How to avoid wire transfer fees: full guide (2024)

Depending on who you bank with, and the specific transaction types you make, you may find it’s tricky to avoid wire transfer fees entirely. Some traditional banks have particularly high fees for international wire transfers, which can also push up costs more than you might expect.

Maybe you’re wondering: how much does it cost to wire money with major US banks? This guide is for you — and as a bonus we’ll look at how to avoid international wire transfer fees with some top tips, and a quick introduction to specialist provider Wise, which offers low fee international payments with the mid-market exchange rate.

So, how much are wire transfers in the US and internationally — let’s dive right in.

What are wire transfer fees?

Wire transfers are commonly offered by banks, both when sending money in the US and when you need to make an international payment.

When you set up a wire, your bank will start processing it immediately as long as you’ve hit their cut-off time for same day service.

That can mean your money starts moving faster compared to other payment options like an ACH — but it can also mean the fees are higher.

How much does it cost to wire money?

We’ll dive into how to avoid incoming wire transfer fees on international and domestic payments, as well as ways to cut the costs of sending money yourself, in just a moment.

First, here are the average wire payment fees you’ll want to know about, based on some of the biggest banks in the US:

• Incoming domestic wire fees: usually around 15 USD where applied
• Incoming international wire fees: usually around 15 USD where applied
• Outgoing domestic wire fees: usually around 30 USD
• Outgoing international wire fees: payments made online in foreign currency often have fairly low fees, in branch or phone services may cost 50 USD or more

Average wire transfer fees by US bank

Ultimately, the amount you pay for a wire transfer will depend on the bank or provider you use. Let’s break down the typical costs from some major banks before we look at ways to cut or avoid wire transfer fees to help you save.

Don’t forget, different bank account types may have their own fees which could vary from our listing — so do check your own account terms and conditions before you arrange a payment.

How to avoid wire transfer fees

You may find you can avoid wire transfer fees — or at least reduce the costs significantly, depending on the type of payment you need to make.

Here are a few tips to consider before you get started with your transfer.

Try a peer to peer payment service instead of a bank

Peer to peer payment services can offer a great alternative to sending a bank wire. With peer to peer payment providers both you and the recipient will usually have to register an account, and can then easily send and receive payments to each other.

Within the US providers like Venmo, Zelle and PayPal offer simple ways to send USD transfers, which can often have low fees — or no charges at all — depending on how you fund your transfer.

It’s worth noting that many peer to peer payment providers don’t offer international services. If you’re sending a transfer in a foreign currency you’ll probably be best off picking a payment service which specializes in international transfers, like Wise — more on that in just a moment.

Check if your bank or provider offers fee discounts

Some US banks and transfer providers do offer fee discounts — or could even waive wire fees entirely — for some customers.

Ask your bank if there’s an option to cut your costs, or have a look at your specific account terms and conditions to understand your options.

Citibank for example offers free wires for customers with specific accounts including several different Citigold products. However, there may be eligibility restrictions or fees to pay to open account packages with free wire transfers, so do weigh up the overall costs before you dive in.

Use comparison platforms to find the lowest rate

Sending a wire transfer overseas? A comparison platform can be a good way to find the cheapest way to send money abroad.

When sending a payment internationally, you don’t need to rely on your normal bank. There are plenty of other specialist providers which can offer international transfer services which may have lower fees, better rates, and a faster delivery time compared to your bank.

Check out online comparison services like Exiap to get an overview of which may suit you best.

Avoid high wire international wire transfer fees with Wise

Wise international transfer services can help you send money overseas with low fees and a fair exchange rate. Register with Wise online or in the Wise app, to get an instant quote and set up your payment to any of the 80+ countries supported by Wise.

You can choose to pay Wise in dollars using a wire, ACH or card, and have your money deposited into your recipient’s bank account overseas in one of 50+ different currencies. All currency exchange uses the mid-market exchange rate, with no hidden costs or nasty surprises.

If you need to send and receive international payments often you may also benefit from a Wise Account, to hold, send, spend and receive payments in a broad range of currencies.

Get paid like a local with your own bank details for up to 10 different currencies — with no fee to receive USD ACH payments, and a low charge of 4.14 USD to receive a dollar bank wire to your Wise Account.

Get started with Wise 🚀

How to avoid foreign exchange fees on international wire transfers

If you’re sending a payment overseas, the wire transfer charge isn’t the only cost to consider — there may also be additional charges rolled into the exchange rate used.

This exchange rate markup is tricky to spot and can often cost more than the upfront transfer fee. Here are a few options to help you cut foreign exchange fees, and bring down your wire transfer costs overall.

Common questions about wire transfer fees

Let’s tackle some common questions about wire transfer fees, before you set up your payment.

Which bank offers the lowest fees?

For domestic transfers, Citi offers free wires to select customers, and USAA has a relatively low fee of 20 USD per payment.

If you’re sending money overseas, Bank of America and Wells Fargo both waive transfer fees for some online foreign currency transfers — although exchange rate markups are still likely to apply, which means these transfers aren’t really entirely free.

Can banks waive wire fees?

Some banks waive wire fees for priority customers, such as people who have private banking packages. Most banks won’t waive wire fees for customers with standard account products — but there’s no harm in asking your local branch if they can waive fees, particularly if you’re a long term customer.

Does the recipient pay fees?

Many US banks charge incoming wire fees which are deducted from a wire when it’s deposited into the recipient’s account. The fees the recipient pays will depend on the type of transfer, and the specific account they hold.

Are there fee differences for online vs in person transfers?

It’s common for banks to have different fees for wires set up online compared to in a branch. Usually online and mobile banking services come with lower costs. Check out your bank’s fee schedule to see if this applies to your own account product.

Can you make free wire transfers?

There’s usually a fee to pay when you make a wire transfer — however, you may be able to reduce this cost by choosing a specialist service instead of using your normal bank.

Can you avoid incoming wire fees?

Check your own account’s terms and conditions to see if there’s a fee to receive incoming wire payments — where these fees apply, they’re usually around 15 USD.

You may find you’re better off opening a specialist account with a provider like Wise which lets you receive USD ACH transfers for free, and incoming wires for a low fee of 4.14 USD.

Sending and receiving wire transfers almost always involves some costs. However, you might be able to get a better deal using some of the handy tips and tricks included in this guide, such as choosing a specialist service like Wise when you send a wire overseas or when you need to receive a USD wire

Sources:.

1. Bank of America - International wire transfer
2. Capital One - Wire transfer
3. Capital One - Essential checking fees
4. Chase - Personal account fees
5. Citibank - Online wire transfer services
6. Discover - Wire transfer FAQ
7. M&T Bank - FAQ
8. Key Bank - Wire transfers
9. PNC - Personal fees
10. Huntington Bank - Asterisk free checking account
11. TD Bank - Fee schedule
12. USAA - Wire transfers
13. US Bank - FAQ
14. Wells Fargo - Fee schedule

Sources checked on 01.09.2023