Exchange rates, Payment methods, How to, Transfer fees and much more
XE Money Transfer is one of many online money transfer services that claim to offer fast and easy transfers internationally. But is it the right service for you?
There are a number of things to consider before choosing XE Money Transfer over the many other money transfer services available. Value for money, speed, and security are all major factors to look at.
With many online money transfer services, you may actually lose money on your transfer. Whether you are sending money for a business transaction or to family overseas, you'll want to keep more of it in your pocket.
If you've ever wanted an XE Money Transfer review, here's everything you need to know.
Here's a step by step overview:
XE has been in the currency exchange business for over two decades. It is part of an international financial services conglomerate, Euronet Worldwide. As such, it is able to offer a number of options for funding your money transfer.
After signing up for an XE Money Transfer account, you can fund transfers with a debit or credit card, as well as a checking account. It is notable that any transfers made with a Mastercard are subject to a fee.
XE boasts a whopping 170 countries on its list of possible destinations for money transfers. Using the service you can transfer money worldwide between almost any two countries. In most cases the transfer is completed the same day.
You can send money to these countries in over 60 currencies. On the list of currencies is:
Unfortunately, XE Money Transfer is rarely the cheapest option when it comes to getting the most bang for your buck. The site ranks poorly when it comes to fees and the exchange rate offered.
You may have been attracted to the claim that XE makes on its site that it does not charge fees for transfers. If you scrutinize their process more closely, you may be surprised.
It makes sense as XE is a business and may want to hide the costs involved while still cashing in on each transfer it processes. In the international money transfer business, many times a service will claim there is no fee to pay. But you will still be paying a margin on the rate of exchange.
This makes it difficult to judge what the real, complete cost of a transaction will be. It’s very possible that you’ll end up paying more than you would like to.
Another way XE Money Transfer may hide the costs involved is by not specifying that you will be liable for any fees your bank may charge.
The service says that it always sends the precise amount of cash you specify, but in the fine print details an important fact. Either the bank receiving your funds, or the intermediary bank may take fees when the payment is credited to the receiver. XE makes it clear that it will not reimburse you those charges.
It would be smart to keep an eye out for these charges, but many times they are not specified beforehand, so your final cost is unknown.
XE Money Transfer's exchange rate is competitive. But, there are better services out there. The company's rate is under the interbank rate. This is good for you, the sender. But it is still not the lowest rate among XE's competitors.
As an example, take a transaction where a customer wants to send pounds from Great Britain, converting it to dollars in Australia. For sending pounds XE usually charges a 1-1.5% margin on the mid market exchange rate.
Extensive coverage with over 100 countries and currencies available
Speed of transfer — most completed within one business day
Customer reviews are overwhelmingly positive
As of August 2020 XE boasts an impressive 4.7 out of 5 rating <a href='https://www.trustpilot.com/review/www.xe.com'>on TrustPilot</a>
XE Money Transfer only supports bank account transfers, not local cash pickup
Limited options for funding transfers
Customer support issues have been reported by senders
Competitive exchange rates but not necessarily the best
A unique type of service in the money transfer industry, CurrencyFair doesn't use banks or a company to exchange currency. If you choose this service, you'll actually be exchanging with other customers.
It is dependent on what that customer will give you as a rate of exchange. However, it’s usually advantageous to both parties compared to the mid-market exchange charge per unit.
CurrencyFair also has an app, so you can easily make transfers on the go.
TransferGo offers a low-cost option for international money transfers. Like XE Money Transfer, you can fund them with a local bank account. The main draw of TransferGo is the flexibility of its transfer options.
However, you do get what you pay for.
If you can pay more, your receiver can get the transfer in as little as 30 minutes. If not, transfers can take up to three business days. TransferGo is also not available for American customers.
TransferWise has become a popular service because they offer a real mid-market exchange rate. The fees are transparent, so you know your costs upfront.
However, TransferWise is limited in that it can only send money to a bank account. It also doesn't support less popular destinations and currencies.
Remitly is a competitively priced online money transfer service as well. It has a user-friendly interface and you can send money both trough the website and using the mobile app. The receiver then collects the transfer at their local bank.
With Remitly you have the advantage of having a locked-in rate from the moment you start the transfer. This means any fluctuations before collection by the receiver are not your concern.
However, Remitly is not always the cheapest option when sending and its exchange rates may be lower than others. It is also better to use this service for larger amounts, as there are fixed fees.
It may be that you are used to the traditional method of transferring money, using a bank. Banks are popular because they are seen as a secure option, and many people don’t know about the alternative.
But did you know that employing a bank for your transfer is actually the most expensive option?
With the number of modern choices for money transfers, banks don’t really stack up when you analyze their speed, efficiency, and costs.
Your receiver may also not have access to a bank branch. If they need the money quickly, you may be better off using an online money transfer service like XE Money Transfer.
You may also not have time to find a branch and stand in a line. With money transfer apps and websites you are able to send money in minutes and pay much lower fees.
You may have heard of traditional money transfer alternatives to banks such as Ria, MoneyGram, or Western Union.
One of the main pros of these services is how accessible they are. Unlike banks, they often have branches in more accessible spots. There may be one in your local grocery store or on a street corner shop.
These may be an attractive option because of accessibility, but they do have their drawbacks.
There are limited options for sending and receiving money. They also charge very high fees to provide the convenience of their service. You may want to send a small amount, for example, and the majority of the cost of sending will be taken up by the fees.
For these reasons, traditional money transfer services may not be the ideal choice.
Your money transfer needs may be more complex. XE has other services that may be suitable in this case. Among the services are:
In short, yes. XE Money Transfer has been in operation for a long time and is registered in several different countries.
In Canada it is regulated by FINTRAC (Financial Transactions and Reports Analysis Centre of Canada).
In Australia, XE Money Transfer is regulated by the ASIC (Australian Securities and Investments Commission).
In the U.S., FinCEN or the United States Financial Crimes Enforcement Network governs the industry.
In the United Kingdom, it is regulated by the FAC (Financial Conduct Authority).
The process of sending a transfer with XE goes as follows:
All of the money transfers done with XE must utilise a bank transfer. Your bank will have to send them the money. You can do a bank transfer in online banking, if your bank has this service. You can also use telephone banking. The receiver must also receive funds with a bank account
If you’re planning on making an online money transfer, the service you decide on can make a huge impact on the price you pay. To pick the best provider for your specific situation, you’ll want to consider the charges and fees but also the rate of exchange. If you’re not convinced that XE offers the best option for you, try another service such as Remitbee.
Best exchange rates, one-day delivery, free transfers over 500$ and amazing customer support! Too good to be true? How about a sweet 15$ bonus towards your first transfer? Just give us a shot!