Send Money To Brazil
If you’re looking to send money to Brazil, there are a number of options available to you. The total cost of your transfer can vary greatly depending on who you use, so being informed about your choices is a sensible step to take. In this guide, we’ve broken down the various ways you can send and receive money to Brazil, including the cheapest, fastest, and overall best options for your specific transfer needs.
How To Send Money To Brazil
Sending money to Brazil is simple and easy. Follow these steps to get started.
Step 1: Compare providers to find the best service for you
The cost of your international transfer to Brazil can vary greatly depending on which provider you use, so comparing all the options available to you should be your first step. Our comparison form provides an unbiased, transparent look into the best money transfer providers for you, comparing rates, fees, transfer times and more.
Step 2: Register with your chosen provider
Most providers will be completely free to sign up to, simply requiring your name, address and contact information. You may also need to upload a picture of a valid photo ID to verify your identity. It’s important to make sure that the provider you are using does actually support transfers to Brazil from the country you are located in.
Step 3: Start your transfer
Set up your transfer by providing your recipient’s information (name, contact details, and bank account information if you are selecting this payout method), the sum you are sending, the currency you are converting to, and your payment details. You should be given an estimate of how long your transfer will take to reach your recipient.
Ways To Send And Receive Money In Brazil
There are multiple ways to easily send and receive money in Brazil but these will largely depend on the provider you decide to use. Below you will find everything you need to know about sending and receiving money.
Ways to Send Money to Brazil
Some of the busiest transfer corridors to Brazil include money being sent from Japan, the United States, Portugal, Spain, and Italy. Therefore, it helps to know how money moves in these corridors and the preferred ways of sending to Brazil from these countries plus any other you may be sending from.
International Wire Transfers
The Brazilian financial system has a total of 174 banks consisting of 153 commercial banks, 12 investment banks, four exchange banks, and four development banks. The banks operate over 30,000 branches and approximately 170,000 ATMs.
Most of the banks in Brazil allow for SWIFT transfers from remitters abroad. However, some of them may work through correspondent banks, making transfers costly and slow. The standard processing time for international wire transfers to Brazil from countries in Europe and North America is four business days.
It is also important to point out that time differences, working hours, banks verifications and approvals, and wire amounts can affect the transfer process. With that said, interbank transfers can be done either in person at a branch or through the online platform.
Very few banks allow customers to give instructions on the phone when doing transfers. However, customers with good bank relationships can call their account managers and transfer money to Brazil.
Money Transfer Services
Brazil has witnessed a transactional change in its remittance corridors. Traditional money transfer platforms such as banks are paving the way for digital platforms like Money Transfer Operators (MTOs) offering lower fees and faster transfer times. We’ve created a comprehensive guide to showcase the difference in fees between banks and MTOs.
Small and medium money transfer service providers have increased their footprint in the Latin American country. However, the big international providers like Western Union, MoneyGram, Xoom, WorldRemit, TransferWise, and Transfast are still the dominant players.
For you to send money through MTOs, you need to sign up for an account, pay for your transfer using a debit card, credit card, or bank debit and send. You can sign up on their websites or through a downloadable mobile app.
Sending money can be done in different ways including visiting a physical store, filling in forms and depositing the cash; sending online or starting the process online and finishing it up at a physical store. There are three main ways you can send money to Brazil through the MTO platform.
Bank Transfer
This process is similar to interbank transfers. The difference is that the bank transfers are from the MTO platform. They also cost less and take a shorter time to complete. MoneyGram, WorldRemit, and Xoom can send to your bank in less than two working days. TransferWise launched transfers to Brazil in 2016.
Some providers have partnered with major banks in Brazil like Banco do Brasil, Banco Bradesco and Caixa for even faster transfers.
Cash Pickup
This mode of sending is almost instant. Your loved ones can receive the money in under an hour from agents in the payout network. Xoom has 250 pickup locations across Brazil including System of Credit Unions of Brazil. If you are sending from the United States, Western Union has over 42,000 physical agents you can visit. Also, you can send up to $5,000 with Western Union.
