Wiring Money across the Atlantic
.... or how to give yourself many gray hairs, in 50 cloudy stepsHow do I get money from the USA to the UK?Why
this web page?How unhelpful will everybody
How do I get money from the USA to the UK?
Banks and the local bureau de change do not give good exchange rates.
If you are sending a large amount of money (eg., $10,000 or more), you will get
a better deal going thru a financial services institution that gives relatively
good exchange rates. The one I dealt with is Moneycorp. They charge £15 per
transaction, plus a very small percentage on the inter-bank rate (about 0.5%).
What I gained in good exchange rates I lost in customer service,
Many US banks (or other institutions, such as credit unions)
cannot wire money directly overseas. They requre a "corresponding" bank to
complete the transaction. The money will be wired to the corresponding bank, who
will then be able to wire the money directly to the foreign institution.
If you are using Moneycorp, they receive US dollars into (currently, 27
June 2003), a US dollar account held at HSBC Bank, 129 New Bond Street, London
W1A 2JA, SWIFT Code=MIDLGB22. You will need to request recipient account number
from Moneycorp. If your US bank (or credit union) wants you to nominate a
corresponding bank, tell them to use
HSBC Bank USA
And on the wire write the following:
ALL WIRES IN US DOLLARS
These details should entail that your
wire arrives as the exact and correct amount that you intended to send, and in
If you need to get the money over within a certain time
frame, you may need to do some steps in "wrong" order. For instance, usually one
would agree an exchange rate with Moneycorp and then contact the bank to wire
the money. But Moneycorp wants the money to be transferred over within 6 days. I
couldn't guarantee 6 days, because of the corresponding bank delays, the working
hours of my California contact (joint-bank holder) who would authorise the wire,
and the time differences between California and UK. Therefore, I obtained from
Moneycorp the bank details, gave them to my contact person in California, so he
could take the form into the Credit Union and authorise (via signature) the
wire. Once he told me the day the wire would be sent, I then phoned Moneycorp on
that date, to agree the exchange rate. From the time my contact person went into
Credit Union to arrange the wire, until the wire was sent, was ? days, ? over?
Why this webpage?
If it's so
straightforward, why did I bother to set up this web page?
straightforward. The background is that I wanted to wire money
from a San Diego Credit Union. The Credit Union wanted me to nominate a
corresponding bank. Moneycorp refused to help me figure out which US banks might
be able to serve as a corresponding bank; they insisted that the Credit Union
should know. The Credit Union stuck firm to their position that I had to tell
them which corresponding bank to use. A friend, who had previously had the very
same problems transferring money from a Bank of America branch to Moneycorp,
suggested that I contact the London HSBC branch that holds Moneycorp's dollar
account. They had given him details of a US HSBC branch (New York) that could
act as a corresponding bank. But when I phoned the HSBC London bank (New Bond
Street), they claimed to be in complete ignorance about any of the details
(address, swift code, or telephone number) of which HSBC New York branch they
usually used for wire transfers.
In the meantime I found (on the
Internet) a Manhatten branch of HSBC USA, and emailed HSBC USA. They confirmed
that the Manhatten HSBC had the ability (fortuitiously) to act as a
corresponding bank between the San Diego Credit Union and HSBC London (ie., no
other corresponding banks need be involved). I confirmed with Credit Union that
they were happy to use this HSBC branch as the corresponding
Moneycorp insisted that an exact and precise amount should arrive
in the US dollar account from me. So if we agreed "$10,000", it had to be $10k,
and $9,975 would not do. Having located (no help from HSBC London) a US branch
of HSBC that could act as corresponding bank, I then needed to know if the HSBC
New York branch would deduct further charges from the wire. I received
contradictory information from six sources, about how much and whether such
charges would be deducted from the wire. I was also concerned that HSBC USA
would try to convert the money into Great Britain Pounds before
it to HSBC London. I received much contradictory advice on this point, as
The replies went something like this:Which
corresponding bank in the USA should I use?No information,
not our problem
: Credit Union, HSBC New Bond Street London,
Moneycorp.What charge would the corresponding bank take
directly out of the wire?Varies, depends on wire amount
HSBC email (firstname.lastname@example.org).$25
: Carol at the 1-800-975-HSBC
number.Something, but unknown how much
: San Diego Credit
Union.None if we write "REMITTER PAYS" on the wire itself
HSBC head office.None
: HSBC New York (telephone call); and The HSBC
Foreign Account Dept. in UKNo information, not our problem
Moneycorp.Would the corresponding bank transfer the wire from
US$ into GBP before wiring across the Atlantic, if it was going into a US dollar
account?"In general", but might be avoidable
: Globalinfo@us.hsbc.com email.No information, not our
: HSBC New Bond Street, London. Moneycorp.
decided I just had to try and see what would happen. The instructions I gave in
the first section above ("How do I get money from the USA to the UK?") worked.
