Wise vs international bank transfer - 2025
Wondering what's best, Wise vs international bank transfer? Or perhaps you're wondering if using Wise is worth it compared to sending money with your bank?
In this in-depth, side by side comparison, we'll be looking at price, speed, safety, ease of use, and more. Plus, we'll be comparing different transfer amounts and currencies.
Let's get started.
Wise vs international bank transfer: overview
Price: Wise uses low, transparent fees and does not add extra costs into the exchange rate used for currency conversion. Wise tells you before you confirm your payment, the amount that will be deposited to the recipient account. Banks tend to have a more complex pricing mechanism, which can mean paying several fees for one transfer. You may not be able to predict what the recipient gets in the end.
Speed: Wise can be faster. On average, banks take 3-5 working days to send money internationally using the SWIFT network. With Wise 60%+ of transfers are instant (completed under 20 seconds), 80%+ are delivered in less than 1 hour*.
Safety: Wise and banks are both safe to use when sending money internationally. With Wise you can track your transfer in the app, and you can receive notifications once the money arrives. If you ever need help you can open a chat in app to get advice.
Transparency: With Wise you always know how much you pay and how much your recipient will get in advance. Banks set out their fee structures, but they can be complicated - making it trickier to figure out how much your recipient will get.
Ease of use: Setting up a Wise account is done online or in app, with digital account verification. Banks usually allow you to send payments digitally once you have an account, but you may need to call into a physical branch location to open the account in the first place.
*The speed of transaction claims depends on individual circumstances and may not be available for all transactions
Overall: Wise international money transfers work differently to bank money transfers. Wise has built its own payment network which is efficient and cuts out intermediaries. This cuts costs and avoids the surprise fees you may see with SWIFT payments through a bank. Wise serves millions of customers worldwide and is a safe option to send money, well worth comparing against the services your bank might offer you.
How much can you save with Wise?
As we’ve seen, Wise uses a transparent and straightforward pricing mechanic, with no fees added to the exchange rate. This means you can get a quote instantly online to see what your payment will cost you, and how much your recipient will get in the end. At the same time you’ll get a delivery estimate so you should know when your money will arrive.
Here are a few example transfers from PHP to USD to give a flavour of the costs with Wise:
Amount & Currency | Fees with Wise | Wise exchange rate | Recipient gets |
|---|---|---|---|
50,000 PHP - USD | 201.16 PHP | Mid-market rate | 869.32 USD |
100,000 PHP - USD | 355.71 PHP | Mid-market rate | 1,739.45 USD |
150,000 PHP - USD | 510.26 PHP | Mid-market rate | 2,609.58 USD |
*Details correct at time of research - 29th July 2025
Banks in the Philippines don’t tend to have such a straightforward pricing mechanic. Fees can include a transfer fee, intermediary fee, correspondent fee and cable charge. The costs can be set in PHP or USD, depending on the nature of the transfer. In some cases the transfer fee is a percentage, and in others there’s a flat fee. You’re also likely to pay a fee which is added into the exchange rate used, which you may not even spot.
All in all, this can make it pretty tricky to work out what you’re paying for your international transfer with a bank in the Philippines. In many cases, the highest fee of all will be the charge added into the exchange rate - which we’ll look at later. As this is a percentage, the absolute amount you pay goes up sharply when you send higher value transfers.
To give an idea, here are the fee structures of a couple of local banks to compare to Wise:
Transfer Fees with Security Bank |
|---|
1/8 of 1% of Principal Amount; minimum of PHP100 Plus exchange rate markup Plus cable cost of 20 USD Intermediary fees may apply which vary by currency |
Fees with BPI |
|---|
600 PHP transfer fee Plus exchange rate markup Correspondent fees which vary based on currency, value and payment purpose Beneficiary bank charges may apply which are variable |
One of the big issues when you send a transfer overseas with a bank is that you may not know what the recipient will get in the end. Unlike with Wise, you might find that intermediary banks deduct fees as your payment is processed, which results in the recipient getting less than you expected.
How can Wise be cheaper than international bank transfers?
Wise payments are not processed in the same way that international bank transfers are.
