The three main ways to move money abroad
You can send money to an overseas bank account through your own bank's wire transfer service, through a money transfer company like Western Union or Wise, or through your bank's international payment platform. Each route has different costs, speed, and exchange rates. Your bank's wire transfer is often the slowest and most expensive. Money transfer companies are usually faster and cheaper, especially for smaller amounts. The choice depends on how much you're sending, how quickly it needs to arrive, and which country it's going to.
Before you start, you'll need the recipient's full name exactly as it appears on their account, their bank account number, and their bank's routing or SWIFT code. Some countries also require an IBAN (International Bank Account Number). Ask the recipient to provide these details in writing—typos in account numbers can send money to the wrong person, and recovering it is difficult and slow.
Key Takeaways
- Wire transfers through your bank are reliable but often cost $15 to $50 and take three to five business days; money transfer companies are usually cheaper and faster for amounts under $5,000.
- You need the recipient's exact name, account number, SWIFT or routing code, and sometimes their IBAN before you can send anything.
- Exchange rates vary by provider—your bank often gives worse rates than money transfer companies, which means you lose money on the conversion.
- Money sent to the wrong account is extremely difficult to recover, so verify all details with the recipient before you transfer.
- Delivery time ranges from same-day (with some money transfer services) to five business days (with bank wire transfers), depending on the destination country and method.
Bank wire transfers: reliable but slow and expensive
A wire transfer through your bank is the most traditional method. You go to your bank in person, call them, or use their online platform, provide the recipient's bank details and the amount, and your bank sends the money directly to the recipient's bank. Your bank charges a fee (typically $15 to $50 for outgoing international wires) and applies its own exchange rate, which is usually worse than the rate you'd get elsewhere.
Wire transfers typically take three to five business days to arrive, though some banks promise faster delivery for an extra fee. The money is generally safe—your bank verifies the receiving bank's details before sending—but if you provide the wrong account number, the money may go to someone else's account, and your bank cannot easily reverse it. You'll receive a confirmation number and tracking reference; keep these in case you need to follow up.
Wire transfers work well if you're sending a large amount (over $5,000) and speed is not critical, because the per-transfer fee becomes a smaller percentage of what you're sending. They're also your only option if the recipient's bank doesn't work with money transfer companies.
Money transfer companies: faster and cheaper for most amounts
Services like Wise, OFX, Remitly, and MoneyGram let you send money online or in person without using your bank. You create an account, enter the recipient's bank details, choose how much to send, and the company deducts the money from your bank account or debit card. The money then moves to the recipient's bank account, usually within one to three business days depending on the destination country.
Money transfer companies typically charge a flat fee ($2 to $15) plus a percentage of the amount, or they build their margin into the exchange rate. Wise, for example, charges a small percentage and uses the real mid-market exchange rate, which is usually better than what your bank offers. OFX charges a flat fee with no percentage. Compare the total cost (fee plus the exchange rate loss) across a few providers before you send, because the difference can be significant on larger amounts.
These services are fastest for routine transfers to common destinations like Canada, the UK, Australia, and Mexico. Transfers to smaller banks or less common countries may take longer. Some services also offer same-day delivery for an extra fee, though this is not available to every country.
What information you need from the recipient
Before you can send money, ask the recipient to provide their bank details in writing. You'll need their full legal name (exactly as it appears on their bank account), their account number, and their bank's SWIFT code or routing number. For some countries, you'll also need their IBAN, which is a standardized account identifier used in Europe and some other regions.
The recipient should get this information from their bank statement, online banking portal, or by calling their bank directly. Do not guess or abbreviate names—if the name doesn't match the account holder's legal name, the transfer may be rejected or sent to the wrong account. If the recipient is unsure, have them contact their bank before you initiate the transfer.
Some money transfer companies and banks have online tools where you can look up a SWIFT code by entering the bank name and country. Use these to double-check before you send.
