TransferWise Issues?
 

I was wondering if anyone has had any issues having TransferWise money transfers getting approval at Malaysian banks. I submitted a request almost a month ago and waited a week to get the money drawn from my US bank in US$ and converted by their "Malaysian partner bank" into MYRingitt. Then the transfer took place to Public Bank in KL. It apparently sat there for a week then sent back. Then it was sent again. I contacted TransferWise and my bank and requested a trace. The local bank first said "we never received it", then when I showed them the trace from TransferWise they said oh...it's an account to account transfer...it will be rejected by HQ because it violates banking regulations. Contacted TransferWise again. They said - we have made transfers to Malaysian banks before, including PB.

I asked for a refund, TransferWise said because the transfer had been sent out AGAIN they could not refund until PB returned the money. I asked which bank they could guarantee a transfer and the name of their partner bank but they would not tell me.

So has anyone else had this issue. If they had no issues with transfers what banks seemed to have no issue.

Re: TransferWise Issues?
 

TransferWise can only deliver MYR via domestic transfer to bank accounts based in Malaysia and currently they cannot send money from Malaysia.

Like many others here I use HSBC Premier global banking. It's free, instant, available 24/7 and all done via internet banking. I'm sending money around too often to endure the kind of service TransferWise is providing (even if they can save you a few Sen)

Re: TransferWise Issues?
 

Thanks- Not all can afford to join HSBC Premier global banking. It's not "free" if one drops below their financial minimums (in US $100,000 combined account minimum otherwise a $50/month fee; £50,000 with HSBC in the UK). It's essentially a fixed account at that level. And to establish an account in Malaysia (with lower financial requirements- RM200,000 or minimum monthly salary of RM16,500 deposited in a HSBC Branch in Malaysia or RM150/mo fee) requires transferring the money at a vastly higher fee/rates.

I'm looking for an answer to MY question. I have very different financial circumstances and your solution is irrelevant to my situation.

Re: TransferWise Issues?
 

As you say the balance requirement at HSBC is RM200K but the MM2H deposit of RM150K is taken into account so it's not exactly expensive and it gives you Premier status worldwide, not just in Malaysia. Seems like a good deal to me.

Re: TransferWise Issues?
 

Re: TransferWise Issues?
 

I don't need to establish a Fixed Deposit. Your advice is helpful to the question of which fixed deposit to initially establish. I'm already here. On the pension plan.

In addition, wouldn't one would still have to transfer money into the Malaysian Premier Account, unless they allow one a gratis one time "set up" account at a foreign HSBC branch, and waive transfer fees. Plus they'd likely do that at the poorer exchange rate if at all. If not then you are transferring RM200,000 at the poorer exchange rates and fees. As an example, I attempted to transfer US$10K back when the $/RM was $1/4.00 RM. Transferwise gave me 3.98 and a $100 fee. My Bank gave me 3.90 ($200 less) and a $150 fee ( Total $350 - net $250 lost through fees and bad exchange rate). I can imagine what the transfer loss would be on $50,000! An estimated cost of $500 (TransferWise) vs. $1750 (wire transfer).
Now you could say, "you'll eventually make that up in the interest rate on the fixed deposit", but one could use TransferWise to establish that very same fixed deposit. 4%/annum would indeed bring $2000 the first year covering the cost of the transfer. But with a TransferWise transfer that's $1500 profit above expenses.

Re: TransferWise Issues?
 

I've only made two inward transfers using TFW, both to someone else's account at Maybank. No problems at all and the money was received in less than two working days.

I created a UK-based TFW account, paid money into it from my UK bank, set up the MYR payment, got the mid-market rate and a very low fee. No complaints at all. Possibly your issues are being caused by the American (FATCA) Inquisition? Just a wild guess.

Re: TransferWise Issues?
 

Have sent TW several times to HSBC MY, biggest single transfer was 230K MYR, no issues. The transfer shows up as a domestic transfer from a Malaysia (money transfer) company, so I don't see why the receiving bank would block an incoming domestic MYR transfer.

Re: TransferWise Issues?
 

I've not used TransferWise but I can recommend someoe who I have used for years for multiple currencies, and who used to look after my clients when I was a Financial Planner - feel free to PM me.

N.

Re: TransferWise Issues?
 

I am likewise having issues with Transferwise this week trying to move a large sum over to CIMB for my MM2H FD. Rejecting at the local Malaysia level, not with CIMB but with some agent between TW and CIMB. I've had to provide my MM2H approval letter, banking statements, etc. But to no avail. I've paid rental deposit, rent and other bills with no issue over the last couple of months but all of a sudden it is being rejected.

Re: TransferWise Issues?
 

