Millions of dollars leave New Zealand every week as migrants send money home to family. This guide explains how banks and specialist transfer providers charge for a transfer and what to compare before you send.
The total cost of a transfer is the fee plus the gap between the exchange rate you get and the mid-market rate. Wise uses the mid-market rate and adds a fee; OFX charges no fee on transfers over $1,000 and earns a margin on the exchange rate; banks charge a flat fee and apply an exchange rate margin. Costs vary by amount, destination and day, so compare the amount your recipient will get on the day you send.
Providers are listed alphabetically.
OFX
OFX is an Australian-founded company. For transfers over $1,000, OFX charges no transaction fee; it makes money on the exchange rate spread alone.
Key features:
- No fees on transfers over $1,000 NZD
- 24/7 NZ-based customer service
- Rate lock (forward contracts): lock in today’s rate for transfers up to 12 months ahead
- Regular payment plans for ongoing remittances
Remitly
Remitly specialises in sending money to developing economies such as the Philippines, India, Pakistan and Mexico, and other major remittance corridors.
Key features:
- Dedicated corridors to the Philippines, India, Pacific Islands and other developing economy destinations
- Express delivery option (often minutes for bank or mobile wallet delivery)
- First-transfer promotions (often fee-free or better rate for new customers)
- App-based
Western Union
Western Union offers delivery in many countries to recipients without bank accounts (cash pick-up).
Key features:
- Cash pick-up available in almost every country
- Very wide global reach including remote areas
- Mobile wallet delivery in some countries
Wise (Formerly TransferWise)
Wise uses the mid-market exchange rate (the one you see on Google) and charges a fee on top.
Wise NZ limitations:
- Not all currencies or countries are supported
- Card payments attract higher fees than bank transfer
- Wise is not a full NZ bank
Bank International Transfers
Situations where people use bank transfers include:
- One-off urgent transfers where you need certainty and immediate access to support
- Large business transfers where your bank relationship matters
- Countries with sanctions or restrictions where specialist providers may not operate
All major NZ banks (ANZ, ASB, BNZ, Westpac, Kiwibank) charge a flat international transfer fee and apply an exchange rate margin below mid-market. Check your bank’s current fee schedule and the rate it quotes on the day; for regular remittances these costs add up.
Tax and Legal Considerations
Is sending money home taxable?
No — sending your own money overseas is not a taxable event. There is no NZ remittance tax. You can send as much of your after-tax income as you want to overseas family members.
What about gifts?
NZ has no gift tax. Sending money as a gift to family overseas is perfectly legal and not taxable in NZ.
Foreign income rules
If you’re receiving money from overseas into NZ (e.g., overseas investment returns, rental income, foreign salary), different rules apply — this may be taxable in NZ depending on your tax residency status. See moving to NZ finances for transitional resident rules.
AML requirements
New Zealand’s anti-money laundering (AML) legislation requires transfer providers to verify your identity and may require explanation of the purpose of large transfers. This is standard compliance — keep receipts and be prepared to explain the source of funds for transfers over $10,000.
Tips for Regular Senders
Set up an automatic payment: Most specialist providers (Wise, OFX, Remitly) allow recurring transfers. Set it up once, money goes automatically each month.
Compare before each transfer: Exchange rates move daily. If you’re transferring a large sum, check multiple providers on the day.
Consider a rate alert: OFX and some other providers allow you to set a target exchange rate — they notify you when the rate hits your target.
Forward contracts for large amounts: If you know you’ll need to send a large sum in the next few months (e.g., buying property overseas), OFX and similar providers let you lock in today’s rate.
Where to check the latest data
Rates, fees and returns change often. Before deciding, check current figures yourself:
- The provider's own website: has its current rates, fees and full terms; these change more often than any comparison page.
- Financial Service Providers Register: shows whether a provider is registered to offer financial services in New Zealand.