How to Send Money Internationally: Complete Guide for Nigerians and Africans

Have you ever tried sending money abroad and felt frustrated by the high fees, poor exchange rates, or endless delays? You’re not alone. For millions of Nigerians and Africans, figuring out how to send money internationally has become crucial. It is more than just a financial transaction, it’s a lifeline.

Whether it’s a student paying tuition in the UK, a freelancer receiving payment from a U.S. client, or a parent supporting family members overseas, international money transfers have become the backbone of modern financial life.

Nigeria alone receives billions of dollars in remittances every year, according to the World Bank. This makes it one of the top 10 remittance destinations globally. This isn’t just about numbers; It’s about families depending on those funds for survival. Businesses need cross-border payments to grow. Individuals seek cheaper, faster, and safer ways to move money across borders.

This guide will walk you through everything you need to know about international transfers. It covers both traditional methods and modern digital solutions. This way, you can choose the best option for your needs.

Understanding International Money Transfers

Before you rush to the bank or download a money transfer app, you should understand the process. It’s important to know how international money transfers actually work. Many people only see the “Send” button, but behind that simple click is a complex financial system made up of:

• Exchange rates: The rate at which one currency is converted into another. This is where banks and money transfer companies make most of their profits. For example, if the official rate is ₦1,500 per dollar, some providers might give you ₦1,420 and pocket the difference.
• Transfer fees: The upfront charges you pay for using the service. These can be fixed (e.g., $10 per transfer) or percentage-based.
• Delivery time: Some transfers arrive in minutes, while others take days depending on the method used.
• Receiving options: Cash pickup, bank deposit, mobile wallet credit, or even cryptocurrency.

Understanding these basics can save you thousands of naira in hidden fees over time. For example, sending $500 via a bank might cost you ₦40,000 more. It is more economical to use a fintech app like Wise or WorldRemit.

In short, when learning how to send money internationally, you need to pay attention to several factors. Not only should you consider the fee on the receipt, but you must also beware of the hidden exchange rate margin. That’s where most people lose money without realizing it.

Traditional Methods of Sending Money Internationally

For decades, Nigerians and Africans used traditional channels. These include banks and money transfer operators (MTOs) such as Western Union and MoneyGram. These methods are still widely used today, but each comes with its own set of pros and cons.

Sending Money Through Banks

Commercial banks remain one of the most trusted ways to send money abroad. Using a domiciliary account, you can initiate international transfers through the SWIFT network. However, this method is often:

• Expensive: Banks charge both flat fees and poor exchange rates. For instance, a $1,000 transfer might attract $50+ in combined fees.
• Slow: It can take 2–7 business days for funds to arrive, especially with intermediary banks involved.
• Paper-heavy: Requirements like ID, tax numbers, and proof of payment add layers of bureaucracy.

Despite these drawbacks, banks are still popular for large, formal transactions. This includes paying school fees or importing goods. They are considered “official” and compliant with CBN regulations.

Western Union, MoneyGram, and Ria

You may have stood in a long line at a bank branch just to collect money. If so, chances are you’ve used Western Union or MoneyGram. These companies have decades of global presence and allow cash pickups in minutes.

• Advantages: Speed and availability. Funds are often available within hours, and rural areas in Africa usually have Western Union agents.
• Disadvantages: Fees are steep, sometimes as high as 10% of the transfer amount, and exchange rates are rarely favorable.

For example, sending ₦500,000 equivalent from Lagos to London could cost more than ₦50,000 in fees and hidden charges.

Why Traditional Methods Are Losing Ground

Today’s generation is looking for faster, cheaper, and more flexible solutions. Traditional services are bulky and costly. They don’t fit the needs of digital entrepreneurs, freelancers, and everyday Africans who expect instant transactions. That’s why fintech-based platforms are increasingly replacing Western Union queues with simple mobile apps.

