Man has always had a hunger to create something better than what they already have. Modern civilization and current scientific developments are all proof of that. This same drive inspired two young Estonian citizens, named Taavet Hinrikus and Kristo Kaarmann, to create a better international money transfer solution. This is how TransferWise came into existence. It’s based on a revolutionary idea, utilizing a brilliant peer-to-peer payment system. Its innovative concept and instant success brought many renowned investors to support it, such as VALAR Ventures, Kima Ventures, Index Ventures and co-founders of PayPal, Peter Thiel and Max Levchin. So what is behind Transferwise’s success?

How does TransferWise work?

The founders of TransferWise came up with an entirely new process of money transaction between two countries. Instead of sending and receiving money through an agency, the money is just exchanged between two parties sending and receiving money from opposite ends. For example, if somebody wanted to send money from the UK to the USA, then TransferWise would find another person sending money from the USA to the UK and simply exchange the currencies between them. This eliminates the huge costs of fees and bad exchange rates. The customers get real exchange rates along with fast and safe movement of their money.

TransferWise – The Best International Money Transfer Service

Advantage

TransferWise offers a very transparent service to its customers. There are no hidden charges, and the delivery time is indicated at the time of the transaction. The delivery is also quick; your money reaches its destination in 1 or 2 days. They offer business as well as personal accounts for transactions. The biggest advantage of TransferWise is their real exchange rates which helps you save a lot of money. You will get guaranteed rates for each of your transfers. The fee is also very low compared to its peers; you pay only 0.35% of the total amount along with a fixed fee of 80p.

Disadvantage

Transferwise is not without its drawbacks, however. It has limited payment and receiving options. You can pay with your bank account, credit card, or debit card. But the money can be received in a bank account only. While there are some providers who provide instant transfers, TransferWise does not.

TransferWise review

Since its inception, TransferWise has received great reviews from its customers and media. It has gained its popularity due to its low fees and impressive exchange rates. Compared to banks, it gives much better service at low prices. If you compare it with other similar agencies, you will notice that it has very competitive rates. All this has managed to create a strong foothold for them in just a few years.

TransferWise review

Let’s take examples of a few transactions to see how TransferWise performs in real life. I researched and collected details of transactions made from the UK to countries like the US, France, Australia, and India. Here is a table depicting how much money you end up with if you send GBP 100, 1000 and 10,000 to these countries.

Country Amount sent Amount received Amount sent Amount received Amount sent Amount received
USA GBP 100 USD 130.14 GBP 1,000 USD 1,310.90 GBP 10,000 USD 13,118.47
France GBP 100 EUR 111.69 GBP 1,000 EUR 1,125.05 GBP 10,000 EUR 11,258.69
Australia GBP 100 AUD 175.71 GBP 1,000 AUD 1,773.00 GBP 10,000 AUD 17,746.07
India GBP 100 INR 8,940.96 GBP 1,000 INR 89,818.72 GBP 10,000 INR 898,589.09

Another table shown here has the fee charged on these transactions. This explains why the results are so good. The real exchange rates don’t hurt either; they really make a difference in the amount received.

Country Amount Fee Amount Fee Amount Fee
USA GBP 100 GBP 1.20 GBP 1,000 GBP 4.78 GBP 10,000 GBP 40.64
France GBP 100 GBP 1.15 GBP 1,000 GBP 4.29 GBP 10,000 GBP 35.68
Australia GBP 100 GBP 1.44 GBP 1,000 GBP 5.48 GBP 10,000 GBP 45.79
India GBP 100 GBP 1.00 GBP 1,000 GBP 5.47 GBP 10,000 GBP 50.25

Here is another example of transactions from the USA to the UK, France, Australia, and India for USD 100, 1000 and 10,000. TransferWise has given great results in this case too. It is quite evident that it can be trusted to give the best results in any case.

Country Amount sent Amount received Amount sent Amount received Amount sent Amount received
UK USD 100 GBP 74.12 USD 1,000 GBP 749.62 USD 10,000 GBP 7,504.70
France USD 100 EUR 84.06 USD 1,000 EUR 848.22 USD 10,000 EUR 8,489.89
Australia USD 100 AUD 132.73 USD 1,000 AUD 1,342.52 USD 10,000 AUD 13,440.37
India USD 100 INR 6,766.67 USD 1,000 INR 68,284.03 USD 10,000 INR 683,456.31

If you compare the charges, you can see it has gradually increased from the lower amount to higher, but it is still less than most banks and many other agencies.

