Xe vs. Western Union

Xe and Western Union are two well-known financial services, and one of them offers the fastest option — but not always the cheapest. We compare these money transfer giants side by side to find out which one offers the best value for your money.

Quick verdict

Lower fees:
Xe

Better exchange rates:
Xe

Fast transfers:
Tie

Which has lower fees?

Xe

Xe charges a small flat fee of $4 for transfers below $500 but the fee is waived above this amount.

Western Union

Western Union’s fees vary depending on the currency, payment method and the transfer amount. For example, cash pickups generally have higher fees.

It’s important to get a price estimate using the Western Union calculator before committing so you know the exact fee.

Winner: Xe

Xe doesn’t charge any fees above $500, making it the clear winner in this category.

Which offers better exchange rates?

Xe

Xe adds a margin to the exchange rate, which varies based on the currency. Keep in mind that the rate you’ll pay is different from what’s shown on the Xe currency converter tool, which shows live market rates without the mark-up.

For a transfer to India:

• Xe’s exchange rate: 1 USD = 82.2334 INR
• Mid-market rate: 1 USD = 82.5090 INR

This is a margin around 3.3%.

Western Union

Western Union also adds a margin to its exchange rates, which widely varies depending on the currency, payment method and the way the receiver would like to collect the money. The exchange rate on cash pick-ups is not as good as the exchange rate on bank transfers.

For the same example:

• Western Union’s cash pickup exchange rate: 1 USD = 81.5847 INR
• Western Union’s bank transfer exchange rate: 1 USD = 82.2044 INR
• Mid-market rate: 1 USD = 82.508714 INR

This ends up at a margin of 3.6% for a bank transfer and 11% for cash pickup.

Winner: Xe

Xe generally offers better exchange rates than Western Union. Western Union’s rate for bank transfers — which can take up to five business days or more — are often close to Xe’s rates. But for larger transfers, Xe offers significantly better rates.

Which is faster?

Xe

Xe will confirm the estimated date when you set up your transfer, but the majority of transfers are initiated within the same day. While some transfers arrive the same day, transfers to specific countries can take one to four days if you send after hours. And some less popular currencies may take longer.

Western Union

Western Union cash pickups are available within minutes, but bank transfers can take up to six days. It depends on the transfer and how it’s received.

Winner: Tie

Both Western Union and Xe can get your money there on the same day, but it will be received in different ways. Western Union offers speedy cash pickups, but Xe has faster bank transfers.

General features

	Payment methods	Receiving options	Minimum and maximum transfers	Transfer speeds	Currencies
Xe	Bank transfer	Bank transfer	Minimum: $1 Maximum: $500,000	Within minutes	100+ currencies
Western Union	Bank transfer, cash transfer, debit card, credit card	Bank account, cash pick-up, mobile wallet	Minimum: $1 Maximum: $50,000	Within minutes	100+ currencies

Xe

Set up an account with Xe, get a quote and if you’re happy with that quote, you send Xe the money. Xe will complete the transfer for you.

Western Union

Register for a Western Union account. After that, you go into your profile and select the Send money option. Once you’ve entered all the transfer details, you choose your payment method and pay Western Union. Once your payment is received, they’ll transfer the funds.

Learn more: Xe

Learn more: Western Union

Bottom line

Overall, Xe is typically a better choice when compared side by side to Western Union. Western Union’s fees and exchange rates are so varied that you’ll often get stung by a hidden fee. On the other hand, Xe adds a smaller mark-up to the exchange rate, plus it has no fees below $500.

To get the best deal on your next transfer, compare other transfer providers to see how they stack up.

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