meets Digital
MoneyGram lets you send money globally, online or through agents. Online, payments go via credit/debit card or bank account, but in-person transfers mostly require cash.
Its fees are wallet-friendly—debit card payments often cost just around $2, though this can fluctuate. Picking cash pickup means a slightly steeper charge but the recipient can walk away with physical cash at local collection points.
Transfer speed changes by destination but commonly funds arrive by the next business day.
Steps to Send Money Internationally
1. Picking the Right Service
Among wire transfers, Wise, Xoom, and MoneyGram, each presents a distinct balance of speed, fees, countries served, and payment options.
- Urgency? Wire transfer or Xoom might win for rapid delivery.
- Big sum? Some platforms limit how much you can shoot abroad.
- Destination? Not all services reach every country — MoneyGram covers just 36 nations online, while wire transfers often cover nearly all.
- Payment mode? Debit cards might cost more with Xoom, but less with MoneyGram. Cash is less accepted with Wise.
- Cash needed on arrival? Opt for Xoom or MoneyGram that offer cash pickups.
2. Input Sender and Receiver Details
Start the process by feeding the transfer service recipient details like account and routing numbers plus the name. Services outside banks generally ask for your bank info to link accounts.
For larger transfers, expect requests for extra ID verification (Xoom is known for this).
3. Choose Currency and Amount
Verify you’re sending to the right country in the correct currency. Conversion fees can vary greatly.
Since fees are often deducted from sent funds, send enough so the final amount matches what the recipient expects after charges.
4. Finalize and Monitor
After sending, funds might take minutes or days to arrive. If opting for cash pickup, notify recipients where and when they can collect it.
Keep an eye on your history to confirm the transfer’s gone through and be alert for unexpected fees that might need disputing.
Additional Pointers When Sending Money Across Borders
- Exchange rate wizardry: Understand how rates and fees combine to impact your total cost.
- Card caution: Avoid credit cards where possible to dodge punitive fees; debit cards and bank accounts are friendlier.
- Speed matters: Match your provider to your timeline.
- Transfer limits: Pick providers who can handle your transfer amount without hiccups.
Sending money abroad is easier than ever with these many options. Banks, while convenient, usually come with a premium price tag. Plenty of nonbank services offer competitive fees and solid speed, making them worthy contenders for your international cash moves.
