The USA is the world’s largest economy, and it attracts billions of dollars every month from other countries. All sorts of people from many different countries come to the USA to pursue their dreams, including business people, artists, and students. This results in regular money exchanges between the USA and these countries. The UK is one such country with which the USA has a lot of fund transfers. There are many online services which can help people to process these transfers. They are much more convenient than the traditional methods of overseas fund transfers, and they are cheap, fast, and secure. In this article, we will look at some of the best of these online service providers and compare each. If you are someone who sends money to the USA from the UK, this article is perfect for you.

How to send money from the UK to the USA

Online money transfers from the UK to the USA

There are so many services which can transfer money between the US and UK, but here we will discuss only a few of the best-known. We will examine a few popular services that are preferred by users. The services we are going to explore here are:

  • TransferWise
  • CurrencyFair
  • Western Union
  • WorldRemit
  • Xendpay.com

These are all web-based services, allowing the customer to simply log into their account to make a transaction. A typical transaction would take a few minutes to complete, and then the money will start moving to its destination. All of these online transfer services are very user-friendly and save a lot of time for the user.

Online transfer services are a big relief to people who used to regularly visit a bank to wire money abroad. Banks charge a much higher fee than these services and also might offer lower exchange rates. They are slower than their online counterparts. The recipient gets a relatively small amount after the fee deduction and conversion of the respective currency. It is always beneficial for a customer if a company can deliver more money at the end.

For a clear comparison, I will put the results of sending GBP 100, GBP 1000 and GBP 10,000 from the UK to the USA using each of these online agencies. The values mentioned here are when funds are transferred from a bank account to another bank account. The fee increases when the money is sent using credit or debit card.

Amount sent TransferWise CurrencyFair Western Union WorldRemit Xendpay.com
GBP 100 USD 130.14 USD 127.44 USD 127.51 USD 127.08 USD 130.36
GBP 1,000 USD 1,310.90 USD 1,310.40 USD 1,309.39 USD 1,306.08 USD 1,310.83
GBP 10,000 USD 13,118.47 USD 13,140.00 USD 13,132.00 USD 13,096.08 USD 13,108.35

Comparison of transfer fee

CurrencyFair and WorldRemit charged the same fee of GBP 4 and GBP 2.99 respectively for all three amounts. Western Union charged GBP 2.9 for sending GBP 100 or GBP 1000 and zero for GBP 10000. The fees of TransferWise and XendPay increased as the sum increased. However, for the lowest amount of GBP 100, they also offered the lowest fee.

Comparison of Exchange rates

Once the fees are deducted from the amount, the rest of the money is converted into the desired currency using the exchange rate. This amount will now be sent to the recipient. If the exchange rates are poor, the final amount received will also be less. In my research, TransferWise offered the best exchange rates. They were almost the same as the real exchange rates. The rest of the service providers were lower but still close to the real exchange rates.

Comparison of the final amount

TransferWise and Xendpay have the best results for smaller amounts due to the way their fee structure is. On the other hand, CurrencyFair and Western Union gave the best output for the higher sums of money. At the lower amount, the difference in the final results of different services was very small but for the higher amount, the difference in results was quite noticeable.

Conclusion

After studying the results of these companies, it is clear that some of them are better for transferring small amounts only while some are best for large sums. A few of the companies charge a percentage of the money while some have a similar fee for all amounts. This information can be useful when you decide the sum of money you’ll need to send. This can save you a ton of money in your next transactions from the UK to the US.

Categories: Transfers

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