WorldRemit Money Transfer: Fees, Rates and How To

WorldRemit offers international money transfers, as well as a range of connected services such as airtime top up and mobile money payments. If you’re sending money using WorldRemit, you’ll arrange your transfer online. Your recipient may be able to have the money paid directly to their bank account or mobile wallet, or collect it as cash, depending on the destination country¹.

Before you choose a provider for your international payments, it’s important to do some research. Fees, charges and services vary widely between providers, so comparing a few options will help you get the best possible deal.

This guide covers everything related to WorldRemit international transfers:

• What are the fees for an international money transfer with WorldRemit
• What's the exchange rate you will get with WorldRemit
• How many countries you can send money too
• How you can make a transfer with WorldRemit
• Does WorldRemit have a money transfer app

And it will take a look at an alternative as a comparison - low cost international money transfers with Wise, and the free Wise foreign currency account.

Sending money abroad with Wise or WorldRemit: What’s the difference?

Before you make an international money transfer with any provider, it’s good to compare fees and exchange rates for several providers. Although some providers may show you a low fee upfront, they can add a margin, or markup, to the mid-market exchange rate to charge you extra for your transfer.

Let’s compare prices and exchange rates for a payment of CA$1000, sent from Canada to Germany, to be received in euros by the recipient on their bank account.

*Data taken on April 28, 2020, at 09:55 EEST (UTC+3)

As you can see the small margin that WorldRemit adds to their exchange rate⁴, makes quite a difference in the end. Although the fees for this payment are higher with Wise than with WorldRemit, the recipient still gets more on their bank account with Wise and you pay less, because with Wise the fee is taken of the amount you pay and what’s leftover is converted into the recipient currency.

Most payment providers and banks add a margin, or markup, to their exchange rate, and you pay additional costs on your transfer. With Wise your money is converted with the mid-market exchange rate, and you will always see the fee that you have to pay upfront, no hidden fees or costs will be added after that.

What are the fees for an international money transfer with WorldRemit Money Transfer?

To use WorldRemit you’ll first need to register an account and provide some personal details, like your name, date of birth, phone number, etc. Once you’re ready to go, you can model the payment you need to make, to see the options available and the costs involved.

It’s worth noting that not all payment types are available in all countries. You’ll need to go onto the WorldRemit website and enter the destination country, to see which are available to you.

Here are the fees and charges you’ll need to check out when you model your payment.

What exchange rate do you get with WorldRemit money transfers?

As we noted above, you’ll probably pay an upfront fee when sending money with WorldRemit - but you’ll also pay an extra charge which is added to the exchange rate applied to your transfer. Here’s what WorldRemit’s terms and conditions say⁴:

“When you pay a Transaction Amount in one currency and the Payout Amount is in another currency, there will be a difference between the exchange rate at which we buy foreign currency and the exchange rate provided to you. WorldRemit and its Service Providers usually make a small profit in these circumstances.”

To make sense of this, you’ll need to know a bit about the mid-market exchange rate. The mid-market rate is the one you’ll find using a currency conversion app or a Google search of your currency pair. It’s also the one that WorldRemit will get when they buy currency. However, as they note in their terms and conditions⁴, WorldRemit will add a markup or margin to this rate before they pass it on to their customers.

The difference between the mid-market exchange rate and the one the customer receives is retained by the provider as profit. This is quite common, but it can mean that you pay more than you expect - and more than you have to - for your international payment.

Although marking up the exchange rate is common practise, not all providers do this. Wise, for example, uses the mid-market rate for currency conversion, and charges a low, transparent fee per transaction.

Where can you send money with WorldRemit Money Transfer?

You can send money to over 140 different countries using WorldRemit⁵. To check if your specific destination country is covered, and to take a look at the services available there, you can check the WorldRemit website.

Researching a few options is the best way to find the right currency service provider for your needs. If you not only want to send money around the world, but would also like to be able to receive money in euros, British pounds, Australian, New Zealand and US dollars, or Polish Zloty, check out the Wise foreign currency account. With this account you can get local account details for 8+ currencies, which means you can receive them via a domestic transfer, and you can also hold, manage and send over 40+ currencies in total, online. Here’s all you need to know about the countries served by Wise.

How does a money transfer with WorldRemit Money Transfer work?

To get started with WorldRemit you’ll first need to register an account and verify your identity. You’ll be asked to send a copy of a current Canadian driving license, passport or residence permit as proof of your identity, and also a further document to show your residential address. If you are sending larger amounts, or if WorldRemit needs to check any details of your account, you might be asked to provide further paperwork before you can send a payment⁵.

Once your account is up and running, you’ll be able to model your payment to get a quote showing the fees and exchange rate available for your specific transfer. You will also see the range of payment and delivery options open to you.

Whichever payment type you want to arrange, the process is similar¹⁺⁵:

• Log into your WorldRemit account
• Model your payment, entering the country you’re sending to and the amount
• Select the type of payment you want to make
• Enter your recipient’s information - this may be their bank details for a direct bank transfer, or mobile phone number for a mobile payment, for example
• Pay for your transaction using card, bank transfer, Interac, Apple Pay or a range of alternative payment methods
• You’ll be able to track your payment online to see when it’s available for your recipient

Does WorldRemit have a money transfer app?

For convenience you can also download the WorldRemit app for both Apple and Android devices, and make payments that way¹.

There’s also a helpful Wise app for Apple devices or Android, if you want to make low cost international payments using the mid-market exchange rate with Wise.

It’s not hard to find a provider to send an international payment - but finding the best one for your needs may take a little research.

Check out a few different services to compare the fees and exchange rates available for your destination country, including currency specialists like Wise. If you make regular international payments you might save time as well as money with a free Wise foreign currency account, to hold, send and spend money all over the world.

Sources used for this article:
1.How WorldRemit works
2.Sending money to India
3.Sending money to the US
4.Terms and Conditions
5.FAQ for sending money from Canada
All sources last checked on April 27, 2020