Most people sending money abroad think about the fee. It’s the number that’s easiest to see, and easiest to compare. But exchange rates move. Timing matters. And for anyone buying property abroad, managing overseas payments, or transferring an inheritance, the decisions made before the money moves matter just as much as the ones made at the point of transfer.
This guide explains what to think about, what your options are, and what to do before the money moves.
The risk most people don’t see coming
For significant transfers, the exchange rate and the timing can have a noticeable impact on what actually arrives. But most people don’t plan for it. Currency risk is not visible the same way a transfer fee is. It doesn’t appear on a receipt. Most people don’t think about exchange rate exposure until they’ve already felt it. A property purchase that came in over budget. An inheritance that lost value somewhere between leaving and arriving. These aren’t unusual outcomes. They’re examples of what can happen when currency risk isn’t part of the plan.
Your options for sending money abroad
There are several ways to make an international payment. The right option depends on what you’re sending, how much, and what’s at stake if the rate moves. For smaller or straightforward transfers, convenience and speed are usually the priority. For larger or more significant payments, the rate and the level of support you receive matter considerably more.
Bank transfers
Banks are a well-established route for international payments. You’ll need the recipient’s IBAN and SWIFT or BIC code, and the transfer is processed directly between institutions. Reliable for straightforward transfers, but typically not the most competitive option for larger amounts.
Online payment platforms
Platforms like PayPal offer an option for smaller international payments. Check transaction limits carefully, as most cap the amount you can send, and confirm availability in the recipient’s country. Suitable for smaller amounts but less appropriate for significant transfers where support and rate matter.
Currency specialists
For larger or more significant transfers, a currency specialist can be a strong option depending on your needs. They focus exclusively on international payments, which means direct access to someone who understands your specific situation and can help you plan around it.
Cash and money orders
A practical fallback for smaller amounts where other methods aren’t available. Slower processing times and restrictions on higher-value transactions make them unsuitable for significant payments.
What to look for when comparing providers
For anyone making a significant international transfer, the question isn’t just how to send money. It’s when, and how, to protect what you’re sending from the moment you commit to a price. Planning ahead doesn’t require certainty about where rates are going. It requires knowing what tools are available and choosing the ones that fit your situation.
When choosing the best way to transfer money abroad, these are the things to consider:
Exchange rate: The rate applied to your transfer often has more impact on the final amount than the headline fee, particularly on larger sums. Ask what the total cost looks like in practice, not just the transfer fee.
Fees: Some providers charge upfront transfer fees. Look at the full picture before deciding.
Speed: Most standard international transfers settle within one to three working days. Faster options are available but often come at a higher cost.
Support: For straightforward smaller transfers, online-only is usually fine. For larger or more complex payments, having direct access to a specialist who knows your situation may be a priority.
Regulation: Choose a provider authorised by the FCA or an equivalent regulatory body. This determines how your funds are handled and what protections apply.
Sending money abroad with Lumon
Lumon has helped more than 70,000 clients send money internationally since 2000. Clients benefit from bank-beating exchange rates and no transfer fees. Every client has a dedicated currency specialist, one person who gets to know their situation and is there when they need them.
Getting started is straightforward. Once you’ve registered and completed the standard verification checks, your dedicated specialist takes the time to understand what you’re transferring and why. From there, your options are clear.
A spot contract allows you to exchange currency immediately at our current rate and transfer it ASAP, great if you’re working with tight deadlines.
A forward contract allows you to lock-in a rate you’re happy with for a future transfer date. With this option, you don’t need to pay the full amount upfront; only a deposit is required.
A market order converts automatically when the market reaches your chosen level. A good tool if you have a target rate in mind and want to ensure you don’t miss it, or if you have a rate that you don’t want to convert at below.
You can manage everything online or speak directly to your specialist. It’s tailored support when you need it, to make your payments hassle free.
Don’t leave it to chance
There’s a version of this where everything works out fine. The rate holds. The timing is straightforward. But for transfers that matter, like a property purchase, leaving it to chance isn’t really a plan. The people who tend to feel most confident about their international transfers are the ones who took the time to understand their options before the money moved, not after.
Lumon’s specialists are available to talk through your situation before you commit to anything. There are no transfer fees and no obligation.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Lumon or its subsidiaries, and it is not intended as a substitute for obtaining advice from the relevant professional services. We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