Mobile Wallet
You can send money directly to Brazil through MoneyGram mobile wallet transfers. All you need is the recipient’s phone number and the international country code for Brazil to send. This method is fast and convenient.
International Electronic Money Order
Correios, the Brazilian Post, offers this international financial transfer service for Brazilians in the diaspora to send money home. It is a faster, cheaper and safer way to send money to remote parts of Brazil, thanks to the extensive postal network.
Brazilians can access money in over 6,000 accredited post offices across the country. The Central Bank of Brazil and the Ministry of Finance regulate the postal money transfer service.
What’s Needed to Send Money to Brazil
When sending money to Brazil, you’ll be required to provide information to help in the smooth transfer of your money. The information may vary per provider and the prevailing circumstances. However, the following is just about all the information you will need to send money to Brazil.
- Government-issued identity document. In the United States, you can send using a social security card, passport or driving licence.
- The amount you are sending
- The recipient’s name as it appears on their national identity card.
- The physical address and phone number of the recipient
- If you are sending through the bank, you’ll need the bank SWIFT code, bank name, branch, and account number.
Cases of money laundering and criminal network financing have increased globally. Therefore, you may be required to provide additional information such as the source and purpose of the funds.
Ways of Receiving Money in Brazil
There are several ways of receiving money in Brazil including direct bank deposits and cash collections. The choice of the receiving channel largely depends on the proximity, convenience and other personal preferences. The following are the ways through which you can access money sent to you from abroad.
Direct Bank Deposits
If the sender has deposited money into the recipient account either through the MTO platform or via a SWIFT transfer, the recipient may have to wait for up to five days to receive the money. When receiving large amounts of money, this method is the safest.
Direct bank deposits are not very common in Brazil because close to 40 per cent of the population is unbanked. In rural areas, the percentage could be higher, thus locking out rural Brazilians from the mainstream financial services.
Cash Collections
Amounts up to $5,000 can be comfortably received through this method. However, you should go with a family member, relative or friend when collecting large amounts for security reasons. If the agent is closer to a bank, you could immediately deposit the money. The same applies to money order cash collections.
If the sender used the MoneyGram mobile wallet transfer method, you should collect your money from a MoneyGram agent near you.
What is Required to Receive Money in Brazil?
When your money finally arrives in Brazil, you’ll get an SMS notification or an email depending on the details the sender filled in. As you prepare to go and collect your money, you’ll need to put together the following information.
- Your government-issued identity document. A passport or national identity card can suffice
- The transaction reference number sent to you by the person who transferred the money
- The name of the sender and the amount you expect to receive
Providers such as MoneyGram may require that you fill out a form giving more details. Also, large amounts of money may attract scrutiny from the authorities and require additional documents such as source of funds and source of income.
Best Ways To Send Money To Brazil
The best way to send money to Brazil will almost always be by using a money transfer operator that supports transfers from your sending country. Money transfer operators not only have lower rates and more competitive exchange rates than banks but also offer a number of different payment and delivery options.
In Brazil, it estimated that around 45 million people are unbanked. This amounts to nearly one-third of the adult population without access to banking services, including money transfers via a bank account. When sending money to Brazil, therefore, this needs to be a key consideration when choosing the best service for you. A few other factors that may affect your choice include:
- The total cost of your transfer
- How long it will take for your recipient to receive the funds
- What payment options are available to you (bank transfer vs card payment, for example)
- How your funds can be delivered to your recipient (is a cash delivery, bank transfer, or transfer to mobile wallet an option?)
Ultimately, the best way to send money to Brazil depends on the individual circumstances of your transfer: there is no one-size-fits-all answer. Use our innovative comparison engine for a real-time breakdown of the best money transfer providers available for your specific transfer needs.
