How to Send Money to Taiwan From the US

Sending money from the United States to Taiwan is a common financial activity, whether for supporting family members, managing business transactions, or facilitating travel expenses. Various methods exist for these international transfers, each offering distinct features in terms of speed, cost, and convenience. This guide outlines the different approaches available and the necessary steps to complete your transaction efficiently and securely.

Selecting a Transfer Method

Individuals sending funds from the United States to Taiwan have several primary methods to consider. One established option is a bank wire transfer, which involves directly moving funds from a US bank account to a recipient’s bank account in Taiwan through the SWIFT network. These transfers are reliable and secure for larger sums, though they can involve higher fees and may take several business days to complete.

Online money transfer services are another popular approach. Companies like Wise, Remitly, Xoom, or Western Union provide digital platforms and mobile applications that often offer competitive exchange rates and lower fees compared to traditional banks. These services typically process transfers faster, with some funds arriving within minutes or one business day, making them a convenient choice for many users.

A more traditional method for sending funds internationally is through international money orders. This option involves purchasing a physical money order from a financial institution or postal service. Money orders are generally slower due to the physical delivery aspect and might not be as widely used for urgent transfers compared to electronic methods.

Required Information for Your Transfer

Before initiating any money transfer to Taiwan, gathering specific and accurate information is important for both the sender and the recipient. For the sender, this typically includes your full legal name, current address, and contact details. You will also need to provide a government-issued identification document, such as a passport or driver’s license, for verification purposes. Depending on the service and the transfer amount, your Social Security Number or Individual Taxpayer Identification Number (ITIN) may also be required for compliance with US financial regulations.

The recipient’s details in Taiwan are equally important and must be precise to avoid delays. You will need their full legal name, current address, and a contact telephone number. The recipient’s banking information is also necessary, including the full name of their bank, the specific bank branch name, and their complete bank account number, which for Taiwanese accounts is typically a 14-digit number. Additionally, the bank’s SWIFT/BIC code is an 8 or 11-character alphanumeric identifier that specifies the bank and often the particular branch for international transfers.

Beyond personal and banking details, you must specify the exact amount you intend to send and the clear purpose of the transfer. Financial institutions and regulatory bodies may require this information to comply with anti-money laundering (AML) and know-your-customer (KYC) regulations. For instance, stating the purpose as “family support,” “gift,” or “bill payment” is common practice. Transfers exceeding certain thresholds, such as $10,000, are reported by financial institutions to the US Internal Revenue Service (IRS) via FinCEN Form 104 to monitor for potential illicit activities.

Initiating Your Money Transfer

Once all the necessary information has been accurately gathered and prepared, the next step involves initiating the transfer through your chosen method. For a bank wire transfer, you will typically need to visit a branch of your US bank in person. There, you will complete a wire transfer request form, entering all the pre-gathered sender and recipient details, including the bank name, account number, and SWIFT code for the Taiwanese bank. You will also present your identification and provide the funds for the transfer, either from your account or directly.

If you opt for an online money transfer service, the process begins by creating an account on their website or mobile application. After setting up your profile, you will select Taiwan as the destination country and input the recipient’s information into the designated online fields. You will then choose your preferred payment method, such as a debit card, credit card, or bank transfer, and review all the transaction details, including fees and exchange rates, before confirming the transfer.

For those utilizing an international money order, the process involves purchasing the money order from an authorized provider, such as a post office. You will fill out the money order with the recipient’s details and the amount, then typically mail it to the recipient in Taiwan. After submitting your transfer, you should receive a confirmation receipt, often with a tracking number. This allows you to monitor the status of your funds. Processing times can vary significantly, from nearly instant with some online services to several business days for bank wires or even longer for money orders, before the funds are available to the recipient in Taiwan.

Transfer Costs and Limitations

Understanding the financial implications of sending money internationally is important, as various costs and limitations can impact the final amount received in Taiwan. A direct fee for the transfer is one common charge, which can be either a flat rate or a percentage of the amount being sent. Traditional bank wire transfers from US banks often carry a flat fee ranging from approximately $25 to $50, while online services may offer lower fees or even promotional no-fee transfers for new users. Intermediary banks involved in the transfer process, particularly with wire transfers, may also deduct their own fees, reducing the amount that ultimately reaches the recipient.

Another financial consideration is the exchange rate applied to your transfer. Financial institutions and money transfer services typically offer an exchange rate that differs from the mid-market rate, which is the real rate you see on financial news sites. This difference is known as an exchange rate markup, a hidden cost where the service provider adds a percentage to the exchange rate to generate revenue. This markup can range from under 1% to over 4% or more, depending on the provider and currency pair. Comparing the offered rate against the mid-market rate is advisable before confirming a transaction.

Additionally, various limits may apply to your international money transfers. While the US government does not impose a legal cap on the amount of money you can send abroad, individual service providers and banks often set their own daily, per-transaction, or monthly limits for security and regulatory compliance. For example, some online services might limit transfers to several thousand dollars per day, while others could allow up to $1 million per wire transaction. In Taiwan, there are reporting requirements for foreign exchange transactions involving New Taiwan Dollars (NTD) that exceed certain thresholds, such as NT$500,000 (approximately $16,000 USD), and annual limits on remittances for individuals and businesses that may require central bank approval if exceeded. Intentionally splitting transactions to avoid this reporting threshold, known as structuring, is illegal.