Western Union vs. TransferWise: Who wins for transfers? | finder.com
financial controller content feed image

Western Union vs. TransferWise

We value our editorial independence, basing our comparison results, content and reviews on objective analysis without bias. But we may receive compensation when you click links on our site. Learn more about how we make money from our partners.

We compare a well-known name with a newer online service to find which is better for sending money overseas.

Western Union is a familiar brand for money transfers, providing services for more than a century. It’s not the cheapest or fastest, but with an online, mobile and physical presence through its network of 500,000 agent locations worldwide, it’s the most visible option out there.

Established in 2011, TransferWise uses peer-to-peer technology to match users looking to send money in one currency with customers in other countries looking to receive the same money. So if you need to get euros to someone in Spain, TransferWise will find someone in Spain looking to send dollars to the US, essentially swapping your funds.

Western Union logo money transfers transferwise
Western Union TransferWise
Fees Fees start at $5 From 0.5% to 1.5% of your transaction
Exchange rates Up to 6% above the mid-market rate Mid-market rate
Speed Varies from minutes to 5+ days 1–4 days
Max Transfer Amount Varies by method and payment Private individual – $49,999 per day and $199,999 per year
Business – $199,999 per day and $1,000,000 per year
Read Review
Read Review

Western Union and TransferWise: How they work

Western Union and TransferWise both offer ways to transfer your money online, but they do have some key differences in the way they work.

Western Union

To make an online transfer using Western Union, you go to its site, enter how much you’re transferring and to which country, and see how much you’ll pay for the exchange. Once complete, Western Union will convert and deliver your money to a bank account or for cash pickup at locations worldwide. You may also initiate a transfer by phone, through a mobile app or in person.


With TransferWise, you’ll need to create a free account, but it’s easy to set one up at the same time of your transfer. You also have the option of signing in with your existing Google+, Facebook or PayPal account.

To send money, you go to its site, select the currencies you are exchanging and indicate how much you want to send. After reviewing your rate and fee, money is pulled from your bank account and then sent to a TransferWise bank in the country to which you’re transferring money using mid-market exchange rate.

Who offers lower fees?

Western Union

Figuring out your transfer fee with Western Union can be muddied. Although most fees start at $5, they can soar to up to $45 when paying by credit or debit card for cash pickup in certain countries. When sending money to high-traffic countries such as Mexico or India, however, some agents offer fee-free transfer options.


Fees depend on where and how you’re sending money, but most clock in at $9,90. Overall, they range from 0.5% to 1.5% of your transaction — and sometimes a bit higher, depending on the currency you’re transferring to. To send $1,000 to China, you’ll pay 1.5% of your transaction (or $15); to the Philippines, the fee drops to 1% ($10). You can easily find out what you’ll pay by visiting its “How much does TransferWise cost?” page.

  • Winner: Tie

Western Union’s typical starting transfer fee is lower than the average fee with TransferWise, but TransferWise offers a more uniform, transparent platform for paying for your international money exchange.

Who offers better exchange rates?

To understand who offers better exchange rates, you’ll need to first look at the mid-market rate. This is the true exchange rate that averages the buying and selling rate of a global currency — and the rate banks and transfer services use when they trade among themselves.

Let’s look at the rates that Western Union and TransferWise offer compared to the mid-market rate.

Western Union

Depending on the country you’re sending money to, a typical exchange rate at Western Union could be up to 6% above the mid-market rate. If you’re sending a large amount overseas, this means hundreds of dollars that goes straight into Western Union’s pocket.

We’ll use the example of a transfer to euros (EUR):

  • If the mid-market rate is 1 USD = 0.96 EUR
  • Western Union’s exchange rate might be 1 USD = 0.88 EUR


One of the biggest things that sets TransferWise apart from many other money transfer services is that it guarantees exchange rates that exactly match the mid-market rate, based on the minute that you initiate a transfer. As long as you send your money to them within 24 hours, you are guaranteed the same mid-market rate as when you started your transfer.

