THE BEST WAY TO SEND MONEY TO CHINA

What is the best way to send money to China?

• The best way to send money to China typically involves online money transfer services like Wise, Remitly, or platforms supporting transfers to Alipay and WeChat. These methods are generally more efficient and cost-effective than traditional bank transfers, offering competitive exchange rates and lower fees.

Sending money abroad can feel like a maze of confusing fees, poor exchange rates, and long wait times. But it doesn’t have to be.

Whether you need to pay your Chinese supplier, tuition for your child studying in Beijing, or send emergency funds to relatives in Shanghai, there are more options than ever to get money to China safely, quickly, and cheaply.

In this guide, we’ll walk you through the latest and best ways of sending money to business partners, friends, and family in China so you can avoid exorbitant bank wire fees and days of delay. You’ll learn:

• The pros and cons of bank wires, remittance services, mobile apps and peer-to-peer payments
• How to avoid hidden fees so more of your hard-earned money reaches its destination
• The tools to compare exchange rates across multiple providers for the best deal
• Key questions to ask any provider to ensure your money gets to China quickly and securely

Follow our up-to-date guide on the cheapest, fastest, and most reliable ways to send money abroad. By the end, you’ll feel confident about getting your funds to China without overpaying or running into any surprises.

What is the main currency in China?

The main currency in China is the Chinese Yuan Renminbi (RMB or CNY). The yuan banknotes come in denominations of 1, 5, 10, 20, 50, and 100. The smaller currency denomination is called jiao and there are also fen.

Some key facts about the Chinese currency:

• The yuan (CNY) is the base unit of the currency and jiao is 1/10 yuan. Fen is 1/100 yuan.
• Banknotes are issued by the People’s Bank of China, the national banking authority.
• The yuan was established as the sole official currency in China in 1949. It is used throughout mainland China.
• The Hong Kong Dollar (HKD) is the official currency in Hong Kong, while the Macanese pataca (MOP) is used in Macau.
• The yuan is symbolized by ¥ and CNY may also be used as an abbreviation when pricing in Chinese yuan.

SEND MONEY TO CHINA: A DETAILED COMPARISON

Sending money to China can be complex and confusing, especially with the many options available. To help you navigate this landscape, we’ve compared the top money transfer services based on several key factors, including:

Transfer fees:

• Wise (formerly TransferWise): Boasts low and transparent fees, typically around 0.5% to 1.5% of the transfer amount.
• Western Union: Charges higher fees, ranging from 3% to 5% of the transfer amount.
• WorldRemit: Offers competitive fees depending on the transfer amount and destination.
• Remitly: Has moderate fees, typically around 1% to 3% of the transfer amount.
• PayPal: Features moderate fees, usually around 3% of the transfer amount.
• Bank wire transfer: Fees can be high, especially for smaller transfers, and may involve sending and receiving bank charges.

Exchange rates:

• Wise: Utilizes the “mid-market rate,” generally the most favorable exchange rate.
• Western Union: Offers less competitive exchange rates than Wise, resulting in lower overall funds received.
• WorldRemit and Remitly: Provide competitive exchange rates comparable to Wise.
• PayPal: Generally has less competitive exchange rates than other services.
• Bank wire transfer: Exchange rates can be less favorable than online services.

Speed:

• Western Union: Offers the fastest transfers, often within minutes, ideal for urgent needs.
• Wise, WorldRemit, and Remitly Typically deliver transfers within 1-2 business days.
• PayPal: Offers similar transfer speeds to Wise and its competitors.
• Bank wire transfer: Transfers can take 3-5 business days, making it the slowest option.

Transfer limits:

• Wise and WorldRemit: Allow for high transfer limits, usually exceeding $100,000.
• Remitly: Offer moderate transfer limits, typically from $50,000 to $100,000.
• Western Union and PayPal Have lower transfer limits, generally around $10,000.
• Bank wire transfers: Can accommodate large transfer amounts exceeding $1 million.