The exact amount that I intended to wire arrived, and the charges were....? But
I'm not promising they'll work for anybody else -- far from it! Maybe I was just
How unhelpful will everybody be?
All along the way I had contradictory information. The Credit
Union, everyone at HSBC except the New Bond Street branch
, at least
tried to be helpful. But the inability of HSBC staff to give consistent answers
was very unhelpful. Moneycorp flatly refused to help, except for giving me the
HSBC New Bond Street details. Below some excerpts from the communication
log.11 June 2003:
Email from San Diego County County Credit
Union, Information System:
The information that you listed for the
corresponding bank (HSBC Bank USA (New York Branch) ) is correct, and is exactly
what we would require for the wire transfer.....
corresponding bank will deduct its fees directly from the wire you are sending.
It can range from $10 to $25 dollars depending on the amount. I contacted our
wire department to obtain a phone number for HSBC, it is as follows-
Please call them to see what the cost will be to transfer
the amount you are requesting.
In general, the corresponding bank will
exchange the funds into Pounds Sterling automatically. To try and prevent this,
please have the representative at SDCCU place instructions with the wire, to
request not to convert/exchange the funds. Please note: SDCCU can not assure, or
guarantee that placing the instructions will prevent the exchange to Pounds
Sterling. The corresponding institution is in no way affiliated with SDCCU. They
are established as individual institution, that specialize in foreign
We can only recommend to contact them for any specific
instructions to prevent the exchange ( other than the initial request from
SDCCU).12 June 2003:
Thank you for your recent e-mail to HSBC.
charges assessed may vary depending upon the amount of the transfer. This fee is
generally taken out of the funds that are transferred. All transfers are made in
US Dollars. It is up to the receiving institution to convert the funds if
necessary. The process is generally completed within 48 hours. For more
information, please contact us at the number listed below. If you do not have
access to US 800 numbers, you may call us collect at (716) 841-7212.
wire funds through HSBC Bank USA please provide your bank the following
information:... 13 June 2003:
I phoned Moneycorp, who I
want to do my conversion from dollars to Pounds Sterling. Moneycorp wants an
agreed and exact amount to be wired to their dollar account, with HSBC, New Bond
Street in London. I asked for New Bond Street's phone number, which Money Corp
I phoned New Bond Street. They knew nothing about coresponding
banks, said that they do their wire transfers to the USA through "HSBC New
York". They didn't know if that was New York City or New York State. They didn't
have an address, Swift No. or phone number for "HSBC New York".
the +1-716-841-7212 phone number for the HSBC Manhattan branch. First he said
that the standard HSBC charge for foreign wires, from their own customers'
(HSBC) accounts, is $25. Then he put me on hold, phoned up the wire room and
asked, and got back to me. Saying that his wire room told him that there was no
surcharge when HSBC (his branch) was acting as a corresponding bank.
patience finally wore out. My husband took over and phoned Carol at the
1-800-975-HSBC number who checked with the International Department -- they say
that there should be a $25 fee. My husband queried why the difference with
globalinfo (on email) and the chap at the +1-716-841-7212 number. We ended up
speaking to "Douglas" in the UK. Douglas phoned the HSBC branch where we want to
transfer money to (New Bond Street). Then Douglas put us onto the HSBC Foreign
Account Dept. (08457-43445).
The HSBC Foreign Account Dept. only deals
with foreign accounts. Not foreign transfers. They are under the impression that
the New York Branch would impose no fee for acting as a corresponding bank. They
suggested we phone the HSBC head office.... +44-020-7260-8000.
office ("Georgina") said probably a charge would be made to wire the money
between HSBC New York and HSBC London. However, that standard banking practice
would be to bill the sender, at the originating insititution for the wire
charges between HSBC New York and HSBC London. She said to include "REMITTER
PAYS" with the wire to ensure that no charges are taken out of the wire itself,
but instead will be billed to me at the originating instititution (SDCCU).
Add your comment