Money transfer fees compared UK

How international money transfer costs work

When sending money abroad from the UK, the total cost of a transfer has several distinct components. Understanding each one is necessary to compare providers on a like-for-like basis.

The first component is the transfer fee - a fixed charge levied by the sending provider. UK banks may charge between zero and £35 depending on the bank, account type, and transfer method. Some specialist providers charge a flat fee below certain transfer thresholds, and zero above them. The transfer fee is straightforward to compare because it is usually disclosed upfront as a specific pound amount.

The second and often larger component is the FX margin - the difference between the interbank (mid-market) exchange rate and the rate the provider actually applies to the customer's transfer. A provider applying a 2% margin on a £10,000 transfer absorbs £200 in effective cost from the exchange rate alone, even if the published transfer fee is zero. FX margins are harder to compare because not all providers publish them as a percentage: many disclose only the exchange rate itself at the point of the quote, making the margin implicit rather than stated.

The third component is third-party bank fees - charges deducted by correspondent (intermediary) banks in the SWIFT network, or by the recipient's own bank. These are outside the sending provider's control and cannot always be predicted in advance. They typically range from £5 to £15 per transfer but can be higher for exotic corridors.

Published fee comparison table

The table below compares published fee information for key UK transfer providers. All figures are sourced from the providers' own official UK pages. FX margins that are not published as a fixed percentage are noted as UNVERIFIED (not publicly disclosed). This table shows the sending provider's own fees only - third-party and recipient bank fees are additional and variable.

Note on bank fee ranges: Bank transfer fee ranges for HSBC, Barclays, Lloyds, and NatWest are cited from OFX's published comparison blog as of June 2026. These figures are not sourced directly from each bank's own published fee schedules in this research. Anyone verifying these bank fees should check each bank's current tariff directly.

The hidden cost: FX margin in practice

The FX margin is typically a larger cost than the fixed transfer fee for mid-to-large transfers. To illustrate this with published comparison data: on a £25,000 to USD transfer as of 1 June 2026, OFX quoted $32,515 against Barclays' $31,142 - a difference of $1,374, which equates to approximately 4.2% of the Barclays-quoted amount. This comparison is taken from OFX's own published bank-beating rate comparison page, which is verified monthly by PinPoint Macro Analytics. The example should be understood as an illustration of the potential differential: actual results vary by date, time, amount, and currency pair.

For a £1,000 transfer, the £15 OFX flat fee (for transfers below £10,000) represents 1.5% of the transfer amount before any margin is considered. At this transfer size, the effective all-in cost of OFX versus Revolut's Standard free plan (which applies the mid-market rate on weekday exchanges within the £1,000 limit, with no transfer fee) warrants direct comparison at the point of transaction rather than from published schedules alone, because OFX's margin is quote-dependent.

Weekend and holiday pricing

Currency markets are effectively closed from approximately 17:00 Friday to 18:00 Sunday Eastern Time. During this period, providers face exchange rate risk that they cannot immediately hedge by trading in the interbank market. Both Revolut and OFX apply additional pricing during this window: Revolut's Standard plan charges a 1% weekend markup on all exchanges; OFX states that an additional markup may apply on weekends and certain holidays. Anyone transferring or exchanging currency over the weekend should check the current quoted rate directly with the provider and compare it against the mid-market rate to assess the weekend premium being applied.

Third-party and intermediary fees

When a transfer is routed through the SWIFT network, correspondent (intermediary) banks in the payment chain may deduct a fee before the funds reach the recipient's bank. The recipient's bank may also apply its own incoming transfer fee. These charges are outside the sending provider's control. OFX notes on its FAQ page that its minimum transfer amount of £100 exists partly to protect recipients from intermediary bank charges that could materially reduce a smaller transfer. Customers sending smaller amounts should factor potential third-party deductions into the expected amount received.

Regulated providers: what to check

Before using any international money transfer provider, customers should confirm that the firm is authorised or registered with the FCA. For payment services and e-money, the relevant register entries are maintained at register.fca.org.uk. Key firms covered in this comparison:

• UKForex Limited (OFX): FRN 902028 - FCA register entry
• Revolut Ltd: FRN 900562 - FCA register entry

Clone firm fraud is a known risk in financial services. Always access provider websites by typing the address directly rather than following links in unsolicited communications, and check the FCA register entry matches the contact details you have been given. The FCA publishes warnings about clone firms at fca.org.uk.

Summary: which transfer size suits which approach

For amounts below £1,000 on a weekday, Revolut Standard's zero-fee mid-market rate exchange (within the monthly limit) typically results in lower all-in cost than either a specialist provider charging a fixed fee or a bank charging a percentage margin, assuming the transfer to an external account incurs no large fixed fee in-app. For amounts between £1,000 and £10,000, the comparison becomes more complex and depends on the OFX margin at time of quote versus Revolut's 1% fair usage fee or paid plan subscription cost. For amounts above £10,000, specialist providers like OFX offer no transfer fee, and their FX margin versus a high street bank is where the saving (or lack of it) is determined.

For more detailed analysis of individual providers, see the Wise vs Revolut vs OFX expat comparison. For context on how international income and savings interact with UK tax obligations, see Savings Interest Tax Bills Rise and Building Society Savings and ISA Rates UK.

Frequently asked questions

What is the cheapest way to transfer money internationally from the UK?

The cheapest option depends on the transfer amount and timing. For smaller amounts under £1,000 on a weekday, a provider offering the mid-market rate with no fixed fee can minimise cost. For larger amounts, specialist providers that waive the transfer fee above a threshold and apply a lower FX margin than a high street bank may be more cost-effective. Comparing the all-in amount received - not just the fee or rate in isolation - gives the most accurate picture.

What is an FX margin and why does it matter?

The FX margin is the percentage difference between the interbank (mid-market) exchange rate and the rate a provider charges you. A 2% margin on a £5,000 transfer costs £100 in effective currency lost. Even when a provider charges no transfer fee, the margin is still a real cost. Comparing exchange rates against the mid-market rate at the time of the quote (available from sources such as the European Central Bank or Google Finance) allows customers to assess the margin being applied.

Are there any UK money transfer providers that charge no fees at all?

Some providers charge no fixed transfer fee, but all providers that convert currency apply some FX margin above the interbank rate. A zero-fee offer means zero fixed transfer fee only, not zero total cost. The effective cost is always in the exchange rate applied, or both the rate and any fixed fee.

Do UK banks charge to send money abroad?

Major UK banks charge varying amounts. Based on published comparison data, HSBC charges £0 to £5, Lloyds £0 to £9.50, NatWest £0 to £30, and Barclays £0 to £25 for international transfers, depending on transfer method and account type. In addition to the transfer fee, banks typically apply an FX margin above the interbank rate, which for Barclays personal customers is published as approximately 2% to 2.75%.

What happens to my money if an FCA-authorised money transfer provider fails?

FCA-authorised electronic money institutions and payment institutions are required to safeguard customer funds in segregated accounts under the Electronic Money Regulations 2011 or the Payment Services Regulations 2017. This means your funds are ring-fenced from the company's own creditors in the event of insolvency. However, unlike bank deposits, there is no FSCS guarantee. Customers should not hold large balances with specialist transfer providers beyond the time needed to complete a transaction.