Modern Digital Methods of Sending Money Internationally

Over the last decade, the world has changed significantly. We have moved from long bank queues and rigid forms to fast, app-based money transfer systems. For Nigerians and Africans, this shift has been a game-changer. Students no longer need to beg their parents to spend hours at the bank. Freelancers do not have to lose half their hard-earned pay to hidden fees. Instead, international transfers can be initiated from a phone in seconds. Let’s break down the most popular modern digital methods:

Fintech Apps (Wise, WorldRemit, Remitly, Send by Flutterwave, Chipper Cash)

Fintech apps have become the go-to solution for people searching for how to send money internationally without stress. They offer:

• Transparent Exchange Rates: Banks quietly cut 50–100 naira per dollar off the official rate. In contrast, fintechs show you the live mid-market exchange rate before you send. For example, if the dollar is officially ₦1,500, Wise may give you ₦1,498—not ₦1,420 like some banks. That tiny difference saves you thousands in a single transfer.
• Lower Fees: Many apps charge between 1–3% of the transfer, compared to banks charging 5–10%. For a $1,000 transfer, you might save up to ₦30,000.
• Speed: Transfers can arrive within minutes to hours. A Lagos-based freelancer I interviewed shared how his $300 Upwork payment reached his Wise account in less than 2 hours. This was much faster than waiting 5 days via his local bank.

What makes these apps relatable is their ease of use. Most young Nigerians are already used to mobile banking apps. Fintech transfer apps feel similar—except they work across borders. For a mother in Ibadan sending upkeep money to her son studying in Canada, it’s as simple as sending airtime.

Mobile Wallets and Digital Platforms

Beyond specialized transfer apps, mobile wallets like PayPal, Payoneer, and even cryptocurrency wallets (USDT, Bitcoin, Ethereum) are becoming mainstream.

• PayPal & Payoneer: Freelancers often use these to receive client payments. Once received, they can withdraw to a Nigerian bank or transfer funds abroad.
• Crypto Transfers: Love it or hate it, cryptocurrency has become a silent hero for international remittances. Sending USDT from Lagos to London can take less than 10 minutes, with fees as low as $2. For many tech-savvy Nigerians, this beats paying $50 to a bank.

However, it’s important to note that crypto transfers require basic knowledge of digital wallets and sometimes face regulatory hurdles. Still, for many Nigerians—especially those locked out of PayPal—crypto has become the most practical option.

African Fintech Startups

While Western apps dominate global transfers, African fintech companies are stepping up. Platforms like Send by Flutterwave, Chipper Cash, and Eversend allow Africans to send and receive money within the continent and abroad.

Imagine a scenario: a young Nigerian entrepreneur needs to pay a graphic designer in Kenya. Using Chipper Cash, she can send naira that gets instantly converted to Kenyan shillings. There’s no need to touch a bank and no need to wait days. This “Africa-to-Africa” solution is something traditional banks never cared about, but fintechs have embraced because they understand local pain points.

Cheapest and Fastest Ways to Send Money Internationally

Now, let’s address the biggest question: “What is the cheapest and fastest way to send money internationally?”

The truth is, the answer depends on your situation. A student paying $10,000 tuition has different needs from a trader sending $200 for supplies. That’s why it’s important to compare costs and timelines before hitting “send.”

Cost Comparison: Banks vs Fintechs vs Crypto

• Banks: Slowest and most expensive. You lose money in both upfront fees and bad exchange rates. Good only for official, regulated payments.
• Fintech Apps: Best balance of speed and cost. Apps like Wise and Remitly often deliver in hours with fees 70% lower than banks.
• Crypto Transfers: Fastest and cheapest, but risky for beginners and sometimes frowned upon by regulators.

Example: Sending $1,000 to the UK

• Bank route: $50 in fees + ₦80,000 lost in bad rates
• Wise: $10–15 in fees, fair rate
• Crypto (USDT): <$5 in fees, near-instant delivery

For the average Nigerian, fintech apps strike the perfect balance—safe, cheap, and fast.

Real-Life Scenarios

Let’s make this more understandable:

• Scenario 1: A Nigerian dad wants to send upkeep to his daughter in Canada. He chooses WorldRemit. Within 30 minutes, the funds land in her Canadian bank account with minimal charges.
• Scenario 2: A Lagos-based freelancer gets paid via Payoneer. Instead of withdrawing to his Nigerian bank at poor rates, he converts Payoneer balance to dollars and transfers via Wise. He ends up saving ₦45,000 every month compared to bank withdrawals.
• Scenario 3: A tech bro in Abuja needs to pay for an online course in the U.S. He uses crypto (USDT). The transaction costs him just $2 in gas fees and clears in minutes.

By matching your use case to the right platform, you’ll avoid overpaying for international transfers.

Legal and Regulatory Concerns

Here’s where many Nigerians get stuck: “Is it legal to send money internationally using these apps?” The answer is yes—but with conditions.

