Many people nowadays work abroad. As such, they have family members back home whom they would like to send money. Others are students who are studying in a foreign country and need to receive cash from their parents or guardians. More and more people are also conducting international business which means that they need a reliable way to receive cash from their home country. Due to the above factors, money transfer services have become a necessity in today’s world. Thankfully, there have arisen many money transfer companies that make it easier for people to receive money from abroad.
However, not all these companies offer the best services. Some charge a higher price and others have a long processing time. It is therefore important to carry out research before you choose a money transfer company so that you get the best deal.
Luckily, you do not have to go through pages in the end.
Below is a list of the best money transfer companies, their fees, pros, and cons plus other important information that should help you make the best decision.
Top 6 Best Money Transfer Companies
1. XE.com – International Money Transfer Service
The first money sending company on our list is XE. The company has been in the money sending business for a very long time and has therefore made a name for itself as a reputable company. It has a very wide presence for it is found in over 170 countries. This means that it is probable that the company is present in the country where you want to send cash. Another great feature with the company is their low rates which are way much cheaper than the ones banks offer. They also do not charge any transfer fees.
Process of sending money through XE
You have to open an XE account in order to send cash through XE. Provide your name, occupation, social security number, and your physical address. Once you provide this information, it takes only a few minutes for your account to be active. In order to send the money you will need to provide the following information:
- The details of the person receiving the cash
- The currency of the cash transfer
- The amount you want to send
It is worth to note that XE is exclusively an online or phone transfer service provider. This means that you cannot use your card to send cash through the service.
Exchange rate and fees
The best thing is that the company does not charge any exchange fee. Instead, they add a markup to the exchange rate. The markup rate is around 0.5 to 2 percent. The higher the amount of cash you are sending, the lower the markup rate.
Time of transfer
XE offers very fast transfer services. However, it also depends on the country of the recipient. In some cases, the person you are sending the money to might receive the cash the same day. In other cases it might take 2 to 5 days. It is therefore advisable to find out from the company when your recipient is likely to receive their cash.
| PROS | CONS |
|---|---|
| It does not charge an exchange fee | You cannot use your card to send cash |
| Has a wide coverage and offers cash transfer in 60 different currencies | It is impossible to know the markup rate before initiating the transaction |
| It is a very trustworthy company |
2. Wise, Formerly TransferWise- Online Money Transfers
TransferWise is now Wise. Another great company when it comes to transferring cash internationally. The company is a household name that is trusted by millions of people for their outstanding services. The main focus of the company is bank to bank transfers. You should not be alarmed though since their transfer fees are way much lower than those that the banks charge.
Another great benefit of the company is that they are very open and straightforward with their fees. This means that you are able to calculate how much you will be charged even before you make the transfer.
As a result, you know exactly how much the recipient will receive. The company is available in 22 countries and you can transfer cash in as much as 27 currencies.
Sending cash through Wise, TransferWise
In order to send cash through the company, you need to create an account which takes only a few minutes. The information you need to provide in order to open the account includes:
- Your address
- Your phone number
- Email address
- Your date of birth
- Your credit card or bank account number
- The details of the recipient
- The recipient’s International Bank Account Number (IBAN).
Once you provide this information, then your account will be activated. After this, enter the amount of cash that you want to transfer and you will see the total fees that you will be charged for the transfer. You also get to see the expected time it will take for the recipient to receive their cash.
How much does it cost to send cash through the service?
The company does not add a markup to the exchange rate but rather charges an exchange fee. TransferWise charges the exchange fee as a percentage of the amount you are sending.
The speed of the transfer also affects the exchange rate. If you want the recipient to receive cash very fast, then you will be charged a higher rate. Another factor that will affect the transfer rate is the currency of transfer.
Time it takes for the transfer to go through
Because the company facilitates bank to bank transfers, it can take anywhere between 3 to 5 days for the recipient to receive the cash.
| PROS | CONS |
|---|---|
| You can see the amount of fees you will be charged right from the word go. The fees and exchange rate are very transparent | You can only transfer the cash from a bank to a bank. No cash pick up option. |
| It offers very competitive bank to bank transfer rates | It offers only online customer care services, their telephone contacts are only for emergency cases |
| It is very secure | |
| Offers 27 currency transfers in 22 countries |
3. WorldRemit
One of the greatest features of World Remit is their world reach. They have a very wide network as you can transfer cash to 150 countries around the world and you have the option of transferring the cash in 90 currencies. Another great feature of the company is its versatility. It is possible for the recipient to receive the cash through mobile money, cash pickups, and bank deposits. They also offer very fast services which make the company a top choice for most people.
