Ireland is a net remitting country with over $2.1 billion leaving the country every year and only $600 million coming in. The bulk of the transfers to Ireland come from the United Kingdom and the United States. Other source countries for remittances include Australia, Canada, Germany and Spain.
The United Kingdom has the highest number of Irish immigrants at 503,288, followed by the United States at 132,280, Australia at 101,032, Canada at 33,530, and Spain at 14,651. This data comes from the 2015 United Nations Department of Economic and Social Affairs report.
As expected, the remittances to Ireland come in hundreds of thousands of transactions of varying amounts through different money transfer channels. Therefore, it helps to know the various channels senders use, the information required when sending and receiving money and the factors to consider when sending. This guide explores all these areas and more. Read on!
Sending money to Ireland is simple and easy. Follow these steps to get started.
There are multiple ways to easily send and receive money in Ireland 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.
If you want to send money to your friends, family, and business associates in Ireland, there are various options you can use such as banks and online transfer services.
Depending on the method you choose, you may either pay more transfer fees, take a shorter time to transfer or not pay fees at all. Let us look at the most common ways open to sending money to Ireland.
Most people sending money to Ireland have traditionally been using the banking system. International bank transfers are safe and can handle large amounts of money. If you are transferring money from the UK, banks such as Barclays, NatWest, Llyods, and Nationwide are some of the commonly used institutions.
The banks you use will determine how fast the transfer will be processed. If you are sending money from the United States, using banks that have a presence in Ireland can save you a lot in fees and time. Banks such as Bank of America, Citibank, JP Morgan, and Wells Fargo are among the best choices for Irish nationals sending money from America.
The downside with banks is that the transfers are often processed at very low rates and may take a little longer to be finalised. Most banks charge between 2.5 and 3.5% in exchange rate margins to transfer funds from the UK to Ireland.
Also, both you and the recipient must have bank accounts to use the bank system to send your transfer.
Specialised online money transfer services such as WorldRemit, Xoom, TransferWise, OFX, XE, WorldFirst, and Ria are some of the best ways of transferring money to Ireland. They are low-cost, offer competitive rates, and transfer your money faster.
For instance, TransferWise doesn’t charge any exchange rate margin meaning all transfers to Ireland are done at the mid-market rate. XE and OFX, on the other hand, do not charge any transfer fees.
All it takes to send money through online money transfer providers is to sign up for a free transfer account with a provider of your choice, input the details of the recipient and pay for the transfer. Depending on the provider, you can pay via ACH, a credit card, or debit card.
When sending money to Ireland using online money transfer providers, you can opt for any of the following payout methods.
Online money transfer services have the advantage of speed, flexibility, affordability and availability across many sending countries. You don’t need to have a bank account in the sending country to do your transfer.
Cash transfer services such as Western Union and Money Gram allow you to send money to Ireland from physical walk-in agents. From the UK, you can send up to 50,000.00 GBP to Ireland through direct bank deposits or up to 5,000.00 GBP for cash pickup. MoneyGram allows you to send up to 6,000.00 GBP irrespective of the payout option.
You can pay for your transfer through a debit card, credit card, bank transfer or cash. The money arrives in minutes.
If you want to send money to Ireland, you will be required to provide certain information for your transfer to be executed. The information varies from one provider to another. Typically, you’ll need to provide the following:
Your family, friend or business associate in Ireland has two main options for receiving money. They can either go for direct to bank deposits or cash collection from an agent.
Direct-to-Bank Deposits- The money is deposited into the recipient account. This method is much slower taking up to 3 days for the transfer to be delivered. It is convenient for transferring a large amount of money.
Cash Pickups –The transfer is channelled through the provider’s agency network in Ireland. For Xoom, the agents it has partnered with are Antech, Dublin 1, Ria, Galway, Super Ketones Limited, TBS Mobile Phone Accessories, and Unlocking Master. In total the provider has 46 pickup locations in the country.
If the funds are credited into the recipient’s bank account, there is nothing required on the part of the recipient to access the money. For cash pickups, the recipient is required to provide the following information for verification and cash collection.
The anti-money laundering (AML) Act as enforced by the Central Bank of Ireland may require additional disclosures when large amounts of money are involved.
Just as there are hundreds of thousands of transactions to Ireland, the reasons behind the remittances are widely varied as well. Below are some of the reasons Irish nationals in the diaspora send money home.
Irish nationals send regular payments to help their families cater for expenses such as food, medicare, and other basic costs.
In Ireland most first time home buyers take up mortgages to finance their purchases. The current rules allow for mortgage facilities of up to 3.5 times the borrowers combined income.
Some Irish nationals especially those who work on contract abroad, often send their earnings home instead of banking them in their host countries. Also as part of prudent financial management, Irish diaspora transfer money into savings accounts back in Ireland. Whether they are anticipating to return someday or not, such buffers always come in handy.
Whether it is investing in financial assets or physical assets such as real estate properties, Irish diaspora is keen on building an investment portfolio back in their home country.
The choice of whether or not to send money with an online money transfer provider is influenced by factors such as the urgency, cost, exchange rate, availability and many others. Below are some of the top reasons why you should consider sending money through money transfer providers.
Every country has its own rules and laws regarding the handling of money and foreign income. In Ireland, you need to be aware of the following factors as you send money home.
Sending money to Ireland can be a simple process with the right providers. Always watch out for exchange rates, transfer fees, and hidden fees. Doing a cross-comparison helps.
Sending money anywhere else in the world is as easy as sending money to Ireland. 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