# Which is the best bank for low transfer rates for international money?



## Lipstickpaddy (Feb 12, 2015)

Hi I'm currently teaching English in China via Skype, 
and I've just received my first payment for my training 
and *Banamex took 21%* for commission and tax! 

Talk about Banksters... anyway... 

does anybody know which *bank *has the best commission for international transfers into it?​


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## TundraGreen (Jul 15, 2010)

Lipstickpaddy said:


> Hi I'm currently teaching English in China via Skype,
> and I've just received my first payment for my training
> and Banamex took 21% for commission and tax!
> 
> ...


IVA is about 16%. If you get facturas for purchases, you can get most of that back if that is what it was. I don't know what the other 5% was, maybe handling charges by the bank. It doesn't seem too outrageous.


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## joaquinx (Jul 3, 2010)

Lipstickpaddy said:


> Hi I'm currently teaching English in China via Skype,
> and I've just received my first payment for my training
> and *Banamex took 21%* for commission and tax!
> 
> ...


Did your students send you Yuan or was it in another currency? Since Yuan is not traded, perhaps that was part of the fee to exchange the payment to Pesos.


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## Lipstickpaddy (Feb 12, 2015)

The school pays in in US Dollars, so it's Dollars to Pesos. Can't find any information on International Bank Transfer Fees so hope anyone can help!


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## RVGRINGO (May 16, 2007)

Maybe your bank has to collect for SAT, the 16% VAT, plus the exchange rate. I don‘t know your work status with SAT, the Mexican tax authorities, or your immigration status in Mexico, with or without permission to work. It could be a complicated situation. First; ask the bank to explain the charges.


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## Lipstickpaddy (Feb 12, 2015)

The actual money is being sent to my wife's account as I've no Bank Account in Mexico. She is Mexican so she has full status. 

However all I need to know is the rundown of Banks, e.g.

Commission Charge 
For money sent
from aboard

Bank A 20% (i.e. Banamex)
Bank B 15%
Bank C 5%

If anyone can provide this information it would be great for us all expats that get money from friends, family or work from abroad.


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## Meritorious-MasoMenos (Apr 17, 2014)

An American could have the money transferred to a U.S. account, and then take out money in Mexico with an ATM card. There are U.S. banks that don't charge for withdrawals and even refund ATM fees that international banks charge (as I've found living in both Mexico and Thailand).

Do you have an Irish bank account, or some place in Europe, with an ATM card? If so. I would investigate rates for transferring your salary to Europe, though yeah, I can see you losing money having it converted into euros. I have no idea if competition has moved some European banks to offer such amenities as some U.S. banks do, but you can search via google or your bank's website, messages.

I imagine European banks are even more sophisticated than big American banks in serving international customers. Both of the U.S. banks I deal with have special international departments for small potato folks such as myself, even with special international numbers. Have to believe you'll find the same in Europe. Don't know about the fees, though. Up until I'd say just five-ten years ago, most American banks that issued ATM cards were fairly tough with customers overseas, but no longer.
You should google to find a


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## drewjones (Aug 15, 2016)

Santander bank has the best currency exchange rate...pretty comparable to the exchanges in the us.

Here is a live exchange rate by the banks in mexico
Dollar today in Mexico - Current exchange rate


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## ojosazules11 (Nov 3, 2013)

Don't forget about the "IDE" = "Impuesto a los Depositos en Efectivo" (Tax on Cash Deposits).
This 3% tax is applied to any cash deposits or electronic transfers to a Mexican bank account exceeding MXN$15,000 per month. 

Here is more information from SAT (in Spanish):
http://www.sat.gob.mx/fichas_tematicas/reforma_fiscal/Documents/PyR_IDE_190313.pdf

Impuesto a los Depósitos en Efectivo (IDE)

I would suggest you go into the bank and discuss the breakdown of the fees - how much is the bank charging, how much is going to the government? You may qualify for some type of exemption on the tax portion, although the fact that the account is in your wife's name could make that harder. Depending on how much you are earning, the money being deposited into your wife's account may also make Hacienda (the Mexican taxman) take a special interest in her accounts. 

You may want to talk to a lawyer or other specialist who understands the ins and outs of taxes on money earned by a foreigner working on line with non-Mexican clients located outside of Mexico, being paid in dollars.

(I agree with MMM that having the money deposited to a bank account elsewhere and withdrawing money in Mexico through the ATM is a good idea. Of course, I don't know if that has implications for taxation in the country where your bank account is located, especially if it were in your native Ireland.)


