Wise (formerly TransferWise) Vs Remitly

Not sure whether to use TransferWise or Remitly for your next international payment? This TransferWise Vs Remitly review is here to help. We’ll cover:

• A full side by side feature comparison

• Which provider is cheaper?

• Which is faster?

• Which is safer?

• Which gets better customer reviews?

Summary: Transferwise and Remitly exist to meet different customer needs. Remitly helps people living overseas cut the costs of remittances, and supports more payout options than TransferWise (now known as Wise). However, Wise is a specialist in low cost digital transfers to bank accounts. If Wise covers your destination and you’re sending to a bank account they may offer cheaper overall fees which are more transparent. Both providers are licensed by MAS.

Wise Vs Remitly: side by side

So, to summarise:

• Wise supports more countries and currencies - it’s also good to know that Remitly customers can only send on common remittance routes, meaning some major developed economies are not served

• Wise has a multi-currency account and international debit card to support 50+ currencies, while Remitly does not

• Wise offers business account services - Remitly does not

• Both providers are fully regulated by MAS

Wise was built for fast, efficient, low cost payments to bank accounts, and also offers multi-currency accounts to allow individuals and businesses to hold and exchange foreign currencies. Remitly was created to improve the options available to people living overseas,  sending money home on popular currency routes. That means that while more pay out options are available compared to Wise, some large developed economies like the US or UK aren’t served.

If you need a transfer for cash collection or delivery, or to a mobile money account, Remitly can help. But if you want to send money online or in-app, to a bank account, Wise will probably be cheaper.

The important bits

Rates: Wise uses the mid-market rate, whereas Remitly adds a markup

Fees: Both providers have variable fees which are based on the destination country

Speed: Wise payments can be instant. Remitly payments must be funded by card, and can arrive instantly

Service: Both providers offer multilingual service in a range of languages, online, in-app and by phone

Safety: Both providers are fully licensed and regulated

Reviews: Wise gets Excellent review ratings on Trustpilot - Remitly gets a lower Great rating

Pros and cons

Wise Vs Remitly: The verdict

While Wise and Remitly both offer international payments, they have different features to serve the needs of different customers.

Wise is a specialist in transfers direct to bank accounts, and offers the mid-market exchange rate with low, transparent fees. Wise also offers business services, and a multi-currency account with a linked international debit card.

Remitly on the other hand was set up to help people living abroad sending money home on popular payment routes. They have a great range of pay out options including cash collection or home delivery, so you can get money to people without bank accounts, even in rural or underserved areas. You can also send to mobile money accounts.

Wise doesn’t offer the same suite of pay out options compared to Remitly. However, Wise international transfers to bank accounts typically come with better rates and lower overall costs compared to Remitly. If Wise supports payments to the country you’re sending to, and you want your transfer to be delivered to a bank account, they may be your best bet.

About Wise and Remitly

Wise was launched as TransferWise back in 2011 as a low-cost international payment provider[8]. These days, Wise has upwards of 10 million customers, and also offers personal and business accounts to hold and manage currencies, accept payments and spend using a linked debit card.

With Wise you can send payments to 80+ countries, in 50+ currencies.

Remitly was founded in 2011 with a vision of making remittance payments faster and cheaper for people living overseas and sending money home. As a mission-driven business, Remitly also invests in charitable organisations which support immigrant communities around the world.

You can send payments with Remitly from 17 larger developed countries, to over 100 countries.

How do they work?

To use Wise you’ll need to create an account, and depending on the type of payment you want to make you might need to provide some ID for verification.

Once your account is all set up, you can make payments online and in the Wise app:

1. Log into your account

2. Type in how much you want to transfer, or how much you need the recipient to get

3. Enter the recipient’s details - bank account number or email

4. Check over the details

5. Fund your payment using a card or bank transfer

6. Confirm and your money will be on the move

Wise transfers are made through their own network of local bank accounts, so payments arrive faster and don’t incur intermediary fees. When you want to pay for your transfer in Singapore dollars you’ll send the money to the Singapore Wise account. Then Wise will make a payment of the equivalent amount in your preferred currency, from their account in the destination country. No money actually moves across borders, so it’s faster and cheaper than traditional international payments.

