How To Send Money Internationally Using SWIFT Codes

Quick answer

• SWIFT codes are unique identifiers for banks worldwide, essential for international money transfers.
• You’ll need the recipient’s bank name, address, account number, and their bank’s SWIFT code.
• Many banks offer international wire transfers, but fees and exchange rates can vary significantly.
• Consider using specialized money transfer services for potentially lower costs and better exchange rates.
• Always double-check all details before initiating a transfer to avoid delays or errors.
• Understand that SWIFT transfers are not instant and can take several business days to complete.

Who this is for

• Individuals needing to send money to family or friends abroad.
• Businesses making payments to international suppliers or contractors.
• Anyone who has been asked to provide or use a SWIFT code for a financial transaction.

What to check first (before you act)

Goal and timeline

Before you send money, clearly define why you’re sending it and when it needs to arrive. Is this a one-time payment or a recurring transfer? Knowing your timeline helps you choose the most appropriate and cost-effective method. For urgent needs, some methods might be faster but more expensive.

Current cash flow

Assess your current financial situation to ensure you have sufficient funds available for the transfer, including any associated fees. Sending money internationally can impact your immediate budget, so make sure it doesn’t strain your finances or jeopardize your other financial obligations.

Emergency fund or safety buffer

Ensure you have an adequate emergency fund before sending money abroad. International transfers can sometimes encounter unexpected delays or issues. Having a buffer can prevent financial stress if you need to cover immediate expenses while waiting for the transfer to complete or if you need to resolve a problem.

Debt and interest rates

If you have high-interest debt, consider prioritizing paying that down before making non-essential international transfers. The interest you pay on debt can often outweigh any savings you might achieve by sending money through a specific channel. Always compare the cost of the transfer against the cost of your debt.

Credit impact

While sending money internationally via SWIFT generally doesn’t directly impact your credit score, late payments on loans or credit cards due to unexpected transfer costs could. Ensure the transfer fits within your budget without causing you to miss other payments.

Step-by-step (simple workflow)

1. Gather Recipient Information

• What to do: Obtain the full legal name of the recipient, their complete address, their bank account number, and the name and address of their bank.
• What “good” looks like: You have all the correct details, matching the recipient’s official records.
• A common mistake and how to avoid it: Providing an incomplete or incorrect account number. Always ask the recipient to verify their account number directly from a bank statement or by contacting their bank.

2. Find the Recipient’s Bank SWIFT Code

• What to do: Ask the recipient for their bank’s SWIFT code (also known as a BIC – Bank Identifier Code). If they don’t have it, they can usually find it on their bank’s website, on their bank statements, or by contacting their bank directly.
• What “good” looks like: You have the correct 8 or 11 character SWIFT code.
• A common mistake and how to avoid it: Using an incorrect SWIFT code for the wrong branch or country. Verify the code with the recipient and cross-reference it with reliable online directories if possible.

3. Determine Your Sending Method

• What to do: Decide whether to use your bank’s international wire transfer service or a third-party money transfer specialist.
• What “good” looks like: You’ve researched options and chosen a method that balances cost, speed, and convenience for your needs.
• A common mistake and how to avoid it: Assuming your bank is always the cheapest or fastest option. Many specialized services offer better rates and lower fees.

4. Check Fees and Exchange Rates

• What to do: If using your bank, inquire about their wire transfer fees and the exchange rate they offer. If using a third-party service, compare their fees and exchange rates with multiple providers.
• What “good” looks like: You understand the total cost of the transfer, including all fees and the impact of the exchange rate.
• A common mistake and how to avoid it: Focusing only on the transfer fee and ignoring the exchange rate markup. A poor exchange rate can significantly increase the total cost.

5. Initiate the Transfer

• What to do: Log in to your bank’s online portal or visit a branch, or use the chosen money transfer service’s platform to start the transaction.
• What “good” looks like: You’ve accurately entered all the required information and are ready to confirm the transfer.
• A common mistake and how to avoid it: Rushing the process and making typos in the recipient’s details or the SWIFT code. Take your time and review everything carefully before submitting.