CBN Rules and Compliance

The Central Bank of Nigeria (CBN) regulates all foreign exchange transfers. That’s why banks and licensed IMTOs (International Money Transfer Operators) follow strict procedures like:

• Providing valid ID
• Filling “Form A” for school fees, medical bills, or BTA (Basic Travel Allowance)
• Declaring source of funds

For fintechs operating legally in Nigeria, compliance is built-in. Wise, Flutterwave, and Remitly are regulated partners. But if you’re moving large sums (say $10,000+), you’ll almost always need to show documentation.

Risks of Using Informal Channels

Many Nigerians still use “black market” agents—guys who promise to deliver dollars abroad in exchange for naira here. While this may seem faster, it comes with risks:

• Scams: You could lose your money with no recourse.
• Legal Issues: If caught, you may face regulatory penalties.
• Poor Security: No guarantees of privacy or safe delivery.

It’s always better to stick with regulated channels, even if they cost slightly more.

Tax and Reporting Concerns

In some cases, receiving large sums internationally can trigger tax scrutiny. Freelancers earning from abroad, for example, are expected to declare income. Ignoring this may not cause problems immediately. However, it could catch up later when you try to scale your business or open corporate accounts.

Comparing Transfer Fees and Exchange Rates

Have you ever noticed that sometimes sending $100 (or ₦100,000) abroad actually costs you much more than expected? That’s because two hidden costs usually eat into your transfer: transfer fees and exchange rates.

• Transfer Fees:
  Some banks in Nigeria charge a fixed fee, say ₦5,000 – ₦10,000. This fee applies for sending money abroad, no matter the amount. On the other hand, digital platforms like Wise or Payoneer may charge a smaller percentage fee. At first, this difference may not look big, but imagine sending money every month—it quickly adds up.
• Exchange Rates:
  This is where most people lose money without realizing it. The bank might tell you the official exchange rate is ₦1,500/$. But, when you check parallel markets or fintech apps, you may find ₦1,520/$ or higher. That small gap multiplied by hundreds or thousands of dollars is what makes transfers expensive.

👉 For example: If you send $1,000 through a bank at ₦1,500/$, your recipient gets ₦1,500,000. But if you used a fintech app offering ₦1,520/$, they’d get ₦1,520,000. This is a difference of ₦20,000 in just one transfer. Imagine this over several months.

💡 Pro Tip: Always compare international money transfer services in Nigeria side by side before clicking “Send.”

Common Challenges Nigerians Face When Sending Money Abroad

Sending money internationally isn’t always smooth, especially if you’re in Nigeria or other parts of Africa. Some of the most common problems include:

• Unstable Exchange Rate Policies: Nigeria’s forex market is constantly shifting. One day transfers are smooth, the next day restrictions appear. This makes it hard for students, freelancers, or families depending on remittances.
• Transfer Delays:
  Sometimes, your money takes 3–7 working days to land in the recipient’s account. Imagine paying school fees in the UK and the payment doesn’t reflect on time—it can be stressful.
• Hidden Fees:
  Many banks and even some apps advertise “zero fees,” but they hide the charges in the exchange rate margin. The sender often doesn’t realize until they calculate how much the recipient actually got.
• Country Restrictions:
  Not all countries allow direct transfers from Nigeria. For instance, some African fintech apps won’t let you send money directly to Asia. This forces people to use middlemen, which increases cost and risk.

👉 Learn from this story: Ayomide, a Nigerian freelancer working with a Canadian client, once lost $75. Her bank used a poor exchange rate and delayed the transfer by five days. Her client almost doubted her credibility because the money seemed “stuck.” This is a common headache for many Nigerians.

💡Always research the best apps for international money transfer in Nigeria before sending large amounts.

Safety and Security of International Transfers

Money transfer is all about trust. Nobody wants their hard-earned money disappearing into thin air. That’s why safety should be your number one priority.

• Bank Transfers:
  Nigerian banks are regulated by the Central Bank of Nigeria (CBN), making them relatively safe. But because of bureaucracy, they sometimes have longer delays.
• Fintech Apps:
  Apps like Wise, Payoneer, and Remitly use encryption technology, fraud monitoring, and are licensed in multiple countries. These security layers make them safer than traditional money changers or informal routes.
• Avoiding Scams:
  One big mistake people make is sending money through “a guy they know” who promises better rates. Many Nigerians have been scammed this way, losing hundreds of thousands. Always stick with regulated platforms.

For instance: If your sibling in the U.S. needs urgent medical funds, you don’t want to gamble with unreliable channels. Knowing that fintech apps track every transfer and notify both sender and receiver in real time brings peace of mind.