Exchange rates and hidden costs
When you send money abroad, the provider converts your currency to the recipient's currency. The exchange rate they use determines how much money the recipient actually receives. Your bank typically applies a markup to the mid-market rate (the real rate you see on financial news sites), which means you lose money on the conversion. Money transfer companies often use rates closer to mid-market, but they may still apply a small markup or build their fee into the rate.
Always ask what exchange rate you'll receive before you send. Some providers show you the exact amount the recipient will get; others show only the rate. Calculate the total cost yourself: the fee plus the difference between the rate offered and the mid-market rate. On a $1,000 transfer, a 2% difference in exchange rate costs you $20, which can be more than the stated fee.
Avoid sending money through your credit card if possible—credit card companies often charge a cash advance fee (2% to 5%) on top of the wire or transfer fee, making the total cost much higher.
Timing: how long money actually takes to arrive
Delivery time depends on the destination country, the receiving bank, and the method you choose. Bank wire transfers typically take three to five business days. Money transfer companies usually take one to three business days. Same-day or next-day delivery is available from some providers but usually costs extra and may not be available to all countries.
Weekends and holidays add delay—a transfer sent on Friday afternoon may not begin processing until Monday. Transfers to countries with less developed banking infrastructure (parts of Africa, Central Asia, and the Pacific) may take a week or longer. Always ask the provider for an estimated delivery date before you send.
Once the money leaves your account, you cannot cancel it. If the recipient hasn't received it after the estimated delivery date, contact the provider or your bank with your confirmation number and ask them to trace it. This process can take several weeks.
What to do if money goes to the wrong account
If you send money to an incorrect account number, recovery is difficult and often impossible. Your bank or the money transfer company can attempt to contact the receiving bank and ask them to return the funds, but they cannot force the receiving bank to do so. If the recipient's bank cannot identify who received the money, or if the recipient has already withdrawn it, your money is likely gone.
This is why verifying the recipient's details before you send is critical. Call the recipient and have them read their account number to you character by character. Ask them to confirm their bank's name and SWIFT code. Spend five minutes on verification to avoid losing hundreds or thousands of dollars.
If a mistake does happen, contact your bank or money transfer company immediately with your confirmation number and the recipient's details. Ask them to file a trace request. Keep all documentation—confirmation emails, screenshots of the transfer details, and written correspondence with the provider. Some providers have insurance or dispute resolution processes, but these are not may provide to recover your money.
Frequently Asked Questions
Can I send money to a savings account, or does it have to be a checking account?
You can send money to either a savings or checking account. The account type doesn't matter—you just need the account number and the bank's SWIFT or routing code. Some savings accounts have restrictions on how many transfers they can receive per month, so the recipient should check with their bank if they're receiving frequent transfers.
What's the difference between a SWIFT code and a routing number?
A routing number is used for domestic transfers within the United States. A SWIFT code is used for international transfers and identifies a specific bank branch worldwide. If you're sending money outside the US, you need the SWIFT code. If you're sending to a US bank account from abroad, you need the routing number. Some banks provide both.
Do I need to report sending money abroad to the government?
If you're sending money as a personal transfer to family or friends, you generally don't need to report it. However, if you're sending large amounts regularly or for business purposes, you may have reporting obligations depending on your country's laws. Consult a tax professional or your country's tax authority if you're unsure. Banks and money transfer companies report large transfers (usually over $10,000 in the US) to government agencies as a matter of course.
Why does my bank charge so much for international transfers?
Banks charge high fees because they use correspondent banks (intermediary banks) to process international transfers, and each correspondent bank takes a cut. Money transfer companies bypass this system by moving money directly or through their own networks, which is why they're usually cheaper. Your bank also applies a markup to the exchange rate, which is another source of profit on international transfers.
Can I send money to a bank account I don't own?
Yes, you can send money to anyone's bank account as long as you have their correct account details. You don't need permission from the account holder, and the account holder doesn't need to do anything to receive it—the money arrives automatically. However, some banks flag large transfers to accounts with different names as potential fraud, so the receiving bank may contact the account holder to confirm before releasing the funds.