Last updated:
Straight to your inbox
While your local bank branch might be the most obvious option for sending money across borders, you can save on fees and take advantage of more competitive exchange rates with an online money transfer company. In this guide, we'll go through tips on how to get the best deal and what options you have.
In short, to transfer money to the United States, you'll need to:
Low minimum transfer amount of just AU$200, with no set-up fees or transfer fees.
The "Rate" and "Amount Received" displayed are indicative rates that have been supplied by each brand or gathered by Finder.
Exchange rates are volatile and change often. As a result, the exchange rate listed on Finder may vary to the actual exchange rate quoted for the brand. Please confirm the actual exchange rate and mention "Finder" before you commit to a brand.
There are three main options that you can use, each with their own pros and cons.
The best way to send money to the United States depends on your situation. The main options include the following:
These offer some of the most cost-effective transfers as they only trade in foreign currencies. You'll also have a variety of options for your recipient to get the money, like to a mobile wallet or home delivery.
Services such as Western Union allow you to send cash transfers for immediate pick-up by the recipient. While it's a fast way to send money, it generally won't match the rates or fees of dedicated money transfer services.
The US dollar is one of the most popular currencies, so it's safe to assume that any major bank in Australia will offer it. However, beware of the higher fees and less competitive exchange rates banks offer compared to the other options.
To put this into perspective, let's see what a transfer with each of these options looks like. This table uses real fees and exchange rates so is current as of 6 May 2019.
| Bank transfer | Cash transfer | Money transfer service | |
|---|---|---|---|
| Fee | $24 + additional correspondent bank fees | $30 | $3.99 |
| Exchange rate | 1 AUD = 0.6723 USD | 1 AUD = 0.6757 USD | 1 AUD = 0.69457 USD |
| Transfer speed | 2-4 days | Minutes | 1-3 days |
| Amount received | US$1,328 | US$1,331 | US$1,386 |
| Overall |
|
|
|
The bank option ends up being both slow and getting the least amount of money to your recipient. If you go with the specialist money transfer service, your recipient ends up with US$58 more. However, if speed is what's most important, the cash transfer can't be beaten for instant transfers.
It depends on what method you choose to go with, but the fastest one is instant and the slowest can take up to a week. Since banks need to transfer your money through several correspondent banks, it takes the longest. Cash transfers are the fastest and normally arrive in minutes.
If something happens and you need to transfer money to the US as fast as possible, cash transfers will be your best bet. This involves paying with a credit or debit card and transferring to a cash pick-up location. While it is fast, there'll be more fees involved.
Cash transfer services can also help you out if either you or your recipient is unbanked. If you don't have a bank account, look for transfer services that have agent locations so you can go in and pay in cash. These cash transfer services will also have agent locations in other countries where your recipient can pick up the cash, without needing a bank account.
If you're sending a lot of money to the US, your recipient will need to declare it to the IRS. US citizens and residents will need to fill in Form 3520 if the transfer is one of the following:
While foreign gifts generally aren't subject to income tax, you still need to file the form with your taxes or face penalties.
It's always best to keep all the paperwork to do with your transfer, just in case you need proof that the money was sent.
The exchange rate is how much one country's currency is worth in another country's currency. With the AUD/USD currency pairing, you'll get more money when either the Australian dollar is strong or the US dollar is weak.
You'll also see that the exchange rate you get quoted from money transfer companies differs. Compare what you get quoted with the mid-market rate below, which is what your money is actually worth.
Today's exchange rate AUD to USD
What’s the cheapest and fastest way that my family can send money from Melbourne to California? Please give me the most trusted site.
Hello Marie,
Thank you for your comment.
If you’re looking for a fast money transfer to the U.S.A, you may want to check this page with a guide about same-day money transfer. You can see two popular money transfer companies that will let you transfer money to the U.S. within the day. I hope this helps.
Regards,
Jhezelyn
I have actual US dollars(hard currency) that I want to send to someone in the USA. Thus, I don’t need to change Australian dollars into US dollars. Does any company allow this, noting that they usually probably make their profit from the exchange rate.
Hi Darrel,
Thank you for your inquiry.
While there are services on this page that allow USD to USD transfers, they implement an exchange rate which you can compare or the amount received on the table.
Another factor to consider is the transfer fee which can reduce the value of the amount transferred.
You may opt to reach out to the services directly if you have any further concerns.
I hope this helps.
Best,
Maria
I compared options a few weeks ago and Sable came up as the best option.
Now it is not coming up at all – why is this?
Hi Naomi,
Thank you for contacting finder. We are a comparison website and general information service, we’re more than happy to offer general advice.
If you wish to know more about Sable, you may refer to this page.
I hope this helps.
Cheers,
Danielle
If I send money to China by using citibank plus account, how much total cost would expect?Citibank doesn’t charge but receiving bank or intermediary bank charge for the service. Say, Today I send money US$1000 to Bank of China. How much I have to send AU$ to receiver side to get US1000?
Hi Wolfgang,
Thank you for reaching out.
Please visit our send money to China page to find information regarding sending funds from AU to China including fees and exchange rates for multiple exchange services.
Regards
Jodie