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[furryturtle]

I'm curious if any of you have advice regarding international payments. For the past few years when I've gone abroad, I've had to make international wire transfers through Wells Fargo (for rent payments, various academic fees, etc.). It can be a stressful process, because many of the American bank clerks are uncertain about how to do it, and I'm always on pins and needles until I've heard that the payment has gone through. On top of this, the fee to wire is around $40 for me.

Does anyone have ideas for alternate payment methods? I've heard of international postal orders but it appears that the USPS only offers such payments for a small number of non-European nations. Is there anything like an international check that I could send? If anyone has suggestions, I would be very grateful.

Thanks in advance,
Turtle

[parispundit]

There is NO good solution for large amounts of money. But, if we are talking about the equivalent of, say, $2,000, just take the money in cash from an ATM. That is, if you have a decent bank that doesn't charge for a fee for non-same-bank ATMs. I recommend Bank of Internet or Ally Bank.

[avidreader]

If the money is for you and (as parispundit says) not more than a few thousand, traveller's cheques and pre-paid credit cards might be an alternative. Some of the Visa gift cards will allow you to put $500-$1000 on a card (my spouse and I usually stick to the lower end of the spectrum in case a card is lost/stolen) and traveller's cheques can be converted into ready cash at airports, banks, and elsewhere.

For rent payments and fees, we've always done the wire transfer (and once--for fees--a US credit card with a crazy high limit). Once we convinced WF to waive the $40 transfer fee. Also, we've noticed that WF often has a better exchange rate than our bank in Europe (that might also be the fault of our bank here), so it may be worth asking them to convert the funds before they make the transfer (they're usually very hesitant to do this and will try to talk us out of it).

PayPal also has a currency conversion option, but I'm not sure how easy it is to get funds out of PayPal on the other side of the water.

AR.

[ls410]

I work in a place where credit cards and travelers' checks are rarely acecpted.  I travel with a fair amount of US cash that I convert to local currency when I arrive.  The ATMs in my research site are well-known for both running out of cash and for having those skimmers that then drain your accounts.

Are you going to be abroad on any type of US government money?  Certain fellowships (like Fulbrights) give you access to American Embassies which always have banks that will cash US checks.

[observer3]

Sign up for xetrade.com. The initial process is a pain, but it is worth it as you will know exactly what the amount is on both sides before you consent to the transfer, and there are no extra fees. You may get a surprise on bank exchange rates otherwise. Subsequent transactions are easier.

[peitho]

All good solutions, but here's another angle.  If you do take a large amount of cash with you, you might be able to open an account at the local post office after you get there, then draw it out as needed.  It will give you some measure of security while avoiding fees.

[furryturtle]

Thank you for all of your suggestions :), but I'm afraid the problem remains: I need to make a payment before I've even left the USA. It's essentially a deposit that will be used to hold a place for me, but I was curious if there were ways to do this other than through a wire. But at this point, it sounds like the wire might be the safest option.

[parispundit]

Compare costs/exchange rates of wire vs. xetrade

[zyzzx]

Paypal does work internationally - I've used it many times to pay for things in developing countries, mainly to small businesses. But it requires the person on the other side to set themselves up in Paypal, which may be more effort than they're willing to wait, since they're not the ones paying the wire transfer fees.
$40 sounds like it's on the higher end of wire transfer fees. If you are a member of a credit union, they will likely be cheaper.   

[bash217]

I'm also looking for a long-term solution for this. $40 is standard for me and other Americans where I am. It's $15 for the incoming international wire transfer, and then $25-$27 for the transfer to/from another bank, depending on which side pays the fee.

I've looked into xetrade and similar products. But won't most banks still charge the $15 incoming fee? And how do I get the money from my account to xetrade--won't my bank charge me $27 for that?

[dolljepopp]

Thanks for the tip on xetrade. I have a (for me) substantial chunk of money coming to me this summer in the US and need to transfer about two-thirds of it to where I actually live (not in the US). It looks like xetrade may be the simplest and most efficient way.

