Skrill describes itself as a “digital wallet provider.” The service, which was founded in 2001, includes online payment and money transfers. Since their launch, Skrill has expanded significantly and now offers international transfers in over 120 countries, in 40 currencies.
In some ways, Skrill is unique in its market positioning. It’s not an uncommon payment service for primarily online businesses. Alongside PayPal, it’s interestingly one of the most common transfer services used by online casinos.
At a glance, Skrill seems to offer low rates and several special bonuses. They also have their own credit card, which boasts a low-interest rate. But let’s take a closer look at their offers and see how they compare.
Skrill offers different rates for American users and all other users. Americans will typically pay less.
Skrill, like most money transfer companies, charges a margin on exchange rates. This “hidden” fee is essentially a markup on the mid-market currency exchange rate. However, they don’t charge the “transaction fees” that most similar companies charge.
Let’s look at all of Skrill’s costs add up.
Skrill charges a margin on currency exchange transactions. Their rate includes an exchange rate margin of 3.99%. The company is transparent about it if you read through their website. But they won’t list the portion of your transfer that is taken through this exchange rate margin.
Before you confirm a transaction, you can review all the details. The details will include the amount of money in the other currency, alongside the exchange rate Skrill provides. To find out exactly how much Skrill charges, you can compare the transaction details with the real mid-market rates being applied to the two currencies. A quick Google search will provide the mid-market rate.
Subtract Skrill’s sum of the recipient’s currency from the midmarket rate for the amount of the currency you want to convert. That will show you the difference.
For example, at the time of writing, USD 100 was equal to EUR 84.29. With Skrill’s margin, you would pay EUR 3.36 to Skrill, and the recipient would receive EUR 80.93.
As a flat margin on exchange rates, this is higher than average. The good news is that Skrill seems to rely on this margin for their business model, as they don’t charge any transaction fees.
With any Skrill account, deposits, withdrawals, transfers, and receiving are all free. This is good, as most other options come with transfer fees. However, you may end up spending enough through exchange rate margins that it ends up costing you as much as another money transfer service’s fees would.
While there are no transfer fees, we can again use the USD to EUR rate as an example.
If you want to send USD 1,000 to someone in the Eurozone, the mid-market rate would exchange into EUR 842.86. Skrill’s exchange rate margin would take approximately EUR 33.63. This leaves the recipient with EUR 809.23.
With a total cost of 33.63 Euros, the total paid towards Skrill for this transaction ends up being far more comparable to other companies that charge both exchange rate margins and transfer fees.
If you use other services from Skrill, you may have to pay other fees. As we’re focusing on international money transfers, most of them aren’t applicable.
The one additional fee that you should be aware of is a 1% fee for transactions with Skrill’s global payment methods. These include their Visa and Mastercard cards.
While they can conceal their costs somewhat by primarily charging exchange rate margins, Skrill’s expenses are average in the money transfer industry.
Skrill is most often compared to PayPal, which charges a mix of exchange rate margin and transfer fees.
When you include all their fees, PayPal ends up sending the recipient EUR 805.15. This makes Skrill the slightly cheaper option despite their high exchange margins. You would save EUR 4.08 by choosing Skrill, which isn’t a massive difference, but one worth considering.
Overall, Skrill still falls within the average range for international money transfer expenses.
According to Skrill, you can open an account in any country “if it is legal to do so in your country of residence.
Yes, Skrill has an app that you can find on Google Play or the App Store.
Yes, there are several limits. For US users:
Skrill reserves the right to change limits without notice at any time. Most limits are similar to the US user limits listed above. However, limits may vary according to the two currencies in the transaction.
Skrill international money transfers take 2 to 5 business days to be completed. Exact times vary based on bank networks, currencies being converted, and several other factors.
Preference is given to Skrill VIP members. Normal customers may contact Skrill, but VIPs skip the queue and can receive support 24/7.
Yes, you can use a Skrill card while traveling. You can also use it quickly and conveniently through the Skrill app.
The card can be used much like a normal bank card and is accessible at all ATMs that support the payment processor (Visa or Mastercard). But you also have the option of mobile payments or in-store card payments.
Opening an account with Skrill is easy and should only take a few minutes.
Simply go to the Skrill website and click the purple “Register” button.
You will be prompted to fill out basic information. The first step just requires your full name, email address, and country of residence. That’s all it takes to register.
To use additional services, you will need to provide additional information to apply. Before you’re allowed to transfer money, you will need to:
To transfer money with Skrill, you just need to log in online or in one of the mobile apps. From there, select the send money option. Then…
Skrill is not just an international money transfer service. They also offer banking services at fairly low rates. They operate as a digital wallet, which is somewhat like a miniature digital bank. You can also use Skrill to shop, receive payments, and withdraw cash from an ATM.
Call: +44 (0) 203 318 4608
If you’re a Skrill VIP, email: vip@Skrill.com
Yes, Skrill can be used to make international bank transfers. However, they charge a fee of up to 2.99% for a normal international bank transfer.
Skrill is a reputable international money transfer service that is active in over 120 countries. This makes them a great choice for people looking for a flexible money transfer service. They serve most major countries and currencies. In addition, they offer fair rates that slightly outcompete industry giants like PayPal.
While Skrill offers several payment options, they are a bit less flexible in this regard. But their cards serve as an inexpensive and useful addition for regular users. If you’re looking for this kind of service, try comparing the rates Skrill offers for the transfers you want to make.