Always on the look out, as I am, for money saving tips, my radar started pinging when this particular service was brought to my attention. For those of you who make foreign currency (forex) transfers, read on.
Their model is remarkably simple and transparent, instead of giving you a poor rate of exchange and potentially also charging you a fee for the transaction as many banks will, Transferwise will almost certainly give you the best rate you will find, they make their money by charging you a small fee which is clearly stated before you do the deal.
The system is based upon a peer to peer model whereby your requirements are paired with other businesses and individuals, using the mid market rate of exchange to swap the money between local bank accounts so you'll never occur bank charges.
Not only will you be saving money on the rate (I made a transfer this morning and was unable to find a better deal elsewhere) it is super simple to use. Using their website I was able to setup the transfer in under ten minutes, I received an email confirmation and updates on the status of the transfer throughout the process.
So not only have I cut out the bank's poor rate and hefty fee, I have managed it all online on an easy to use website. They don't even have a minimum transfer amount.
Founders Taavet Hinrikus and Kristo Käärmann
Launched in 2011 and based in the UK friends and founders Taavet Hinrikus and Kristo Käärmann, who have previous experience at Skype and PayPal, had this to say about the service, "We use real exchange rates to help expats, foreign students and businesses wire money securely, conveniently, and at a very low cost. Finally, a financial service built for people, not banks."
What the media had to say;
“TransferWise cuts out banks and their commissions“ BBC
“Using the Skype principle to slash the rates that people pay to send money abroad“ The Economist
“TransferWise is looking to use the internet to spark a digital revolution in financial services“ Financial Times
“TransferWise has every chance of carving out a sizeable niche in the currency exchange market“ The Guardian
Thumbs-up from Mr Branson
"This innovative idea for shaking up the financial services sector while helping start-ups in a practical way has caught the eye of many new businesses already - as well as established brands like Virgin."
Don't just take my word for it, have a look at what their customers say, an astounding 9.7 out of 10 on Trust Pilot, unheard of in the financial sector.
There is no catch, just how we like it!
TransferWise is listed on the UK FInancial Services Register as an Authorised Payment Institution