Generally banks process payments using the SWIFT network, which was built by banks in the 1970s. In SWIFT payments, several banks known as intermediaries or correspondent banks might work together to process a single payment. It’s a safe and reliable way to process a transfer, but it can also be slow - and because each intermediary can charge a fee, it can also be expensive, with unexpected costs as the transfer is processed.
Wise built its own network of banks around the world to avoid the inefficiencies and costs of SWIFT. When you send a Wise payment, you make a local transfer to Wise in the Philippines. Wise then pays out the amount agreed from their local bank in the country you’re sending money to. No money actually has to cross borders, which means lower costs which can be passed on to the customer.
Wise vs international bank transfers: the costs explained
Let’s break down the cost of sending a payment overseas with Wise. Wise also offers account and card services which have their own features and fees. You can learn more about Wise fees in our dedicated article - here we’ll just touch on the costs of transfers.
Service | Wise fee |
|---|---|
Open a Wise personal account | Free |
Send a payment | From 0.57% |
Exchange rate used | Mid-market rate |
Bank international transfers have more complex fee structures in many cases - often because of the way the SWIFT network works. We’ll look at these fees in a moment. Overall, Wise can often offer transfer fees which are more transparent and cheaper than sending a payment abroad with a bank.
Exchange rates: not what they seem
When you send money overseas with a bank, your pesos are converted to the currency needed for deposit by your own bank, the recipient’s bank, or one of the intermediary banks used to process the payment.
The bank managing conversion sets the exchange rate used. This rate is unlikely to be the same as the mid-market rate you see on Google or with a currency conversion tool. Instead, banks generally add a markup - an extra percentage - onto the rate used, which represents their profit for the conversion.
Because this fee is a percentage, the final amount you pay can be very high on larger transfers - and is often the highest of all the different costs involved in your transfer.
Wise doesn’t use an exchange rate markup. Instead, you get the mid-market rate with no fee included, and the charges for conversion are split out as a separate line so you can see them more easily.
SWIFT: the unexpected cost
Banks typically process international transfers through SWIFT, which Wise avoids. As SWIFT processes payments through 1 - 3 intermediary banks, there can be extra fees to pay.
In some cases you can choose to pay these costs for yourself - in this case, the payment is described as an ‘OUR’ payment. You can also set your transfer to be a ‘BEN’ payment which means the beneficiary covers all costs, or a ‘SHA’ payment in which the costs are split.
If you're sending an ‘OUR’ payment, you’ll pay the fees when you set up your transfer. To give an idea of the additional costs here, PNB adds on a total of 48 USD in fees for an ‘OUR’ payment. Security Bank has variable ‘OUR’ costs, set by currency, in the region of 15 USD, plus the cable charge.
Sounds complicated? Wise makes the process easier to follow with simple, transparent pricing which doesn't include SWIFT fees.
How does Wise work?
Wise is not a bank. Instead, Wise is a specialist in international money transfers, multi-currency accounts and payment cards. To send a payment with Wise you’ll need to first register a Wise account online or in app, and get verified by uploading images of your ID and proof of address document. You can then transfer using the app or desktop site, and pay with a bank transfer or card.
Wise vs banks: comparing the features
International money transfers aren’t core business for banks - but they’re at the heart of what Wise does. This means that the transfer and international features you get from Wise vs a bank can be quite different. Here are some key features side by side so you can compare:
Wise key international features | Bank key international features |
|---|---|
|
|
Delivery time: is Wise faster than banks?
With Wise 60%+ of transfers are instant (completed under 20 seconds), 80%+ are delivered in less than 1 hour*. At the time of research, payments to AUD and SGD would arrive in seconds, while a transfer to the US might take up to 3 days. The delivery time varies depending on the country and currency, and may be affected by holidays in the destination among other factors - you’ll always get a delivery estimate before you send so you know what to expect.
Banks in the Philippines send SWIFT transfers which usually take 3 - 5 days to deliver, although faster delivery times can be available on popular currency routes in some cases.
Wise vs international money transfer: Is it safe?
