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The Best International Money Transfers from Australia

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The Best International Money Transfers from Australia

Here we are going to talk about the Best International Money Transfers from Australia and tips on how to save up to 75% of your costs!

International money transfer companies have quickly become an integral part of many people’s financial lives – from small businesses and online sellers to backpackers and freelancers. Traditionally, we would go to the bank for an international transfer, and we would get charged around 3% to 4% in exchange spread (lost money due to being less than the real rate) along with a fixed fee of around $/£/€ 30.

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It’s somewhat remarkable that banks haven’t improved on these fees over the years, seeing as we are now inundated with online companies offering exchanges for free, and within 0.5% of the interbank rate.

This access to almost-free currency has completely changed the way we view international relations. It’s made the world a lot smaller, completely eradicating the apprehension of selling products overseas or making foreign investments. 

A trip to New Zealand now involves not a second thought about currency, because, with a Wise borderless card (one of many examples), one can withdraw New Zealand dollars from the ATM with no unexpected fees.

In fact, it has completely eradicated the need for cash, which is something many of us are used to when travelling.

Exchanging enough cash to last throughout the holiday – otherwise, you will get stung by pricey ATMs or scammy airport cash converters. These days are gone, as we now log into our multi-currency wallet on our iPhones and make a clean, instant transfer with an impeccable exchange rate.

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Australian banks are some of the most expensive in the world for international money transfers. Sending AU $10,000 to the UK on the 1st April 2020, in a perfect world, should have resulted in £5,041 being received according to the interbank rate. The reality is with ANZ, CBA, Bendigo, Westpac and NAB, the recipient would actually receive under £4,800 – and as low as £4,636 in the example of CBA. 

You would essentially be shortchanged by 5% in a ten grand transfer, meaning you could save over £300 by using a money transfer service. Now imagine a transfer from Australia to New Zealand for a $400,000 overseas property investment that you aim to let out – this could seriously hinder the return on the investment for quite a while.

This is something that online sellers have had to put up with for years, where marketplaces like Amazon take control of the conversion during an overseas sale. When taking 3% to 4%, a good chunk of sellers’ profit margins are instantly damaged, and for no other reason than inefficiency. Fortunately, virtual accounts can now be opened in an instant in which buyers can purchase goods in their own currency, and the seller gains back the power over the exchange: when, where, and how.

Of course, not all money transfer companies are the same though, and some are better than others. The best international money transfer service (AUS) can be reduced to the five providers below. All offer something slightly different. 

The Five Best FX Providers in Australia

#1 OFX

OFX is one of the largest and best international money transfer providers in the world, and happen to be Australian themselves. With a $20bn turnover per year and incredible customer reviews, OFX is seen as an industry leader with impeccable customer support (24/7 support) and competitive rates.

OFX operates online, over the phone, and on smartphone apps meaning the customer can choose at their convenience. Whilst they are Australian, they have offices all around the world and are regulated by the ASIC, FinCEN, FINTRAC and FCA. Because of this, they’re very experienced with overseas dealings and can offer expert advice.

A minimum transfer of $/£/€ 100 means that OFX aren’t ideal for day-to-day spending, but are instead geared towards business solutions and overseas investing. They’re also solid choices for hedging products and bespoke support through a dedicated dealer.

OFX have won various awards, such as Deloitte, BRW Fast, and Canstar, and are traded publicly by OzForex Group OFX:ASE.

Australian Office Address:

  • Level 19, 60 Margaret St
  • Sydney NSW 2000 Australia
  • Personal
  • 1300 300 424 (Local call)
  • +61 2 8667 8090 (International)
  • Business
  • 1300 300 524 (Local call)
  • +61 2 8667 8091 (International)
  • ASIC AFS number
  • AFS Licence number 226 484
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#2 TorFX

TorFX is another large money transfer service provider operating in Australia that is seen as highly reliable and safe. Like OFX, TorFX has no fees and highly competitive rates. The exact rates you receive will depend on the circumstance, but we can be assured they’re a lot lower than the bank fees examined earlier.

TorFX has a decent global reach, though not to quite the same extent as OFX. TorFX is regulated in both the UK and Australia. There is a similar $/£/€ 100 minimum transfer imposed, which indicates that the company is designed for larger transfers.