Cheapest Way to Send Money to Brazil
The two main costs you need to be aware of for any international transfer are:
- Transfer fees: This may be a fixed fee or a percentage based fee charged by your provider. These can vary a lot between providers so it’s always prudent to compare a couple of options, and keep in mind that your payment method can also affect fees.
- Exchange rates: The exchange rate you are given for your money transfer can make a huge difference to the sum your recipient ends up with. Our comparison engine provides a real-time analysis of the different rates offered by providers so you can check if you’re getting a fair deal.
The cheapest way to transfer money to Brazil will depend on where you are sending from (not all money transfer operators support transfers between every currency corridor) as well as the payment method you choose.
For example, if you were sending with WorldRemit from the US to Brazil, you would find lower fees for an airtime top-up transfer than for a bank transfer.
It’s also worth bearing in mind that the cheapest money transfer option is not always the fastest, so knowing your priorities beforehand is important. To find out more, we’ve written a guide to help you find the cheapest ways to send money abroad.
Fastest Way to Send Money to Brazil
There are several ways to transfer money to Brazil very quickly. Most money transfer operators are capable of processing your transfer and getting your funds to your recipient within an hour or two, sometimes even faster. Companies such as WorldRemit, Azimo, TransferWise, and Xoom are all capable of transferring your money on the same day you initiate your transfer, although you may find that different payment methods affect the speed of your transfer.
In most cases, for example, a bank transfer will normally take a little more time to process than a cash pick up or a card payment because of the additional checks required.
You should note, in addition, that in many cases, the fastest option is not always the cheapest option. You will often pay a higher premium for a money transfer companies more rapid service, so it may be worth considering a slightly slower transfer option if lower fees are more important to you
Things to Consider When Sending Money to Brazil
Brazil is an influential BRIC (Brazil, Russia, India, and China) economy and the largest in GDP in the Latin America and the Caribbean region. Between 2003 and 2014, Brazil lifted 29 million of its population out of poverty. However, when sending to Brazil, you might want to take note of the following.
- Gift and Donations Taxation – Due to struggles with fiscal sustainability, the country has resorted to taxing remittances. Each of the 26 states has its taxation rate for gifts and donations. Rio de Janeiro charges 4 per cent and Santa Catarina 7 per cent. Some states give recipients exemptions up to a given amount. Find out the applicable taxation code where your loved ones live before sending, to avoid unnecessary taxation expenses.
- Declaration of Large Remittances – Brazilians are required by law to declare large remittances and file taxes accordingly. Failure to declare and file the taxes attracts a penalty of up to 20 per cent of the taxes owed. There is also a possibility of imprisonment for up to 2 years. Therefore, it is crucial that you notify your loved ones when sending large remittances. If they feel uncomfortable dealing with taxes, they should contact a tax professional.
- Foreign Currency Transfer Regulations – As part of the anti-money laundering laws and regulations in Brazil, funds transfer in foreign currency cannot be directly credited to the beneficiary’s account. A foreign-exchange transaction must take place first between the beneficiary and an authorised agent. The Brazilian Central Bank requires that the beneficiary provides sufficient documentation to support the transaction.
- Unbanked population – It is thought that there are around 46 million adults in Brazil that are unbanked, which can make money transfers difficult to organise.
The Brazil remittance corridors are getting busier and lots of money transfer players are coming in. Therefore, knowing the nitty-gritty when sending money home will help you transfer your money faster, safer, and cost-effectively.
Your Questions Answered
Looking to Send Money Somewhere Else?
Sending money anywhere else in the world is as easy as sending money to Brazil. If you’re looking to send money to another country, here is the list of the most popular destinations.
Jonathan is the founder and editor of MoneyTransfers.com. Jonathan is highly experienced in the currency transfer market, having previously worked in the FX trading industry, alongside being an avid traveller. Using his knowledge he identified a need for transparency and further education to help people save money on their money transfers, leading to the creation of MoneyTransfers.com