International transfers are built up around a complex infrastructure, with many partners involved behind the scenes. That is why it’s normal procedure for financial institutions to charge a fee when sending or receiving foreign transfers.
Lunar does not charge a fee, but rather adds a currency charge/deduction of up to 2% when currency is exchanged due to an international transfer.
International transfers are built up around a complex infrastructure, with many partners involved. International transfers are usually made via one or several transit banks that can delay the process. An international transfer can therefore depend on the involved parties IT systems, working hours and holidays. Furthermore, the involved banks are obligated to screen international transfers for i.e. financial crime.
BIC is short for Bank Identifier Code. BIC is the bank’s identification number and is also used for international transfers. All banks use BIC, and is typically used for international transfers to banks in countries that don’t use IBAN.
That’s why you need to know the recipient’s local account number and the bank’s BIC when creating an international transfer to a country that doesn't use IBAN.
SWIFT is short for Society for Worldwide Interbank Financial Telecommunication. SWIFT is the infrastructure behind international transfers, which gives financial institutions access to sending money across country borders.
IBAN is short for International Bank Account Number, and consists of a country code followed by a number. IBAN is used throughout most of Europe, and in a variety of countries outside of Europe.
IBAN identifies the country, bank and the person or business that will receive the money.
In some cases, you might get asked why you’re sending or receiving international transfers, and be asked to dokument it with a contract or an invoice. This is due to a great focus on international transfers from national and international authorities to prevent money laundering, terrorist financing, and other financial crime.
An international transfer is when a private person or a business sends money to a private person or business between accounts in different countries.