Sending money overseas

Sharing your wealth

If you have friends or family overseas, you're likely to want to send them money at some point: for a wedding, a medical expense or just to help with everyday expenses. Here are some tips to help you pay less fees and avoid problems when you transfer money abroad.

Compare costs and exchange rates

Smart tip

Some companies may charge a 'margin' to convert your currency which can be a hidden cost even if you use a 'commission-free' company.

A number of websites can help you to compare companies that send money overseas. 

  • SendMoneyPacific - For money sent from Australia to Fiji, Kiribati, Papua New Guinea, Samoa, Solomon Islands, Tonga, Tuvalu and Vanuatu.
  • SendMoneyAsia - For money sent from Australia to China, India, Vietnam and the Philippines.
  • Remittance Prices Worldwide - The World Bank's website for other international transfers.

Exchange rates

For larger transfers, it's worth shopping around for a good currency exchange rate. A small difference in the exchange rate could mean a lot more or a lot less money in your recipient's bank account.

Also find out if the exchange rate is guaranteed. Not all companies guarantee the rate but if they do, you'll know exactly how much money your recipient will get.

Ways to transfer your money

Smart tip

Keep your receipts and the transfer documents safe. Note the time limit for claiming a refund, in case your recipient doesn't claim the funds.

There are a few different ways to send money from Australia to another country.

The Australian Government regulator AUSTRAC (Australian Transaction Reports and Analysis Centre) collects data on overseas transfers of more than $10,000 to combat money-laundering and other serious crimes.

Online money transfer company

Online transfer companies ask you set up an account online and let you transmit your money yourself using the internet, or even a mobile phone network. The company moves the money to your recipient's bank account or arranges for them to collect the cash.

This transfer method can be cheap and fast, but you need to be comfortable making online transactions and know the bank account details of your recipient.

Bank account transfers

Using your bank account, you can transfer money directly into an overseas bank account. It is also called an international money transfer, a telegraphic transfer (TT), or a wire or SWIFT transfer.

Some banks also have online money transfer services that allow you to send money yourself to an overseas bank account.

This can be a more expensive option and it could take 2 to 5 days.

Cash transfer (through a money transfer company)

Money transfer companies let you transfer your money overseas using cash or EFTPOS. You might approach a money transfer company at their store front or use a third-party convenience-store counter. The person you send the money to will collect the cash at the money transfer office in their country.

Some money transfer companies will also let you transfer money using the internet, phone or a bank card once you've set up an account with them. You will need to let the recipient know that you've sent the money, and that they can pick it up from their local office.

This kind of transfer is often very fast - it could take just a few minutes - but can be expensive.

Australia Post also offers cash transfers which can be done at all Australia Post offices that have the Bank@Post sign displayed. To find out more see Australia Post overseas money transfer with Western Union.

International Money Order (IMO) 

A safer method than sending a personal cheque overseas is to use an international bank draft. You give your money to a bank in return for an international guaranteed cheque. You post the cheque to your family who then need to cash it at a local bank or deposit it into their account.

While secure, this transfer method can cost more than others, and posting it will be slower than an electronic transfer.

Complain if you have a problem

If the money has not been delivered, both you and the recipient should speak to the company that is transferring the money. If it still cannot be found, then you can complain to the Financial Ombudsman Service

Important: Money transfer scams

If you send money to someone and they turn out to be a scammer, it will be almost impossible for you to get your money back. Be very careful who you send your money to. Visit SCAMwatch Money transfer requests webpage for more.

Do your research before sending money overseas. You could save yourself a lot of money and time.


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Last updated: 29 Apr 2016