Key facts at a glance
- ✓Wise offers the lowest fees (0.4% to 0.6%) with the real mid-market exchange rate
- ✓Korean bank wire transfers cost 10,000 to 30,000 KRW per transaction plus unfavorable exchange rates
- ✓Foreigners can send up to $50,000 USD per year without additional documentation
- ✓Transfers over $50,000 per year require proof of income (employment contract, tax filing)
- ✓All international remittances are reported to the Bank of Korea and National Tax Service
Overview
Sending money from South Korea to another country is something most foreigners need to do regularly, whether it is paying off student loans, supporting family, saving in a home-country bank account, or investing abroad. Korea has well-developed infrastructure for international remittances, but fees and exchange rates vary dramatically depending on which method you choose.
The Korean government monitors all international money transfers through the Bank of Korea. Foreigners have an annual limit of $50,000 USD equivalent that can be sent without additional documentation. Amounts above this threshold require proof of income source. This is not a hard cap on how much you can send, but you will need supporting documents for larger amounts.
The main options available to foreigners in Korea are bank wire transfers, Wise (formerly TransferWise), Remitly, Western Union, and cryptocurrency. Each has different advantages depending on the amount, destination country, and how quickly you need the money to arrive.
~0.5%
Wise fee
~2-3%
Bank wire fee
$50K
Annual limit
1-3 days
Bank wire speed
Source: Comparison based on 1M KRW transfer to USD, April 2026
Bank wire transfers
Bank wire transfers (해외송금) are the most traditional method and available at all major Korean banks. You can initiate a transfer in person at a branch or through your bank's online or mobile banking app. Most expats use this method for large transfers because banks can handle high amounts with proper documentation.
Major banks and their typical fees
The real cost of a bank wire transfer is not just the wire fee. It is the combination of the wire fee, the exchange rate markup, and any intermediary bank charges (which can be $15 to $25 USD deducted from the receiving end). On a 1 million KRW transfer, the total cost through a bank can be 20,000 to 40,000 KRW when you factor in the unfavorable exchange rate.
Pro tip for bank transfers: Always use online or mobile banking for international transfers. Banks offer 50% to 90% discounts on exchange rate spreads for digital transfers compared to in-branch transactions. Some banks also run promotional periods with zero wire fees for mobile app users.
Wise (formerly TransferWise)
Wise is the most popular option among expats in Korea for sending money abroad, and for good reason. It uses the real mid-market exchange rate (the rate you see on Google) with no markup, and charges a transparent percentage-based fee that is typically 0.4% to 0.6% of the transfer amount.
Create a Wise account
Sign up at wise.com with your email address. Complete identity verification by uploading your passport or ARC. Korean residents can verify with their Korean phone number and ARC.
Set up your transfer
Enter the amount you want to send and the destination currency. Wise shows you the exact fee and exchange rate upfront, with no hidden charges. You will see how much the recipient will receive before confirming.
Pay via Korean bank transfer
Wise provides a Korean bank account number (usually at Shinhan Bank). You transfer KRW from your Korean bank to this account. The deposit is usually recognized within 1 to 2 hours during business hours.
Money arrives in 1 to 2 business days
Once Wise receives your KRW deposit, the money is converted and sent to your recipient's bank account. Most transfers to major currencies (USD, EUR, GBP, AUD, CAD) arrive within 1 to 2 business days.
Wise transfer limits: Wise from Korea has per-transfer limits that vary by verification level. Fully verified users can typically send up to 10 million KRW per transfer and up to 50 million KRW per day. These limits may change, so check the Wise app for current limits. For very large transfers, a bank wire may be more practical.
Remitly, Western Union, and other services
While Wise is the go-to for most expats, several other services are available depending on your destination country and transfer needs.
Remitly
Good for transfers to Southeast Asia, South Asia, and Latin America. Often has promotional rates for first-time users. Fees typically range from 0.5% to 1.5%. Supports bank deposit and mobile wallet delivery in many countries. Speed varies from instant to 3 business days.
Western Union
Useful when the recipient needs cash pickup rather than a bank deposit. Available at Western Union agents across Korea (convenience stores, travel agencies). Fees are higher (typically 3% to 5% for smaller amounts) but offer fast cash pickup worldwide. Best for emergency transfers to countries with limited banking infrastructure.