Country Amount Fee Amount Fee Amount Fee
UK USD 100.00 £1.99 USD 1,000.00 £8.70 USD 10,000 £75.78
France USD 100.00 £1.74 USD 1,000.00 £8.45 USD 10,000 £75.53
Australia USD 100.00 £1.99 USD 1,000.00 £8.70 USD 10,000 £75.78
India USD 100.00 £1.79 USD 1,000.00 £8.94 USD 10,000 £80.46

Customers look for options that will give them the best results at the lowest price. This service has managed to provide both. You’ll find few services which give you lower fees compared to TransferWise for transferring big amounts. For small amounts, TransferWise fee is just plainly the best. It is ideal for people making small payments every week or every month. They can save a ton of money on fees.

Is it safe?

The company is backed by very renowned investors in the market and has been trusted by millions of customers. They keep the customer’s money and company’s money in different accounts. So in any case of any financial issues, your money will always be safe. They are registered in the UK under HM revenue and have a license to operate under the Financial Conduct Authority (FCA). They have employed various measures to keep their customer’s money safe with them. The online portal is completely secured so your personal details are safe while making the transaction. Every year it makes transfers worth billions of dollars across different countries and has always proved to be trustworthy.

Is it safe?

Customer reviews

Customers’ reviews of TransferWise on Trustpilot speak for themselves. There are more than 95% positive reviews, and Transferwise has a score of 9 out 10. Customers praise its low fees and fast delivery. Many appreciate the ease of using their service while others were amazed by the overall experience. There were a few customers who had complaints, but the TransferWise customer support team answered each one of them and promised to resolve their issue.

Conclusion

TransferWise has really changed the money transfer scene in many countries. Now it’s faster, cheaper, and more efficient. Their services are now available in 75 countries, and they exchange 48 different currencies. While other services hide their transfer fees and give bad exchange rates, TransferWise keeps all costs transparent and you can see exactly how much money the recipient is going to receive. In my opinion, TransferWise is great and worth a try if you haven’t experienced it yet.

Categories: Featured, Reviews

6 Responses so far.

  1. Michael says:

    The easiest way of delivering cash between edges, clear costs and real price of trade, Therefore relaxing to locate an honest organization nowadays

  2. Stop Hidden Fees says:

    I absolutely agree with you Michael. Actually this is company of my personal choice, I’ve transferred dozens of thousands with Transferwise within last 2 years.

  3. Damian says:

    I’ve used TransferWise several times and it all worked out great for me. I recently used it to send $200 (I sent $ and she got pounds) to my girlfriend and I only had to pay 1 pound which was amazing! Used CurrencyFair a while back and their commissions are higher so I won’t be using them again. I also liked that TranswerWise sends the money really fast, the exchange rate is very good and they, as a company seem very transparent indeed.

  4. MatthewF says:

    After reading a number of articles like this and checking the rates of USForex, Xoom, and XE, I decided to try TransferWise. I sent $4500 to Norway free of fees using a referral link I found online. It was easy to set up an account and simple to send money directly using my bank account to my recipient’s account (bank to bank transfer – the cheapest way to go). It took 4 days, but the rate I got was the same rate that was displayed when I started the transfer, even though the kroner had gained in the meantime. From what I’ve heard, intra-European transfers are much faster. But since I got the rate I expected and didn’t have to pay any fees, I’m quite happy.

  5. MPJ says:

    When you send money abroad, banks and brokers charge an extra fee by hiding a mark-up in the exchange rate. That’s how they get away with using phrases like “0% commission” and “free”, and that’s why so few consumers understand the real costs.
    But TransferWise uses real mid-market exchange rates (the rates we usually see in google or xe.com). This makes them unique making it the best money transfer service. I use it to send money regularly to my family abroad. I switch to TransferWise mainly because of the transparency, no hidden costs, mid-market exchange rates and due to the fact that we get most of our money transferred cutting the costs. TransferWise makes money by charging a comparatively low transfer fees.

  6. Hamzah says:

    Transferwise is epic, I use it regularly to transfer money all over the world. 10/10/

Leave a Reply


Please enter CAPTCHA value in order to submit comment *