A Comprehensive Review Of TransferWise (Now Wise): Everything You Need To Know Before Using This Service

Have you ever needed to send money abroad and found the complicated process of comparing costs and fees confusing? With the introduction of services such as TransferWise (now Wise), transferring money internationally has become a much simpler endeavor. In this comprehensive review, we’ll explore all that Wise has to offer, from available currencies and countries, to fees, pros and cons, and alternative services. Read on to find out if Wise is the right international money transfer service for your needs!

Introduction to TransferWise (Now Wise)

TransferWise (now known as Wise) is an online money transfer service that allows people to send and receive money internationally at a low cost. It was founded in 2011 by two friends, Taavet Hinrikus and Kristo Käärmann, who were frustrated with the high fees and exchange rates associated with traditional banks.

Wise’s mission is to make sending and receiving money across borders as cheap, fast, and transparent as possible. They do this by using mid-market exchange rates and charging a low, transparent fee for their services. Wise also offers a borderless account, which allows users to hold and manage money in multiple currencies.

Wise has grown rapidly since its launch and now serves more than 10 million customers around the world. The company has offices in London, New York, Singapore, and other locations, and has raised over $1 billion in funding from investors including Sir Richard Branson, Andreessen Horowitz, and PayPal co-founder Max Levchin. In 2021, the company rebranded from TransferWise to Wise, reflecting its expansion beyond just money transfers into other financial services such as multi-currency accounts and debit cards.

How to get start with Wise (formerly transferwise)?

Getting started with Wise (formerly TransferWise) is a simple process. Here are the steps to follow:

1. Visit the Wise website at wise.com and sign up for a free account. You’ll need to provide your personal information, including your name, email address, and phone number.
2. Once you’ve created an account, you can choose to either send money or receive money. If you want to send money, you’ll need to provide the recipient’s details, including their name, bank account details, and the amount you want to send.
3. Next, you’ll need to choose the payment method you want to use. Wise supports multiple payment methods, including bank transfers, debit cards, and credit cards, depending on your country of residence.
4. After you’ve selected your payment method, you’ll be shown the fees and exchange rate for your transfer. If you’re happy with the details, you can proceed to make your payment.
5. If you’re receiving money, you’ll need to provide your own bank account details to the sender. Once the sender has initiated the transfer, you’ll receive the funds in your account.
6. If you’re interested in using Wise’s borderless account, you can open one from your account dashboard. With a borderless account, you can hold and manage money in multiple currencies, and make and receive payments in different currencies.

Key Features of Wise

Wise offers several key features that make it a popular choice for international money transfers:

1. Low Fees: Wise charges a low, transparent fee for its services, which is typically much cheaper than what traditional banks and other money transfer services charge.
2. Mid-Market Exchange Rates: Wise uses mid-market exchange rates for its currency conversions, which means that users get a fair and transparent exchange rate that is close to the real exchange rate.
3. Borderless Account: Wise offers a borderless account that allows users to hold and manage money in multiple currencies. This can be useful for people who travel frequently or have financial commitments in different countries.
4. Fast Transfers: Wise offers fast transfers, with many transfers being completed within hours. The exact transfer time will depend on the currencies involved and the payment method used.
5. Easy-to-Use Platform: Wise has an easy-to-use platform that allows users to send and receive money, manage their borderless account, and track their transactions.
6. Security: Wise is regulated by financial authorities in the UK, Europe, and the US, and uses advanced security measures to protect users’ money and personal information.
7. Multiple Payment Methods: Wise supports multiple payment methods, including bank transfers, debit cards, and credit cards, making it easy for users to send and receive money in the way that works best for them.

Overall, Wise offers a low-cost, fast, and convenient way to send and receive money internationally, with a range of useful features that make it a popular choice for individuals and businesses alike.

Currencies and Countries

Wise supports over 70 currencies and offers its services in more than 80 countries around the world. The exact availability of currencies and countries may vary depending on the user’s location and the payment method used, but here is a general overview:

Currencies: Wise supports all major currencies, as well as many minor and exotic currencies. Some of the most popular currencies include USD, EUR, GBP, AUD, CAD, JPY, and SGD.

Countries: Wise offers its services in many countries around the world, including the United States, United Kingdom, Australia, Canada, Eurozone countries, and many others. Some of the countries where Wise is particularly popular include India, Brazil, Mexico, and the Philippines.

