Denmark’s largest bank is a major player in northern Europe. It has a lot of international ties, so it’s no surprise that its customers are able to transfer money abroad in several ways. You can likely save money by sending your transfer through TransferWise, but more on how to do that later.
So here’s a guide to how to make an international transfer (also called OUR, BEN and SHA transfers) with Danske Bank in Denmark, as well as what it costs.
Example transfer: Transferring 1000 DKK to a bank account in the US in US dollars via an OUR international transfer using online banking.
|Provider||Fee||Exchange rate||Total cost|
|Danske Bank||250 DKK||Exchange rate + markup||50 DKK standard fee + 200 DKK additional fee + exchange rate markup + possible beneficiary bank fees|
|TransferWise||10 DKK||The mid market rate, the same you find on Google||10 DKK|
Because the international transfers are sent by the SWIFT (Society for Worldwide Interbank Financial Telecommunication) that means there are more fees than if you were sending a euro SEPA transfer or money inside Denmark itself. Not only that, but if, for some reason, Danske Bank needs to an intermediary bank, or 2, or 3, then each of those banks will also deduct a flat fee from the amount you’re transferring. That can add up pretty fast, and many customers are surprised by these charges.
Because of that, Danske Bank offers you several options for these transfers, to decide who pays what fees - you (OUR transfer), the beneficiary (BEN transfer), or the costs shared between both of you (SHA transfer).
Danske Bank has the following standard charges for international transfers to and from Denmark.
|Danske Bank Transaction||Regular Fees|
|SHA - payer and payee share costs||The fees for the transfer will be divided between the payer and the recipient.|
|OUR - payer pays all costs||Standard fee + an additional fee of DKK 200. (If the fee from the recipient bank exceeds DKK 200 Danske Bank will charge you for this once the payment has been completed.)|
|BEN - payee pays all costs||The recipient pays the fees for the transfer. (Not available for EUR, BGN, CHF, CZK, DKK, GBP, HRK, HUF, ISK, NOK, PLN, RON or SEK made within the EU or EEA area.)|
|SEPA same-day transfer||DKK 20 (eBanking)DKK 270 (in branch or by letter)|
|Intra-Danske Bank transfer||DKK 20 (eBanking)DKK 270 (in branch or by letter)|
|Standard international transfer||DKK 50 (eBanking)DKK 300 (in branch or by letter)|
|Express transfer (available with some currencies)||DKK 400 (eBanking)DKK 650 (in branch or by letter)|
|Receiving EUR transfer (Inside SEPA)||From foreign bank: DKK 20 Intra-Danske bank: DKK 20|
|Receiving EUR/DKK transfer from foreign bank to an account that isn’t denominated in that currency (Inside SEPA)||This applies if you receive EUR or DKK but your account is in the opposite currencyFrom foreign bank: DKK 50Intra-Danske bank: DKK 50|
|Receiving other currencies from foreign bank with no currency conversion needed (Inside SEPA)||From foreign bank: DKK 50Intra-Danske bank: DKK 50|
|Receiving a transfer from a foreign bank (non SEPA)||DKK 50|
|Receiving a transfer from your own Danske bank account||DKK 0|
|Additional fees may apply||See additional fees section|
As mentioned above, there are also express transfer options if you’re in a rush.
These are Danske Bank’s standard fees as quoted online, but to be sure about your particular case you should check with Danske Bank yourself. Also bear in mind that if you bank with Danske Bank outside Denmark, rates will probably be different because of the different currencies involved.
(Source 17 October 2017)
The exchange rate offered can be just as costly - often more so - than fixed fees. Banks can set their own exchange rates when they make international transfers, which frequently means that they are not the best rate you can get - they’ll probably be a lot worse than the mid-market rate that you’ll find on Google or XE. These are the rates that high street banks and big players use on the global financial markets. But they’re generally not the rates that consumers can access. In fact, banks mark up these exchange rates, on average, anywhere from 4-6%. That can cost you a lot.
Danske Bank keeps a list of their exchange rates online, including historical rates from previous months. They also explicitly state their markup of the rate that they offer to consumers for currency conversion. Which means, if you’re sending money with Danske Bank and you agree with them to make the exchange from one currency to another, you can expect them to add a margin into the rate as they make clear.
