expats transfer guide

Expats Transfer Guide: Competitive International Money Transfers Without Fees

Moved to Australia? Here’s how to send more money back home.

If you've moved to Australia and want to send money overseas then there are exchange rates and fees to think about.

Fortunately there are ways to pay no fees and get better exchange rates. Find a foreign money transfer service with no fees which will also match competitor’s exchange rates, and make each dollar go further.

Send money home using a transfer service

Rates last updated August 24th, 2017
Name Product Min. Transfer Amount Transfer Speed Services Online Transfer Fee Rate Amount Received Description
TorFX International Money Transfers
AUD 200
1 day
Online, Phone, Agent
TorFX guarantee to beat any competitor's exchange rate for a transaction
Conditions apply
Exclusive: World First International Money Transfers
AUD 2,000
1 day
Online, Phone
Exclusive offer: $0 transfer fee and competitive rate
The transfer rate displayed is exclusive to finder.com.au users for their first trade only.
Exclusive: OFX (Ozforex) International Money Transfers
AUD 250
1 day
Online, Phone, Agent
Exclusive offer: Special exchange rates and $0 transfer fee
OFX is currently offering finder.com.au exclusive exchange rates and $0 transfer fee on all transfers.
FC Exchange International Money Transfers
GBP 3,000
1 day
Online, Phone, Bank Account to Bank Account
No transfer fee via online, branch or phone when transferring more than £10,000 or equivalent.
Compass Global Markets International Money Transfers
AUD 1,000
1 day
Online, Phone
Send money in as little as 24-48 hours to a range of countries with Compass Global Markets.
HiFX International Money Transfers
AUD 50
2 days
Online, Phone, Agent
Make your first transfer for free. Transfer money between 20 currencies, and schedule regular transfers.
Currency Solutions International Money Transfers
AUD 3,000
2 days
Online, Phone, Bank Account to Bank Account
Send money overseas for a range of reasons, including regular payments and buying overseas property. 97% Trustpilot score.

Compare up to 4 providers

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Save money on your personal or business international money transfer today. Fill in the form and you’ll be contacted by a foreign exchange expert to have an obligation-free discussion about your options. Our foreign exchange experts offer a best rate guarantee, are ASIC authorised and never charge transfer fees.

They can help you with all your needs including:

  • Buying property abroad
  • Emigrating
  • Regular overseas payments
  • Risk management
  • Forecasting

Should I use a bank or an international money transfer company?

  • International currency transfer services make their profits from many currency exchanges at small margins and small fees to cover costs. Their exchange rates are usually 1-2% less than midmarket rates, which means they make about that much on currency changed. Their income depends on offering great deals to attract a lot of users.

To stay profitable they usually have minimum amounts that can be sent per transaction.

  • Bank overseas currency transfers make their profits from fees for everything and currency exchanges at big margins (worse rates). Its exchange rates are usually 2-4% less than midmarket rates, meaning they make about that much on currency changed plus all their fees. They income depends on making as much money per transaction as possible.

Because they have so many fees, banks do not have any minimum amounts per transaction but smaller sums may be entirely lost to fees.

This is how international currency transfer services are able to offer much better value for money.

If you want to make international money transfers then you may want to consider avoiding banks. In many cases you can only use banks for transfers when you have an account with them and you will end up paying whatever rates and fees they demand, wait for however long it might take, and have fewer options for sending and collecting.

Dedicated currency transfer services have more choices so you can compare options to find the best, then transfer money overseas with no fees, great rates and collection options that work for the recipient, whether it’s cash, cheque or a direct transfer to their bank account.

BankMoney transfer service
  • Higher fees
  • Lower fees
  • Worse exchange rates
  • Better exchange rates and price matching
  • Slower transfers
  • Fast transfers
  • Usually need an account with the bank
  • Can be used by anyone

Bank fees are BIG

Bank fees mean you might spend hundreds of dollars on just one transaction. The fees might be more than the amount of money you are sending.