[scampster]

Paypal does work internationally - I've used it many times to pay for things in developing countries, mainly to small businesses. But it requires the person on the other side to set themselves up in Paypal, which may be more effort than they're willing to wait, since they're not the ones paying the wire transfer fees.
$40 sounds like it's on the higher end of wire transfer fees. If you are a member of a credit union, they will likely be cheaper.   

Do you know what the fees are for using paypal, if any? Due to an odd arrangement, a friend and I will have to be exchanging money somewhat regularly while I am abroad. We both have paypal, so being able to transfer directly to her in that way without the $40 transfer fee would be great. My credit union said it was a $40 fee as well. Robbery, I tell you!

[zyzzx]

Paypal does work internationally - I've used it many times to pay for things in developing countries, mainly to small businesses. But it requires the person on the other side to set themselves up in Paypal, which may be more effort than they're willing to wait, since they're not the ones paying the wire transfer fees.
$40 sounds like it's on the higher end of wire transfer fees. If you are a member of a credit union, they will likely be cheaper.   

Do you know what the fees are for using paypal, if any? Due to an odd arrangement, a friend and I will have to be exchanging money somewhat regularly while I am abroad. We both have paypal, so being able to transfer directly to her in that way without the $40 transfer fee would be great. My credit union said it was a $40 fee as well. Robbery, I tell you!

Hmmm, looking back at an old invoice (pre-paying for a hotel room in another country), they added on a 4% "Paypal clearing fee," so: 4%? Might be different for business vs. non-business though. I think Paypal would be the best bet for small amounts, but for large amounts the flat fee is better than a percent. If you want to use money that is abroad, you may have to get another Paypal account, I don't think you can link foreign bank accounts to a US Paypal account.

I can't actually do anything online with my current country bank account (they won't even give me a debit card that works online because I'm a foreigner), so I still have and use a US bank account. I just wire transfer a big whack of money into it every so often. My US account is a joint account with a trusted relative, so I can also have them write checks for me if there is someone in the US that I need to get money to. Kind of a pain, but it's worked so far.

[hesitant]

How long will you be there? If it is worth the hassle of opening an account, and you do not need the money immediately, you could write a check to yourself (effectively withdrawing money from your US account) and deposit it to your local, foreign account. In Europe it used to cost around 10 bucks (10 years ago) , but it can take up to a month to clear.

Another option is to use the local ATM, but keep in mind that they have different limits for maximum cash withdrawal (sometimes a lot less than the 700 I have set on my account in the US), which means that you will have to pay around 5-10  bucks per transaction ( around 7  if you are with BA: it is the local ATM fee plus the "non my bank ATM fee" that you will be charged).

Finally, how much cash are we talking? At one point, I just took the 5000 bucks I needed in cash and took it with me to Europe, where I promptly deposited the money the day I arrived (again, you need a local account for that). If you get 100 dollar bills, and are  smart about it, nothing horrible will happen (I had the cash wrapped in saran wrap and attached with two safety pins to the inside of a pocket in my cargo pants -- that way the money was always on me, without any of the worry of a bulging wallet, leaving your purse unattended, etc.). And yes, I took multiple flights and had multiple hour layovers.

[zyzzx]

Finally, how much cash are we talking? At one point, I just took the 5000 bucks I needed in cash and took it with me to Europe, where I promptly deposited the money the day I arrived (again, you need a local account for that). If you get 100 dollar bills, and are  smart about it, nothing horrible will happen (I had the cash wrapped in saran wrap and attached with two safety pins to the inside of a pocket in my cargo pants -- that way the money was always on me, without any of the worry of a bulging wallet, leaving your purse unattended, etc.). And yes, I took multiple flights and had multiple hour layovers.

Yes, I do this pretty often when I come back to the US. I bring enough cash to cover all expenses while there and deposit a few thousand into my US bank account. I should have done when I first moved far away, since I got reamed on ATM fees when I had to withdraw enough for rent.