Quick Facts

• You can send R1 million per year without SARS approval
• Bank fees range from R200-R600 plus exchange rate costs
• Alternative services can save you up to 46% on fees
• All transfers need a Balance of Payment (BOP) code
• Watch out for AI-powered scams targeting transfers

What Are International Bank Transfers?

An international bank transfer moves money from your South African bank account to someone overseas. The process is also called a telegraphic transfer or SWIFT transfer.

South Africa has strict rules about moving money abroad. The South African Reserve Bank (SARB) controls these transfers. This protects our economy and tracks money flows.

Why People Send Money Abroad

• Supporting family members overseas
• Paying for studies at foreign universities
• Buying property in another country
• Making international investments
• Paying for goods or services from abroad
• Sending money when emigrating
• Making online purchases in foreign currency

Each reason needs a specific code called a Balance of Payment (BOP) code. Your bank uses this to report to SARB. More on this later.

Your Transfer Allowances for 2025

South Africa gives you two main allowances for sending money abroad. These reset every year on 1 January.

Single Discretionary Allowance (SDA)

Amount: R1 million per calendar year

Who qualifies:

• You must be 18 years or older
• You must be a South African tax resident
• You must have a valid green barcoded ID or smart card

What you can use it for:

• Travel expenses
• Gifts to family abroad
• Small investments
• Student fees and living costs
• Alimony payments
• Donations

Best part: You do NOT need approval from SARS. Just go to your bank with your ID.

Foreign Investment Allowance (FIA)

Amount: R10 million per calendar year

Who qualifies:

• You must be 18 years or older
• You must be a South African tax resident
• You must have tax clearance from SARS

What you can use it for:

• Buying property overseas
• Large investment portfolios
• Business investments abroad
• Any capital source transfers

Important: You MUST get an Approval for International Transfer (AIT) from SARS first. This is a special PIN number.

Children Under 18

Children get a travel allowance of R200,000 per year. Parents must make the transfer on their behalf.

Allowance Type	Amount	SARS Approval?
SDA (Adults)	R1,000,000/year	NO
FIA (Adults)	R10,000,000/year	YES
Travel (Under 18)	R200,000/year	NO

✅ How to Send Money Abroad (Step-by-Step)

For Amounts Under R1 Million (Using SDA)

Step 1: Gather Your Documents

• Your South African ID (green barcoded or smart card)
• Proof of address (not older than 3 months)
• Recipient’s full banking details (see below)

Step 2: Get Recipient’s Banking Details

You need their:

• Full name (as it appears on their bank account)
• Bank name and branch
• Account number or IBAN number
• SWIFT/BIC code (8 or 11 characters)
• Bank address
• For some countries: SORT code or routing number

Step 3: Choose Your Method

You can send money:

• Using your bank’s mobile app
• Through internet banking
• At a bank branch
• Through a forex bureau

Step 4: Select a BOP Code

Your bank will ask why you are sending money. Choose the correct reason:

• 401 = Gift to family
• 402 = Donation to charity
• 403 = Travel expenses
• 404 = Student fees and living costs
• 405 = Medical expenses abroad
• 406 = Alimony or maintenance

Step 5: Complete the Transfer

• Enter the amount in Rand or foreign currency
• Check the exchange rate shown
• Review all fees
• Confirm and authorise the payment
• Save your reference number

Step 6: Track Your Transfer

Most banks send you an SMS or email with updates. Money usually arrives in 1-3 business days.

For Amounts Over R1 Million (Using FIA)

Extra Requirements:

1. Apply for SARS AIT (Approval for International Transfer)

Log into SARS eFiling and apply for a TCS PIN for international transfers. You must provide:

• Bank statements (not older than 14 days)
• Proof of where the money came from
• Statement of all your assets for past 3 years
• Details of what you will invest in abroad
• All local and foreign trust information
• Details of companies where you own 20% or more

2. Wait for Approval

SARS takes 7-14 business days to review. They may ask for more documents.

3. Give PIN to Your Bank

Once approved, SARS gives you a TCS PIN. Give this to your bank. They check it online before processing your transfer.

✅ How to Receive Money from Abroad

Receiving international transfers into South Africa is easier than sending money out. There are no limits on how much you can receive.