SentBe (센비)
Korean fintech company specializing in international transfers from Korea. Offers competitive rates similar to Wise for some corridors. Available in Korean and English. Particularly good for transfers to Southeast Asian countries. Fees are typically 0.5% to 1%.
PayPal
Not ideal for large personal remittances due to high fees (3% to 4% including exchange rate markup). However, useful if you receive freelance payments from abroad. Korean PayPal accounts have withdrawal limitations. Better suited for receiving money than sending it.
Toss (토스)
Korea's popular fintech app now offers international transfers to select countries. Competitive rates for supported destinations. The transfer is done entirely within the Toss app, which most foreigners in Korea already use for domestic banking.
Cryptocurrency options
Some expats use cryptocurrency as a workaround for international transfers. The idea is to buy crypto on a Korean exchange, send it to a foreign exchange, and cash out in the local currency. While this can be fast, it carries significant risks and regulatory considerations.
Important warnings about crypto transfers: Korean crypto exchanges (Upbit, Bithumb, Coinone) require real-name verified Korean bank accounts, which means your transfers are traceable. The "Kimchi premium" (higher crypto prices in Korea compared to global markets) means you may lose 2% to 5% just on the price difference. Crypto transfers are subject to Korean capital gains tax regulations. The Korea Financial Intelligence Unit (KoFIU) monitors large crypto transactions. This method is not recommended as a primary remittance strategy.
If you do use crypto, stablecoins like USDT or USDC reduce volatility risk during the transfer. However, you still face the Kimchi premium on the Korean exchange side, trading fees on both exchanges (typically 0.1% to 0.25% each), blockchain network fees, and the time risk if crypto prices move during the process.
For most people, Wise or a bank wire transfer is simpler, cheaper, and carries no regulatory gray area. Crypto transfers make sense only in specific situations, such as sending money to countries with limited banking infrastructure or when traditional services are unavailable.
Fees comparison
The following comparison is based on sending 1,000,000 KRW (approximately $750 USD) from Korea to a US bank account in April 2026. Actual fees vary by destination country and transfer amount.
Cost comparison: 1,000,000 KRW to USD
Estimated total cost per 1M KRW transfer to USD
Source: Based on 1M KRW to USD, April 2026 rates. Includes fees and exchange rate markup.
Required documents
The documents you need depend on the amount you are sending and your method of transfer. Korean regulations require financial institutions to verify the source of funds for international transfers.
For transfers under $50,000 per year
Additional documents for transfers over $50,000 per year
The $50,000 limit is cumulative: The annual $50,000 limit tracks all your international transfers combined, not per transaction. If you send $30,000 in March and $25,000 in June, your total is $55,000, and the second transfer will require additional documentation. Banks track this through the Bank of Korea reporting system, so splitting transfers across multiple banks does not avoid the requirement.
Tax reporting requirements
All international money transfers from Korea are automatically reported to the Bank of Korea and shared with the National Tax Service (NTS). You do not need to file a separate report for routine transfers, but you should be aware of how remittances can trigger tax inquiries.
- •No separate reporting needed for transfers under $50,000 per year that match your declared income level. Banks handle the reporting automatically.
- •Large or frequent transfers may trigger an NTS inquiry. If you send amounts that significantly exceed your reported income, the NTS may contact you for explanation. Keep records of your income sources.
- •Home country tax obligations also apply. Many countries (including the US, UK, Australia, and Canada) require citizens and tax residents to report worldwide income and foreign bank accounts. US citizens must file FBAR (FinCEN 114) if their Korean bank accounts exceed $10,000 at any point during the year.
- •Sending salary home is not a taxable event in Korea. You are simply moving after-tax income to another country. However, any interest or investment gains on those funds in your home country may be taxable in both countries, subject to double taxation agreements.
Frequently asked questions
What is the cheapest way to send money from Korea?
Can I send more than $50,000 per year from Korea?
How long does a bank wire transfer take from Korea?
Can I use Wise without a Korean bank account?
Is it legal to send money abroad using cryptocurrency from Korea?
Do I need to report money sent from Korea on my US tax return?
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