Details on how we structure our fees, generally speaking, can be found here, but sometimes, concrete examples can be helpful. Let's say you're in the US, and you want to send $100 to someone. The fees incurred for this transaction depend on where you're sending the money to, and how the recipient withdraws the funds.
Sending money domestically
- Sending $100 within the US, where the user withdraws to their bank account: the recipient receives $100.
- There are no fees.
Sending money abroad
When you send money from one country to another, the funds get converted from US dollars into the recipient's home currency, so you need to pay attention to the foreign exchange rate.
Abra's foreign exchange rates are pretty much the best in the business. You can check Abra's current exchange rates at any time within the app and compare it to other services. For example, on April 7, 2017, we found the following exchange rates for USD to the Philippine Peso (PHP):
- Abra: $1 = 49.28 PHP
- Xoom: $1 = 48.80 PHP
- Western Union: $1 = 48.89 (bank)/47.74 (cash) PHP
A higher exchange rate means your recipient gets more pesos for every dollar you send. Always check foreign exchange rates before you send money.
Additionally, your recipient can choose how and where they withdraw funds, so their choice impacts the fees they pay on their end. See the examples below for how this works:
- Sending $100 from the US to the Philippines, where the recipient withdraws cash at an Abra Teller:
- The recipient receives ₱4928 (exchange rates fluctuate daily, so check the app), visits a Teller, who then takes a 1.5% fee before handing ₱4855 in cash to the recipient (that's ₱4928 less the 1.5% fee, which in this case is 73 pesos, or about $1.50.
- Sending $100 from the US to the Philippines, where the recipient withdraws cash to their bank account.
- The recipient receives ₱4928 (exchange rates fluctuate daily, so check the app) and withdraws that amount to their bank account. Abra does not charge a fee, but banks sometimes charge a small fee for inbound transfers - check with your bank for more information.
- Sending $100 from the US to the Philippines, where the recipient uses some of the funds to purchase items from an online merchant who accepts Abra, and forwards the rest to two other family members.
- The recipient receives ₱4928 (exchange rates fluctuate daily, so check the app) and pays no fees to spend online or to forward the cash onto other relatives via the Abra app. The other relatives may incur fees on their end, though, depending on how they want to withdraw funds.
We never charge a sending fee, a rush fee, or made-up fees like a "cross-border fee" (what is that, PayPal?), so once you know the foreign exchange rate and how your recipient will withdraw the funds, you'll know how much they'll get at the other end.