Super Savings: Being Smart About Sending Money to Italy

different ways on Sending money to ItalyBonjourno! We’re here to help you decipher the most appropriate ways of sending money to Italy. Whether you’re running a business, sending money to family or just want to import a whole lot of pasta, we’ve got you covered. There are many providers to choose from and different rates and fees you need to consider which can make the whole process seem a bit tricky.

For a quick comparison table of exchange rates and fees, click here.

Information covered in this guide:

This guide will cover:

  • Personal transfer – sending money to family or friends in Italy
  • Business transfer
  • Buying or selling a property in Italy
  • Studying Overseas
  • General costs of sending money to Italy
  • Your options to send money to Italy
  • Information you’ll need for the transfer
  • General information

Personal transfer from Singapore to Italy

Here, we’ve outlined here a couple of ways that you can set up a personal transfer from Singapore to Italy;

You can use your bank:

It’s important to know that banks will generally not offer a competitive rate when it comes to sending money overseas. In addition to this there is often a high fee associated with making the transfer. Having said this, most Singaporean banks will support the Euro (EUR) if you do want to do it this way.

You can use money transfer companies:

While you do need to set up an account to use one of these companies, they will offer you a better exchange rate and lower fees. Here are some providers that can transfer money from Singapore to Italy:

Business transfer from Singapore to Italy

When it comes business transfers between Singapore and Italy, there are a couple of things that we want you to keep in mind:

  1. The exchange rate margin: This is the difference between the wholesale exchange rate that you’d find on google or XE and the rate you actually get for the transfer.
  2. Additional business products they offer such as forward exchange contracts, foreign currency accounts and limit orders.

You can use any of the exchange companies we listed earlier. Each will have different fees and rates so comparing before you choose is important. We do like HiFX for business transfers as they have great rates, don’t charge fees and offer Foreign Currency Accounts. These are helpful if you would like to hold the funds a foreign currency and exchange them at a favourable time.

Buying or selling property in Italy

Buying or selling property abroad can be complex and stressful. If you’re looking to buy property in Italy, or have sold property there, you’ll be wondering the best way to transfer a large sum of money between Singapore and Italy. We recommend finding a provider that can provide support in both countries so that you have support on either end leading up to settlement.

Our choice would be TorFX for property settlement transfers, as you are assigned a local account manager that will have a strong global support network to guide you when needed.

Studying overseas

Studying can be expensive at the best of times, especially if you’re doing it overseas. Annual payments to universities, living expenses, books and other costs can really add up. If you’re transferring to Italy for education, you could be making large or small payments, and you could be doing it frequently.

  • For larger payments, the most important factor to keep in mind is the exchange rate.
  • For smaller payments, you should keep an eye on the transfer fees as these can really impact how much your transfer costs you proportionately.

There are many methods of transferring funds abroad, but we like HiFX as they are great for saving on those hefty costs when paying for expenses such as bills.

General costs for sending money to Italy

It can be difficult to make an accurate estimate of how much an international transfer is going to cost. This is because it’s dependent on the rate, how much you’re sending and in what currency, and your method of sending and receiving the money. The most common fees are as follows:

  1. A transfer fee
  2. Exchange rate margin: the different you will pay between the wholesale exchange rate on xe.com and the rate you will actually get
  3. Bank fees: The fees that you bank will charge for sending the money to the correct account overseas.
  4. Receiving bank fees: The fees the receiving bank will charge you for converting into the correct currency.

Your options to send money to Italy

When it comes to sending money from Singapore to Italy, there are various methods to choose from.

Via your bank

Using your bank is an easy and quick way to transfer fees and can normally send the money successfully within 3-5 business days depending on your bank. Generally, banks will have uncompetitive exchange rates which make them unattractive if you’re sending large amounts of money abroad.

Check with your bank and research the fees and exchange rates based on the amount you plan to send over.

Paypal

Paypal is a convenient and highly popular way of transferring money abroad. It’s also by far the quickest with transfers sometimes being completed within minutes. It is great for smaller amounts under $1000SGD that need to be made quickly. Although the exchange rate is equal to those of banks, the fees are slightly less. It’s particularly handy if you are paying from your own Paypal account directly into another Paypal account.

A money transfer company

Using a money transfer company is the best way to get value for money if you’re making an overseas transfer. There are an overwhelming amount of money transfer companies out there.  In general, these companies are your best option when transferring larger amounts of money between $1000 and $1,000,000SGD. Different companies will have various minimum and maximum transfer amounts set, and the transfer itself will usually take around 1 business day longer than banks or Paypal.

You will need to create an account with the company before sending the money – you can do this online:

  • Register your details on the website. You will need I.D handy for this.
  • Account needs to then be approved, and you’ll receive your login details.
  • Enter the bank details of where you are sending the money, that is, the ‘Beneficiary’ or ‘Recipient’
  • You will get a quote based on the fees and exchange rate for sending the money.
  • Once you’re happy with the quote provided to you, you can confirm the transfers and fund it from your local account.

Information you’ll need for the transfer

You’ll need the details of the bank account you are sending the money to that is, the Beneficiary or Recipient details. These details will be:

  • Account name of your Recipient
  • Their address
  • Their SWIFT code

SWIFT codes

Swift codes for the biggest banks in Italy:

UniCredit : UNCRITMMXXX

Intesa Sanpaolo : FIBKITMMXXX

Banca d’Italia : BITAITRRISS

Depositi e Prestiti : CADPITRRXXX

General Information

There are so many options available to your for international transfers and each method has it’s own pros and cons. For very fast transfers, companies such as Paypal and Western Union are the speediest option. However their rates will not be competitive and the fees can sting. Banks will generally take one to two business days. Money transfers are the most cost effective method, they can take up to two to three business days for transfers to go through.

Check the details of your chosen method, as all will have their own restrictions, fees and charges. Banks and Paypal will not have a minimum amount, but most money transfer companies will so check before you send.

Case Study

Luigi has moved from Italy to Singapore on a working visa. As he will be in Singapore for at least a year, he has carefully set up a bank account and his job pays straight into his account.

However, Luigi needs to fly back home to Italy for his cousin’s graduation in two weeks and doesn’t know the best way to transfer his money across to his Italian account. What Luigi decides to do is wait until the day before he flies, and withdraw cash from his Singaporean account. He will then convert it at the airport into Euros before he flies.

What Luigi didn’t know was that converting currency this way meant that he really lost out on the exchange rate he was offered and the fees he was charged. He instead should have looked at transferring his money to his Italian account, using a money transfer company such as OFX.

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