Epicurious might have a good point about the US, I wonder if setting up a Euro or Pound "Borderless Account" would work around the issue, accepting that more exchange loss is in the mix with that.

RedApe what have you learned?

Re: TransferWise Issues?
 

When I tried to open an FD and current account at Affin bank around 6 months ago I was told by the staff member that they would not allow me to open an account if the money was being transferred in from overseas so perhaps it's not a Transferwise or a US issue but an issue with local Malaysian banks. In my case I also have HSBC Malaysian account and have used that as the destination when using Transferwise without any problems as HSBC being an international bank receives transfers directly. I then do a local transfer from HSBC to Affin without problem. Note that when I opened the Affin account I had to not only provide documents around MM2H (FD held at HSBC) but also evidence that I had a local HSBC bank account that can take overseas transfers. Application went to head office and took about 2 weeks before account opening was approved. Would suggest that at Affin bank they don't want the problems that are being described in previous posts.

Re: TransferWise Issues?
 

I made maybe 20 or 30 Transferwise transfers from EUR to MYR in the last years, never had any problems. But I did not do extraordenary large sums with a single transfer, maybe that is the problem.

HSBC Premier global banking is not free, compare the exchange rate and you will know. Even better then transferwise is the good old money changer of your trust. So it is not a bad idea to let every family member bring in the maximum amount of currency from any visit home. In KL stick to MidValley for money changing.

Re: TransferWise Issues?
 

Yes, after floating around different Money Changers in Kuching I found a wide range of rates. Pays to shop around. All were better than the "real" (non-internet) bank rates and none charged a service fee. One then simply strolls over to the bank branch and have them put it into your account. The problem is the whole "carrying around cash" element.

Re: TransferWise Issues?
 

Yep, we're just in the process of buying so I need to transfer UK funds into Malaysia and far more than I've needed for living in a rental.[1] Although I did a couple of years back do a a largish transfer for the car etc I recently sent RM200k and it got held up for just on a week with Transferwise not being particularly helpful. They kept saying it was complete but the money had vanished into limbo.

Eventually after a number of calls and emails it did get to the destination account. In a subsequent call with Transferwise they suggested that they could transfer up to £2 million at a time but that sums of RM200k and above triggered investigation in Malaysia. I've just made another instalment below RM200k and it went through in a couple of days. I've a few more to do but the rate has been so rubbish I am hoping for the odd point increase before sending some more.

[1] I did send a small sum a week before the brexit nonsesne, which I'd transferred the lot now at 6.3 if only.

Re: TransferWise Issues?
 

Likewise I have had issues with a Transfer Wise payment this past week.

As others have stated I have made previous transfers with TW before with no problems so this may be a new issue, possibly related to the new government demanding tighter financial scrutiny of international transfers.

My other concern is the complete lack of professionalism by TW.

My TW online account states the transfer of funds is complete but I have not received the funds in my HSBC account. I have emailed TW three times, the first time in reply to their request for further information and proofs, but I have not received any response whatsoever despite this issue beginning on 23rd August.

I didn't use HSBC Global as I had previously no issues with TW transfers but from now on I will revert to Global to avoid what seems to be new regulations.

Some new MM2H applicants may wish to factor these problems into their choice of an initial FD bank. I chose HSBC (despite being able to get a better FD rate elsewhere) for their Global transfer facility.

Re: TransferWise Issues?
 

To those who are finding difficulty transferring/exchange into MYR I can only add that I regularly use TransferWise to transfer/exchange from my HSBC Premium GBP Account in Channel Isles to my HSBC Premium IDR Account in Jakarta. I do it in GBP 5-10,000 batches depending on how good is the rate.
HSBC Premium transfers are free but their exchange rate, even when getting a manager's preferred rate, cannot beat TransferWise total package. I have even Tx/Ex from my GBP account in JKT to my IDR account in JKT to get a better rate than the bank.
I'd suggest any issue must be with the Malaysian banking system as Indonesian transactions, so far, have been flawless.

Re: TransferWise Issues?
 

So after a fourth email TW responded

"I know that providing a bank statement or a payslip is inconvenient for you, though our partner bank requested one to credit the amount on the recipient’s account. Please, let me know if you want to proceed (then, please send us the required document by answering this email) or if you want a refund"

Having read Ian's post #15 I took the refund which has duly been paid.

I asked for a reason why previous transfers had been "unchallenged" and now it has changed plus why their (my account section) show the money has been paid when in fact it has not?

No reply to these question just an automated email saying my refund had been processed.

Re: TransferWise Issues?
 

Finally sorted out. After getting a helpful TransferWise agent to agree to help me over a week period of time so I did not have to start the story again with each email into the black hole.