TorFX has some of the highest client satisfaction ratings in the industry, winning various business awards around the world. With 59 supported currencies, it’s likely TorFX will facilitate your transfer if it’s between major currencies. Users can also set market orders, limit orders, rate watch and use hedging services too.

As for businesses, TorFX offers risk management services, daily market updates, and a lot of assistance for expats.

Australian Office Address:

  • 25 Elkhorn Ave, 
  • Surfers Paradise 
  • QLD 4217,
  • Australia
  • Phone: +61 1800 507 480
  • ASIC AFS number: 246838
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#3 Wise

Wise (formerly TransferWise) is a slightly different kind of FX provider than the previous two. Processing $4bn per month, Wise has exploded onto the scene since 2010, and are now in the exclusive unicorn company club.

With a minimum transfer of $/£/€ 1 and a near-guaranteed rate of 0.5% margin (no fee) for most currency routes, customers arbe getting a very stable, certain service that’s extremely accessible and convenient. In particular, expats, online sellers, and anyone looking for day-to-day small spending overseas will get a lot of value out of Wise.

To add to this, they have one of the best apps on the market and a borderless debit card that can be spent overseas at the same great rates. They do not offer business solutions, dedicated dealers, or any bespoke service. In fact, there’s no discounts for large transfers and no phone call support. 

This puts Wise as a great all-rounder for expats, backpackers, and perhaps sole traders, but being aware of their limitations is important.

Australian Office Address:

  • TransferWise Ltd
  • 44 Martin Place
  • Sydney
  • NSW 2000
  • ASIC AFS number: 513764
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#4 XE Money Transfer

XE Money Transfer is a well-established FX broker that acquired HiFX in 2019. With 98 supported currencies and offices in Australia, New Zealand, US, UK, and Canada, this is a good option for Australians if global reach is important to you.

There are no fees worldwide, and the exchange rate will depend on both the volume and currencies traded. However, the currency quotes provided are very accurate, and will likely improve as the value of the transaction increases. 

XE has perhaps the worst performing app out of the companies on this list, and isn’t as recognised regarding awards and industry. However, transactions are both cheap and smooth, and have incredible functionality regarding historical rates, charting, rate alerts – almost as if they have blended together a currency provider with a trading platform.

There is no dedicated dealer for private clients and is more digitally focused than some other providers.

Australian Office Address:

  • HiFX Australia Pty Ltd
  • Level 1,
  • 75 Castlereagh Street,
  • Sydney NSW 2000
  • Australia
  • ASIC AFS number: 240917

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#5 Moneycorp

Founded in 1979, Moneycorp is one of the oldest FX providers on the market. With a minimum transfer of $/£/€ 50 and a dedicated team for businesses, Moneycorp is very much geared towards corporate FX solutions. The public is more than welcome to use their service, but to get the most out of the Moneycorp benefits, large sophisticated transfers perform better.

Moneycorp is extremely well recognised around the world, and has offices in countless countries – Australia being one of them. 120 currencies are supported, which is more than any other company on the list. 

Functionality is similar to XE in terms of market orders and rate watch being available, but interest-earning accounts are also available, along with forward contracts up to 2 years in length. The mobile app performs just fine, but the phone support is where Moneycorp can offer the most value as they have one of the largest teams in the world with a tonne of experience.

Australian Office Address:

  • Level 3, 
  • 379 Kent Street, 
  • Sydney NSW 2000, 
  • Australia.
  • ASIC AFS number: 361276

Opportunities arise when currency is cheap

Knowing that we can transfer money from New Zealand to an Australian bank account for a near-perfect rate, in an instant, from a single click on our mobile phone allows us to grasp more opportunities. Whether this is travelling, entrepreneurial, or investing – reducing the friction of capital flowing between countries is an important part of a healthy economy and interconnected world.

Of course, funds for large firms have always been able to flow abroad for cheap, as FX providers were only geared towards corporations and wealthy clients. Today, there’s something for everyone, and opening an account can be a matter of minutes on the app store. In fact, it’s advisable to open various accounts – such as Moneycorp and Wise – as they offer totally different services.

One can be used for splitting a bill between friends when on holiday, whilst the other can facilitate sophisticated hedging practices to protect your business from changing FX prices. With the lockdown measures easing and tourism set to resume in 2022 (and already has with New Zealand), now has never been a better time to make the most of this smart money-saving technology. 

The Best International Money Transfers from Australia | Stay At Home Mum
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