Western Union Alternatives: 7 Affordable Money Transfer Options

Sending money internationally or domestically can be costly, especially with traditional services like Western Union, which charge high fees and offer less competitive exchange rates. Fortunately, several alternatives provide more affordable ways to transfer funds while maintaining security and reliability.

Exploring different options can help you find a service that fits your needs, whether you prioritize lower costs, faster transfers, or ease of use.

Direct Bank Transfers

Transferring money directly between bank accounts is one of the most cost-effective methods. Many banks offer domestic and international wire transfers with lower fees than traditional remittance services. Domestic transfers within the same bank are often free, while international transfers generally cost between $10 and $50, depending on the institution and destination.

For international transactions, the SWIFT network connects thousands of banks worldwide, though transfers can take several business days and may involve intermediary banks that add extra fees. In Europe, SEPA transfers offer a faster, more affordable alternative.

Newer services like Wise and Revolut reduce costs by using local bank accounts in different countries instead of relying on SWIFT. Wise charges a percentage of the transfer amount rather than a flat fee, making it more economical for smaller transactions. Revolut offers free or low-cost international transfers for premium account holders, making it a strong option for frequent users.

Prepaid Debit Card Programs

For individuals without traditional bank accounts, prepaid debit cards offer a flexible way to send and receive money. These cards can be loaded with funds and used for purchases, ATM withdrawals, or direct transfers. Many providers allow users to reload balances online, at retail locations, or via direct deposit.

Some prepaid debit cards are designed for international money transfers. Services like Netspend, PayPal Prepaid Mastercard, and Western Union Netspend allow senders to load money onto a card that recipients can use worldwide. While these options often have lower transfer fees than traditional remittance services, users should watch for monthly maintenance fees, ATM withdrawal charges, and foreign transaction fees.

Employers and government agencies also use prepaid debit cards to distribute payroll or benefits, eliminating the need for paper checks. Some programs offer additional features like cashback rewards, bill payment options, and mobile check deposit.

Digital Currency Transfers

Cryptocurrencies provide an alternative to traditional money transfers by enabling direct transactions without banks or payment processors. Digital assets like Bitcoin, Ethereum, and stablecoins operate on blockchain networks, allowing users to send funds globally with minimal fees.

One major advantage of cryptocurrency transfers is cost. Traditional remittance services charge a percentage of the transaction amount, while blockchain-based transfers often cost just a few cents, depending on network congestion. Stablecoins such as USDC and USDT maintain a fixed value pegged to fiat currencies, reducing volatility.

Unlike bank accounts, which require verification and approval, anyone with an internet connection can create a digital wallet and receive funds. Hardware wallets and multi-signature security features help protect against fraud, while decentralized exchanges and on-ramp services allow users to convert digital assets into local currency. Some platforms even offer debit cards linked to cryptocurrency balances for direct spending.

Peer-to-Peer Payment Apps

Mobile payment apps simplify money transfers by offering instant transactions with minimal fees. These platforms link directly to a user’s bank account or debit card, eliminating lengthy processing times. Many services also include security features like encryption and fraud protection.

Popular options like Venmo, Cash App, and Zelle cater to different needs. Venmo, owned by PayPal, allows users to send money with a social component, displaying transactions in a feed unless marked private. Cash App, developed by Block Inc., includes features like stock and Bitcoin investing. Zelle, integrated within many banking apps, enables near-instant transfers between accounts at participating U.S. banks.

For international transfers, PayPal and Remitly provide additional options. PayPal supports multiple currencies and offers buyer protection for goods and services, though fees can be high for cross-border payments. Remitly specializes in remittances, offering competitive exchange rates and delivery options like bank deposits and cash pickups.

Money Order Providers

For those who prefer a physical payment method, money orders offer a secure way to send funds without a bank account. Unlike cash, they are made out to a specific recipient and can be tracked if lost or stolen. Many financial institutions, post offices, and retail stores issue money orders.

Major providers like the United States Postal Service (USPS), Western Union, and MoneyGram offer money orders that can be cashed at banks or check-cashing locations. USPS money orders are capped at $1,000 for domestic transactions and $700 for international ones, with fees starting at $1.85. MoneyGram and Western Union provide similar services but often charge higher fees based on the amount and destination. While money orders are a secure alternative to cash, they require in-person transactions and may take longer to process if mailed.

Credit Union Transfers

Credit unions provide a lower-cost alternative to traditional bank transfers, often offering better exchange rates and reduced fees. As member-owned institutions, they pass savings to customers, making them an attractive option for money transfers. Many credit unions participate in shared branching networks, allowing members to conduct transactions at partner locations nationwide.

For international transfers, some credit unions work with cooperative networks like the World Council of Credit Unions (WOCCU) or partner with services such as Wise or SWIFT. These partnerships help reduce costs while ensuring secure transactions. Some credit unions also offer remittance programs tailored to specific regions, such as Latin America or Southeast Asia, providing competitive rates for members who frequently send money abroad. While not all credit unions support global transfers, those that do often provide a more affordable alternative to traditional banks.