6. Fund the Transfer

• What to do: Authorize the payment from your account. This might involve an electronic debit, writing a check, or other payment methods depending on the service.
• What “good” looks like: The funds are successfully debited from your account, and you have a confirmation.
• A common mistake and how to avoid it: Not having sufficient funds in your account, which can lead to rejection and additional fees. Ensure your account balance covers the transfer amount plus all fees.

7. Get a Transaction Reference Number

• What to do: After initiating the transfer, you should receive a confirmation with a unique transaction reference number. Keep this number safe.
• What “good” looks like: You have a record of the transaction and a reference number for tracking.
• A common mistake and how to avoid it: Losing the reference number. This makes it very difficult to track the transfer or resolve any issues that may arise.

8. Track the Transfer (If Possible)

• What to do: Some services and banks allow you to track the status of your international wire transfer online using your reference number.
• What “good” looks like: You can monitor the progress of your transfer and have an idea of when it will arrive.
• A common mistake and how to avoid it: Assuming the transfer will arrive by a specific date without tracking it. Delays can happen, and proactive tracking helps manage expectations.

9. Notify the Recipient

• What to do: Inform the recipient that you have sent the money, providing them with the transfer amount, the date sent, and the reference number.
• What “good” looks like: The recipient is aware of the incoming funds and can monitor their account.
• A common mistake and how to avoid it: Not telling the recipient. They might not know to look for the funds, potentially causing confusion or delays in them reporting it missing if an issue occurs.

10. Confirm Receipt

• What to do: Once the funds have arrived, ask the recipient to confirm that they have received the correct amount.
• What “good” looks like: The recipient confirms they have received the money accurately.
• A common mistake and how to avoid it: Assuming the money arrived without confirmation. This can lead to lost funds if there was an error and no one follows up.

Common mistakes (and what happens if you ignore them)

Mistake	What it causes	Fix
Incorrect SWIFT/BIC code	Funds are rejected, delayed, or sent to the wrong bank, incurring additional fees and requiring re-routing.	Always verify the SWIFT code with the recipient and their bank. Use official bank directories if unsure.
Typos in recipient’s name/address	The receiving bank may reject the transfer due to a mismatch, causing delays and potential fees.	Double-check the recipient’s full legal name and address against their official identification or bank records.
Incomplete account number	The transfer will likely be rejected by the receiving bank, leading to delays and potential fees for returning the funds.	Ensure the full account number is provided. Ask the recipient to confirm it directly from a bank statement.
Not comparing transfer fees	You could end up paying significantly more than necessary, eroding the value of the money sent.	Research and compare fees from multiple banks and money transfer services before choosing a provider.
Ignoring exchange rate markups	The recipient receives less money than expected because the exchange rate used is less favorable than the market rate.	Always ask for the total cost, including the exchange rate, and compare it across different providers. Look for services that offer rates close to the mid-market rate.
Sending money without sufficient funds	Your transfer may be rejected, or your account may incur overdraft fees, in addition to potential fees from the transfer service.	Ensure your bank account has enough funds to cover both the transfer amount and all associated fees before initiating the transaction.
Not keeping a transaction reference	It becomes very difficult to track the transfer, resolve disputes, or claim lost funds if an issue arises.	Always record and securely store the transaction reference number provided by the sending institution.
Assuming transfers are instant	You may miss deadlines or cause problems for the recipient if they expect the money immediately.	Understand that SWIFT transfers can take several business days. Inform the recipient of the expected timeframe.
Not informing the recipient	The recipient might not know to look for the funds, or they may not report it missing if an issue occurs, delaying resolution.	Always notify the recipient about the transfer details and the expected arrival time.
Using a non-verified provider	Higher risk of fraud, scams, or poor service, potentially leading to lost funds or compromised personal information.	Only use reputable and licensed money transfer services or established banks. Check reviews and regulatory compliance.

