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Sending and receiving money abroad are two sides of the same coin. The costs of receiving can be high, and often go unnoticed. In this article I'll share tips on how to receive payments efficiently, whether we're talking $100 or $1m.
Luke Eales Keith Hodges 13 minutes July 9th, 2024 Disclosure On this page Summary of best ways to receive Currency conversion vs funds transfer Multi-currency accounts Focus on the 'sending' side Sending money to yourself? Common reasons for receiving money from abroad Receiving business payments Cash pick-up Mobile moneyAs the recipient of an international transfer, it's easy to get a raw deal.
The sender is in control. They're the ones who set the exact timing of the transfer, as well as the way it's paid.
Will they use a money transfer company to ensure you get favourable rates? You can ask, but in many cases, it's unlikely.
The recipient, on the other hand - other than sharing their payment account details - doesn't have much to do.
Thankfully, there is a way you can take the control back when receiving a transfer from abroad.
In this article, I'll explain exactly how, potentially leaving you with thousands more in the bank once funds are safely received.
Receive to regular bank account
Incoming international payments in same currency
Incoming international payments in different currency
Your regular bank
Receive to multi-currency account
Most incoming transfers
Very large incoming transfers
Receive as cash for pick-up
Fast transfers under $1,000
Larger transfers, bargain hunters or those with bank accounts
Receive to mobile
Fast, cheap transfers under $1,000
Receive as airtime
Small transfers where mobile top-up is helpful
Medium to large transfers for other purposes
When we think about receiving a transfer from another country, we often focus on the movement of funds from A to B.
That's not too surprising. Money is sitting in one country, and you want it to safely arrive wherever you are.
However, the more important part of the equation is actually the currency conversion.
That's because sending money from one country to another, in the same currency, isn't so costly.
The real driver of money wastage is inefficient, expensive currency conversion.
Keep that in mind as I talk you through an example of receiving an overseas payment.
Alternative ways to receiveFor now we're focusing on receiving to a bank account. You can skip down to read about cash pick-up or receiving to a mobile wallet if that's more relevant.
Let’s assume the following:
In the first example, we show what happens if you rely on the sender, or banks.
It's clear that by not giving the sender a local payment account, you lose control of the currency conversion, and therefore the costs.
In this example, you'll see how the transfer can be improved.
By simply using a multi-currency account, you can take control back.
Receive the payment in the same currency it was sent in, without any conversion fees.
You're then free to convert whenever you want to - at a lower overall cost.
It makes a lot of sense to consider a multi-currency account when receiving money from abroad.
The most suitable multi-currency account for receiving money will need to meet the following needs:
Are you receiving international business payments?
We have a separate guide on multi-currency accounts for business.
The two standout options here are Wise and Revolut.
Let's contrast the two and see which is best for who:
If you're receiving and converting small amounts each month, Wise is the best option. If you're converting larger amounts, Revolut's Premium or Metal accounts could be more cost effective.
Visit Wise Visit RevolutCurrency conversion fees
0% markup - offers the mid-market rate
Individual accounts are free
0% markup - offers the mid-market rate
0% within your plan's limit (Standard plan has $1,000/m limit, Premium plan has $10,000/m limit)
From 0.5% to 1% on anything above the limit
Weekends: 1% fee applied
Basic account is free; offers multiple tiers of account upgrade
Wise has the more generous limits.
Visit WiseUnlimited receive amount & currency exchange
$100,000 per ACH transfer received
Unlimited currency exchange with Premium card
Usually, no additional steps are needed to receive large amounts. However Revolut may contact you if they require additional information about a large incoming payment.
Wise offers more currencies, but depending on which currencies you need, Revolut might suit just fine.
Visit Revolut10 currencies
GBP, EUR, USD, AUD, NZD, SGD, ROM, CAD, HUF, TRY
50 currencies
GBP, AUD, AED, BDT, BWP, BGN, CHF, CLP, CNY, CRC, CZK, DKK, EGP, GEL, GHS, HKD, CAD, HUF, IDR, ILS, INR, JPY, KES, KRW, LKR, MAD, MXN, MYR, NGN, NOK, NPR, NZD, EUR, USD, PHP, PLN, PKR, RON, SEK, SGD, THB, TRY, TZS, UAH, UGX, UYU, VND, XOF, ZAR, ZMW
2 currencies
37 currencies
AED, AUD, BGN, CAD, CHF, CLP, COP, CZK, DKK, EGP, EUR, GBP, HKD, HUF, IDR, ILS, INR, ISK, JPY, KRW, KZT, MAD, MXN, NOK, NZD, PHP, PLN, QAR, RON, RSD, SAR, SEK, SGD, THB, TRY, USD, ZAR.
