Wise (formerly TransferWise), found online at Wise.com, states that they are “the clever new way to beat bank fees,” allowing their users to participate in a peer-to-peer money transfer services that charges the lowest possible rates.
How Does It Work?
The basic details of how this service works are for members very straightforward and easy to understand. Members create a profile, then enter the amount of money they would like to transfer and the destination of where they would like to send this money, and whether they would prefer a debit card or bank transfer.
At this point, the member has done everything they need to do, and Wise.com will take care of the rest. “The rest” is where it gets interesting.
Wise.com promises to charge much smaller fees – up to 10x less – than a traditional bank when it comes to transferring money to another country and exchanging it to another currency. Because instead of creating a straightforward transfer and exchange, Wise.com uses an algorithm to tap into a peer-to-peer market.
According to The Economist, this idea was born when the creators of TransferWise used each other to “transfer” money into the currencies of the countries they lived in and avoided the 3-6% rates charged by traditional banks.
So what TransferWise does is to take your money which is originating in Canada and being sent to Britain, and it finds someone in Britain who is sending their money to Canada. Then, instead of actually transferring the money across borders, it simply pays the money out of the relevant national accounts.
Wise.com can send and receive sixteen different currencies, including the US Dollar, the Canadian Dollar, the Euro, Pounds Sterling, and many others. There are nine currencies that TransferWise can only send out via local transfer, like Indian Rupees, Singapore Dollars, and more.
Unfortunately at this time Japanese Yen can only be sent and received via the SWIFT network, which often triggers an additional charge from your bank.
Wise.com says that not only do banks charge fees for their transfer and exchange services, they may also charge up to 5% in hidden fees. Wise.com says that the use the real mid-market exchange rate, with no hidden commissions – all fees will be shown up front.
The website says that smaller transfer amounts will be charged a nominal flat fee, while after a set threshold a .5% fee will be charged. This holds true for most currency exchanges, though unfortunately the United States banking system is particularly complicated and fees charged for USD transfers are likely to be different. Their website provides a detailed chart explaining these differences and what, if any, additional fees will be applied.
Generally speaking, financial companies do not offer traditional Refund Policies for their services. This company may offer a Cancellation Policy, though this isn’t clear, so any customer who feels that circumstances have occurred which justify a refund of any associated fees should contact their Customer Service team as soon as possible.
Customer Service Contact Info
Customers who would like to contact Customer Service with any questions, concerns, or complaints can do so by phone at 888-908-3833 or by email at [email protected]
There are many different financial and business publications which seem very excited about this service and the possibilities it offers users for affordable options in money transferring.
While there are some user reviews which detail bad experiences, like having their account canceled without an explanation or having mistakes made which result in having their transaction failing, which can cause problems for any number of reasons, the truth is that this company appears to have overwhelmingly positive reviews for their services.
Competitors and Alternatives?
In addition to using your own personal bank to make money transfers, there are many different large scale national services who will help you with this process, the most well-known of which includes Western Union, MoneyGram, and PayPal, among others.
If you have any experience with Wise.com, please leave your reviews below.
Wise.com Customer Reviews
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