What to Give the Sender

Provide them with your:

• Full name (as per your ID document)
• Your South African bank name
• Your account number (10 digits)
• Your bank’s SWIFT code
• Your bank branch code
• Your bank’s physical address

Bank	SWIFT Code
Standard Bank	SBZAZAJJ
FNB	FIRNZAJJ
ABSA	ABSAZAJJ
Nedbank	NEDSZAJJ
Capitec	CABLZAJJ

When Money Arrives

Step 1: Bank Notification

Your bank will SMS or email you when foreign money arrives. The money is NOT in your account yet.

Step 2: Complete SARB Declaration

You must fill in a Balance of Payment form. This tells SARB why you received the money. Do this:

• Online through your banking app
• By replying to the bank’s SMS
• By clicking the link in the email

Step 3: Choose Reason Code

Select why you received the money:

• Gift from family
• Salary or wages
• Inheritance
• Sale of property or goods
• Investment returns
• Freelance work payment

Step 4: Money Released

Once you complete the form, your bank converts the foreign currency to Rand. The money appears in your account within a few hours.

For Large Amounts (Over R20,000):

You may need to provide extra documents:

• Bank statement (not older than 3 months)
• Bank confirmation letter
• Proof of identity

⚠️ Costs and Fees Breakdown

International transfers are expensive through traditional banks. You pay THREE types of fees:

1. Commission Fee

This is what your bank charges for the service.

Bank	Sending Money Out	Receiving Money
FNB (Online)	0.55%	0.55%
FNB (Branch)	0.65%	0.65%
Standard Bank (App)	0.50%	0.43%
Standard Bank (Branch)	0.60%	0.60%
Capitec	R10 fixed	R0 (no fee)

2. SWIFT/Flat Fee

This covers the international banking network.

• FNB: R200-R365 per transfer
• Standard Bank: R185-R250 per transfer
• ABSA: R200-R300 per transfer
• Nedbank: R200-R280 per transfer

3. Exchange Rate Margin (Hidden Cost)

This is the biggest cost. Banks do not use the real exchange rate. They add 1-4% extra when converting your Rand.

Example:

• Real USD rate: R18.50 = $1
• FNB’s rate: R19.20 = $1
• You lose: R0.70 per dollar (3.8% hidden fee)

Real Example: Sending R20,000 to UK

Fee Type	Amount
Commission (0.55%)	R110
SWIFT Fee	R250
Exchange Rate Loss (3%)	R600
TOTAL YOU PAY	R960
Recipient Gets	£891 (after all costs)

You lose nearly R1,000 on a R20,000 transfer!

Cheaper Alternatives to Banks

Money transfer companies are often much cheaper than banks. They are licensed by SARB and completely legal.

1. Wise (Formerly TransferWise)

Best for: Bank-to-bank transfers worldwide

Why it is cheaper:

• Uses the REAL exchange rate (mid-market rate)
• Shows all fees upfront
• No hidden costs

Example cost: Sending R20,000 to UK costs about R400 total. You save R560 compared to FNB.

How it works:

• Register on Wise website or app
• Verify your ID (takes 24 hours)
• Enter transfer details
• Pay via EFT from your bank
• Money arrives in 1-2 days

Update December 2025: Wise received conditional approval to operate in South Africa as an Authorised Dealer. Full launch expected early 2026.

2. WorldRemit

Best for: Sending money to family in Africa

Special features:

• Cash pickup available
• Mobile money transfers
• Airtime top-ups
• Often has free transfer promotions

Example cost: R300-R1,000 fee + better exchange rate than banks

Countries covered: 130+ countries, especially strong in Africa, Asia

3. Mukuru

Best for: Sending money within Africa

Why choose Mukuru:

• Specialises in African corridors
• Orange booths at Post Office, shopping centres
• Cash pickup at 150+ locations
• No recipient bank account needed

Example cost: Competitive rates for Zimbabwe, Zambia, Malawi, Mozambique

4. Remitly

Best for: Fast urgent transfers

Two speed options:

• Express: Money arrives same day (higher fee)
• Economy: Arrives in 3-5 days (lower fee)

Comparison Table

Service	Best For	Typical Fee	Speed
Wise	Large amounts	R180-R400	1-2 days
WorldRemit	Africa, Asia	R50-R600	Minutes-1 day
Mukuru	Southern Africa	Low for region	Instant-1 day
Remitly	Urgent transfers	R100-R800	Same day

🚨 Scams to Avoid (2025 Update)

International transfer scams are getting worse. Criminals use artificial intelligence to trick people. Be very careful.

1. AI Voice Scam (NEW 2025)

How it works:

Criminals use AI to copy your family member’s voice. You get a call that sounds exactly like your child or parent. They say they need urgent money.

