You’ll be happy to know it’s easy and safe to send money to Mexico. In this article, we’ll discuss the different options available so you can find the one that best suits your needs.

Using your local bank

First, check current exchange rates on currency platforms such as Google, Reuters, or Bloomberg. Then, see what your bank’s exchange rate is. This way, you will see the percentage your bank charges you to send money to Mexico. Also, you can watch changing exchange rates for the best time to send the money: the higher the Mexican peso amount is, the more money you receive. Next, confirm that your bank can send the funds in Mexican pesos.  This way, you will know the exact amount you’re transferring. If you send your national currency to be converted to pesos once the funds arrive in Mexico, the transfer will be subject to an additional exchange fee. Lastly, check if your bank uses an intermediary bank to complete an international transfer. 

The intermediary bank routes the transfer to the receiving bank and typically deducts a fee from your transfer amount. Ask what the fee is and send the appropriate amount to cover it.

Using a licensed money transfer service

Licensed money transfer companies sometimes offer lower costs and get your money to its destination faster. You don’t have to wait until typical banking hours; you can transfer from anywhere, anytime. Money transfer companies also tend to be more transparent regarding associated fees, which means no surprises. These services are a safe, secure way to send money to Mexico, allowing you to track your funds easily.

Five money transfer services

1. OFX

• Cost: OFX is an excellent choice for low-cost transfers. There is no transfer fee, although third-party banks may deduct a fee from your transfer. Exchange rates are typically less than 1% markup.
• Speed: Four to five business days, depending on the destination and time zone.
• Transfer limits: The sending minimum per transfer is $500, with unlimited transfers. No debit or credit cards.
• Benefits: The website offers 24/7 support and an easy-to-use app.

Learn more at ofx.com

2. Wise

• Cost: Wise offers the best exchange rates of online services, and the transfer fee is typically less than 1% of the transfer amount when using a bank account.
• Speed: Transactions linked to a debit or credit card can arrive in a day or two. Transfers funded with bank accounts can take a week or more.
• Transfer limits: Sending limits up to one million per transfer if using a wire transfer to pay Wise. You can also pay with a debit card, credit card, Apple Pay, or direct debit (or ACH transfer) from your bank account.
• Benefits: Great mobile app, helpful FAQ. Phone support is available on weekdays.

Learn more at wise.com

3. Xoom

• Cost: Xoom has low transfer rates, typically under $5, when you use a bank account. Exchange rate markups can be over 3%.
• Speed: Transfers can take several days, depending on factors such as banking hours or time zones.
• Transfer limits: Sending limits vary, but individual transfers cap at $50,000. Since PayPal owns Xoom, you can fund a transfer with a bank account, debit or credit card, or a PayPal account.
• Benefits: 24/7 phone support in many languages. The website provides precise cost calculators and FAQs.

Learn more at Xoom.com

4. MoneyGram

• Cost: Transfer fees using your bank account are low. Over 3% fee for other payment methods, such as credit and debit cards, and a high exchange rate.
• Speed: Regardless of the payment method, many transfers can arrive within the same day. But it could take up to a few days, depending on factors such as banking hours or time zones.
• Transfer limits: $10,000 per online transfer per month.
• Benefits: Phone and live chat support.

Learn more at moneygram.com

5. Western Union

• Cost: Fees for Western Union vary greatly. Transfers up to $1,000 can cost under $5, but Western Union’s rate markups range from less than 1% to over 6%, depending on the destination.
• Speed: Same day when sending cash from a credit or debit card to a physical location. Transfers using a bank account can take a week or more.
• Transfer limits: $5000 limit for transfers to Mexico.
• Benefits: Phone support and live chat are available seven days a week.

Learn more at westernuinion.com
 

For Canadians with an account at National Bank, it is also possible to send an international e-transfer. Fees vary.

Whatever service you choose, avoid using a credit card to send money to Mexico. You may incur interest and cash advance fees from your credit card provider. For Canadians with an account at National Bank, it is possible to send an international e-transfer. A debit card is a better choice if you need the money transferred quickly.

Let’s wrap up what to know about sending money to Mexico

While it can be reassuring to use your local bank to send money to Mexico, licensed transfer services are a safe and convenient option. If you decide to use one, find the service that provides the cheapest combination of a low transfer fee and the best exchange rate.

If you are planning to purchase a property at Selva Escondida, we have a new and innovative system on our website where it is easier than ever to reserve one of our homes.

While we attempt to keep our information up-to-date, this information should be used for research purposes only. Always check directly with the financial institution or transfer service you plan to use. Selva Escondida is not responsible for changes in fees or transfer rates.