Decision rules (simple if/then)

• If the amount is small and the recipient is a trusted friend or family member, then consider a specialized money transfer service because they often offer better exchange rates and lower fees than banks for smaller sums.
• If the amount is very large, then using your bank’s wire transfer service might be more secure and offer better customer support for high-value transactions, because banks have robust systems for managing large sums.
• If the transfer is urgent, then research services that offer faster delivery times, even if they have slightly higher fees, because meeting critical deadlines is often more important than saving a small amount.
• If you need to send money regularly, then look for services that offer discounts for recurring transfers or better long-term rates because consistency can lead to significant savings over time.
• If the recipient’s bank is not commonly known or is in a less developed region, then verify the SWIFT code very carefully because errors are more likely and re-routing can be more complicated.
• If you are unsure about any part of the process, then contact your bank or the chosen money transfer service for clarification because mistakes can be costly and time-consuming to fix.
• If the exchange rate offered is significantly worse than the mid-market rate, then look for another provider because this indicates a large markup that will reduce the amount the recipient receives.
• If the transfer is for business purposes, then ensure you have all the necessary company details and recipient business information because business transfers often have stricter requirements.
• If you are sending money to a country with currency controls, then be aware of potential limitations or additional documentation requirements because these can affect the transfer process.
• If you encounter any issues or delays, then have your transaction reference number ready because this is essential for customer support and tracking.

FAQ

What is a SWIFT code?

A SWIFT code, also known as a Bank Identifier Code (BIC), is an 8 or 11 character code that identifies a specific bank anywhere in the world. It’s used to facilitate international money transfers and other communications between banks.

How long does a SWIFT transfer take?

SWIFT transfers are not instant. They typically take between 1 to 5 business days to reach the recipient’s account, depending on the countries involved, the banks, and any public holidays.

Are SWIFT transfers expensive?

SWIFT transfers can be expensive. They often involve fees from both the sending bank and the receiving bank, as well as potential fees from intermediary banks. The exchange rate used can also include a markup, increasing the overall cost.

Can I send money internationally without a SWIFT code?

Yes, you can send money internationally using other methods, such as services like Wise (formerly TransferWise), Remitly, Xoom, or PayPal. These services often use different transfer networks and can sometimes be cheaper or faster.

What information do I need to send money via SWIFT?

You will need the recipient’s full name, their bank account number, the name and address of their bank, and their bank’s SWIFT code. You will also need your own details and sufficient funds to cover the transfer amount and fees.

What happens if I enter the wrong SWIFT code?

If you enter an incorrect SWIFT code, the transfer will likely be rejected by the banks. This can lead to significant delays, additional fees for returning the funds, and the need to re-initiate the transfer with the correct information.

How can I find a bank’s SWIFT code?

The recipient can usually find their bank’s SWIFT code on their bank statements, on the bank’s official website, or by contacting their bank directly. You can also find SWIFT codes through various online directories, but it’s always best to verify with the recipient.

Is SWIFT the only way to send money internationally?

No, SWIFT is a common method, but not the only one. Other options include services like PayPal, Zelle (though primarily domestic, some international options exist), and specialized money transfer apps that may offer more competitive rates or faster delivery.

What this page does NOT cover (and where to go next)

• Specific fee structures for individual banks or transfer services: For exact costs, you’ll need to check with your bank or the chosen provider.
• Real-time exchange rate fluctuations: Exchange rates change constantly; consult a reliable financial news source or currency converter for current rates.
• Legal regulations or tax implications in other countries: International money transfers may be subject to different laws and tax rules abroad; consult a local tax professional if needed.
• Advanced international payment strategies for businesses: This article focuses on personal transfers; business accounts may have different requirements and options.
• Cryptocurrency or blockchain-based international transfers: These are an alternative method with different mechanisms and risks.