Customer support:

• Wise: Provides excellent customer support through various channels, including email, phone, and live chat.
• Western Union: Offers good customer support options, including phone and online chat.
• WorldRemit and Remitly: Have good customer support with similar options to Wise.
• PayPal: Provides good customer support through its online platform and phone.
• Bank wire transfers: Customer support is limited and often requires contacting your bank directly.

Ease of use:

• Wise: Features an easy and intuitive online platform, making it straightforward to send money.
• WorldRemit and Remitly: Offer user-friendly mobile apps and websites, making them convenient for on-the-go transfers.
• Western Union: Offers online and offline options, making it accessible for those who prefer a physical presence.
• PayPal: Utilizes a familiar platform, making it easy for existing users.
• Bank wire transfers: These can be complex and require completing paperwork at a bank branch.

Additional considerations:

• Security: All services listed prioritize security and use industry-standard encryption to protect your information.
• Transparency: Wise is known for its transparency in fees and exchange rates, allowing you to see the total cost upfront.
• Additional features: Some services offer mobile wallets, bill payments, and multi-currency accounts.

Ultimately, the best money transfer service for you will depend on your individual needs and priorities. Weighing the abovementioned factors can help you make an informed and cost-effective decision when sending money to China. Remember to consider your desired transfer speed, budget, and preferred platform.

SERVICE	TRANSFER FEES	EXCHANGE RATES	SPEED	TRANSFER LIMITS	CUSTOMER SUPPORT	EASE OF USE
Wise (formerly TransferWise)	Low and transparent	Competitive	Fast (1-2 business days)	High	Excellent	Easy and intuitive online platform
Western Union	High	Less competitive	Very fast (minutes)	Moderate	Good	Easy, with online and offline options
WorldRemit	Moderate	Competitive	Fast (1-2 business days)	Moderate	Good	Easy and mobile-friendly
Remitly	Moderate	Competitive	Fast (1-2 business days)	Moderate	Good	Easy and mobile-friendly
PayPal	Moderate	Less competitive	Fast (1-2 business days)	Moderate	Good	Easy and familiar
Bank wire transfer	Variable (high for small transfers)	Less competitive	Slow (3-5 business days)	High	Limited	Complex and requires visiting a bank

 

Detailed Analysis: Best Ways to Send Money to China

Wise (formerly TransferWise):

Pros:

• Low and transparent fees: Offers some of the lowest fees in the market, typically ranging from 0.5% to 1.5% of the transfer amount.
• Competitive exchange rates: Uses the mid-market rate, ensuring you get the best possible value for your money.
• Fast transfers: On average, funds are delivered within 1-2 business days.
• High transfer limits: You can send large amounts exceeding $100,000.
• Excellent customer support: Provides various support channels, including email, phone, and live chat.
• Easy-to-use platform: Features a user-friendly interface for a smooth transfer experience.
• Transparency: Displays all fees and exchange rates upfront.

Cons:

• Limited cash pickup options: Primarily focuses on bank transfers and mobile wallets.
• May not be suitable for very urgent transfers: While still fast, other services offer even faster options.

Western Union:

Pros:

• Fastest transfers: Delivers funds within minutes, making it ideal for urgent needs.
• Wide network: Offers a vast network of physical locations worldwide, allowing for convenient cash pickup.
• Easy to use: Both online and offline options are available, catering to different preferences.
• Good customer support: Offers various support channels, including phone and online chat.

Cons:

• Higher fees: Charges significantly more than most online services, ranging from 3% to 5%.
• Less competitive exchange rates: Offers less favorable exchange rates than services like Wise.
• Lower transfer limits: Limits may be lower than some competitors, typically around $10,000.

WorldRemit:

Pros:

• Competitive fees and exchange rates: Offers attractive fees and rates comparable to Wise.
• Fast transfers: Delivers funds within 1-2 business days.
• Mobile-friendly: Features a user-friendly mobile app for convenient transfers.
• Good customer support: Provides various support channels, including email and phone.
• Wide range of payout options: Offers options like bank transfers, mobile wallets, and cash pickup.

Cons:

• Limited transparency: Fees and exchange rates may sometimes not be displayed upfront.
• Lower transfer limits compared to some competitors: Limits typically range from $50,000 to $100,000.

