Sending money abroad is a common need, whether for supporting family, paying international bills, or funding overseas investments.

However, transfer fees and exchange rate margins can significantly eat into your funds.

In this article, we will explore the most cost-effective ways to transfer money from the UK, helping you keep more of your hard-earned money.

Understanding money transfer costs

Before diving into the specific methods, it is crucial to understand the two main components of international money transfer costs:

1. Transfer fees: These are the upfront charges levied by the service provider for processing the transfer. These can be fixed fees or a percentage of the transfer amount.
2. Exchange rate margin: This is the difference between the real-time exchange rate and the rate offered by the service provider. This margin often represents a hidden cost, as it is not always explicitly stated.

Minimising both these costs is key to finding the cheapest money transfer options.

Online money transfer services

Online money transfer services have revolutionised the industry, offering competitive rates and low fees compared to traditional banks.

Here are some of the most popular and cost-effective options:

OhentPay

OhentPay is a fast, secure, and user-friendly platform that enables UK residents to send and receive money internationally—without the hassle of limited payment options, high fees, or long processing times.

As digital finance grows, ID verification remains essential for secure transactions. OhentPay supports multiple verification methods tailored for customers, ensuring your account is both safe and compliant.

How to send money from Nigeria with OhentPay:

1. Download the OhentPay app from the Google Play Store or Apple App Store.
2. Sign up for a personal or business account—whichever suits your needs.
3. Verify your identity by submitting the correct documents. Your account will be ready in just 2 minutes!
4. Fund your card with the amount you want to send abroad and start transacting immediately.

TransferWise (now Wise)

Wise is renowned for its transparency and low fees. They use the real mid-market exchange rate, which is the fairest rate available, and charge a small, upfront fee.

Pros

• Transparent fee structure
• Uses the real exchange rate
• Fast transfer speeds

Cons

• Fees vary depending on the currency and transfer amount

Revolut

Revolut is a digital bank that offers international money transfers at competitive exchange rates, often with no fees for standard transfers within your allowance.

Pros

• Competitive exchange rates
• Fee-free transfers within allowance
• Multi-currency accounts

Cons

• Weekend exchange rate markups
• Fees may apply for exceeding transfer allowances

Skrill

Skrill is an e-wallet that allows users to send and receive money internationally. It offers various payment options and competitive fees, making it a viable option for smaller transfers.

Pros

• Multiple payment options
• User-friendly platform
• Suitable for smaller transactions

Cons

• Fees can be higher for larger transfers
• Exchange rate margins may vary

Traditional banks

While traditional banks may seem like a convenient option, they are often among the most expensive for international money transfers. Banks typically charge high transfer fees and offer less favourable exchange rates.

Pros

• Familiar and trusted
• Wide range of services

Cons

• High transfer fees
• Unfavourable exchange rates
• Slower transfer speeds

However, for large transactions, negotiating with your bank may sometimes yield better rates. It is always worth comparing your bank's offer with other services.

Peer-to-Peer transfer platforms

Peer-to-peer (P2P) transfer platforms connect individuals directly for money transfers, often bypassing traditional intermediaries. These platforms can offer competitive rates and lower fees.

Pros

• Competitive exchange rates
• Lower fees
• Faster transfer speeds

Cons

• Limited availability in some regions
• Security concerns with less-regulated platforms

Money transfer comparison tools

To find the absolute cheapest option for your specific transfer, it is highly recommended to use money transfer comparison tools.

These tools allow you to compare fees and exchange rates from various providers in real-time, ensuring you get the best deal.

Pros

• Real-time comparison of rates and fees
• Helps find the cheapest option
• Saves time and effort

Cons

• May not include all providers
• Accuracy depends on the data input

Tips for minimising transfer costs

Here are some practical tips to further reduce the cost of international money transfers:

1. Avoid urgent transfers: Express or urgent transfers often come with higher fees. Plan ahead and initiate transfers in advance to save money.
2. Transfer larger amounts: Many providers offer lower fees or better exchange rates for larger transfers. If possible, consolidate your transfers to maximise savings.
3. Be aware of hidden fees: Pay close attention to the exchange rate offered and any additional charges that may not be immediately apparent.
4. Consider the recipient's bank: Some banks may charge receiving fees for international transfers. Ask your recipient to check with their bank to avoid unexpected costs.
5. Stay informed about exchange rates: Monitor exchange rate fluctuations to transfer when rates are favourable. Using rate alerts can help you catch the best opportunities.

By understanding the costs involved and exploring the various options available, you can significantly reduce the expenses associated with international money transfers from the UK.

Whether using online transfer services, considering peer-to-peer platforms, or simply using comparison tools, taking the time to research and compare will ensure you find the most economical solution for your needs.

Introducing a seamless and affordable alternative - OhentPay

For UK residents looking to send money to African countries, OhentPay offers a unique solution designed to eliminate high fees and inflated exchange rates.

Why OhentPay stands out

• Zero Hidden Charges: Transparent pricing and real-time exchange rates.
• Fast Transfers: Receive funds instantly or within hours, not days.
• Tailored for Africans Abroad: Whether you're sending money home for family support, business, or education, OhentPay is built with your needs in mind.
• Multi-Currency Support: Send funds from GBP to Naira and other currencies with ease.

With OhentPay, you don't just save money—you gain peace of mind.

Transferring money from the UK doesn’t have to be expensive. From services like Wise and Revolut to cost-cutting platforms like OhentPay, there are smarter ways to move your money globally.

While traditional banks may be convenient, they’re rarely the best-value option. Do your research, compare your choices, and choose a service that aligns with both your financial goals and the needs of your recipient.

With OhentPay, you're not just sending money—you’re sending it smarter, faster, and more affordably.