This agent stated that indeed it has to do with much tighter banking rules in Malaysia that are on the look out for money laundering. His recommendation was to do 100,000rm lots and to provide my MM2H approval letter with each wire which he agreed to keep on file and attach on my behalf after I ordered each transfer. As I am under 50 that requires three transfers for me and the third one is in the webosphere now with the first two successfully deposited at CIMB.

I've also attempted to purchase a vehicle with a wire to the dealer for 120,000rm which is also currently in the webosphere so we will see if they ask for an invoice or if the amount is still low enough to pass the sniff test as it is going to a registered business rather than a personal account.

TW did come through in the end once I got the right service wrep in the mix. Unfortunately no direct email address for him for future needs but if you push long enough you can move up the decision making chain.

Re: TransferWise Issues?
 

Phew

The conversation I had suggested RM200k was the tipping point, I've sent another couple of transfers towards the new place pitching it at £25k ~ RM131K, so far so good, although it seems to arrive one day after they say, either they're over optimistic or HSBC only do their credits at the end of the day. Just need to do one more to meet the stage payment then the rest later in the year, hopefully the rate will have a midweek bounce.

Re: TransferWise Issues?
 

Glad your's are going through! I've also noticed that it is definitely the day after they say funds should have arrived. For example the car dealer says they have not received and TW says that the funds were paid out on 27th. Looking at the car dealer's bank's website it shows telegraphic transfers received before 5pm will be credited that day. My assumption is that we are so far ahead of Europe and the USA that by the time all the buttons are pushed on the 27th its way after 5pm here. Fingers crossed.

Re: TransferWise Issues?
 

My transfer was well below 200,000 RM and it still got blocked but if required sometime in the future I will try again with sub 100,000 RM.

It's all very well having to ring reps and plead for your money to go through but when you are working to a deadline the uncertainly has to be factored into the benefit of the rate saving. Hopefully it is only a temporary situation.

Re: TransferWise Issues?
 

Once again i repeat that all concerns on this thread re: Malaysia TransferWise must be due to the MYR banking system
Last night, at around 7:30pm KL time, my wife Transferwised GBP 5,000 from our HSBC CI account to our IDR account in Jakarta and it was in my JKT bank before 3 pm this afternoon.

Re: TransferWise Issues?
 

Davita no one is contesting your view it is the Malaysian banking system causing the issue (confirmed by macmagrduer post at 4:34 am yesterday) but just because your transfers are going smoothly does not excuse the poor service I (and Ian Blakely) have received from TW.

The Malaysian banking system cannot be held responsible for TW poor communication and their notifications stating "payment complete" when they are not.

The thread is about "TW issues".

Re: TransferWise Issues?
 

The thread does touch on problems concerning TransferWise and that's why I posted. I've used TW for many years between four different continents and the only time I had a concern was because the bank that received the money did not do due diligence. It could be the banks that aren't complying with your issues and not TransferWise.
i.e. I had an email from TW saying 'payment complete' overnight...... but the bank did not post the deposit until this afternoon. i.e. TW completed their side of the transaction but the bank took their time to actually deposit into my account.
Any communication with TransferWise would require them to communicate with the bank concerned and that is possibly where delays may occur.

Re: TransferWise Issues?
 

Davita to be fair you previously posted:

Clearly not all concerns.

My view is TW were sorely lacking in their level of communication, especially when you are entrusting funds to a third party. This is the responsibility of TW, their own internal processes and MY banking issues play no part in keeping a customer fully informed.

Regarding the actual transaction I am confident it is not TW fault as they are a broker to broker service who has to abide by local regulations, as they advised me:

"due to governmental regulations our partner bankcurrently requires some additional information"

I have made use of TW before (with money to MY) with no problems and as I stated previously I will use them again but they say the test of a company is their response when there is a problem and three days for an international company to reply in my view is unacceptable.

It surely is a testament to the fine service TW have provided over the years that you rigorously defend them, so in the main they must be doing a great job :thumb:

Re: TransferWise Issues?
 

Macsta I'd just like to say it has been a pleasure to debate with you. Your posts show you are a gentleman and willing to see all sides...as I hope I do. The intent of our discourse was to indicate to others that it isn't always the first conclusion that is the cause of many problems...a little analysis can find there may be other issues which aren't, at first sight, the possible cause.
i think we were on the same page to bring this up and I'm happy you resolved your issues.

Re: TransferWise Issues?
 

Hi Davita, thank you so much for such a polite and genuine post which speaks volumes of your fine character. For sure we are both (hopefully) endeavouring to make public, views and information of benefit to all forum viewers. Since discovering this forum I have benefitted greatly from the advice posted from yourself, and others who have graciously shared their experiences and made the process and transition to a life in Malaysia a whole lot easier for many of us who have or hope to follow.