Remitly:

Pros:

• Competitive fees and exchange rates: Offers affordable fees and rates, similar to Wise and WorldRemit.
• Fast transfers: Delivers funds within 1-2 business days.
• User-friendly mobile app: It makes sending money on the go convenient.
• Good customer support: Provides various support channels, including email and phone.
• Multiple payout options: Offers options like bank transfers, mobile wallets, and cash pickup.

Cons:

• Similar limitations to WorldRemit: Limited transparency on fees and exchange rates and lower transfer limits compared to some competitors.

PayPal:

Pros:

• Familiar and widely used platform: Makes it convenient for existing users.
• Fast transfers: Delivers funds within 1-2 business days.
• Multiple payout options: Offers bank transfers, mobile wallets, and cash pickup at select locations.
• Good customer support: Provides various support channels, including email and phone.

Cons:

• Moderate fees: Charges around 3% of the transfer amount, which can be higher than some competitors.
• Less competitive exchange rates: Offers less favorable rates than services like Wise.
• Lower transfer limits: Limits may be lower than some competitors, typically around $10,000.

Bank Wire Transfer:

Pros:

• High transfer limits: Can accommodate large transfer amounts exceeding $1 million, making it ideal for significant financial transactions.
• Security: Considered a very secure method of transferring funds due to bank-level security protocols.
• Widely recognized: Generally accepted by most financial institutions worldwide.

Cons:

• Slowest transfer speed: Funds can take 3-5 business days to arrive, making it unsuitable for urgent needs.
• High fees: This can involve sending and receiving bank charges, making it the most expensive option.
• Complex process: Requires visiting a bank branch and completing paperwork, making it less convenient than online services.
• Limited transparency: Fees may not be displayed upfront, and exchange rates can be less favorable than online services.

Factors to Consider When Choosing a Money Transfer Service for China

Sending money to China involves carefully considering various factors to ensure a smooth, secure, and cost-effective transfer. Here are some key aspects to weigh before choosing the right money transfer service:

1. Transfer Fees and Exchange Rates:

• Fees: Compare the service’s upfront transfer fees and hidden charges like processing or currency conversion fees. Choose a service with transparent pricing and competitive fees.
• Exchange Rates: Consider the exchange rate offered by the service. Look for services that utilize mid-market rates or offer competitive margins to maximize your transfer amount.

2. Transfer Speed:

• Delivery Time: Determine your desired transfer speed. If time is of the essence, prioritize services like Western Union for instant or fast transfers. For less urgent transfers, slower but potentially cheaper services like bank wire transfers can be considered.
• Frequency of Transfers: If you plan to send money regularly, consider services with recurring transfer options for convenience and potentially lower fees.

3. Transfer Limits:

• Amount you’re sending: Choose a service with a transfer limit exceeding the amount you want to send. Services like Wise and WorldRemit offer high limits, while others like Western Union may have lower limits.
• Purpose of Transfer: Consider if you’re sending a one-time payment or multiple installments. This can influence your choice between high-limit services or those ideal for smaller transfers.

4. Payment and Payout Options:

• Payment Methods: Choose a service compatible with your preferred payment method, such as debit card, credit card, bank transfer, or mobile wallet.
• Payout Methods: Consider how the recipient wants to receive the funds. Opt for services that offer convenient payout options like bank transfers, mobile wallets, or cash pickup locations.

5. Security and Reliability:

• Reputation and Regulation: Choose a well-established and regulated service with a proven track record for security and reliability. Look for certifications and licenses to ensure compliance with financial regulations.
• Security Features: Consider the security measures offered by the service, such as multi-factor authentication and encryption protocols, to protect your sensitive financial information.

6. Customer Support:

• Availability of Support: Choose a service with readily available customer support if you encounter any issues or have questions. Assess the available channels, like phone, email, or live chat, and their responsiveness.
• Language Support: Consider whether the service offers customer support in your preferred or recipient’s language for easy communication.

By carefully considering these factors and comparing different money transfer services, you can make an informed and cost-effective decision for sending money to China. Remember to prioritize your specific needs and preferences when making your selection.

