Send money to Hong Kong
Article by Mozo
There’s a huge community of expats living in Hong Kong, with over 90,000 Australians residing there. Australia’s business ties with Hong Kong are also profound, so there are plenty of reasons why we would need to send money there. You may have to make a money transfer to Hong Kong to purchase goods and services for your business, after all the cost of labour is cheaper over there. Maybe you have relative living in Hong Kong and you want to send them money for their birthday. Whatever the reason for transferring money to Hong Kong, there are plenty of foreign exchange specialists who will send your money in a safe, secure and cheap manner.
If you are actually looking for foreign exchange options for your next holiday or business trip to Hong Kong, this section isn't for you - head over to our travel money section.
How does a money transfer work?
When it comes to finance, some aspects can be quite complex and confusing to say the least! But you’ll be happy to know that making an international money transfer to Hong Kong is a fairly straight forward process. Here’s how your Australian dollars transfer to Hong Kong dollars:
- Register and set up an account with a bank or foreign exchange provider such as OzForex, World First and CurrencyFair
- Decide how many Aussie dollars you want to transfer or how many Hong Kong dollars you want your recipient to receive
- Confirm and make sure you are happy with the exchange rate and costs associated with the transfer
- Provide details of the recipient including their name and bank details
- Book the transaction and pay the agreed amount for the transfer; this is usually done by electronic transfer
- Once the provider has received the funds, they will send the money electronically to your recipient in Hong Kong.
Ways to send money to Hong Kong from Australia
There are a range of services you can use to convert your Australian dollars into Hong Kong dollars – banks, foreign exchange specialist and standard wire transfer. The service that works best for you will depend on the amount of money you are dealing with and how frequently you need to make transactions to Hong Kong.
- Banks: As Hong Kong is among the world’s largest financial centres, most major Australian banks allow you to convert and send money there. However, banks usually offer a poor exchange rate and charge high conversion fees compared to specialist international money transfer providers. If you decide to go with your bank, the money will be debited from your account and transferred to the designated account in Hong Kong.
- Foreign exchange specialist: This is a great option for individuals and businesses that make regular money transfers to Hong Kong. International money transfer providers offer an attractive exchange rate and lower fees than the banks, saving you hundreds of dollars each year. If you set up an account with a foreign exchange specialist, money will be transferred from your everyday bank account to the account you have created with them and then it will be transferred to the recipient in Hong Kong. There are three main foreign exchange providers in Australia – OzForex, Currency Fair and World First.
- Standard wire transfer: This is a fast and easily accessible way of transferring funds from one person or entity to another. A wire transfer can be made from one bank account to another or through a transfer of cash at a branch. Western Union is one of the world’s biggest money transfer companies, with around 500,000 agent locations around the world. A recipient can access the funds within minutes of a wire transfer, including picking up the cash in person. The exchange rate generally isn’t as good as a bank or foreign exchange specialist.
Before booking a transaction make sure you’ve compared the day’s best exchange rates right here!
What should I look for when choosing a foreign exchange provider?
- Exchange rate: First and foremost is the exchange rate the provider is offering. Take the time to compare and calculate how many Hong Kong dollars you’ll receive for your Aussie dollar. A few cents difference in the exchange rate could save you thousands of dollars. Make sure you compare quotes with Mozo!
- Fees: Make sure you read the fine print, banks and foreign exchange specialists have a fee for converting your money, you may also be hit with a sending and receiving fee.
- Transfer methods: In this day and age there are plenty of methods for transferring money overseas these include; online, on the phone, in person or even via an app.
- Turnaround time: How quickly will the recipient in Hong Kong have access to the funds? Minutes or days? The speed of the transfer will depend on which provider you go with.
- Transfer limits: A lot of providers have a minimum and maximum amount you can transfer.
- Pickup methods: The usual method is by electronic funds transfer but some services allow the recipient to pick up cash from a branch.
Make sure you do a thorough comparison of several providers to make sure you get value for money when sending funds to Hong Kong. Click here to save and compare international money transfers.
Making a one off transfer to Hong Kong
Mrs Smith’s daughter lives in Hong Kong and her 40th birthday is coming up, she’d like to send her money as a gift. This requires Mrs Smith making a one off money transfer to Hong Kong. Depending on how generous Mrs Smith is, will determine which international money transfer service she sends the funds with.
For one off transfers under around $200, PayPal is a fast, reliable and efficient way of sending money. Both Mrs Smith and her daughter will need a PayPal account in order for this transfer to happen. For small amounts it may also be convenient to just use your local bank. Remember though, banks don’t offer a very attractive exchange rate
As it’s a significant birthday, Mrs Smith has decided to dig deep and send her daughter $2500. So a lot of the money isn’t lost at sea during the transfer, Mrs Smith has chosen to use a foreign exchange specialist to send the birthday money. This way she’ll secure a great exchange rate and low fees which means Mrs Smith’s daughter will receive more Hong Kong dollars!
Making regular money transfers to Hong Kong
There are around 550 Australian companies based in Hong Kong, which creates huge commercial interest between the two countries and plenty of demand for regular money transfers! E.g. An Australian company may need to pay royalties or wages to staff based in Hong Kong. Individuals might have to make regular mortgage repayments or school fees. Regardless if it’s for individual or business purposes, when it comes to making regular money transfers to Hong Kong, you can’t go past a foreign exchange specialist. These providers will save you time and more importantly money. They’re also likely to offer you flexible options to accommodate your needs.
Make sure you read our guide on thecommon mistakes made when moving cash overseas.
Information you’ll need to make an international money transfer to Hong Kong
Country guides for transferring money internationally
- Personal details including name, address, date of birth, phone number
- You’ll have to provide your drivers licence, medicare card or passport number
- Details of the account where the transfer money will be deposited from
- Full name and address of the recipient's bank
- Recipient's name, address and account number
- SWIFT/BIC Code - this is an 8 or 11 digit code that identifies banks around the world
- The amount and currency you wish to send.