Wise also offers multi-currency accounts, which allow users to hold and manage money in multiple currencies. This can be useful for people who travel frequently or have financial commitments in different countries. With a Wise borderless account, users can hold and manage money in up to 55 currencies, and can send and receive money in over 30 currencies.

Pricing for Transferring with Wise

Wise charges a low, transparent fee for its services, which varies depending on the currencies involved and the payment method used. Here is a general overview of the pricing for transferring with Wise:

1. Transfer Fees: Wise charges a fixed transfer fee, which varies depending on the currencies involved and the payment method used. In general, the fee is typically around 0.5% to 1% of the amount being transferred.
2. Exchange Rate Markup: Wise uses mid-market exchange rates for its currency conversions, and charges a small markup on top of the mid-market rate. This markup is typically around 0.35% to 1%.
3. Payment Method Fees: Depending on the payment method used, there may be additional fees charged by banks or payment processors. For example, if sending money via debit or credit card, there may be additional fees charged by the card issuer.

It’s worth noting that Wise’s fees are typically much lower than what traditional banks and other money transfer services charge. In addition, Wise offers a price comparison tool on its website, which allows users to compare its fees and exchange rates with other providers to ensure they are getting the best deal possible.

Pros and Cons of Using Wise

Using Wise (formerly TransferWise) has several advantages, as well as some potential disadvantages, depending on the user’s needs and preferences. Here are some pros and cons to consider when using Wise:

Pros:

1. Low Fees: Wise’s fees are typically much lower than what traditional banks and other money transfer services charge, making it an affordable option for sending and receiving money internationally.
2. Mid-Market Exchange Rates: Wise uses mid-market exchange rates for its currency conversions, which means users get a fair and transparent exchange rate that is close to the real exchange rate.
3. Fast Transfers: Wise offers fast transfers, with many transfers being completed within hours.
4. Borderless Account: Wise offers a borderless account that allows users to hold and manage money in multiple currencies, making it a useful option for people who travel frequently or have financial commitments in different countries.
5. Easy-to-Use Platform: Wise has an easy-to-use platform that allows users to send and receive money, manage their borderless account, and track their transactions.
6. Security: Wise is regulated by financial authorities in the UK, Europe, and the US, and uses advanced security measures to protect users’ money and personal information.

Cons:

1. Limited Payment Methods: While Wise supports multiple payment methods, including bank transfers, debit cards, and credit cards, it may not support all payment methods in all countries.
2. Limited Availability in Some Countries: While Wise is available in over 80 countries, its availability may be limited in some countries, depending on local regulations.
3. Potential Transfer Limits: Wise may have transfer limits depending on the user’s account status and the payment method used.
4. No Cash Pickup Option: Unlike some other money transfer services, Wise does not offer a cash pickup option, which may be inconvenient for some users.

Overall, Wise is a popular and affordable option for sending and receiving money internationally, with many useful features and benefits. However, users should be aware of any potential limitations or disadvantages before choosing to use the service.

Alternatives to Using Wise

There are several alternatives to using Wise for sending and receiving money internationally. Here are some popular options:

1. Remitly: Remitly is an international money transfer service that allows you to send money to friends and family in over 50 countries. The service is available in three different ways: through the Remitly app, online at Remitly.com, or by phone.
2. Western Union: Western Union is a well-known money transfer service that allows users to send and receive money internationally. Western Union may offer more payment options than Wise, but its fees can be higher.
3. Xoom: Xoom is a PayPal-owned money transfer service that allows users to send and receive money internationally. Xoom may offer competitive exchange rates and fast transfer times.
4. WorldRemit: WorldRemit is a popular money transfer service that offers low fees and competitive exchange rates. WorldRemit supports multiple payment methods and offers transfers to many countries around the world.
5. Revolut: Revolut is a digital banking app that allows users to send and receive money internationally, as well as hold and manage money in multiple currencies. Revolut may offer competitive exchange rates and low fees, but it may not be available in all countries.

Summary

In conclusion, Wise (formerly TransferWise) is a popular and reliable option for sending and receiving money internationally, offering competitive fees, mid-market exchange rates, and fast transfers. With a borderless account and support for multiple payment methods, Wise makes it easy for users to manage and access their money in different currencies, making it a convenient option for travelers, expats, and businesses. While there are some potential limitations and drawbacks to using Wise, such as limited payment methods and availability in certain countries, the overall benefits and features make it a strong contender among other money transfer services. Before using Wise, it’s important to carefully consider your specific needs and compare it with other alternatives to determine the best option for you.