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## joaquinx (Jul 3, 2010)

ojosazules11 said:


> Don't forget about the "IDE" = "Impuesto a los Depositos en Efectivo" (Tax on Cash Deposits).
> This 3% tax is applied to any cash deposits or electronic transfers to a Mexican bank account exceeding MXN$15,000 per month.
> 
> Here is more information from SAT (in Spanish):
> ...


From what I can read of both links is that it applies to efectivo and *not* electronic transfers. I had heard that the tax on efectivo was abolished, however, both links dispel that rumor.


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## Gatos (Aug 16, 2016)

joaquinx said:


> From what I can read of both links is that it applies to efectivo and *not* electronic transfers. I had heard that the tax on efectivo was abolished, however, both links dispel that rumor.


I believe there is still that tax on 'cash' transactions. But when we purchased our house we handed over a 'cashier's check' and there was no such tax. We have made many electronic transfers (bank-to-bank) over the years (SPEI transfers) which have been for sizable (6-figures MXN) and never had any tax applied.

Finally - I prefer to exchange my dollars for pesos on the US side - at my brokerage - which keeps banks out of the picture (on the exchange). Then I wire my pesos to my Mexican bank as pesos - with no fees on any sort from anyone. Having said that - the pesos I have in my Mexican bank were probably brought in around a 13-15 exchange rate. Today I can use my US dollar based Visa debit/credit cards and get 17-18. So I use my pesos (Mexican CC) to pay my Mexican bills (tv, phone etc) and my visa card at stores.


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## drewjones (Aug 15, 2016)

Also what I've done is open up a dollar account here in mexico. Then if you needed to exchange dollar to peso, do it right at the counter at the bank. Less hassle.


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## ojosazules11 (Nov 3, 2013)

joaquinx said:


> From what I can read of both links is that it applies to efectivo and *not* electronic transfers. I had heard that the tax on efectivo was abolished, however, both links dispel that rumor.


Oops! You're absolutely right. I was replying to this thread when I was trying to get work done on the computer in the wee hours, and started distracting myself by perusing the forum to alleviate boredom. I skimmed the link too quickly and now see you are right, that the IDE does NOT apply to electronic transfers.

I'd still be interested in knowing the breakdown of the "taxes and fees" Lipstick Paddy was charged.


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## Isla Verde (Oct 19, 2011)

ojosazules11 said:


> Don't forget about the "IDE" = "Impuesto a los Depositos en Efectivo" (Tax on Cash Deposits).
> This 3% tax is applied to any cash deposits or electronic transfers to a Mexican bank account exceeding MXN$15,000 per month.


My monthly electronic transfers to my Mexican bank from US Social Security exceed $15,000, but I don't recall being charged the IDE.


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## RVGRINGO (May 16, 2007)

Electronic transfers, wires and checks are not taxed when deposited, regardless of the amount.
The restriction was on CASH; you know.....bills and coins, as in actual real money being deposited by the bag-full; maybe from a money-laundering scheme, drug sale, etc. 
Everything else is OK.


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## Lipstickpaddy (Feb 12, 2015)

Update >>> Banamex is investigating what the charges were, as not even the manager in the main branch in Los Mochis knew! "What exactly are you getting paid for!!! You call yourself a bank manager!" Glad he didn't speak English... or should that be hope he did. Polemics are great for those who linger in complacency.

Also *DrewJones *mentioned getting an account in US Dollars. Which banks allow this in Mexico?


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## Gatos (Aug 16, 2016)

Lipstickpaddy said:


> Also *DrewJones *mentioned getting an account in US Dollars. Which banks allow this in Mexico?


Not sure why you would do that. I'm pretty sure that such an account would pay 0 % interest and would likely carry a monthly charge. I also suspect that when the time came for you to exchange dollars to pesos here in Mexico you would not get a very favorable exchange rate. But we are penny-pinchers.

At the moment you can get 4.75 % for a 1 year CETE (before taxes).


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## Anonimo (Apr 8, 2012)

A couple of years ago, our Banorte executivo told us that this "bad law" had been repealed. I may be confused.

EDIT: Now, after reading previous posts, I see that the IDE applied only to excess cash deposits.
Thanks to all for the clarification.


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## cufcgr66 (Mar 12, 2010)

We use Transferwise to change pounds to both Euros and Pesos and send to accounts in Mexico and France. Don't know if it works from any other countries but excellent rates and service.


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