In the third of a series of articles on bank fees, Matt Skinner looks at international service fees the major banks charge

International service fees apply when you want to send money overseas or receive money from overseas either in a foreign currency or in the New Zealand dollar.

They also apply when you want to cancel a transfer of funds, regardless of whether your funds are ultimately returned.

An example of what this might look like is say you were transferring $100 to your son on his OE (overseas experience) in Las Vegas. First you'd need to know the exchange rate to understand how much he'll receive in US dollars. Then you'll pay a fee depending on whether you transfer the money online or in person at a bank. If you're trying to send the money via cheque there are a few banks that won't accept those anymore. Additionally when you skype your son and find out he never asked for money in the first place, it will cost a fee to try cancelling the transfer to scammers.

In the Reserve Bank's financial strength dashboard the income breakdown for the June 2022 quarter shows ANZ made fees and commission income of $130.4 million, ASB made $117.9 million, BNZ made $98 million, Kiwibank made $12.5 million and Westpac made $58 million. Figures for the September quarter are yet to be added.

ANZ

ANZ outward payments have an issue fee of $9 for ANZ Internet Banking, ANZ goMoney and ANZ Direct Online. Outward Payments through staff assistance in a branch or over the phone costs $28.

The cancellation fee, where ANZ will attempt to return funds, is $25.

An amendment and resend fee, where ANZ amends any payment details and resends on your behalf, is $25.

The enquiry fee, where the beneficiary is claiming non-receipt of funds, is $25.

ANZ inward payments, excluding foreign cheques, has a $15 fee when a payment credited to an ANZ account in New Zealand dollars or foreign currency is made. 

It’s $15 for payments credited to a non-ANZ bank account in the NZ dollar or a foreign currency.

Payments in the NZ dollar credited to an account outside NZ also cost $15.

No fee is charged for payments under the equivalent of $300.

At ANZ foreign cheques in Australian Dollars (AUD), Canadian Dollars (CAD), Great British Pounds (GBP) and United States Dollars (USD) are still be able to be deposited.

Foreign cheques when credited to a NZ dollar account are $15 per deposit.

When credited to a foreign currency account it’s $20 per deposit. 

Sent for collection (if you need to ensure cleared funds) costs $75 at ANZ.

ASB

ASB outward payments via FastNet Classic cost $15 per transaction.

International money transfer trace/amendment/cancellation costs $30 through FastNet Classic.

Staff assisted international money transfers cost a $30 fee.

Staff assisted international money transfer trace/amendment/cancellation cost a $30 fee.

ASB inward payments, received directly by ASB, cost $15 if the payment is settled to a NZ dollar account at ASB. This fee is waived for payments of $100 or less.

Payment to another bank account settled in the NZ dollar costs $25. This fee is waived for payments of $100 or less.

ASB phased out cheques during 2021, however foreign cheques are still accepted.

For foreign cheques there is a staff assisted stop payment fee of $25. FastNet Classic is also a $25 fee to stop payments.

In receiving a foreign cheque payment there is a $50 sent on collection fee, plus the courier fee. 

There is something called a clean negotiated dishonour fee at ASB, which means that the cheque was not successfully deposited. This is different from when a cheque bounces due to insufficient funds. It happens when there are mistakes in filling out the cheque or issues around cancelling payment. This fee is $25 and the cheque funds won't enter your account.

For inward payments with foreign cheques the other banks' charges may apply.

There are no fees to transfer between your foreign currency account and your NZ dollar accounts.

BNZ

Sending international payments at BNZ costs $25 per transaction if assisted by staff and $5 per self-service payment online.

There is a correspondent bank fee BNZ charges in lieu of overseas correspondent charges for processing the international payment, $20.

When receiving international payments at BNZ and credited to a BNZ account the fee is $10. 

Receiving international payments by BNZ and credited to another bank costs $15.

International payment trace/amendment/cancellation costs $25. 

BNZ no longer issue, supply or accept cheques as they've moved to be cheque-free.

Kiwibank 

Staff assisted outward international payments cost equivalent to $25 per payment. 

Internet banking outward international payments cost equivalent to $20.

Outward international payment investigation/amendment/cancellation costs $25.

For international direct credits, there are no fees for the recipient, i.e. what you send is what they get. 

The international bank draft stop fee at Kiwibank is $15 per stop.

Inward international payments into a foreign currency account costs the equivalent of $12 per transfer.

Inward international payments into your NZ dollar account cost $12. 

On 29 April 2022 Kiwibank stopped accepting foreign cheques.

Kiwibank doesn't receive international payments for non-Kiwibank customers.

Westpac

Staff assisted outward payment sent by you to another bank costs $30 per transfer.

Outward international payment sent by you via Westpac One or Business Online Banking costs $10.

Outward international payment sent by you via any other online banking channel costs $20.

Staff assisted transfer to another Westpac foreign currency account costs $15.

When Westpac charges you, 'OUR charge', in lieu of a correspondent bank deducting a fee it costs $25. Beneficiary bank fees may still apply.

Receiving inward international payment by a Westpac customer costs $15 per transfer.

Inward international payment received by a non-Westpac customer costs $25.

Receiving inward payment by a non-Westpac customer in foreign currency costs $50. 

Amendment, investigation, trace, verification and cancellation costs $25 per request and overseas bank charges may apply.

Westpac no longer accepts cheques including foreign cheques.

*You can see part 1 in our bank fees series here.
*You can see part 2 in our bank fees series here.

*You can see part 4 in our bank fees series here.