TransferWise launches international money transfer tools for Aussie expats and businesses
Thursday 11 June 2020
Whether to split bills with friends or send cash gifts to family, more Australians are embracing mobile payments.
And now, this same convenience is being introduced to international money transfers (IMT).
IMT provider TransferWise has just launched a feature that lets Aussie users of its multi-currency account, instantly send funds to each other in over 50 different currencies. And it only requires a mobile number.
Currently, many other IMT providers ask their customers to provide bank account information of their recipients when making a transaction. However, this new feature removes the reliance on bank details for international money transfers, representing another shift from legacy banking.
TransferWise’s product manager, Lars Trunin said the feature is designed to further take the hassle out of sending money overseas.
“Banking works domestically, but international money management is still notoriously hard,” he said. “This new feature makes managing money across borders more convenient for everyone, without any need for confusing codes.
“You no longer need to worry about asking for someone’s bank details when you want to send a birthday gift, help someone out or just say thank you.”
TransferWise has also released another feature for its personal and business customers: direct debits.
Users can now set up direct debits from their Australian dollar (AUD) balance in order to make regular payments to Australia from other countries.
TransferWise said this ‘set and forget’ option is useful for Aussie expats and businesses abroad who still have bills, mortgages, rent and subscriptions to pay back at home.
As part of this feature, users will also receive notifications for any upcoming payments or low balances, so they can top up their account beforehand.
The launch of these two features comes as TransferWise celebrates a milestone of customers depositing two billion British pounds (GBP) into its multi-currency accounts globally.
So what are IMT multi-currency accounts?
If you’re using your local bank to send money to the UK, chances are your AUD will automatically be converted into GBP. So if exchange rates are unfavourable at the time of transfer, you could potentially lose big bucks on your transaction.
That’s when IMT specialists like TransferWise, OFX and WorldFirst come in. Their multi-currency accounts allow you to receive money in the same currency in which it was sent.
Say, you’re transferring funds from Australia to another customer in the UK. The IMT specialist would add the money to your recipient’s AUD balance, or open an AUD balance for them if they don’t have one already. That means the AUD stays as AUD for the entire transaction.
The recipient can then make conversions whenever they prefer, which gives them an opportunity to wait for better exchange rates.
The good news is, the AUD value is riding a five-month high right now, which means competitive exchange rates could be up for grabs. So if you’re looking to send money overseas, you can head over to our international money transfers comparison table to check out today’s rates and weigh up your IMT specialist options.