Are you in the dark about whether Venmo can help you with international money transfers? Trust me, you're not alone. Venmo is a go-to for many folks in the U.S., but its currency conversion capabilities leave much to be desired. Let's dive into what Venmo can and can't do and explore some alternatives that might save you a few bucks.
Can You Use Venmo Internationally?
If you're looking to send money internationally using Venmo, you might be disappointed. Venmo is designed for domestic use only, and it doesn't directly support international transfers. This can be a dealbreaker for those needing to send money across borders.
But don't worry, Venmo's parent company, PayPal, does offer some international payment options. However, this comes with its own set of problems. PayPal charges a currency conversion spread of 2.5%-3% on the wholesale exchange rate, plus a slew of international fees ranging from 0.3-2%. When you add up all those fees, you might find PayPal's international money transfer rates aren't exactly competitive.
SWIFT: The Hidden Costs
When you use PayPal for international transfers, you're often tapping into the SWIFT network. This system is known for being reliable but also comes with its fair share of costs. Each SWIFT message incurs a small fee depending on the type of message and the destination country. And don’t forget the extra charges from banks and intermediaries that can pile up quickly.
Alternatives to Venmo International Transfers
If you want to avoid those hefty fees, it's worth considering other options that specialize in international money transfers. Some of these services are more upfront about their fees and often provide better exchange rates.
- Look for companies that clearly state their fees upfront and don’t hide them in the fine print.
- Some services offer a more favorable exchange rate, so you're not losing money on currency conversion.
- Check if they have a wide network of countries they can send money to and offer various payout options.
Key Things to Keep In Mind
When you're weighing your options for sending money internationally, keep these points in mind:
- What exchange rate are they using? Don't forget to factor in any markups.
- Are the fees transparent? Make sure you see all the costs upfront.
- How quickly do you need the money to arrive, and how much will that speed cost?
- Do they offer flexible payout options?
Wrapping It Up
Can you send money internationally with Venmo? The answer is a firm no, but PayPal can help, albeit at a cost. If you're looking to save money, there are alternative services out there, especially if you're willing to do a little digging. Understanding the fees involved will help you make a more informed choice for your international money transfer needs.
