Internatianal Money Transfer

[mc2]

I wanted to pay for the purchase of a service, the company only accepted IMTs at this stage.

So I did onshore conversion and paid the transfer fee then transfered the exact amount in the currency requested by the company to their account. My bank assured me there were no other hidden charges.

It fell short by about 10 to 15 dollars, they (the benefactor, the company) said "sorry we cant process until we receive full amount". I have seen a copy of their bank trace and it is indeed short.

I have been told it may be the case that "intermediary banks" are skimming money and there is no disclosure/transparency.

I intend to call the bank Monday and do a bank trace to find out where this money has disappeared to.

I am new to this, does this sound like standard operating procedure for IMTs ? Any advice on how to proceed ?

Edited February 20, 2009 by mc2

[kamalabob2]

Yes they really do not tell you about the Intermediary Bank. But perhaps in the future your bank will send a SWIFT wire or similar transfer via the "foreign branch" in YOUR country. Example: A California based bank can swift wire to Bangkok Bank in New York State and the money will be in the Bangkok Bank account you request WITHOUT an INTERMEDIARY bank fee which can be GREATER than $15. I had to grind my Bank in California why my SWIFT wire was short and if you look at the web sites of banks SOME make some mention of using intermediary banks. So the only way to NOT pay for this intermediary bank fee is if you SEND the money via a bank that does not need to utilize this type of INTERMEDIARY bank OR if you have your bank send the money to the same Bank in your Country that really is based in Thailand.

[elliss]

Yes they really do not tell you about the Intermediary Bank. But perhaps in the future your bank will send a SWIFT wire or similar transfer via the "foreign branch" in YOUR country. Example: A California based bank can swift wire to Bangkok Bank in New York State and the money will be in the Bangkok Bank account you request WITHOUT an INTERMEDIARY bank fee which can be GREATER than $15. I had to grind my Bank in California why my SWIFT wire was short and if you look at the web sites of banks SOME make some mention of using intermediary banks. So the only way to NOT pay for this intermediary bank fee is if you to the same Bank in your

the money at really is based in Thailand.

i used to use nationwide ,, for swift transfer .

i also , had the fees of the intermediary bank . to pay .

i know use HSBC ,

they have banks in england , and thailand .

and certainly in the states ..

hence , i only pay one SWIFT , transfer fee ..

approx 500 bht ...

[Chaimai]

I have been told it may be the case that "intermediary banks" are skimming money and there is no disclosure/transparency.

It also depends whether your instruction included UK and Thailand bank charges to be paid by remitter (ie you). The receiving bank will take a handling charge and will deduct from the gross transfer unless the instruction clearly states ALL charges to be paid by remitter.

I am really not sure what happens in the case of (e.g.) Nationwide who route through HSBC - is there an additional intermediary fee to pay.

In any event the bank should have been aware that you needed the full amount to reach the beneficiary.

[Munk]

I have been told it may be the case that "intermediary banks" are skimming money and there is no disclosure/transparency.

Wire transfers are rarely free. Most receiving banks charge for receiving inward transfers too. Its no wonder you got charged. You should have used a "foreign currency demand draft" which is slower but cheaper.

Banks such as Citibank and HSBC, who have global presence, offer free transfers to recepients holding accounts with the same bank in a different country. They usually charge a small "foreign currency conversion charge" for such transfers. However, transfers to accounts in banks other than their own incur a transfer charge.

A little research will always help you find a good deal. 

[churchill]

I transferred from UK to Bangkok Bank in Sterling - flat fee 25 Pounds - from foreign currency account can transfer at TT rate at any time .

[Chaimai]

I transferred from UK to Bangkok Bank in Sterling - flat fee 25 Pounds - from foreign currency account can transfer at TT rate at any time .

Just to clarify - did you transfer into a Sterling account with Bangkok Bank ? If so, I would be interested in your rationale for this as I am reviewing my modus operandii.

Did they charge for a 'clean inward payment' (ie GBP into GBP foreign currency account) ?

Do they then charge an 'inward payment' charge if you transfer from GBP into, say, a THB account with them ?

[churchill]

Just to clarify - did you transfer into a Sterling account with Bangkok Bank ? If so, I would be interested in your rationale for this as I am reviewing my modus operandii.

Yes - So that funds are avaliable to transfer to Baht at a time that I choose , rather than gambling on 1-2 days , also the account pays interest around 3% better than most UK current accounts .

Did they charge for a 'clean inward payment' (ie GBP into GBP foreign currency account) ?

I transferred 25,000 and recieved 25,000 - so no charges as far as I am aware .

Do they then charge an 'inward payment' charge if you transfer from GBP into, say, a THB account with them ?

On transfer to my Baht account they use the current TT rate .

Edited April 10, 2009 by churchill