  • Fees for sending: They will typically charge you a flat $20-30 fee.
  • Fees for changing currency: Not only are the conversion rates worse, but they may charge another flat fee for converting the currency which can be around $30.
  • Fees for processing: If the money is being sent to a different banking company they will charge additional processing fees, generally $10-30 depending on the situation.
  • Fees for receiving: The person you are sending money to will have to pay another fee to pick it up. This is typically more if they are in a different country and using a different currency, and can be over $30. They will also have to pay the separate fees of whichever bank they are using.
  • Extra fees if you want to pay the receiving fees: If you, the sender, want to pay for the recipient’s bank fees then you can, but this incurs a “correspondent fee” of $40 or more.
  • Fees for tracing the transfer: If you want to find out how much longer the transfer will take, or if it did not arrive and you want to find out what happened to it then the bank will look into it if you pay another $25.
  • Fees for amending the transfer: Need to change some details of the transfer? You can for another $25 fee.
  • Cancellation fees: If you have realised the fees are too high and want to cancel the transfer then you can. This will incur another $25 fee.

Currency transfer service fees are small

International money transfer services have small fees.

  • No fees at all: Many providers will charge you zero fees.
  • Set fees: Some providers require you to pay a flat $5-15 in fees per transfer.

Any other fees?

If the money has to be transferred through banks on the way to its destination, then these banks might each take a cut. This is beyond the control of international money transfer services, but at least they won’t also charge you an extra correspondent fee for it.

How do I set up regular overseas payments?

If you want to set up regular money transfers, such as every week or fortnight, then you can. This is sometimes one of the first things people do when they have just moved to Australia and found a new job. Many currency transfer services let you do this online, over the phone or in person.

  • Banks may charge administration fees for setting up regular payments
  • Banks apply hefty flat costs to each transaction
  • Banks will usually charge extra for amending payment schedules
  • Banks offer poorer exchange rates on each transaction
  • Most international money transfer providers will set up regular payments without any fees
  • Many money transfer companies will not apply any flat fees to transactions
  • Money transfer companies will typically let you adjust payment schedules free of charge
  • International currency transfers bring good exchange rates to every transaction

If you want to set up regularly scheduled overseas payments then resist using a bank. Currency transfer services are simply better when sending overseas.

Fees for receiving money into your bank account

  • Banks will charge you fees just for receiving money internationally
  • International currency transfer services have no fees for the recipient

If you are in Australia receiving money from someone overseas, such as if you are still finding your feet after arriving, then your Australian bank will charge a flat fee, typically over $10 each time, just for collecting the money, plus flat currency exchange fees.The worse international currency exchange rates offered by banks, compared to transfer services, also mean more money is lost along the way. Bank transfers can generally only be paid into your account with fees automatically deducted.

However when you receive money with an international currency transfer service it can be deposited directly into your bank account without any extra fees and at better exchange rates while some providers will let you collect it as cash or a cheque.

Don’t let your overseas acquaintances send money with a bank. Ask them to use an international currency transfer service instead so you don’t have to pay any fees.

How to compare international money transfer services

Send more money overseas with currency transfer services and find the provider that’s right for your needs by comparing a few simple things.

Find a provider that works for you by making sure they accommodate your minimum transfer amount, required transfer speed and services available. After that, compare their rates and fees against the amount you are sending to find out which is more cost-effective.

Finding the right money transfer company can be as simple as that.

What to look forWhat it isWith banksWith money transfer services
RatesForeign currency exchange rates. This makes a big difference in larger transactionsBad rates, typically 2-4% less than midmarket valueGood rates, typically only 1-2% less than midmarket value
FeesFlat costs you must pay when sending moneyBig fees for sending, receiving and exchanging moneyA small fee for sending money, or no fee at all
Minimum transfer amountsThe smallest amount you can send in one goNo minimum, but fees cost more than small transfersVaries widely. Can be nonexistent, a few dollars, a few hundred dollars or thousands
Transfer speedHow long it takes to send and receive moneyFrom 2-5 business daysTypically 1 or 2 days, including weekends
Services availableHow you can make transfersOnline, over the phone or in person and moreUsually online or over the phone, but in person with some providers

Jennifer’s money transfer plans

Jen had just moved to Australia with a new job lined up for her. Her new income was more than enough to pay her modest bills and living expenses, so she wanted to set up a regular transfer of money back home to America to pay for her father’s growing medical needs. Her plan was to transfer $1,000 every month, to be converted into American dollars.