Don't want to open a new currency account?
It's still possible to receive funds cheaply by working with the sender.
Your job is to convince them to use a dedicated money transfer service, or a multi-currency account of their own. Either way, you're avoiding a regular bank payment.
The idea is the same. Don't let the banks convert currencies for you. The exchange will be handled by a specialist instead, at a much lower cost.
You'll conveniently receive funds into your existing local bank account, minus most of the fees.
Prefer this route? I suggest you read our Best Money Transfer Companies guide.
There are lots of fast, cheap & secure options to choose from.
You might want to share the link with the sender, too.
If so, the transfer is fully in your control! This is good news.
There's nothing special about moving money between your own currency accounts in different countries.
The main difference is it's a lot easier to get things right if you are both the sender and the receiver.
Aside from the use cases I've described below, it's very common to receive money from another of your own accounts abroad.
If that's the case, then I recommend using a money transfer company (like those listed below). Fewer people involved definitely makes things simpler!
Recommended 2FA, Biometrics Android, iOS, Web App 2FA, Biometrics Email, Live Chat, Phone Android, iOS, Web App Dedicated Account Manager, Email, Phone iOS, Android, Web App Phone, Email, Dedicated Account Manager Android, iOS, Web App Biometrics, PIN Email, Live Chat Android, iOS, Web App See Our Top 10 International Transfer CompaniesSending money back home to friends and family is a personal matter.
It's important to you that the recipient gets funds quickly, cheaply and with minimum hassle.
These transactions tend to be small to medium sized, and frequent.
✅ Our recommendation: the recipient should open a multi-currency account. If your country or currency is not available as a multi-currency account, send funds using a money transfer specialist. You might want to consider a remittance-focused service like Remitly, WorldRemit or similar. This will maximise the amount your loved ones receive.
Dealing with inheritance can be complicated and stressful given the circumstances.
The last thing you want to be worrying about is whether money will be lost to the banks in the process.
Ideally the executor would make distributions from the estate using a cost-effective currency solution, but this might be out of your control.
We have a guide dedicated to receiving inheritance from overseas if you would like to read more on the topic.
✅ Our recommendation: the benefactor (recipient) should open a multi-currency account to receive international inheritence into. Depending on the amount, we also recommend discussing the situation with an FX broker for tailored advice.
It's increasingly common to be employed by a company based in another country. You may also have agreed to take a salary in the employer company's local currency.
For example, a £60,000 salary paid by a UK company to a remote employee in the US.
So whether you're receiving weekly, twice-weekly or monthly payments for your employment, the FX savings could really add up over time.
✅ Our recommendation: open a multi-currency account to receive your employment payments into. Enjoy cost-effective conversions and have more left over to spend or save.
Living abroad, backpacking, or spending half the year on holiday? Not a bad way to enjoy your retirement!
But if you're relying on your pension payments to fund your retirement lifestyle, you'll want to be careful.
Receive one-off or regular pension payments with minimal currency impact. That'll leave you with more time to soak up the sun.
✅ Our recommendation: for regular pension withdrawals, open a multi-currency account. For larger lump-sum money movements, chat things through with a managed FX service.
Cashing in on a property purchase is a common cause of cash receipts from abroad.
This is a scenario where you have one chance to get it right. There could be thousands lost to currency fees unless things are handled well.
✅ Our recommendation: benefit from a two pronged approach: get a multi-currency account ready should you need it, while discussing your options with a currency broker with experience in foreign property transactions.
Rental costs for an international property will be defined in the local market currency. The renter will expect to pay in this currency.
You'll want a convenient way to receive these payments. You may also want to hold some of the local currency, making repairs and other costs easier to handle.
✅ Our recommendation: open a multi-currency account and pass the tenant or rental agency your new bank details. This will make sure they bypass the bank's poor conversion rates & high fees.
