Sending money from any part of the world to Nigeria was once a herculean task. There were countless stories of people who were unable to receive cash if it was from outside Nigeria.

Once there is an opportunity to receive international payments, one would have to consider if the money about to be received was worth the stress of: finding a proxy account, having a foreign address, or even asking someone else to receive the money on one’s behalf with the agreement of splitting the cash with them. 

The reasons for these difficulties include strict government policies, volatile exchange rate, and an unreliable parallel market that has birthed high fees and fraudulent practices.

While the Central Bank of Nigeria (CBN) implemented fiscal policies to stabilize the naira and capture more foreign exchange, these measures complicated the transfer of remittances into the country.

Some of the measures had to do with payouts in naira, dollar payout restrictions, and exclusion of fintech companies.

• Payouts in naira:

Early 2024 saw the CBN updating its guidelines mandating inbound international money transfers to be paid in naira only through bank deposits or cash for smaller amounts. 

• Dollar payout restrictions:

The aforementioned policy cum bottleneck reversed a previous policy that allowed payouts in US dollars. The irony was that this reversed policy was enacted in 2020 after a steep decline in remittance inflows due to the coronavirus pandemic.

Now, it has been changed—creating confusion for money transfer operators and customers. 

• Exclusion of fintech companies:

It would have been easy to circumvent or, better put, navigate these challenges through fintech platforms which are generally more efficient than traditional banks.

But the CBN also shot a bullet along that flank by prohibiting fintech companies from obtaining money transfer operator licenses. Licenses were reserved for banks and specialized operators.

So the average Nigerian was nearly stranded when trying to receive funds from outside Nigeria. 

However, all hope wasn’t lost. The CBN might have prohibited fintech companies from obtaining a direct International Money Transfer Operator (IMTO) license, but numerous Fintechs still legally operate remittance services in Nigeria by partnering with banks and licensed IMTOs such as Western Union, MoneyGram, and Ria Money Transfer.

This opened up several portals for sending money from countries like the UK to Nigeria. 

One may ask, if fintech platforms face(d) so much scrutiny, isn’t it better for one to just use traditional banks or licensed IMTOs? Sounds wise. Sounds less stressful too. Now, let’s explore these options and see if they are as stressless as they sound—or look.

Are traditional banks and money transfer operators “efficient” options for international money transfers to Nigeria?

Traditional banks have the advantage of being established and reputable. They are also subject to strict financial regulations, which keep them in check against financial malpractices.

This heightens the confidence their customers have in them. Having physical branches also boost this confidence since customers can have one-on-one contact with bank personnel when they have issues.

Money transfer operators offer an increased advantage by having physical cash pickup locations that enable recipients to access their funds even if they do not have a bank account. 

These locations also streamline the transfer process for both the sender and the recipient, making transfers faster than what is obtainable in banks. 

Despite these advantages, banks and money transfer operators are not as efficient as they are expected to be.

Oftentimes, these banks and operators charge high fees to complete international money transfers.

These fees, which may come with hidden costs, significantly reduce the amount of money the recipient in Nigeria receives. Banks also take several business days to complete a transfer because of international banking regulations, exchange rates, and processing times.

Delays are also associated with money transfer operators as cash pickup locations involve long queues. 

These setbacks should not be defining features of money transfer platforms in 2025. This is where new fintech apps like OhentPay come in.

These apps not only address these setbacks; they also come with additional features that make international money transfer a process to look forward to. 

Best apps for sending money from the UK to Nigeria 

OhentPay

Supporting over 40 currencies and operating in over 190 countries, OhentPay allows direct bank transfers with swift processing times and keeps costs predictable with a fixed rate of £1.50 for personal accounts.

It is highly regulated and secure with FCA regulation, PCI DSS compliance, and SOC 2 certification.

OhentPay crowns its offerings with a simple and user-friendly interface alongside reliable customer support for easy account management.  

LemFi

LemFi, previously Lemonade Finance, is designed to help Nigerians in the UK, US, and Canada send money back home quickly and at competitive rates.

Some of its strengths include instant transfers, zero fees on many transactions, and multi-currency accounts. This is why it is a popular choice for diaspora users.

However, LemFi is not left without its drawbacks. Its services are limited to a few countries and its exchange rates can be inconsistent. Users have also complained occasionally about app glitches and slow customer support.  

Remitly

Remitly is another go-to for those in the UK who want to send funds to Nigeria quickly and securely.

It comes with an intuitive app, multiple delivery options (like bank deposit, cash pickup, and mobile money), and competitive exchange rates that make it appealing for users looking for speed and flexibility. 

Despite these features, Remitly has some significant weaknesses. For instance, its exchange rate margins can vary and fees may add up depending on the chosen service. 

Wise

Wise (formerly TransferWise) is known for its transparency and use of the real mid-market exchange rate.

It enables users to send money directly to local bank accounts in Nigeria at low, upfront costs and enjoy transacting multiple currencies with fast delivery times.

Wise’s user-friendly interface and strong regulatory compliance also make it trustworthy and easy to use. 

The downsides of Wise include its non-support for cash pickup or mobile wallet transfers in Nigeria. Its fees can also be slightly higher for smaller amounts or card payments, which may limit its flexibility for some users.

WorldRemit

As a global digital money transfer service, WorldRemit allows users to convert money quickly.

It's supported payout methods include bank deposits, mobile money, airtime top-ups, and cash pickup, making it versatile for different recipient needs.

Users appreciate its accessibility, competitive fees, and the ability to send money conveniently via app or website.

However, they don’t fancy the fact that its fees are quite higher than its competitors and its exchange rates may include a markup. 

All good methods, But focus on OhentPay

As the global financial system evolves, fintech apps like OhentPay are revolutionizing international money transfers.

It is not just an alternative provider, but a passport to money transfer that is efficient, global, and fast-paced. Join the future of finance. Download OhentPay today and experience the best of money transfer.