Sending cash through WorldRemit
World Remit has a very simple process of opening an account. All you need is to provide your personal details. You also need to give a verified proof of residence. The process of providing the required documentation is simple as all you have to do is scan the documents and send them. Once your account gets approved, you can send the cash through debit card or bank transfer. The recipient can pick the money as cash.
How much does it cost to send cash through WorldRemit?
It is important to note that in the case of WorldRemit, you will pay both a transfer fee and a markup fee. The good news though is that the company is very open about its charges and you get to know exactly how much the fee amounts to before you initiate the transaction.
The markup fee is around 1.5% while the transfer fee is between $3.99 to $24.99 depending on the destination country, the means of delivery, and the currency.
Time it takes for the transfer to go through
The time it takes for the recipient to receive the cash mainly depends on the transfer mode. For cash pickups, the transfer is mostly very fast. Bank transfers might take 3 to 5 days.
| PROS | CONS |
|---|---|
| It has a very wide global coverage | Charges both markup and a transfer fee |
| Very fast cash transfer speeds | |
| You can use different transfer options | |
| It also offers a variety of pick up options including cash pickups and bank transfers among other means |
4. OFX
Another industry leader when it comes to proving money transfer services is OFX. The company has been in the business for more than 20 years and has gained a reputation for being one of the most trustworthy money transfer companies. OFX has transferred more than 67 billion pounds since it started its operations.
The company charges very low fees compared to other players in the industry. You also get to enjoy 24/7 customer service to handle any issues that you might experience with the system.
Money sending process with OFX
The very first thing that you need to do is open an account and prove your identity using a government-issued photo ID. You can use your passport, your national ID, or a driver’s license. It is possible to log into your account either online or through the company’s mobile application.
The method that you use to send money through the platform depends mainly on the country of your residence. If you are in the US, Canada, Australia, or the UK, it is possible to send funds using electronic bank transfer. If you are in the UK, you can send cash through debit card transfers.
It is important to note though that you can only send a minimum of $1,000 through the platform.
Exchange rate and fees
The company charges its transfer fee as a percentage of the amount that you are sending. Another factor that affects the transfer fee is the currency. It is worth noting that the higher the transfer amount, the lower the percentage of the transfer fee.
How long does it take to transfer cash through the platform?
Depending on the currency, the recipient’s country, and the transfer method, it can take anywhere between 1 to 5 days for the recipient to receive the cash.
| PROS | CONS |
|---|---|
| Its exchange rates are not very exorbitant | You cannot send less than $1000 |
| Has a wide coverage | |
| You can transfer cash using a debit card if you are in the UK |
5. Payoneer
The fifth option that you should try out if you want to send cash internationally is Payoneer. The company has gained international recognition and acceptance for providing exceptional services. Payoneer is available in 200 countries and transfers cash in 150 currencies which makes it very versatile and a daring to many people.
The company has very big names as its customers. Some of the companies which use Payooner’s services include Amazon, Airbnb, and Google among other 500 fortune companies. Freelance companies such as Fiverr and Upwork also use the platform. Not only that, but you can also use the platform as an individual to send cash across the globe.
Process of sending cash through the platform
You need to sign up on the company’s website and create either a personal or a professional account. The next step is providing your personal information and also proving your identity through a government-issued photo ID. You can use your national ID, driver’s license, or your passport.
The account activation time for Payoneer is a bit long since the company runs your details through credit checks and the relevant authorities to prove your identity. Once your details check out, your account is activated and it is now possible to send and receive funds either through bank transfer or debit card.
It is possible to end cash from Payoneer to another person’s bank account directly. The recipient does not have to have a Payoneer account to receive the cash. However, this method is expensive since the company charges transfer fees and other charges. If the recipient has a Payoneer account, then the transfer is free of charge.
Exchange rates and fees
If the recipient is a Payoneer customer, then they can receive cash for free
The company charges a markup rate of 0.5% on the exchange rate. If you are transferring cash to a bank account, then you will pay2% of the transfer amount as the transfer fee. If you want to make a saving on the fees and charges, it is better to make larger transfers.