To get started with Remitly, you’ll need to create an account online or in the app. You can do that with just your name and email address - but depending on the value of payment you want to make you may also need to provide documents for verification. Once you’re up and running, you can make a transfer by taking the following steps:

1. Sign in on the webpage or open the Remitly app

2. Select Get started or Send money

3. Enter the amount you want to send and the delivery method

4. Add recipient information - bank account details for a bank transfer, or name and personal details for cash pickup

5. Complete your profile, adding your name and personal details

6. Connect your preferred payment method - bank account or card

7. Review, and when you’re ready, hit Send money

8. You’ll see a confirmation screen once the payment is finalised

Wise Vs Remitly Fees

Remitly fees vary by destination. You’ll have to pay using a bank card on the Visa or Mastercard network, and your money can arrive instantly.

Wherever you’re sending money to you’ll also pay an exchange rate markup - a fee added into the exchange rate being offered. That’s very common, but can make it harder to work out the true cost of your payment.

Wise doesn’t hide any fees in the exchange rates used, but instead has a couple of different transparent costs:

• Fixed fee: covering the fixed costs associated with the transaction. For major currencies this can be in the region of S$0.35 - S$0.65

• Variable fee: covering the cost of the currency exchange. For major currencies this can be in the region of 0.35% to 0.45% of the transfer value

Wise Vs Remitly: which is cheaper?

Choosing an international payment specialist is almost certainly cheaper than sending money using your bank. However, as fees and rates do vary, it still pays to compare a few providers before you pick.

To see how much your payment will cost with Wise, simply enter your payment details into the Wise online pricing page, or in the app. You can enter how much you want to send, or how much you need your recipient to get, and see an instant quote.

To model your payment costs with Remitly, head to the Remitly homepage or app, and enter your destination country to check the payment delivery options and fees.

It’s worth noting that Remitly’s core purpose is to help immigrants sending money home on popular payment routes. You can send money from 17 large developed countries on over 100 payment routes - but you can’t send money between these send countries. Double check that Remitly covers your payment route before you get started.

Wise Vs Remitly: which is faster?

Remitly payments are funded by card and  may be available instantly. If you’re sending money for cash collection, it’s worth noting that the agent opening hours in the destination country are also important. Sending payments during public holidays or out of hours in your destination country may result in delays.

45% of Wise payments get to their destination instantly, and 80% arrive in 24 hours. However, the exact delivery time will depend on where you’re sending money to, and how you want to pay. You’ll see an estimated arrival time when you set up your payment.

Safety

Both Wise and Remitly are fully licensed and regulated, and use both smart technology and dedicated service teams to keep customer money safe.

Remitly is regulated by the Monetary Authority of Singapore (MAS).

Wise is regulated by  MAS here in Singapore, the FCA in the UK, FinCEN in the US, and other global regulatory bodies around the world.

Ease of use

• Creating an account: Create your account online or in app with both Wise and Remitly

• Making a transfer: Both providers allow customers to fund payments with a bank card. Wise also allows bank transfers and Apple Pay payments

• Ways to send money: Send payments to your recipient’s bank account directly with both Wise and Remitly. Remitly also offers pay outs for cash collection or delivery, and transfers to mobile money accounts

• Languages: Wise services are available in 15 languages - Remitly offers 14 languages. Both providers also offer multi-lingual support services

• Minimum & maximum amounts: Wise ending limits can vary by destination country. Remitly limits are based on your account tier - to send high value payments you’ll need to submit some documents for verification

Supported currencies

Globally, Remitly supports around 100 major payment routes - from Singapore you can send to 70+ countries and currencies. Wise supports 50+ currencies, and lets you send payments to over 80 countries.

Conclusion

Wise and Remitly are both great providers, but they exist to serve different customer needs.

Remitly is on a mission to make life easier for anyone working abroad and sending money home. Their services focus around common remittance routes and smart ways to get money quickly into the hands of people who may not be able to access a bank account easily. Pay by card and your money could arrive almost instantly, for a lower fee than using a bank.

Wise also has a mission - to make international payments to bank accounts cheaper and more transparent. You won’t get the same range of pay out options with Wise as you will with Remitly - but if you want to send a transfer direct to a bank account, Wise may offer you a lower overall fee as there’s no markup on the exchange rate used.

Finally, Wise has a smart international account to let customers spend while they travel, make ATM withdrawals and cut out foreign transaction fees. If you need a way to hold and exchange multiple currencies, this could be the solution for you.