💡Note: Look out for platforms that are CBN-approved international money transfer operators in Nigeria, that’s your guarantee of safety.

Step-by-Step Process of Sending Money Internationally

Many people get anxious when it’s time to send money abroad because they think it’s complicated. In reality, the process is straightforward once you understand it. Let’s walk through it step by step, using both banks and fintech apps as examples.

1. Choose Your Platform: Decide on your method. You can use your Nigerian bank, such as GTBank, Zenith, or UBA. Another option is a fintech app like Wise, Remitly, or Payoneer. Your choice should depend on fees, speed, and the recipient’s location.
2. Verify Requirements: Banks will often ask for supporting documents (passport, utility bill, BVN, purpose of transfer). Fintech apps usually only need your ID and basic verification.
3. Fund Your Transfer: With banks, you must deposit naira or foreign currency into your domiciliary account. With fintech apps, you can fund using your debit card, bank transfer, or even mobile wallets.
4. Input Recipient Details: Accuracy here is critical. For banks, you need the recipient’s account number, SWIFT code, and bank address. For apps, an email address or simple bank account number is often enough.
5. Confirm Exchange Rate & Fees: Don’t just click “Send.” Double-check the rate being applied and the transfer fee. This step is where most people lose money without noticing.
6. Send & Track: After confirmation, you’ll get a transaction receipt or tracking number. Fintech apps are usually faster (minutes to hours), while banks can take days. Always keep proof of payment.

👉 Note: Imagine paying your child’s university fees in Canada. If you miss one digit in the SWIFT code, the money may bounce back after 7 days, wasting precious time. Double-check every entry!

Choosing the Best International Money Transfer Platform

Now that you know the process, how do you decide which platform is best for you? This is where many Nigerians get confused. The truth is, there’s no one-size-fits-all. It depends on your specific situation.

• For Students Abroad: Wise and Remitly are often the most reliable because they deliver money quickly to university accounts and offer transparent exchange rates.
• For Freelancers Receiving Payments: Payoneer is a favorite because it integrates with Fiverr, Upwork, and Amazon. You can easily withdraw into your Nigerian bank.
• For Families Sending Remittances: MoneyGram and Western Union are useful. These services help when your parents or siblings abroad need to send funds directly to Nigeria. They are especially useful for cash pickups.
• For High-Value Transfers: Banks remain a safe option if you’re moving large sums (e.g., business payments, property investments). Though slower, they provide a formal paper trail.

👉 Pro Tip: Don’t just stick with one platform. Create accounts with at least two fintech apps and also keep a domiciliary account ready. That way, if one channel is restricted, you have alternatives.

Final Thoughts: Sending Money Abroad Made Simple

International money transfers don’t have to feel overwhelming. The key is understanding your needs (why you’re sending), the costs involved (fees + exchange rates), and the speed required (urgent vs. regular payments).

The rise of digital banking in Nigeria and global fintech has removed many barriers. Unlike before, you no longer need to physically queue at a bank or rely on middlemen. With a smartphone and internet, you can send money from Lagos to London in minutes.

Still, always prioritize safety, transparency, and planning. The difference between choosing wisely and rushing can lead to thousands of naira lost. Worse, it might result in a delayed payment that affects school fees, hospital bills, or business credibility.

👉 Note: Whenever you think about how to send money internationally, always compare your options. Make sure to verify the exchange rate, and choose a platform with a proven track record.

FAQs on Sending Money Internationally from Nigeria

1. What’s the cheapest way to send money abroad from Nigeria?
Usually fintech apps like Wise or Payoneer offer cheaper rates compared to banks. But it depends on the recipient’s country and payment method. Always compare fees before sending.

2. How long does it take for money to arrive?
Fintech transfers can arrive in minutes to 24 hours. Bank transfers may take 3–7 working days, depending on currency controls.

3. Can I send money abroad without a domiciliary account?
Yes. Platforms like Wise and Remitly let you fund transfers in naira using your Nigerian debit card. But for higher amounts, banks still need a domiciliary account.

4. Is it safe to use mobile apps for international transfers?
Absolutely. Licensed apps use encryption and fraud protection. Just make sure the platform is approved by regulators like the CBN and international financial authorities.

5. What’s the maximum I can send at once?
Banks often have limits, depending on your account type. For fintech apps, limits vary but can range from $2,000 to $50,000 per transfer. Always check platform-specific rules.