Send money internationally to Mexico (MXN) using the mid-market exchange rate. Check and compare the rates from the major financial providers.
Send money to Mexico
What is the best MXN exchange rate today?
How much does it cost to send money to Mexico?
- International money transfers shouldn’t be expensive.
- Make sure your provider doesn’t add hidden fees or bad exchange rates to your money transfer.
- You should choose a provider that uses the mid-market exchange rate to convert your money.
Remittances figures in Mexico
According to the WorldBank, Mexico is the country that receives the fourth highest amount of remittances with a total of 24,8 billions $ in 2015 with money sent almost entirely from the United States. Remittances from the United States to Mexico represent the biggest corridor transfer in the world with a total of 24,3 billions $ sent in 2015. Remittances are mainly small amounts sent regularly by migrants to their families back home. As Latin American countries have a large number of migrants in the United States, transferring remittances has become a huge industry in its own right. Outbound remittances totaled 2,7 billions $ in 2015 with funds mainly sent to the United States, Guatemala and Spain.
What solutions exist to send money to Mexico? As Mexico receives more money from personal transfers from the US than any other country, the solutions available are endless and the market is very competitive. That’s why it is important to compare your different options, in order to make the most value out of your money. In Mexico, only 40% of the adult population have a bank account so cash pick-up is the delivery method the most used in the country. A lot of money transfer company allow to transfer to Mexico by cash delivery such as Western Union, Moneygram, Ria money transfer, Remitly, Worldremit, SmallWorld, Xoom, Transfast, Sharemoney and others.
Rates and Fees of remittances to Mexico
The average cost of sending money to Mexico with banks is 6% of the total amount sent whereas it is around 2,9% with a money transfer company (by bank transfer delivery) and 3,7% (by cash delivery).
We can see that the cheapest solution to send 1000$ to Mexico by bank transfer is Transferwise but the transfer takes 8 days ! The cheapest solution is not the same according to the amount sent and to the payment methods. That’s why it is so important to compare all the options.
What to compare?
Payment method: pay-in options are bank transfer, credit/debit card or cash deposit. The transfer can be more expensive or slower depending on the pay-in method. Generally speaking, a bank deposit will take longer than a card or cash deposit, but a transfer by card is more expensive.
Delivery method: many options are available to receive the money on the other side: bank deposit, cash pick-up, prepaid debit card, ATM withdrawal or SWIFT. There are also options like email, mobile recharge, mobile wallet (not so used in Mexico), and home delivery.
Transfer Delay: The speed of the transfer is dependent on the chosen MTO. Generally, if you need an urgent transfer, the fastest way to send money abroad is to pay it by credit card and to receive it by cash pick-up or via mobile or to use the MTO's express service. This will be more expensive.
Transfer Cost: there are two types of fees charged on a transaction. There are the flat fees which depend on the amount sent. And then there are what we call the “hidden fees”, those related to the exchange rate charged by the money transfer operator. What often occurs when comparing money transfer solutions is that either the provider offers you a lower transaction fee but a lower exchange rate, either it offers you a higher exchange rate but a higher transaction fee. This can make comparing costs very complex because you have to consider the total cost of the transfer and not only look at the fix fees announced by the MTO.