Wise and banks are both safe to send international money transfers, with normal precautions. You’ll need to double check the details you’re using to process the payment, and you should only ever send money to people you know and trust. If you’ve sent a Wise payment you can track it in the app, and get emailed on delivery. If you need help there’s 24/7 support available. With a bank you might be able to track your transfer in the banks’ app - or you can call into a branch if you need help.
Transparency: watch out for the hidden costs
As we’ve seen, the fee structures of banks for international transfers can be pretty hard to navigate. This means that fees aren’t always transparent.
Nobody wants to pay more than they expect for a service - but when you’re sending money overseas it can be even more tricky, because if there are unexpected charges, the recipient gets less than you want. If you’re paying a bill or invoice this can be awkward - plus if there are unexpected costs on a remittance, you might have paid more than you need to for your payment.
Generally Wise fees are more transparent than those used by banks. Banks are upfront about their fee structures, but because some costs can’t be known in advance, they’re still tricky to understand sometimes. Plus, to see the fees added to the exchange rate you’ll need to do a little maths to calculate the markup. Wise makes it easier by showing all fees as separate lines, so there’s no need to get your calculator out.
Wise vs international bank transfers: ease of use
To send a payment overseas you’ll need an account with the provider or bank you choose to use. Banks might ask you to call into a branch if you’re a new customer, while digital providers like Wise can offer a full application and onboarding with just a phone or laptop.
Wise: Set up your account online or in app, and upload images of your ID and proof of address for verification. Once verified you can send payments digitally, by bank transfer or e-wallets (via Instapay scheme), debit/credit, or you can send money from your Wise balance. There are limits of 50,000 PHP per payment with Instapay, and higher with PESOnet.
Banks: You may be able to open an account online but banks often ask you to visit a branch for verification checks. You can then normally send your payment online or in the bank app, with variable limits depending on the payment type and the bank you pick. You’ll pay with the balance of your account.
With Wise the process of transferring money abroad can be easier and faster than with banks. The process from registration to transferring money can be done in the same day.
Coverage
You can send international money transfers to 40+ countries with Wise. Banks usually also offer payments to many countries and regions globally - you’ll need to double check with your own bank which currency routes are offered.
Wise vs international bank transfers: pros and cons
Let’s look at a final comparison on pros and cons to help you decide between Wise vs international bank transfers:
Wise pros | International bank transfer pros |
✅Send international money transfers to 40+ countries, with mid-market exchange rates ✅Low, transparent fees and fast or instant delivery times ✅Multi-currency accounts and cards available, supporting 40+ currencies ✅Receive payments in foreign currencies with account details in 20+ currencies | ✅Send more or less globally with most banks ✅Banks often offer digital payment methods ✅Safe and familiar service, with a branch network if you want face to face support ✅Foreign currency accounts are often available, in USD or other currencies for savers |
Wise cons | International bank transfer cons |
❌Currency conversion costs apply from 0.57% ❌No branch network ❌No cash payments | ❌Transfer fees can be high - up to 600 PHP with some banks ❌Intermediary fees and exchange rate fees can push up costs overall ❌Delivery times can be slow |
Conclusion
Wise offers low cost, fast transfers you can set up online, with simple ways to pay by card, bank transfer or with a Wise balance. The way Wise works cuts out the intermediaries which can add extra costs to your bank international transfer - and because Wise has built an alternative to SWIFT, they can pass the savings on to the customer in the form of lower fees.
Compare Wise to your bank the next time you need to send money overseas, to see which suits you best.
FAQ - Wise vs international bank transfer
Wise is not a bank, but does offer money transfer services, multi-currency accounts and a card. Wise has mid-market exchange rates and low fees - making it well worth comparing to your bank the next time you need to send money overseas.
Wise is not a bank, it is a specialist in international money transfer services, multi-currency accounts and payment cards.
Wise offers low cost transfer through its own network of accounts globally. This replaces the SWIFT transfer network used by banks, and helps to cut the costs and speed up payments when you send with Wise.
Wise is safe to use, with secure features built in its app and desktop site as standard, and 24/7 support if you ever need it.
Compare the costs of your next money transfer with your bank and Wise - Wise often has lower overall costs than other providers, with no fees built into the exchange rates used.