Approximately 1.3 million adults in the UK do not have a bank account, according to a 2019 report by the Financial Conduct Authority. But don’t worry, you have options. Here’s how to send money to someone without a bank account.
Yes! In the past decade, we have made huge strides in digital banking and financial technology. While it might not have been possible to transfer money to someone without a bank account in the past, it is definitely possible today.
There are plenty of ways to send money to someone without a bank account, each with different levels of speed, security and convenience. Here are some of the best options:
Sending money through a money transfer service is an option for both sending without a bank account and sending money to someone without a bank account. Several money transfer services allow you to both pay in cash and have cash delivered to your receiver.
Your recipient could receive the funds the same day if they’re delivered via cash pickup or delivery. This option can come with high fees, so be sure to compare money transfer services that offer cash pickup.
You can transfer money to a cash pickup location in most countries, typically through a third-party money transfer service. The process is similar to that of most transfers, at least on your end. Once the funds have arrived in the third-party service’s bank accounts, they will be directed to one of their partner’s cash pickup locations where your recipient can head over to and collect their funds.
Mobile wallets, often called e-wallets, aren’t as complicated as they may first sound. There are plenty of popular apps like Google Pay, Apple Pay and similar services. Mobile wallets can often be created without a bank account, and some of them even allow you to access your funds through a debit card that connects directly to your account balance. Keep the following in mind with mobile wallets:
Money orders may seem like a thing of the past, but they certainly still have a use in the digital age.
When using a money order, keep in mind that:
Some money transfer services allow you to pay by credit card, which is convenient if you don’t have a bank account to fund the transfer. Paying by credit card will almost always be more expensive when sending money, but you can often save money by shopping around. For added convenience, a handful of money transfer services will allow you to pay by credit card and have the money available for cash pickup within minutes.
Money transfer services that allow you to pay by credit card will also usually accept prepaid debit cards. Unlike credit cards, prepaid debit cards are pre-loaded with cash so before you make the transfer, ensure you have sufficient funds in your card. As is the case with paying by credit card, using a debit card will also usually be more expensive due to transaction fees charged by your debit card provider.
However, unlike using a credit card, using a prepaid debit card can also be much safer, especially if you are keying in your card details into an unknown third-party service’s website. Should your transaction be intercepted or your card details be stolen, only the pre-loaded funds will be at risk.
Withdrawing cash from your bank account to send through the mail is the least recommended method, but it is still an option. If you choose to send cash, be sure to:
Even with these safety nets in place, we still don’t recommend that you physically mail cash. Consider using a money order or a money transfer service instead.
Deciding which method of how to send money to someone without a bank account can be tricky. To pick the transfer method that’s best for you and your recipient, consider.
Making a transfer through any online money transfer service is usually a simple process. Here’s how it goes:
Once you confirm the transfer, the money transfer service will take it from there. You can also track the transfer through email or in-app updates.
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The easiest way is to have someone send money through a money transfer service for cash pickup. Other ways include having them send a money order, send money to your mobile wallet, send cash or send a prepaid debit card.
Costs vary based on the service you’re using, where you’re sending the funds and how they’re being received. Check with the transfer service, mobile wallet provider, money order issuer or prepaid debit card provider before you complete the transaction.
Yes, certain transfer services allow you to send funds to the recipient’s phone via a mobile wallet. Western Union is among the providers that allow this, but many other options exist.
Several mobile wallets don’t require you to link a bank account. PayPal is one of the notable names that allow you to open an account and receive funds without linking a bank account or credit card.
Learn about how Small World alternatives can help you send more money for less.
Revolut has made a name for itself as a favourite for frequent travellers by offering great currency services. Stick within the “fair usage” limit for your plan and the pricing can be hard to beat.
Halifax offers different ways to send money overseas to friends and family. Check the exchange rates, fees and features in our review, and compare your options.
Learn about taxes on large-money transfers to the UK from abroad, including penalties and exceptions.
Xe is a leading company of currency solutions that offers competitive exchange rates, no fees and fast money transfers.
Lloyds Bank provides a range of options for sending money overseas to friends and family. See exchange rates, fees and services here and compare your options.
Check out our review of TorFX’s fee-free money transfers.
Read our Wise review to see the exchange rates, fees and what to expect when you send a transfer.
If you’re thinking of sending a money transfer with Western Union, read our review of its transfer speed, exchange rates and fees first.
Send an international money transfer to someone without a bank account. Get it there instantly and they can pick it up in person, in cash. Get quotes now.