Banks make a domestic wire transfer to send funds to financial institutions residing in the same country or financial zone. When sending funds to financial institutions in a foreign country or financial zone, banks have to make an international wire transfer.

The differences between these two wire transfers affect the number of fees banks charge and the duration it takes to complete the transfer.

Read on to discover what these differences are, and how they can affect your wire transfers.

  1. US Domestic Wire Transfers
  2. US International Wire Transfer
  3. EU Domestic Wire Transfer
  4. EU International Wire Transfer
  5. Domestic and International Wire Transfer in Canada
  6. Domestic & International Wire Transfer in Australia
  7. Transfer Your Funds

Domestic International Transfers

US Domestic Wire Transfers

Banks in the US use either the Fedwire or the Clearing House Interbank Payments System (CHIPS), to make domestic wire transfers. Transactions that use the Fedwire system have to follow the Federal Reserve Regulation J, charging approximately between $25 and $35 varying on the institution. 


US banks that use the Fedwire to make transfers, rely on the American Bankers Association (ABA) routing transit number to identify the receiving bank.  The ABA routing transit number has nine digits of code that identifies a US bank.

Fedwire transfers are fast, and the receiving bank credits their customer’s account almost immediately. A customer can access the funds as soon as the bank gets a notification of the funds getting credited to its Federal Reserve account.

The following are instructions demanding the receiving bank of the transaction; the routing number of the receiving bank, account number, name and dollar amount to be transferred. 


CHIPS Operating Rules, govern wire transfers that use the CHIPS system. The system is operated by the New York Clearing House Association. However, with CHIPS, funds are cleared at the end of the business day.

At the close of the day’s business, the CHIP system adjusts each bank’s net balance at the Federal Reserve Bank in New York.

US International Wire Transfer

When making international wire transfers, US banks use either Fedwire or CHIPS system to carry out the wire transfer. However, they rely on the Society for Worldwide Interbank Financial Telecommunications (SWIFT) codes, to send the wire instructions.

SWIFT is not a funds transfer system, rather, it is a non-profit global association of over 9,000 banks.  All SWIFT communication follows SWIFT Operating Rules.

Both domestic and international wire transfers from the US can be costly. That is because there are no regulations limiting the fees that US banks can charge for a wire transfer. International transfers could cost up to $43 per transaction while $8 to $10 charges are deducted from recipients’ accounts.

US International Wire Transfer Fees

When you make an international wire transfer, you may pay additional fees, which ordinarily don’t apply to local transfers. These fees included currency conversion fees and intermediary bank fees. Therefore, you have to consult the sender, about how you can split the transfer fees.

It’s customary when making an international wire transfer, for the sender to pay any fees charged by the sending bank, while the receiver pays any fees charged by the intermediary banks, as well as the receiving bank.

That works best because both the sender and receiver can then consult their banks easily, to know how much fees they are likely to get charged.

Similarities between Domestic and International US wire Transfers

When making a US Domestic Wire Transfer or US International Wire Transfer, your bank may request you to provide them with at least two types of identification. Often, one of the IDs must have your image on it, while the other should have your current physical address.

You can use your state ID, driving license, or passport as your photo ID. The other ID must be an official document, which includes a bank statement, valid driver’s license, debit or credit card, or your health insurance card.

And if you are a business, then you need to provide a copy of your articles of incorporation, in place of a photo ID. However, if you already have an account with your bank, chances are you have already provided them with these documents.

In that case, you can simply request the domestic wire transfer online, or visit your local branch. If you do it online, your bank may give you a call to confirm the transfer, if the amount exceeds a certain limit, or it is the first of its kind that you are making.

You will also need to specify a reason for transferring the funds. That is important if the amount you are transferring exceeds $10,000, or you are sending multiple amounts that exceed $10,000 within a period of 30 days.

Your bank will inform the relevant agencies involved in monitoring banking fraud.

EU Domestic Wire Transfer

EU domestic wire transfers are executed using SWIFT or Bank Identification Code (BIC), an international code used by banks for transactions of which each bank has its own unique code and the International Bank Association Number (IBAN) to identify the receiving bank.

Irrespective of the method used to make a wire transfer, all EU member Banks have to adhere to the Single Euro Processing Area (SEPA) regulations.


The SEPA regulations state that all wire transfer charges within the EU member states, must not exceed the national fee to complete the same wire transfer. Therefore, most EU Banks do not charge a fee for acting as an EU intermediary or correspondent bank. However, banks can charge exchange fees for converting currencies.

The Single Euro Processing Area ( SEPA) is a European Union payment-integration initiative consisting of thirty-six countries — the 19 Eurozone states namely Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, The Netherlands, Portugal, Slovakia, Slovenia and Spain and eight non-Eurozone states — Bulgaria, Croatia, Czech Republic, Denmark, Hungary, Poland, Romania, and Sweden; the four member states of the European Free Trade Association and the four microstates including the United Kingdom.

