Wise vs Other Money Transfer Options for DAFT Movers
Our first month in the Netherlands, we needed to transfer $10,000 from our US bank.
Bank quote: $45 fee plus 3% exchange rate markup. Total cost: $345.
We used Wise instead. Cost: $68. Saved $277 on one transfer.
Three years later, Wise is still our go-to.
For a complete banking setup, see our best US banks for American expats guide.
The Options
Wise (Our Choice)
What it is: Online money transfer with real exchange rate.
Cost: 0.5-0.7% fee, no exchange rate markup.
Speed: 1-2 business days.
Example: $5,000 transfer = ~$28 fee.
Our experience: 50+ transfers, never an issue.
Bank Wire
Cost: $25-50 fee plus 2-4% exchange rate markup.
Speed: 3-5 days.
Example: $5,000 transfer = ~$190 total cost.
When to use: Large one-time transfers ($100,000+) where flat fee is small percentage.
OFX
Cost: No fee over $10,000, but 0.5-1% exchange rate markup.
Speed: 1-2 days.
When to use: Alternative to Wise for large transfers.
PayPal
Cost: 5% fee plus exchange rate markup.
Don't use it. Way too expensive.
Real Cost Comparison
$5,000 transfer:
| Service | Total Cost | Percentage |
|---|---|---|
| Wise | $28 | 0.56% |
| OFX | $50 | 1% |
| Bank wire | $190 | 3.8% |
| PayPal | $350 | 7% |
Wise wins by a lot.
How Wise Works
- Create account at wise.com
- Link US bank account
- Link Dutch bank account
- Enter transfer amount
- See exact fee and rate upfront
- Confirm and wait 1-2 days
Setup time: 3-5 days (mostly waiting for verification).
Transfer time: 5 minutes per transfer.
Our Strategy
Regular transfers: Wise, $3,000-5,000/month, ~$25 fee.
US taxes: Keep enough in US account, pay directly, no transfer needed.
Initial move: Bank wire for $50,000 (one-time, flat fee was small percentage). Learn about DAFT moving costs.
Tips to Save
Transfer larger amounts less often: Percentage fee is lower on larger amounts.
Watch exchange rates: If rate is good, transfer more. Set alerts on Wise.
Refer friends: Wise gives free transfers for referrals.
Our Savings
Annual transfers: ~$50,000
Wise cost: ~$250 (0.5%)
Bank would have cost: ~$1,750 (3.5%)
Annual savings: ~$1,500
The Bottom Line
Use Wise for most transfers. Cheap, fast, reliable.
Set up before you move: Link both bank accounts while you still have easy access.
What we use: Wise for 95% of transfers. You'll save hundreds per year.
For more on managing finances across borders, see our complete moving to Netherlands guide and keeping US bank accounts after moving abroad.
Digital Guide — $199
Exchange rates and fees change. Always verify current rates before transferring.