From 2021, Money transfer will be faster and cheaper for foreign nationals

From now on, foreign nationals living overseas and foreigners living in Korea will be able to send money overseas through credit card companies. As a result, the speed of remittance and transaction cost performance will improve comparative to the banks. 

Commission of the financial services held a regular meeting with Korea's designated card companies (Shinhan, Hana, us, KB Kooks, Lotte) as innovative financial services for overseas remittance services for non-residents and foreigners. As a result, non-residents and foreigners can also send money overseas from credit card companies. However, it is within the annual US dollar standard of 50,000 dollars. The service is expected to start after March 2021. 

According to the Financial Commission, "As non-residents or foreign residents can send small amounts of money from credit card companies, customer access to cheap and quick overseas remittances will increase." 

Banks use the Society for International Banking Communications (SWIFT) network, which is an international financial settlement network when sending money overseas. It usually takes a couple of days to send money overseas. Fees were also reported at the 3-5% level of the remittance amount. However, recently, banks often offer discounts on fees.

Card companies are going to use Visa and Master card network. Remittances take place within a few hours at the longest, faster than banks. It was reported that the transfer fee will be around 1% of the remittance. 

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