From the data they list online, here are a few major currencies and the margin Danske Bank lists online at the time of writing:
|Currency||Danske Bank Exchange Rate Margin|
|Australian Dollar (AUD)||-/+ 1.30|
|Canadian Dollar (CAD)||-/+ 1.10|
|Euro (EUR)||-/+ 1.30|
|Pound Sterling (GBP)||-/+ 2.00|
|Japanese Yen (JPY)||-/+ 0.012|
|Singapore Dollar (SGD)||-/+ 3.00|
|US Dollar (USD)||-/+ 1.30|
If you’re sending money internationally with Danske Bank, you may be able to arrange for them to make the currency conversion themselves before sending foreign currency abroad. This way, you will know the exchange rate you’re agreeing to. Otherwise, either the recipient bank or an intermediary will do the exchanging, and there’s no guarantee what rate you’ll receive.
With Danske Bank, there are set daily rates if a transfer in a major currency reaches them before 1:45 pm Copenhagen time on a business day, so long as the transfer is less than DKK 3 million. For any other transfers, Danske Bank uses market rates that change throughout the day. You can check with them, but it might be hard to get a precise figure.
Before you do send money or agree on an exchange rate, however, it’s a good idea to compare it to the information from an online currency converter or with a quick Google search. That will give you a better idea of whether or not the rate and fees you’re being charged are actually fair. Exchange rates are a huge place where customers often miss out on the largest chunk of their cash, so it never hurts to double check before you commit.
If you need extra services, such as additional processing of a payment or if you need advice or additional information, Danske Bank might charge you an additional fee. And depending on the precise details of your transfer, you could also find yourself facing fees set by other banks involved in the transfer. This is something that can happen with the SWIFT system for international transfers. As the intermediary bank fees aren’t set by Danske Bank, it might be tricky to find out exactly what they will be.
|Danske Bank international transfers||Additional fees|
|Sending/recipient bank and/or intermediary bank(s)||For both standard and express transfers Danske Bank sometimes uses a corresponding bank. Danske notes “Whenever we choose to transfer amounts through a correspondent bank, the correspondent bank will deduct its own fees before sending the transfer to the payee’s bank. If you want to ensure that a specific amount reaches the payee, you should choose the ‘Payer pays all costs (OUR)’ allocation method.”|
|(Outgoing transfer) If you prefer information/communication by letter||DKK 0 (if you don’t use eBanking and/or e-Boks)DKK 20 (if you can receive info through eBanking and/or e-Boks)|
|(Outgoing transfer) Information by telecommunications service to the recipient or their bank||DKK 300|
|(Outgoing transfer) When additional processing is required, for instance when the SWIFT/BIC/IBAN is incorrect or missing.||DKK 150|
|(Outgoing transfer) Cost incurred by recipient bank||DKK 200 (minimum)|
|(Outgoing transfer) Assistance to revoke, resend, modify, or enquire about and return a transfer||DKK 375 (per transfer)|
|(Outgoing transfer) When you need assistance to fill out an order form||Danske Bank will charge you an hourly rate with a minimum of DKK 100|
|(Outgoing transfer) Recovering funds in case you stated wrong account information||Danske Bank may also charge you a fee for this if you are at fault for incorrect information|
|(Outgoing transfer) Express transfer online / in branch||DKK 400 / DKK 650|
|(Incoming transfer) Advice via phone||DKK 50|
|(Incoming transfer) Information obtained from sending bank||DKK 375 + any costs incurred by sending bank|
|(Incoming transfer) Information sent to sender||DKK 0 (if sent through Danske eBanking)DKK 0 (via letter if sender doesn’t use Danske eBanking)DKK 20 (via letter if sender is able to use Danske eBanking)|
(Source 19 October 2017)
There’s an alternative way to transfer money abroad that comes with no hidden costs. TransferWise gets your money to its destination using the same exchange rate you’ll find on Google or XE. Because banks normally add in a margin to the exchange rate, that means you can generally get a better exchange rate with TransferWise than you could if you sent your money via regular banks. And TransferWise only charges on simple transfer fee. The cost is stated upfront and is based on the amount you want to send. TransferWise uses smart new technology to connect local bank accounts all over the world. Which means when you use TransferWise to send your money abroad, your money never crosses local borders. So you won’t have to figure out who’s paying for all the extra intermediary and recipient bank costs, because there shouldn’t be any.
