In today’s global economy, fast and secure international money transfers are essential. Whether you’re paying overseas suppliers, purchasing property abroad, or supporting family members, you need a reliable international money transfer method. Wire transfers have long been the standard—but is there a smarter option when sending wires? Tasman FX offers an efficient, cost-effective alternative to traditional wire transfers through the bank, giving you better rates, lower fees, and superior service.
Let’s explore what wire transfers are, how they operate, and why Tasman FX might be your best choice.
What Exactly Is a Wire Transfer?
A wire transfer is a method of electronically moving funds securely from one bank account to another. Unlike standard transfers, which may be batched or delayed, wire transfers are handled individually—making them quicker and more secure, particularly for large or urgent payments. Wire transfers can be sent:
- Within your own country (domestic)
- Across borders (international)
Their direct nature means they are often faster—but typically cost more, especially if using the banks. Wire transfers don’t actually involve the physical exchange of cash but are settled electronically. They can be sent between banks, or through regulated non-bank services such as Tasman Foreign Exchange.
The Step-by-Step Wire Transfer Process
Understanding how wire transfers are processed helps to explain their speed and cost. Here’s a simple breakdown of how to transfer money internationally:
- Setting up the transfer: You provide your bank with the recipient’s name, account number, and, for international payments, the recipient bank’s SWIFT/BIC code.
- Bank-to-bank communication: Your bank sends a secure message to the recipient’s bank authorising the payment.
- Payment and fees: The amount (plus any fees) is then withdrawn from your account and deducted from the amount sent.
- Deposit: The funds arrive in the recipient’s account after bank processing.
- Behind-the-scenes settlement: The two banks reconcile the payment internally to complete the transaction.
Wire transfers are overseen by strict banking protocols, making them a safe option. However, unlike Tasman FX, most banks often charge hefty fees which can range from $20–$60 domestically and $30–$90 internationally or more. It is always important to know exactly what charges and fees you are being charged on top of the rate you are getting.
Comparing Domestic and International Wire Transfers
Though both types of wire transfers work similarly, there are key differences between them:
Domestic Wire Payments have the following features:
- Usually completed within hours or by the next business day.
- Lower fees.
- Handled through local bank networks (e.g., NZ’s internal banking system).
International Wire Transfers have the following features:
- Take 2–5 business days on average.
- Involve currency conversion, which can influence the final amount received.
- Use the global SWIFT network for security.
- May involve one or more intermediary banks, adding time and cost.
- Are subject to detailed compliance checks, especially for anti-money laundering (AML) requirements.
How Fast Are Wire Transfers?
The speed of your transfer depends on several factors: Domestic wires: Often same-day if sent before cut-off times. International wires: Typically 2–5 business days when sent through banks. Sometimes delays can occur due to weekends, time zone differences, certain countries with slower processing times, public holidays, or regulatory scrutiny.
At Tasman FX our wire transfers can often be sent immediately between international accounts, ensuring your payment is received by your beneficiary a lot faster. Learn more…
Quick tip: Always review recipient details and account number carefully before sending. Any errors can slow down the process—or worse, may result in funds going astray or into the wrong account. It is imperative to carefully check beneficiary details before sending money overseas as once sent, it is extremely difficult to recall funds sent to the incorrect account details.
Benefits and Drawbacks to Keep in Mind
Key Benefits of Wire Payments:
- Fast turnaround: Great for urgent payments.
- Secure transmission: Strong bank-to-bank systems reduce fraud risk.
- Worldwide availability: You can send funds almost anywhere.
Potential Downsides:
- Costs can add up: Wire fees can be higher than most other payment methods and it is important to find out what these fees might be.
- No room for error: Once processed, reversing a wire transfer is extremely difficult.
- Delays possible: International wires can be held up by compliance checks or intermediary banks.
Why Tasman FX is the Smarter Option for sending wires overseas
While traditional wire transfers are dependable, Tasman FX offers significant advantages:
- Better exchange rates: Save more on every transaction with sharper rates than what the bank will offer.
- Transparent: No hidden costs eating into your funds.
- Quicker processing: Speedy transactions with regular status updates. With accounts in many countries, your payments are faster, with fewer delays.
- Expert local support: Friendly service from our experienced team that understands your needs and provides ongoing support.
- Secure transfers all over the globe: Tasman FX has been regulated in Australia and New Zealand since 2009.
Whether you’re sending personal remittances or managing business payments abroad, Tasman FX delivers a more efficient, cost-effective way to move your money.
In Conclusion
Wire transfers remain a reliable tool for international and domestic payments—but there’s no need to settle for outdated processes or inflated costs and fees through the bank. Tasman FX brings you better value, better service, and peace of mind with every transfer. Not only that, but they also offer every customer free foriegn currency accounts and additional services to ensure you get the best rates each time you send money overseas.
Ready to experience the difference? Get in touch with Tasman FX today to learn more about how we can save you time and money on your next international payment.