Tips for Sending Money to China Safely and Efficiently

Sending money to China can be a straightforward process, but taking some precautions and following these tips can ensure a smooth and secure experience:

Before you send:

1. Research and compare money transfer services.

• Consider fees, exchange rates, transfer speed, and payout options.
• Read reviews and compare services like Wise, Western Union, WorldRemit, and Remitly to find the best fit for your needs.
• Be wary of services with hidden fees or unrealistic exchange rates.

2. Verify the recipient’s information.

• Double-check the recipient’s full name, bank account number, IBAN (if applicable), and address.
• Ensure all details are accurate to avoid delays or errors in delivery.

3. Understand exchange rates and fees.

• Familiarize yourself with the current exchange rate and how it affects your transfer amount.
• Be aware of any upfront fees and hidden charges associated with the service.
• Look for services that offer transparent pricing and competitive exchange rates.

4. Choose a secure payment method.

• Use a trusted payment method like a credit card, debit card, or bank transfer.
• Avoid using public Wi-Fi networks when accessing your financial information.
• Consider enabling two-factor authentication for added security.

5. Be informed about Chinese regulations.

• Be aware of any restrictions or limitations on receiving foreign funds in China.
• Ensure the recipient understands any documentation requirements they may need to fulfill.

During your transfer:

1. Track your transfer progress.

• Most services provide tracking tools to monitor your transfer status.
• This lets you ensure your money is on track and reaches the recipient as expected.

2. Keep your records organized.

• Save confirmation emails and transaction details for future reference.
• This information can be helpful if you need to contact customer support or resolve any issues.

3. Communicate with the recipient.

• Inform the recipient about the transfer amount, expected arrival date, and other relevant information.
• This helps ensure they are prepared to receive the funds and avoids confusion.

Additional tips:

• Consider sending a small test transfer first to familiarize yourself with the process and confirm the recipient information.
• Look for services that offer customer support in English or the recipient’s language for easy communication.
• Explore options like multi-currency accounts if you plan to send money to China regularly.
• Be cautious about unsolicited calls or emails claiming to be from money transfer services.
• Never share your personal information or financial details with anyone you don’t trust.

By following these tips and choosing reputable money transfer services, you can ensure your funds reach their destination in China safely and efficiently.

FAQS: SEND MONEY TO CHINA

What are the methods for sending money to China?

• several methods include bank or wire transfers, online money transfer platforms like Wise and WorldRemit, and mobile payment services such as Alipay and WeChat. Each method varies in terms of fees, speed, and convenience​​​​​​.

How long does it take to transfer money to China?

• The time varies depending on the method chosen. Bank transfers can take between 1 to 3 business days. Online platforms like Wise may take a few days to a few weeks. The speed also depends on the amount and specific service used​​​​.

Are there limits on how much money can be sent to China?

• Yes, there are limits. For example, Remitly has initial sending limits of $2,999 in 24 hours, $10,000 in 30 days, and $18,000 in 180 days for customers in the United States. Wise has an annual limit of 500,000 CNY per recipient for transactions to Alipay and WeChat​​​​.

Is it safe to send money to China?

• Sending money to China is generally safe if you use reputable services. These services are regulated and employ security measures like encryption and fraud monitoring to protect your transactions. It’s important to choose a service that is licensed and adheres to international money transfer regulations​​.

What are the fees for sending money to China?

• Fees vary depending on the service provider and the money being transferred. For example, Wise charges a fee of 4.46 USD + 0.65% of the transferred amount. Remitly charges different fees based on the country you are sending money to, with promotional rates for first-time users​​​​.

Can I use digital wallets like Alipay and WeChat for international transfers?

• Yes, platforms like Wise and WorldRemit support transfers to Alipay and WeChat. However, there might be specific requirements and limits for these transfers. For instance, Wise allows transfers to Alipay and WeChat but with certain transaction caps​​​​.

What alternatives are to traditional bank transfers for sending money out of China?

• Alternatives include online transfer services like Wise, Western Union, and MoneyGram. These services offer various transfer methods, including bank deposits, mobile wallets, and cash pickups. They are often faster and more convenient than traditional bank transfers but may come with higher fees