Jennifer’s first thought was to go to her bank. She looked at their options, then looked at their fees and realised it would take a big bite out of the money she sent. Casting around for other options, she soon discovered a typical international money transfer service. To compare both side by side, she drew up this table.

Sending AUD1,000 per month

The bankMoney transfer service
Exchange RatesUSD$0.72  per AUDUSD$0.76  per AUD
FeesAUD$40 per transactionAUD$10 per transaction
How much money arrives back home each monthUSD$691.20USD$752.40
How much arrives in a yearUSD$8,294.40USD$9,028.80

Using a money transfer service instead of the bank meant that over the course of a year Jen sent an additional USD$734.40 home, a difference of about a thousand Australian dollars. It was a whole month’s difference.

Jennifer compared all the banks she could find, and all the money transfer services she could find, and found similar differences across the board. Her mind was made up, and she resolved never to use banks for international currency transfers as long as there was a single good money transfer service.

How to do an international currency transfer

For seamless international money transfers, follow these steps.

  • Know the details of the bank account you want to send money to. This might be your own bank account outside of Australia, or the account of someone you are paying. To transfer money to an account you must know the recipient’s SWIFT/BIC code, which indicates the country and location of the receiving bank, as well as the BSB and account number which specify the individual bank account. You can find SWIFT/BIC codes online or by contacting the bank, and should get the BSB and account number from whoever you’re sending money to.
  • Compare the international currency transfer options. They may have different exchange rates, different minimum transfer amounts and possibly some fees. To compare effectively you should know the currencies to be converted, the amount you are sending and how quickly it needs to arrive. Rule out the options that are too slow, don’t exchange the currencies you need or have other problems, and then compare the remaining by price.
  • Contact your chosen international money transfer service. You will generally need to open an account with them. Once you have, all you need to do is give them the SWIFT/BIC codes, BSB and account number of the recipient and they can transfer money efficiently and without hassle. Their fees are usually minimal, and they will tell you if there are any additional costs.
  • You can now send money overseas without losing huge chunks of it to bad exchange rates or sizeable fees. Do it online or over the phone, set up automatic transfers and make use of any discounts available. You’re now good to go!

Did you have these questions around expat money transfers?

Yes. Many large money transfer services use the same electronic security systems as the banks. There is no undue risk when using a reputable and well-known money transfer service.

Banks will typically give a timeframe of anywhere from two to five business days. Money transfer services will typically tell you exactly how long it will take, generally either one or two days.

It depends on where you want to send money, how much you are sending and the situation. Larger sums mean it’s worth paying a fee for a better rate, while smaller sums mean it’s not. If you need it transferred quickly a fast provider is preferable while certain currencies or locations might be better with certain companies than others. Compare options to find the best money transfer service for your needs.

Shirley Liu

Shirley is finder.com.au's publisher for banking and investments. She has completed a Masters in Commerce (Finance) and is the author of hundreds of articles. She is passionate about helping Aussies make an informed decision, save money and find the best deal for their needs.

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TorFX International Money Transfers

TorFX guarantee to beat any competitor's exchange rate for a transaction
Conditions apply

Exclusive: World First International Money Transfers

Exclusive offer: $0 transfer fee and competitive rate
The transfer rate displayed is exclusive to finder.com.au users for their first trade only.

Exclusive: OFX (Ozforex) International Money Transfers

Exclusive offer: Special exchange rates and $0 transfer fee
OFX is currently offering finder.com.au exclusive exchange rates and $0 transfer fee on all transfers.

FC Exchange International Money Transfers

No transfer fee via online, branch or phone when transferring more than £10,000 or equivalent.

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