The workplace has become increasingly global & remote since 2020.
It's very common for freelancers and side hustlers to work with clients all around the globe.
If you agree a price for your services in a foreign currency, the bank might end up taking a large cut.
This is especially common for those outside the US, where pricing is often set in USD.
💼 Our recommendation: freelancers should open a multi-currency account tailored to the needs of their small business. This will make existing business and expansion cheaper and lower friction.
It's easier than ever to tap into global demand for your products.
But how do you manage your finance function across multiple currencies and countries, without seeing painful foreign exchange impacts on your P&L?
There are plenty of smart ways to optimise your growing business from an FX perspective.
Receiving more money at the end of the day, while losing less to banks, could really propel your business forward over time.
💼 Our recommendation: open a specialist business multi-currency account, and speak with a business-centric FX broker for more advice and options.
Find out more about business transfersOne of the most common ways of receiving small to medium size payments is cash pick-up.
This involves visiting a local branch of a remittance company, like Western Union or Moneygram, to redeem the transfer in physical cash.
To pick up your cash, you'll need to bring the transaction reference number. This is usually sent to you via SMS, or provided by the sender. Remember to also bring a valid photo ID document.
Depending on the company and country, you may need to register before collecting.
Western Union, Moneygram and Ria are some of the best known cash pick up providers. They each have over 10,000 global locations for cash collection.
We recommend this method for transfers under $1,000, where immediate access to cash is important.
For both the unbanked and those with bank accounts, mobile money is popular for small, regular transfers.
Funds can be sent to a mobile number, then redeemed for cash at an agent or spent directly at participating stores.
Mobile money payments are supported in a wide range of countries, and are most popular in Africa. You might be familiar with service providers like M-Pesa, Airtel, MTN and Orange Money.
If someone sends you airtime, you won't actually receive money. You will however get credit added to use with your phone provider.
This method bypasses the usual means of sending money. It's use case is quite narrow, but for those with family overseas, staying connected is essential.
Depending on your transfer provider and destination country, intermediary banks could charge additional processing fees.
These external bank fees are usually in the range of $20, so they have more of an impact on small transactions.
The transfer provider charges these fees when it doesn't have its own bank account in the destination country.
Knowing exactly if you will incur a fee like this, or how much, can be challenging. That's because the fee is not part of the sending, but a potential cost of receiving.
You could avoid this charge by receiving into a multi-currency account.
Whenever the transaction amount is set in the foreign currency, alarm bells should go off: this creates a currency risk.
For example, have you agreed to sell a property for £350,000, or $425,000?
If you can agree how much will be paid in your own currency (i.e. you agree the 'receive' amount), then the transaction is calculated the other way. This puts the risk on the sender.
Depending on the circumstances, it could benefit you to agree the price or transfer amount in your own currency.
Wise ranks as our top choice for sending money abroad with competitive rates and fast transactions.
Luke is CEO at MoneyTransfers.com, with 10 years' experience building consumer products in finance, insurance & travel. Luke focuses on the payments sector and foreign exchange markets, as well as personal finance more broadly.
Luke is CEO at MoneyTransfers.com, with 10 years' experience building consumer products in finance, insurance & travel. Luke focuses on the payments sector and foreign exchange markets, as well as personal finance more broadly.
Keith is an experienced Content Specialist with a rich background in both marketing and journalism within the financial sector. At MoneyTransfers.com, Keith plays a pivotal role in driving the business forward and broadening its reach in various international money transfer markets. His expertise is a key factor in the company's expansion and success.
Keith is an experienced Content Specialist with a rich background in both marketing and journalism within the financial sector. At MoneyTransfers.com, Keith plays a pivotal role in driving the business forward and broadening its reach in various international money transfer markets. His expertise is a key factor in the company's expansion and success.
Check Live RatesFounded in 2019, MoneyTransfers.com is designed to transform the way consumers discover the best deals when sending money across the world. We believe transferring money between countries should be a painless experience for everyone involved.
Please be aware that we generate revenue through partnerships with selected money transfer providers listed on our site. Rest assured, these partnerships will not affect your fees when using a money transfer provider, and we guarantee all affiliate providers are trusted and regulated. Links on this site may direct you to the websites of our partners. A hyperlink or a reference to a broker should not be taken as an endorsement of that broker.
