Bank Islam International Transfer - Everything you need to know about fees, charges and conversion rates

If you have an account with Bank Islam¹, you’ll be able to transact easily in MYR. But can Bank Islam make international transactions - and if so, what’s the Bank Islam international transaction fee?

This guide walks through how Bank Islam works for international transfers, and also presents Wise money transfers as an alternative worth comparing. Register with Wise with just your phone, and pay for your transfer by FPX, to send money abroad easily with low costs and the mid-market rate².

Table of contents
Bank Islam international transaction fees What you need to make an international transfer Bank Islam exchange rates Wise: A low-cost and quick international transfer alternative

Bank Islam international transaction fees

If you’re planning on sending a Bank Islam international transfer you’ll need to check out the Bank Islam international transaction fees, and the exchange rate that will be used to convert your MYR to the currency needed for deposit.

Firstly, let’s look at the Bank Islam international transfer fee you’ll pay, which varies based on the value of your transfer:

Payment value	Bank Islam international transfer fee3
Up to 5,000 MYR	26 MYR (cable charge)
Over 5,000 MYR	24 MYR (cable charge)

What you need to make an international transfer

You can send an international transfer with Bank Islam online or in the Bank Islam GO app. Bank Islam business customers can also arrange foreign remittances to over 100 countries worldwide⁴.

To send a Bank Islam international transfer you must hold an eligible Bank Islam account - it’s then possible to send money online, in the GO app or by calling into a local Bank Islam branch.

Here’s an outline of the process to send money digitally - usually the most convenient option:

1. Log into Bank Islam online or in the GO app
2. Select Funds transfer, then Instant transfer
3. Follow the prompts to enter the details of your transfer, including amount and currency
4. Select the Bank Islam account you want to transfer from
5. Enter the recipient’s banking information, and a reference so they know who is sending money
6. Confirm the transaction using the OTP which you’ll be sent by text message

💸 Sending money abroad? See how Wise compares to major banks in Malaysia when it comes to international money transfers

Bank Islam exchange rates

When you choose a service to send money overseas, it’s important to look at the fees you’ll pay, but also the exchange rate being used. That’s because banks and money transfer services often add a markup to the exchange rate offered to retail customers. That’s an extra fee, and because it’s a percentage of the value being converted, the total amount you pay can ramp up quickly when you send higher value payments.

Not all providers use a marked up exchange rate. Some, like Wise, use the mid-market exchange rate with no markup added - that’s the rate you’ll find on Google or with a currency converter. The costs of sending your payment are then split out transparently so it’s easier to see and compare that you’re paying.

To show how this works, let’s take an example - sending 5,000 MYR to be deposited in USD to an account in the US. We’ve compared the fees and rate for Bank Islam and Wise, and shown how much the recipient gets in the end in both cases:

	Fees	Exchange rate	Recipient gets
Bank Islam	24 MYR (4,976 MYR to be converted)3	1 MYR = 0.206803 USD5	1,029.05 USD
Wise	36 MYR (4,964 to be converted)	1 MYR = 0.209952 USD	1,042.20 USD

*Fee and exchange information correct at time of writing, 28th February 2024 (15:08)

As you can see, on the face of it, Wise looks to be more expensive than Bank Islam, as the transfer fee is higher. However, your recipient still ends up with more in their account in the end - because Wise uses the mid-market exchange rate, while Bank Islam adds a markup. With Wise you can easily see all the fees you pay, with nothing extra tucked into the rate used for currency conversion - keeping down costs overall.

Wise: A low-cost and quick international transfer alternative

Register for a Wise account online or in the Wise app, to send money in 40+ currencies with low, transparent fees and the mid-market exchange rate. You can send money to 150+ countries - often instantly⁶ - with costs as low as 0.43%.

It’s easy to get your money moving - and most importantly, Wise is safe to use in Malaysia. It’s regulated by the Central Bank in Malaysia and uses strict security measures to keep customers and their money safe.

Here’s how to make a transfer with Wise:

1. Log into your Wise account online or in the Wise app
2. Tap Money Transfers online; or Send in the app
3. Enter the amount and currency you want to send, or the amount the recipient should get
4. You’ll be shown an instant quote covering the fees and exchange rate available
5. Follow the prompts to enter your recipient’s details
6. Fund the payment by bank transfer or FPX

You’ll be able to see the transfer fee and the exchange rate available for your international payment instantly, and the Wise website has a handy comparison tool as well. If another provider is cheaper for your transfer you’ll be told - so you know you’re getting the best available deal, with no hidden fees or hiked up rates.

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Summary

It’s easy enough to send a Bank Islam transfer online or in the GO app, but you might find you can save if you choose an alternative like Wise money transfers. With Wise you can still pay for your overseas transfer conveniently online or in app, using FPX - your MYR will be converted to the currency you need using the mid-market rate and low fees, and deposited in double quick time, or even instantly.

There are no hidden fees or exchange rate markups with Wise, and you can see the transfer fee, exchange rate and an estimated delivery time before you confirm the payment, with no surprises and no extra costs.

🚀 Send money with Wise today

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Sources:

1. Bank Islam
2. Pricing/fees: Please see Terms of Use for your region or visit Wise Fees & Pricing for the most up to date pricing and fee information
3. Bank Islam foreign telegraphic transfer fees
4. Bank Islam foreign remittance services for business
5. Bank Islam exchange rates
6. Speed: The speed of transaction claim depends on funds availability, approval by Wise's proprietary verification system and systems availability of our partners' banking system, and may not be available for all transactions