Receiving money from abroad in the UK: a how-to guide

Receiving money from overseas in currencies other than British pounds (GBP) shouldn’t cost you a small fortune. And it shouldn’t be complicated either.

Using your UK bank account to receive an international payment may seem like the most convenient option. However, it may involve fees and marked-up exchange rates - which could mean you’ll receive less than you should.

In this helpful guide, we’ll cover the key things to consider when receiving money from abroad, including fees and exchange rates.

Step-by-step process on how to receive money from abroad

As the recipient of an international payment, you don’t have to do very much to get your money. But you do need to make sure you provide accurate and complete information to the sender.

Here’s what you’ll need to do:

1. Agree a payment method with the sender, along with who will pay any fees (if applicable).
2. Check your bank’s limits for receiving international payments - your sender might want to do the same.
3. Provide your bank details - we’ll cover exactly what you need to give to the sender in just a moment.
4. Wait for the payment to arrive - you might want to ask for tracking information (if using a transfer service that offers this) or for confirmation that the transfer has been sent. The sender may also give you a date you can expect the payment to arrive. This can be useful if it’s late and you need to chase it up.

Details needed for receiving international payments in the UK

Here’s what bank details you should have ready to give your sender, to ensure your payment will go to the right place:

• Your full name and address
• Your International Bank Account Number (IBAN) - you can find this on your bank statement or internet banking.
• Your bank account number and sort code (if you can’t find your IBAN)
• Your bank’s SWIFT/BIC code. You should be able to find this on internet banking or any statement. You can also find and check SWIFT/BIC codes here.

How much money can you receive from abroad into your UK account?

There are no legal limits on how much you can receive into a UK account from overseas. However, your bank, the sender’s bank or the transfer provider may set their own limits. These may be for how much can be sent/received in one go, or per day, month or year. It’s wise to check these before the payment is sent.

What’s the best way to receive money from abroad?

There are a few different options available for receiving and sending international payments here in the UK.

There’s your UK bank (denominated in GBP), a foreign currency account held with a bank or a multi-currency account with a specialist money transfer provider like Wise. Some of these even offer cash pick-up, although it’s far from the most convenient option and isn’t suitable for larger payments.

Multi-currency accounts with banks and alternative providers

A multi-currency account can be one of the best ways to receive payments from overseas, as it gives you more control over how and when the currency is converted. You can get paid in the sender’s currency, and hopefully avoid many of the fees and charges.

Here’s an overview of some of the multi-currency accounts available in the UK:

Tips for receiving money from abroad

International payments can sometimes be a little complicated, especially when using a bank. So to make it easier, we’ve put together some info and helpful tips to remember if you’re expecting a payment from overseas.

Banks may set their own limits

The sender’s bank may limit the amount they can send in one go. This means that you may receive the requested sum in smaller chunks over a number of days.

Your receiving bank may also set their own limits that can affect your incoming payments. For example, there may be a limit on the amount of currency that will be automatically converted. This may be an issue if you are receiving larger payments.

In both cases, it's always best to discuss this with the sender and your receiving bank in advance of the payment being set up.

Check out the exchange rate and fees

Banks and some transfer providers advertise free or low-cost transfers, but add a hidden mark-up to the mid-market exchange rate. You’ll need to keep this in mind if your received funds need to be converted to your home currency. It’s also a good idea to check if there are any other fees for receiving the payments to your account.

Multi-currency accounts are extremely useful

Want to receive money like a local with no transaction fees or marked-up exchange rates? A multi-currency account may be the answer, as it lets you receive the money in your sender’s currency. This gives you more control over the currency conversion, if needed.

We’ve looked at a few options earlier in this guide, including the Wise account.

Getting verified in advance is a very smart idea

Banks and money transfer providers have to sometimes conduct routine checks on payments. This can potentially hold things up, so it’s best to ensure that your account is fully verified ahead of any payments. It’s especially important if you are expecting to receive a particularly large transfer.

Wise – Money for here, there and everywhere

If you’re concerned about the fees and poor exchange rates offered by banks for receiving international transfers, it’s good to know there are alternatives out there.

Open a Wise account online and you can receive money for free in 9 major currencies, including GBP, EUR, USD and AUD. It’s not a bank account but it offers many similar features.

It’s a powerful multi-currency account, which lets you hold, send and convert between 40+ currencies all in one place. This is far better than what most banks offer, which is often just a foreign currency account limited to one currency at a time.

Here’s how receiving an international payment works with Wise. When you open your account online, you can get international account details to give to your sender. They can pay you in their own currency, which lands directly in your Wise account.

You then have the choice to use it to fund your own transfer or convert it to GBP at the mid-market exchange rate. This rate has no markup or margin added, and there are no hidden fees - only a small, upfront currency conversion fee.

Receiving money with Wise is transparent, secure and reliable, and it could save you some money.

Sign up with Wise today 💰

Please see the Terms of Use for your region or visit Wise fees & pricing for the most up-to-date information on pricing and fees.

After reading this guide, you should be all set to receive your first international payment. As the recipient, there’s not much for you to do but choose the right way to receive your money, provide your details and wait for your payment to arrive. Just make sure you’re cautious about who you hand over your account details to.

Sources used for this article:

Sources checked on 19-Dec-2023.