# RHB Foreign Telegraphic Transfer: Exchange rate and fees explained

##### Yumiko Kijima

This guide will walk through the costs and exchange rates applied when using RHB for an international transfer. We’ll also take a look at Wise as a cheap and convenient alternative if you need to send money abroad.

### A cost example: Sending RM10,000 from Malaysia to a € bank account in Europe

Let’s start with a cost example comparing RHB and Wise. In this case, we will imagine you’re sending RM10,000 to a euro account.¹

Provider Transfer time Fee Exchange rate Recipient gets
RHB 1-5 days 25.00 MYR Exchange rate with a markup (1 MYR = 0.200740 EUR) 2,002.38 EUR
Wise 3 hours 54.56 MYR Real exchange rate (1 MYR = 0.207376 EUR) 2,062.45 EUR +60.07 EUR

(July 8 2020 at 15:16 (GMT+2))

This is a great example of why you need to look at both the upfront fee and the exchange rate used when arranging an international payment.

Here, RHB charges a relatively low fee - but there is a markup added to the exchange rate, which pushes up the overall cost. That means that your recipient would get more if you send your payment using Wise instead.

Here’s how the payment works with both RHB and Wise:

RHB:

Amount converted: 10,000MYR - 25.00 MYR fee = 9,975 MYR

Exchange rate offered: 1 MYR = 0.200740 EUR

Recipient gets: 9,975 * 0.200740 = 2002.38 EUR

Wise:

Amount converted: 10,000MYR - 54.56 MYR fee = 9,945.44 MYR

Exchange rate offered: 1 MYR = 0.207376 EUR

Recipient gets: 9,945.44 * 0.207376 = 2062.45 EUR

Make sure that you check exchange rates, not just transfer fees, when you do an international transfer - or you could end up paying more than you need to in fees.

## RHB exchange rate

The RHB exchange rate for a foreign telegraphic transfer is listed as the Bank Sell TT Rate. ² Bank selling rates are typically calculated by taking the mid-market rate, and adding a markup or margin. This markup is essentially an extra fee for the customer, and another slice of profit for the bank.

Compare the exchange rates used by your bank with the mid-market exchange rate that’s available on Google, to see this in action.

## RHB foreign telegraphic transfer fees

As well as any markup added to the exchange rate used, you’ll pay a fee for your transfer with RHB. Here’s what you need to know:³

Service RHB Fee
Payment less than RM5,000 or currency equivalent RM2 + SWIFT fees RM25 + possible exchange rate markup
Payment over RM5,000 or currency equivalent SWIFT fees RM25 + possible exchange rate markup
Cancellation fee RM10 + out of pocket expenses
Receiving an international transfer RM5

### 💡A cheap and transparent alternative: Wise

With Wise, you can send money to 70+ countries with low, transparent fees and the mid-market exchange rate. Compared to Malaysian banks, it can be up to 4x cheaper to send money abroad with Wise. Most likely much faster as well.

You can also receive money to a Wise multi-currency account from the UK, US, Australia, New Zealand and any Eurozone country, just as if you had a local bank account in those countries. Hold your money in 50+ different currencies, and switch it using the mid-market rate whenever you want to.

To send money with Wise,

2. Choose an amount to send
5. Pay for your transfer by bank transfer or debit/credit card

And that is it! You can track your transfer in your account and your recipient will also be notified when a transfer reaches them.

Join 8 million customers and enjoy a cheaper, faster and transparent way to send money abroad with the “real” exchange rate.

## How to make a foreign telegraphic transfer with RHB

To make an online foreign telegraphic transfer, you’ll need to do the following:²

• Select foreign telegraphic transfers, and enter the details of the payment you wish to make
• You’ll need to get an One Time Password (OTP) to confirm the payment - enter this when you’ve checked the fees and exchange rates on offer
• Payments will be processed between 9:30am and 4:30pm on normal working days - if you set up your transfer outside of these times, it will be arranged the following working day

If you’d rather make an international transfer in person, you can also visit your local RHB branch or kiosk.

### Information you need to make a telegraphic transfer with RHB

The exact information you’ll need to arrange your international payment with RHB depends on where you’re sending money. You can expect to require information including:

• Recipient name as shown on their bank account
• Full recipient account details - this may be an IBAN for payments to Europe, or a full account number for other destination countries, as well as the bank name and address
• Bank SWIFT code
• Amount and currency you wish to send

For some destination countries you might also have to give details of the reason for the transfer. You’ll be able to follow the on screen prompts as you set up your transfer, to make sure you give all the details needed.

## Contact RHB

If you need help, you can call into a local branch of RHB, or get in touch with the customer care team on 03-9206 8118.⁴

RHB customers can arrange international payments online or in person by visiting a branch or kiosk. Before you decide how to set up your international transfer, make sure you check out both the fees and exchange rates being used. Compare the overall costs of your transfer with RHB, against a modern alternative like Wise. Wise uses the mid-market exchange rate with no markup, which can mean you save up to 4x compared with your regular bank in Malaysia.

Sources

1. TransferWIse | Compare exchange rates
2. RHB | Frequently Asked Questions Foreign Telegraphic Transfer (FTT)
3. RHB | Service Charges Payments Telegraphic Transfer
4. RHB | Frequently Asked Questions Contact & Support

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.

We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.

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