In this day and age, when transferring funds overseas requires no more than access to the Internet, you can choose either Xoom or OFX to get a better deal than most of the big banks. However, when compared head-to-head, do results favor one company over the other?
Taking the OFX vs. Xoom comparison to Trustpilot gives you an easy way to find out how customers of these companies rate their services. While Xoom averages at 8.6 out of 10, OFX does slightly better, at 9.0 out of 10.
Selecting OFX or Xoom requires that you look at your own requirements first. The sections this comparison is divided into will help you arrive at the right decision:
- Exchange Rates
- Ease of Use
- Regular Overseas Payments
International Money Transfer Fees
Banks often charge exorbitant fees for international fund transfers, which you can avoid if you use Xoom or OFX.
- The fee your transfer attracts depends on the country you are sending funds to, the mode of payment, and the transfer amount.
- In case of some countries, you do not have to pay any fees if the transfer amount is more than a predetermined limit.
- The most cost-effective way to pay for your transfer is via an electronic bank transfer. Paying using a debit or credit card tends to cost more.
- Check how much your transfer will cost by using the Xoom calculator.
- If you transfer more than a given limit through OFX, the company does not charge any fees.
- The currency you pay in affects the fees OFX charges.
- If the transfer amount is less than USD $5,000, you have to pay a USD $5 fee.
If you are transferring below £3,000, a £7 fee applies. OFX (UK) or UKForex has removed all fees for GBP resident transfers.
- Transfers below €5,000 attract €10 as fees.
- OFX charges AUD $15 for transfers below AUD $5,000.
- If you transfer less than ¥1,000,000, the fee stands at ¥1,500.
- Check this page to find out how much your transfer will cost if you pay for it in a different currency.
Ease of Use
One company does better than the other in this section of the OFX vs. Xoom comparison by offering website access in multiple languages. The other lets you make payments in different currencies.
- You can use the Xoom website in English, Spanish, Portuguese, French, Chinese, and Vietnamese.
- Xoom accepts payments only in U.S. dollars.
- Depending on the destination country, you can transfer funds to a bank account, send it to a cash pick-up center, or top off a mobile phone.
- Xoom lets residents of the U.S. pay bills that originate in a number of other countries.
- You can use Xoom apps with devices that run on iOS and Android.
- You can use the OFX website only in English.
- OFX lets you make payments in all major currencies including U.S. dollars, Great Britain pounds, Euros, Australian dollars, Canadian dollars, Japanese yen, and Swiss francs. It accepts payments in some exotic currencies as well.
- If you plan to transfer a large sum, you can consider using a target rate order or a forward contract.
- Depending on the country of the transfer’s origin, you can pay via a bank transfer, a direct debit, a wire transfer, or BPAY.
- The company’s Global Currency Account gives online sellers the ability to bank like locals in multiple currencies.
- The company provides apps for Android and iOS.
Regular Overseas Payments
This section of the Xoom vs. OFX comparison favors one company over the other. While you can set up scheduled transfers through OFX easily, you cannot do this with Xoom yet.
- Who is similar to OFX.com?
- Learn more about OzForex’s new name, OFX.com, in this OFX Review.
- Read updated OFX Coupon post.
- Compare OFX and TransferWise. Who would you choose?
- Looking for an alternative to OFX (Why would you?).