Toss Bank turns overseas transfers into no-fee, trackable service
Summary
Toss Bank said its overseas remittance service saved customers an estimated 1 billion won in fees during its first six months, with savings driven by waived transaction and exchange fees. The digital bank said Friday that transfers from January to July cost less than conventional wires because it removes intermediary bank fees. It also said the service supports real-time tracking, covers 10 currencies, and will keep waiving its 3,900 won transfer fee through Dec. 31.
Key Facts
- Traditional overseas transfers can cost about 13,000 won per transaction, based on disclosures from the Korea Federation of Banks’ consumer portal.
- Toss Bank said it has waived its 3,900 won transfer fee through Dec. 31.
- Monthly transfers on the service rose about fourfold from January to July.
A poster promoting Toss Bank’s efforts to help customers save about 1 billion won ($720,000) in overseas remittance fees / Courtesy of Toss Bank
Sending money abroad can be an exercise in uncertainty, but Toss Bank’s overseas remittance service has helped customers save an estimated 1 billion won ($720,000) in fees during its first six months of operation.
The digital bank said Friday that transfers made between January and July cost significantly less than conventional wire methods, driven primarily by waived transaction and exchange fees.
Under the traditional system, overseas transfers can incur an electronic transmission fee of 8,000 won and a transfer fee starting at 5,000 won, for a combined cost of about 13,000 won per transaction, based on disclosures from the Korea Federation of Banks’ consumer portal.
Toss Bank said its service eliminates intermediary bank fees and is waiving its 3,900 won transfer fee through Dec. 31.
The bank said conventional transfers can pass through multiple intermediary banks, with fees deducted along the way and leaving recipients with less money than the sender intended.
For example, a $10,000 transfer can arrive short of the intended amount, forcing the sender to make another payment and potentially incur additional fees.
Toss Bank said its service avoids intermediary banks, reducing uncertainty for payments such as tuition and contract deposits where the exact amount received matters.
The service has also gained traction, with the number of monthly transfers increasing about fourfold from January to July.
People in their 20s and 30s accounted for about 72 percent of customers using the service, the bank said.
Transfers can be tracked in real time as they move toward recipients, with customers able to confirm arrival at receiving banks in some cases in the United States.
The service currently supports 10 currencies, and the 3,900 won transfer fee remains waived through Dec. 31.
A Toss Bank official said the company would continue expanding overseas remittance options that allow customers to send money without fees and with greater confidence.
This article was published with the assistance of generative AI and edited by The Korea Times.
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