In addition, with a TransferWise borderless account, you’re able to move and hold money in different currencies even more easily. You can keep money in up to 28 different currencies, with the ability to transfer it at any time in any currency of your choice. So if you work in one place but get paid in the EU, the UK, the US or Australia, you can get local bank details for those regions and get paid like a local. Which also means if you often need to transfer money abroad or have access to money in different currencies, it can save you a lot of bother - and a lot of money.
Take a look at what TransferWise offers, including its exchange rates. And if you aren’t sure if it can save you money, try splitting your transfer in 2 parts next time around. Send part with Danske Bank, the other part with TransferWise. See how much you actually save.
If you’re not convinced, see for yourself. Next time, try sending half with TransferWise and half with Danske Bank and find out.
With Danske Bank, it’s easiest to make the foreign transfer online - their system is designed to save you money and effort. But you can also pay in a branch if you prefer, or send Danske Bank a request by post, but be aware upfront that this will likely cost you a bit more.
To do it online, first make sure you’re registered with Danske Bank’s online service. You’ll need your login details, and then, once you’re in, navigate to the international payments section and follow the instructions on screen. If you want to apply by paper, you can download the form from the Danske Bank website.
Once you’re logged in, you’ll need a few other details:
- The amount
- The payment date
- The recipient’s full name as it appears on their bank account
- The recipient’s personal address
- The recipient’s IBAN if sending to the EU or an account number used for international payments if sending money elsewhere
- The name and address of the recipient’s bank
- The recipient bank’s SWIFT/BIC code (you can use the SWIFT/BIC finder to work it out)
(Source 19 October 2017)
What do I need or what should I give to the sender in order to receive an international bank transfer?
The best thing to do is to always check exactly what details the bank sending your money requires as they can vary slightly. The key details to include, however, are your IBAN and Danske Bank’s SWIFT/BIC code. They might also ask for your name and address, and those of your bank’s.
All of the following information refers to transfers from and to Danske Bank accounts based in Denmark. If you have a Danske Bank account in another country, the details may differ and it would be best to check locally.
You should also be aware that all of the below times refer to how long Danske Bank will take to process transfers. Which means that the estimates don’t include the amount of time it might take other banks to process the order. This could add days to the transfer time, as intermediary banks are very commonly involved in international transfers, especially outside of the Single European Payment Area (SEPA).
Danske Bank also notes that if you order your international transfer in person or via paper, it may take another day or so to process.
International transfer times vary depending on which country you’re sending it to and how you set it up. It may take a day longer if you don’t use the online service.
A standard international transfer in euros to an account outside of the SEPA zone will take 1 business day, a payment in another currency can take 2 business days. A payment of euros to an account within the SEPA zone will be processed the same day if you set it up by 2.00 pm.
Things are also generally faster if you’re transferring money to another Danske Bank account abroad.
Processing times can vary quite a bit, so it’s a good idea to double check them with your bank prior to transferring.
Yes, you can speed up your payment with an express transfer so that Danske Bank’s part of the transfer will be done on the same day or the next. It costs DKK 400 online or DKK 650 in a branch.
Try and make your transfer early in the day to make sure the bank doesn’t add another day on to the turnaround time. With Danske Bank, the cut-off times vary depending on the sort of transfer you’re making - it’s as early as 11:00 am for some express transfers and as late as 5:30 pm for some more standard ones. For a SEPA transfer it’s 2:00 pm.
- For more information on Danske Bank products, the number to call is +45 70 12 34 56.
Don’t lose out when you make an international transfer. However you choose to do it, take care to find out exactly what it will cost you and the person receiving the money. Most importantly, remember that exchange rates play a big part in finding out the real cost of the transfer.
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