Compare all the best ways to send money to Iceland

The exchange rate plays a key role in determining how much ISK your recipient in IS will get.

For example, in the past 7 days average rate for USD to ISK was 121.6183 ISK.

Since USD-ISK exchange rates fluctuate with market conditions, waiting a couple of days could result in a better rate, giving your recipient more ISK.

If you need to make an urgent transfer, we recommend using Wise, which consistently offers the best rates for Iceland Krona transfers.

The most cost-effective way to fund your transfer to Iceland is through a bank transfer with Revolut, which is 0.37% cheaper than the second-best service.

The way you fund your transfer to Iceland impacts the cost, speed, and how much ISK the recipient will receive.

Based on our live data for a $7,000 transfer from the US to Iceland, the following are your best options:

• Revolut with bank transfer deposit costs $21 and has a 0.2% markup.

• with a debit card deposit costs $ with % markup.

We advise against using bank transfer, as they tend to be the most expensive option for ISK transfers.

Credit card transfers may incur cash advance fees and higher interest rates on ISK, and are usually more expensive.

Whenever possible, avoid transfers via the SWIFT network to IS. SWIFT transfers to Iceland are slower and come with higher fees.

Instead, look for a cheaper option such as ACH or account balance.

Money transfer companies often have min and max limits on how much ISK you can send.

The amount you transfer can also affect the fees and the ISK exchange rate you receive. For instance, Wise is the best choice for sending large amounts to Iceland.

Additionally, there may be government-imposed restrictions, commercial limitations, and other factors that influence the amount of ISK you can send.

This is why it’s really important to compare your options when transferring money to Iceland.

The speed of sending Iceland Krona to Iceland depends on factors like the amount, timing, deposit, and withdrawal method chosen. Typically, faster transfers come with higher fees.

For example, based on a $7,000 transfer to Iceland:

Use MoneyGram for fastest transfers

Of the 3 companies offering ISK transfers, MoneyGram consistently offers the fastest delivery times across all deposit methods.

For bank account & card deposits use MoneyGram

MoneyGram offers fast and affordable Iceland Krona transfers, with fees of around $490.00000000000006 for bank deposits and $ for debit card deposits, plus a small 2% markup on top of the ISK rate.

For urgent transfers use cash transfer

If you need money urgently, we recommend cash pickup services through providers like Western Union or MoneyGram.

Avoid the SWIFT network

Avoid using SWIFT transfers for ISK transfers. Due to intermediary banks on the way to Iceland, SWIFT is slower and comes with higher fees.

There are a few different ways to move money to Iceland:

Money transfer services

You can transfer money online using an FX broker (managed service) such as OFX or an online-only company (self-managed) such as Wise.

Based on our analysis, Wise stood out as the top money transfer company servicing Iceland.

Mobile apps and e-wallets

Most money transfer services that accept Iceland offer mobile transfer apps, which often have better deals on ISK exchange rates.

You can check our guide on the best money transfer apps to find one that suits your needs.

Cash transfers

Cash transfers to Iceland are sent in person through services like Ria Money Transfers, MoneyGram, or Western Union.

Transferring Iceland Krona as cash is almost always instant but requires the recipient to visit a nearby agent in Iceland to collect the ISK.

Bank wire transfers

You can transfer Iceland Krona via your bank.

We strongly recommend not using your bank to wire ISK directly to Iceland due to high fees and slow transfer times.

Instead, use the bank transfer deposit option with Wise and send ISK from there.

There are multiple ways to receive money in Iceland. Picking the right one can save you on fees and speed up the ISK transfer process. Here are your options:

Deposit to the bank account

To deposit money directly into a recipient’s bank account in Iceland, we recommend Revolut.

The card transfer will also land in the recipient’s bank account in Iceland. Use to deposit with a debit card at just $ per transfer.

Cash pickup and delivery

If the recipient in Iceland needs ISK urgently or doesn’t have access to a bank account in Iceland, cash pickup or home delivery are good options.

Mobile and digital wallets

You can receive ISK directly into digital wallets like PayPal, though this often comes with more limitations and costs more compared to services like Revolut.

When sending money to a bank account or e-wallet in Iceland, Iceland Krona will arrive without any involvement from the recipient.

However, if you're sending ISK as cash or transferring large amounts to Iceland, the recipient may need the following:

• Government-issued ID: A national ID of Iceland, a valid passport, or driver's license.

• Sender’s details: The sender's personal details such as full name and address.

• Transfer Details: The amount of ISK being received.

• Confirmation No.: This is usually given at the time of transfer.

• SWIFT Code / IBAN: Occasionally required for bank transfers.

The exact documents required may vary depending on the money transfer company and the transfer method used.

When sending bigger amounts to Iceland, companies may request proof of funds such as bank statements and address verification with the utility bill in line with AML (Anti-Money Laundering) policies.

We recommend using Wise to send large amounts of Iceland Krona.

There may be tax obligations and government-imposed limits or restrictions on ISK transfers/payments to IS.

Some ISK transfers could be subject to taxes such as gift tax or commercial tax.

Even if no limits or taxes apply, certain ISK transfers (especially large sums of Iceland Krona) may need to be reported to the tax authorities in Iceland or in your country.

When unsure, it’s best to consult with a tax professional in Iceland or your home country to ensure compliance with the regulations.