Time to receive payments
If the recipient has a Payoneer account, then the transfer is almost immediately. However, if the transfer is to a bank account, then the money might take anywhere between 3 to 5 working days. It is important to note that the time to receive the cash might be longer.
| PROS | CONS |
|---|---|
| The company has wide network coverage in over 200 countries | It is quite expensive to send cash from a card |
| It is free to transfer cash to a person with a Payoneer account | |
| You can request payments from your clients through the platform |
6. Remitly
If you are in the Eurozone, Europe, Australia, Canada, or the USA, then it is possible to send cash using Remitly to people in over 40 countries. With the company, you can send cash using bank transfers. The recipient can receive the cash into their homes, or from cash pick up centers.
Sending cash using Remitly
To start using the service, you need to open an account. To activate the account, provide your email address, the last four numbers of your Social Security Number or your Individual Taxpayer Identification Number. Before sending cash, you have to provide the name, contact information, and the bank details of the person to whom you are sending the cash.
Once your account is active, it is possible to send cash to over 40 countries using Remitly. You can send the cash through a debit card, bank account, or a credit card. You get to select your preferred transfer option from the company’s website.
Exchange rate and fees
The company charges the fees depending on these three factors:
- Transfer amount
- The currency of the transfer
- The method by which you want to send your cash.
If you want the recipient to receive the cash in minutes, then you should use express payment which will cost you on average $6.99. However, the fee depends on the destination and the transfer currency.
If your recipient can wait a few days, then it is better to send the cash through the bank. When sending an amount that is over $500, then you will not be charged any transfer fee.
The company charges 1% to 2% above the exchange rate.
How long does it take to transfer the cash?
If you want your recipient to receive the cash almost immediately, then you should use the express transfer. When you use the normal bank transfer, the cash might take 3 to 5 working days to reflect into the recipient’s account.
| PROS | CONS |
|---|---|
| The company works with all the major banks where its services are available | Its daily limits are low |
| It is possible to receive your money from cash pick up centers, mobile wallets, and even hoe delivery | |
| You get to know how much it will cost even before you initiate the transfer order |
Factors to Consider While Choosing the Best Money Transfer Companies
- Fees and charges : The very first factor that you should consider while choosing a money transfer company is the fees and costs that the company charges. It is important to find out the fees that each company charges so that you can choose the most affordable option that meets your needs. Some money transfer companies charge a flat rate while others use a percentage. Others still might waiver the transfer fee depending on the amount.
- Speed : Speed is also another very important factor that you should consider while selecting a money transfer company. With some companies, the recipient will receive their cash in a matter of minutes while for some others it might take more time. Fast transfer speeds often cost more but at times it is worth the extra charge.
- Coverage : Another important factor to consider is the coverage of the company with which you want to send cash. Some companies are only available in limited regions which might not be helpful if you want to send cash outside these regions. It is therefore important to find out if the company that you want to use operates where you want to send the cash.
- Transfer methods : Different money transfer companies offer different transfer options. Some offer one option while others offer different options. Additionally, different companies also offer various payout methods. It is important to put these factors into consideration to determine the most convenient sending option.
FAQ – Frequently Asked Questions
Where can you get the best exchange rate?
Different companies charge different rates and fees. It depends on your particular needs. If you are sending a small amount, it is better to look for a money transfer company that charges only a markup on the exchange rate and does not charge a transfer rate. If you are sending a large sum, look for a company that offers free transfer to customers sending a large sum.
How does the money transfer process work?
First of all you have to set up your account. With most companies, it is possible to register online. Secondly, provide some identification document and the company will activate your account. The third step is to enter the details of the recipient and finally initiate the transfer.
How long does the recipient have to wait to receive the cash?
The time the recipient has to wait to receive the cash depends on the company and the mode of transfer. Some companies offer faster money transfer speeds at a cost. Additionally, the mode of payments also affects how fast the recipient will receive the cash. Some modes are faster than others.
Do all money transfer companies have a mobile app?
Almost all money transfer companies have a mobile app so as to remain competitive in the market. Most apps also work well on both Android and iOS platforms.
Final Recap
Being able to transfer money internationally both safely and fast is a factor that most people cherish. However, it might seem like a daunting task to select the best transfer company among the many that are in the market today. Before you come to a decision, it is important to put some factors into consideration. First, consider the fees and charges of different companies. Secondly, look at the coverage of the company that you intend to use. Thirdly, check the transfer methods that the company offers and finally check the transfer speed. When you put these factors into consideration, you cannot go wrong.
We believe that the above-detailed information will enable you to make the right decision when it comes to choosing the best money transfer company.