Real case: A Durban woman lost R100,000 when scammers used her daughter’s voice.

How to protect yourself:

• Hang up and call the person back on their known number
• Ask a question only they would know
• Never send money based on one phone call
• Set up a family code word for emergencies

2. Fake Bank App Scam

How it works:

You get an SMS saying your account has a problem. The message has a link to “fix” it. The link downloads a fake banking app. Criminals then access your real account.

Real case: A man lost R6 million through a fake JSE trading app.

How to protect yourself:

• NEVER download banking apps from SMS links
• Only use Google Play Store or Apple App Store
• Check the app developer name matches your bank
• Read app reviews before downloading

3. Investment Platform Scam

How it works:

Someone on WhatsApp or Facebook offers amazing investment returns. They show fake “proof” of profits. You send money abroad. You never see it again.

Common stories:

• “Trade forex with guaranteed 30% monthly returns”
• “Bitcoin investment – double your money in 90 days”
• “Join our international investment pool”

How to protect yourself:

• No investment guarantees high returns without risk
• Check if company is registered with FSCA
• Never invest based on WhatsApp messages
• Ask: “Why do they need MY money if it is so profitable?”

4. Romance Scam

How it works:

You meet someone online. They claim to love you but live overseas. After a few weeks, they have an “emergency.” They need money urgently.

Common stories:

• “I am stuck in airport, need money for ticket”
• “My mother needs emergency surgery”
• “Help me ship my business package, I will repay you”

Warning signs:

• Refuses to video call
• Photos look like professional models
• Says they love you very quickly
• Always has urgent money problems

5. Money Mule Scam

How it works:

Someone offers you a “job.” You receive money into your account. You send it abroad and keep 10% commission. This is money laundering. YOU can go to jail.

Red flags:

• “Easy money – work from home”
• “Use your bank account to help family overseas”
• “Earn commission receiving and forwarding payments”

Legal consequences:

• Prison sentence up to 30 years
• Your bank closes your account
• You cannot open accounts at other banks
• You must pay back all the money

6. Phishing SMS/Email

How it works:

You get a message claiming to be from your bank. It says your international transfer failed. Click this link to fix it. The link steals your banking details.

How to spot it:

• Strange sender number or email address
• Urgent language: “Act now or lose your money”
• Spelling mistakes in bank name
• Asks for PIN, password, or OTP

What to Do If You Are Scammed

Act immediately:

1. Call your bank: Report the fraudulent transfer
2. Call recipient bank: If you have their details, report it
3. Open SAPS case: Go to your nearest police station
4. Report to SABRIC: Call 0860 123 999
5. Register with SAFPS: Protect against identity theft
6. Change all passwords: Banking, email, social media

Important: Most scammed money cannot be recovered. Prevention is your best protection.

✅ Where to Get Help

For Transfer Problems

Organisation	Contact	When to Use
Your Bank	Check your card	First stop for all queries
Banking Ombudsman	0860 800 900	Bank refuses to help
SARB Forex Queries	0860 555 111	Exchange control questions
FSCA	0800 110 443	Unlicensed operators

For SARS AIT Applications

• SARS Contact Centre: 0800 00 7275
• SARS eFiling Help: www.sars.gov.za
• Visit a SARS branch: Book online first

For Scam Reports

• SABRIC: 0860 123 999 (banking scams)
• SAFPS Scam Hotline: 083 123 7226
• SAPS: 10111 (emergency) or nearest station
• Report online: www.yima.co.za

Useful Websites

• SARB Exchange Control: www.resbank.co.za
• SARS Tax Clearance: www.sars.gov.za
• Check company registration: www.fsca.co.za
• Exchange rates: www.xe.com

For sending under R1 million per year:

• Use your Single Discretionary Allowance – no SARS approval needed
• Compare at least 3 services before sending
• For large amounts, use Wise to save money
• For family in Africa, WorldRemit or Mukuru work well

For sending over R1 million per year:

• Start your SARS AIT application 1-2 months early
• Use a forex specialist broker, not just your bank
• Get quotes from 3 different providers
• Consider breaking transfers across calendar years if possible

For receiving money:

• Double-check your banking details before giving to sender
• Complete SARB declaration quickly when money arrives
• Keep records of all transfers for tax purposes

Most important: Never rush an international transfer. Take time to compare costs, check the company is legitimate, and protect yourself from scams. Your money is safer moving slowly than disappearing quickly.