It employs three individual schemes to function which are the SEPA Credit Transfer, SEPA Instant Credit Transfer, SEPA Direct Debit.

When using SEPA, the recipient (payee) debits the sender’s (payer’s) account, using a form known as the SEPA Direct Debit Mandate. The debtor must sign the form, before the creditor is allowed to debit funds from their account, at least once.

SEPA Post Brexit

UK residents may continue to enjoy the convenience of making wire transfers under SEPA, but they may be required to provide additional information, such as their physical addresses.

EU International Wire Transfer

International wire transfers originating from or destined to the EU member banks use SWIFT/BIC and IBAN to effect a wire transfer. However, EU international wire transfers do not follow SEPA rules, when the sending or receiving bank is not a SEPA member.

That makes the cost of sending and receiving wire transfers to the EU, comparable to those of countries outside the US. However, it is still cheaper to make an international wire transfer from the EU, than from the US.

Domestic and International Wire Transfer in Canada

To send a domestic and international wire transfer in Canada, you need to know the recipient’s full address and their receiving bank account’s details. You can ask the recipient to send them to you. Bank and payment processors often verify those details before initiating a transaction.

Some of the recipient bank details needed may include the International Bank Account Number (IBAN), Bank Identification Code (BIC), American Bankers Association (ABA) number, routing number, and Society for Worldwide Interbank Financial Telecommunication (SWIFT) code.

Domestic Wire Transfer in Canada

A domestic wire transfer in Canada can take as little as a few hours. However, you get to pay more for a wire transfer in Canada for the convenience they offer. However, you can pay less if you initiate a Canadian wire transfer online.

Some Canadian banks allow you to schedule your domestic wire transfers for up to 30 days. You can set the amount and date that you want the wire transfer to execute. Once a wire transfer is complete, you cannot cancel it. However, you can view the details of the transfer.

When sending money between local banks, we recommend that you use an electronic funds transfer (EFT). It is cheaper for the recipient and the sender. However, it cannot be used for international transfers.

International Wire Transfer in Canada

A Canadian international wire transfer can take up to five days to complete. And just like local transfers, once the funds have left your bank account, you cannot cancel the transfer.

However, you can track your funds and view the transfer details. Moreover, for international Canadian wire transfers, banks offer real-time FX exchange rates. That information can help you manage your international wire transfer sending costs.

However, you cannot make an EFT transfer when sending money internationally in Canada. However, by using the wire transfer, you get to send funds in multiple currencies. The only downside is it may cost you more than an EFT transfer.

Domestic & International Wire Transfer in Australia

To send a wire transfer in Australia, your bank will ask for the recipient’s address and bank details. Those details include the recipient bank’s SWIFT code, bank name, and bank address.

You will also need the recipient’s full address, bank account number, and bank account name. The amount you will pay for a wire transfer may vary in different banks. Moreover, the recipient pays the wire transfer charges, though the recipient bank may charge the additional receiver fees.

Domestic Wire Transfer in Australia

To send a domestic wire transfer, both the sender and recipient need to have a bank account. That means you cannot do a domestic wire transfer anonymously in Australia. Moreover, the recipient can receive their funds instantly or on the same day.

International Wire Transfer in Australia

You get most of the benefits with an international wire transfer in Australia. However, with international wire transfers, you can also send money in multiple currencies.

An international wire transfer takes about three business days to complete. Unlike a domestic wire transfer, which is often free, an international transfer may incur some fees. However, you pay minimal fees if you initiate the transfer online.

Transfer Your Funds

Generally, most international transfers are done using SWIFT (Society of Worldwide Interbank Financial Telecommunication) which employs a secure messaging system activated for information transfer between banks, such as international wire transfer instructions. It has a network of over 10,000 banks and financial institutions spread across 200 countries.

SWIFT ensures the making of the international wire transfer process an easy and simple one which basically entails SWIFT sending instructions to make a deduction from your bank account and an addition to the recipient’s bank account. The relevant information required to make transfers often differ from bank to bank but mostly includes the name and address of the recipient’s bank, recipient’s account number/ IBAN, BIC or SWIFT code of recipient’s bank, amount to transfer, and currency to be received in, the reason for making the transfer and fee payment requirements between sender and recipient — a sender can either decide to cover all fees or share fee payment with the recipient.

Note also that despite the stated transfer duration of both domestic and international transfers, some factors can affect how long it takes for a recipient to receive the transfer. Factors include detailed errors, time zones, currencies, bank holidays, and weekends. It is fairly important to ensure demanding and stating correct details before transfers are made. Double-check SWIFT and BIC codes, account numbers, and recipient information.

We hope that you found this guide to be informative, and engaging. If you need a safer and fast way to send money, then check out our recommendations for the best deals.