In other words, if you’re sending euros to Spain and the mid-market rate is 1 USD = 0.82 EUR, that’s the rate you’re going to get.

  • Winner: TransferWise

Its mid-market exchange rates make TransferWise the clear winner. You’ll be hard-pressed to find a stronger exchange rate elsewhere.

Send $1,000 to the UK

Imagine that you want to send $1,000 to your son who is studying in London. Here’s what you’d pay for an online bank transfer with Western Union and TransferWise.

Western UnionTransferWise
Transfer fee$2.99$8.43
Exchange rate1 USD = 0.76 GBP1 USD = 0.81 GBP
Transfer speed4 –5 business days1 business day
Total received760.10 GBP805.57 GBP

Although TransferWise’s fee is a little more, your son can get more than 45 more pounds and get it much faster using this service over Western Union.

Who’s faster?

Western Union

Delivery speed varies with transfer options. At an agent location or by phone, your transfer could be delivered in minutes (at higher costs). Your cheapest options could take five days or longer, depending on the country.


With TransferWise, all transfers from U.S. dollars are received within one business day.

  • Winner: TransferWise

Western Union does a bigger variety of transfer methods than TransferWise. But TransferWise’s one-day delivery guarantee is hard to beat.

Who offers more options?

Payment Methods Minimum and maximum transfers Delivery methods Transfer speeds Countries and currencies
Western Union Bank account, credit or debit card, cash $1 minimum; maximum varies by method and payment Bank transfer, cash pickup, e-wallet Varies from minutes to 5+ days 200+ countries
TransferWise Bank account, credit or debit card $1 minimum; no maximum Bank transfer 1 business day 30+ countries

Bottom line

Depending on your transfer method and speed, Western Union could offer lower transfer fees. But the couple extra bucks is well worth TransferWise’s unbeatable exchange rates and quick service.

Ultimately, you’ll want to compare your options to find the service that best fits your individual needs.

Frequently asked questions

See how Western Union and TransferWise compare to other money transfer companies

WorldRemit Deals (US) WorldRemit Deals (US)

WorldRemit: First Transfer FREE

You first transfer is free with WorldRemit when you use this coupon code. Send or pick up cash in the US or around the world.

Last verified

I want to send


Min. Transfer Amount Transfer Speed Online Transfer Fee Rate Amount Received Description CTA Details
$0 3 - 5 days USD 0.00 19.106 MXN 95,530 Transfer up to $500,000 with no minimums and no fees. Go to site Show details
USD 1,000 1 day USD 0.00 19.096 MXN 95,482 Exclusive offer: $0 transfer fee
No-limit transfers with competitive exchange rates for 100+ currencies.
Go to site Show details
USD 1 Within an hour USD 3.99 19.096 MXN 95,406 Use promo code FINDER to send your first transfer at no fee to 110+ countries for bank-to-bank deposit, cash pickup or mobile top-up. Go to site Show details
USD 1 3 - 5 days USD 75.00 19.270 MXN
Enjoy high maximum transfers into more than 20 currencies while saving up to 90% over local banks. Go to site Show details
GBP 5,000 1 - 2 days USD 0.00 19.077 MXN 95,386 Get live quotes on exchange rates and take advantage of no transaction fees with no limits on transfers. Go to site Show details

Compare up to 4 providers

Was this content helpful to you? No  Yes

Ask an Expert

You are about to post a question on finder.com:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Privacy and Cookies Policy and Terms of Use.

US International Money Transfers Offers

Important Information*
XE Money Transfer

Transfer up to $500,000 with no minimums and no fees.

WorldRemit International Money Transfers

Use promo code FINDER to send your first transfer at no fee to 110+ countries for bank-to-bank deposit, cash pickup or mobile top-up.

World First Foreign Exchange

Exclusive offer: $0 transfer fee
No-limit transfers with competitive exchange rates for 100+ currencies.

TransferWise International Money Transfers

Enjoy high maximum transfers into more than 20 currencies while saving up to 90% over local banks.

Go to site