How to Send Money to Australia from New Zealand
How to Send Money to Australia from New Zealand

How to Send Money to Australia from New Zealand

© Pixabay

How to Transfer Money from New Zealand to Australia

New Zealand and Australia have obvious ties. When exploring the continent of Oceania, many travellers often find themselves needing to send money to Australia from New Zealand. But what is the best method? We compare your options in this guide on how to send money to Australia from New Zealand.

Like all things money, there are several ways of sending it to Australia from New Zealand. This guide not only compares three of the main ways to exchange NZD to AUD and transfer it to an Australian bank account but measures their cost, method and time. It also helps to choose a money transfer method that offers the best rates, has limited fees and offers good customer service.

Of course, the common go-to for those wanting to send money from NZ to Australia has always been high street banks, as it’s a service most are familiar with. However, new online services such as Wise (previously Transferwise) can be up to eight times cheaper than bank transfers. It is one of the methods we compare in this guide on how to send money to Australia from NZ.

What is the Best Way to Send Money to Australia from New Zealand?

There are three main ways to transfer money to Australia from New Zealand, including:

  • Cash transfers
  • Money transfer services
  • High street banks.

Each method has its advantages and disadvantages. As discussed in How to Send Money Overseas from a New Zealand Bank Account, sending money via high street banks comes with hefty transfer fees and unfavourable exchange rates. On the other hand, cash transfers don’t offer the same security as bank transfers and money transfer services.

Money transfer services, however, tend to be the cheapest way to transfer money from NZ to Australia with much lower transfer fees than banks. What’s more, money transfer services, such as Wise, are regulated so that your money is secure while in transit and the entire transaction can be carried out online.

With the generally cheaper costs, security and ease associated with money transfer services, the next step is to know how to choose the right company for you.

How to Send Money to Australia from New Zealand©

How Do I Get the Best NZD to AUD Exchange Rate When I Transfer Money?

There are two costs to be aware of when determining how much it is going to cost to send money from NZ to Australia: the transaction fee and the fee in the exchange rate. Most only know about the transaction fee and they take this as the total cost.

The reality is the margin on the exchange rate can be equal to or cost more than the transaction fee. With that in mind, it’s easy to underestimate the cost of a transfer. Therefore, when a money transfer service advertises “zero transfer fees” it could still be more expensive than a money transfer service that has a transfer fee but a better exchange rate.

How to Compare the Cost of Money Transfer Services, Banks and Cash Transfer Services

When comparing money transfer methods, determine the amount of money you want to transfer from NZD to AUD. Then, see how much money the recipient, i.e. the Australian bank account, would receive using the service’s exchange rate and their transfer fee (if applicable).

For example, if you send NZ$1,000 at an exchange rate of 0.893 AUD to NZD with Option #1, which doesn’t charge an upfront transfer fee, you will receive A$893.

If you send the same amount of cash with Option #2, which has a better exchange rate of 0.925 AUD to NZD but also has a transfer fee of A$5.17, the recipient will receive A$920.21. That’s a difference of receiving A$27.21 more with Option #2 compared to Option #1.

In short, it’s important to compare money transfer methods that have transparent exchange rates and transfer fees. If you can’t find the values to do the equation in the above example, we recommend avoiding the method and, in turn, potentially hidden fees and margins. Use a service that clearly displays their transaction fees and exchange rates on their website – it usually is a good indication that they have nothing to hide. For instance, it’s easy to work out how much it will cost to send money from New Zealand to Australia with a company like Wise because they use a mid-market exchange rate (i.e. do not set their own) and don’t add an extra margin. Plus, you’ll get the cost of the transfer upfront by using their website’s price calculator.

How to Send Money to Australia from New Zealand© Pixabay

Step-by-step Guide on How to Make an International Money Transfer to Australia

The other key difference between sending money from New Zealand to Australia between high street banks and money transfer services is how you do it.

If you transfer money to Australia with your bank, using its online service, the steps commonly are as follows:

  1. Login to your internet banking
  2. Go to your account and the transfers option
  3. Enter your recipient’s details
  4. Add the sum you want to send them
  5. Confirm
  6. Wait

If you transfer money to Australia with Wise, the steps will be as follows:

  1. Create a free account
  2. Create your transfer
  3. Enter your recipient’s details
  4. Confirm transfer
  5. Send the money to Wise via your online banking
  6. Once Wise gets your payment, it will send the money to
    your recipient

Find out more about the recipient information needed to transfer money from NZ to Australia in our guide, What Details Do You Need to Transfer Money?

How to Send Money to Australia from New Zealand©

How Long Will it Take to Send Money to Australia?

The final consideration for choosing a money transfer method that meets your needs is how long the transfer takes. Money transfer services and cash transfer services tend to offer the quickest transfer, while bank transfers tend to take a few days.

  • Money transfer services: 0-3 days – Money transfer services often quote arrival times in a matter of hours and sometimes offer updates on the movement of your funds.
  • Cash transfer services: 0-3 days – They too offer quick arrival times sometimes within hours. However, this needs to be weighed up against the associated security risks.
  • Bank transfers: 2-5 days – The time it takes to receive funds from an international bank transfer depends on the receiving bank, which may go through a network of partner banks before landing in the Australian bank account.

In conclusion, it’s a good idea to compare all of your options when it comes to transferring money from New Zealand to Australia. After comparing several methods and companies, the money transfer company Wise is a worthy choice for sending money to Australia. They also offer excellent customer service.

For more advice about travelling between New Zealand and Australia, check out our guide to Planning a Trip from New Zealand to Australia.


Robin C.

This article was reviewed and published by Robin, the co-founder of NZ Pocket Guide. He has lived, worked and travelled across 16 different countries before calling New Zealand home. He has now spent over a decade in the New Zealand tourism industry, clocking in more than 600 activities across the country. He is passionate about sharing those experiences and advice on NZ Pocket Guide and its YouTube channel. Robin is also the co-founder of several other South Pacific travel guides.

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