Job Discussion Forums

[jwesl]

I'm moving to the UAE soon, and would like to hear from people with experience wiring money around the world. I currently send money from USA to Europe and I pay three fees to three different banks for each wire.

Are there any UK or US banks with lower/no fees, and are any banks in the UAE better at or cheaper than others? I will want to send money to the UK and the USA.

Thanks for any information.

[veiledsentiments]

Based on the posts here, most people seem to do the wire transfers and eat the charges. I preferred not to, so what I did was go to the bank every 2-3 months, spend a nominal fee for a bank check for US$ and mail it to my bank in the US. It cost me a fraction of rates and every check arrived in 1-2 weeks.

It may be the "old-fashioned" way, but I saved a few hundred dollars every academic year.

VS

[12know]

Sorry that this is probably slightly off topic.

Is credit card common in UAE as in the US & Canada? Can one get a locally issued (UAE) credit card "easily"?

[Zoot]

One can get a locally issued credit card much too easily!

[helenl]

I transfer money to North America via my UAE bank online - costs less than USD10 for each no matter what the amount.

HSBC preferred or status customers (can't remember the exact title) get at least 1 "free" transfer per month - however, the bank on the other end (if other than HSBC) might deduct a charge of some kind.

Ask your UK and US banks who their correspondent bank is here in the Emirates. If you transfer via their correspondent, then you cut down on the (a) number of banks handling the transaction and (b) therefore, the number of service charges.

Credit cards are easily available - however, when you decide to leave most (if not all) will require you to close the card at least 3 months prior to departure or to maintain a deposit with the bank issuing the card for the same time period (if you leave the country) in order to cover any possible straggling charges coming through. Interest rates are also horrendous as are late fees and penalties.

[veiledsentiments]

My major charges were always on the receiving end... where they had to do nothing because the computers automatically enter it. And they are still high. I do online work for a foreign company and the problem is even worse now, so I have the company mail me a check. Then it costs me nothing and the company less from their end.

I would also recommend avoiding the local credit cards. Living in a cash economy allows you to control your spending. I kept my US card as backup in case of problems... rarely used it.

VS

[Afra]

The money exchanges charge less than the banks for TTs and it's usually a standard fee no matter how much or little you transfer. HSBC Status customers do get one 'free' transfer a month but there is a catch - can't remember what! My UK bank charges �8 each time they receive money into my account.

[helenl]

Many US banks are notoriously behind the times globally speaking in terms of electronic transfers (I speak as an ex banker in international transactions) = especially when it comes to service charges (the attitude seems to be "hey, if I don't understand it, my customer certainly won't). I have had many "conversations" in a professional capacity with US banks where they are woefully ignorant of how money moves around the globe. Not little banks mind you, Chase Manhattan New York springs to mind in a time warp to a two hour conversation with an idiot in Manhattan.

However, there are also many US bankers conversant with the global staus quo. It's up to you as a customer to find them. (unfortunately _

[MrScaramanga]

Beware of locally issued credit card. A friend of mine's apartment was burglarized over the summer break and his credit card was stolen. As he didn't immediately report the theft, he was liable for every penny spent on the card! Basically the bank (I think it was UNB but believe all UAE banks and even "western" banks such as HSBC or Citibank apply the same philosophy) will not protect the customers unless they realize their card is missing immediately...
MrS

[MrScaramanga]

Yes Helenl, HSBC Status customers are indeed allowed one free wire transfer per month.
MrS

[Mojoski]

If there are any American banks, like CitiBank, available, there is another possibility. This worked for me in Poland. I had my account at CitiBank. I got an extra debit card and mailed it to a family member in the US. They were able to withdraw cash from my account at CitiBank (and some other network) ATMs without even an ATM fee. You lose around 1.5% for the currency conversion, and that is all. Then, they just made cash deposits to my credit union account in my town.

Can't beat this system for low cost and ease. Of course, you need a trusted family member who doesn't mind doing these errands for you. The first thing I will do when I get hired is to check if CitiBank operates there or not. If not, I'll search around to see if some other bank might serve this function.

[12know]

Thanks for the replies and discussions. Really informative. Will keep my current credit cards and pay the international fees (not sure how much are they at the moment) if I use them.

Will have to get use to using cash again. I charge pretty much everything. So, will have to adjust.

[helenl]

Citibank does have several offices in UAE - Sharjah Dubai and Abu Dhabi I believe - but probably only one branch in each city, so if you have to go in to see them (other than opening your account) - it can be a pain depending where they're located relative to your home or work.

[MrScaramanga]

There is also a Citibank branch in Al Ain and it is a pain to go there as there is virtually no space for parking...
MrS

[Mojoski]

Is pay direct deposited in UAE? In Warsaw, Citibank was convenient, but I only went there to open the account and 3 years later to close it. Otherwise, all I needed was an ATM.