$20 Wire Charge by U.S. Government
Feb 16th 2008, 6:00 pm
#1
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Thread Starter
Joined: Feb 2008
Posts: 17
$20 Wire Charge by U.S. Government
Hi,
This is my first post. My wife and I recently arrived in the States. We are both retired and discovered (if our information is correct) that every time our pensions are wired from the UK to the US, the U.S. government takes a flat rate $20.00 for each wire. As we have two state pensions and one private that adds up to $720 a year excluding bank charges. My question is, who would I talk to about whether this charge could be waived in the case of pensions? I have thus far been unsuccessful in tracking down who to ask - our bank in the UK and our bank in the U.S. dose not know who to ask. Thought someone may have some knowledge on this subject.
Many thanks in advance.
Zany
This is my first post. My wife and I recently arrived in the States. We are both retired and discovered (if our information is correct) that every time our pensions are wired from the UK to the US, the U.S. government takes a flat rate $20.00 for each wire. As we have two state pensions and one private that adds up to $720 a year excluding bank charges. My question is, who would I talk to about whether this charge could be waived in the case of pensions? I have thus far been unsuccessful in tracking down who to ask - our bank in the UK and our bank in the U.S. dose not know who to ask. Thought someone may have some knowledge on this subject.
Many thanks in advance.
Zany
Feb 16th 2008, 6:15 pm
#2
Joined: Mar 2003
Posts: 68,280
Re: $20 Wire Charge by U.S. Government
Hi,
This is my first post. My wife and I recently arrived in the States. We are both retired and discovered (if our information is correct) that every time our pensions are wired from the UK to the US, the U.S. government takes a flat rate $20.00 for each wire. As we have two state pensions and one private that adds up to $720 a year excluding bank charges. My question is, who would I talk to about whether this charge could be waived in the case of pensions? I have thus far been unsuccessful in tracking down who to ask - our bank in the UK and our bank in the U.S. dose not know who to ask. Thought someone may have some knowledge on this subject.
Many thanks in advance.
Zany
This is my first post. My wife and I recently arrived in the States. We are both retired and discovered (if our information is correct) that every time our pensions are wired from the UK to the US, the U.S. government takes a flat rate $20.00 for each wire. As we have two state pensions and one private that adds up to $720 a year excluding bank charges. My question is, who would I talk to about whether this charge could be waived in the case of pensions? I have thus far been unsuccessful in tracking down who to ask - our bank in the UK and our bank in the U.S. dose not know who to ask. Thought someone may have some knowledge on this subject.
Many thanks in advance.
Zany
I can't understand how the goverment is takng it ..
Feb 16th 2008, 6:38 pm
#3
Lost in BE Cyberspace
Joined: Oct 2003
Location: Avon Lake, OH
Posts: 5,270
Re: $20 Wire Charge by U.S. Government
Because they can. It doesn't go to the bank, they take out another fee. 3 wire transfers all received $20 less that was sent, it sucks. It's because all wire transfers go through the FEDWIRE system which I think is run by the Federal Reserve.
Last edited by Duncan Roberts; Feb 16th 2008 at 6:42 pm.
Feb 16th 2008, 6:42 pm
#5
Just Joined
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Joined: Feb 2008
Posts: 17
Re: $20 Wire Charge by U.S. Government
We couldn't understand how the U.S. government were getting the $20 each time either - that's why we asked both the sending and receiving banks to try and trace the missing funds that were disappearing each time a wire was sent. We now have a currency exchange broker trying to get to the bottom of this mystery since nobody seems to know where in the chain the money is taken - both the sending and receiving banks say that they haven't deducted the $20 that is missing with each monthly wire.
Feb 16th 2008, 6:44 pm
#6
The Unmod
Joined: Jul 2005
Location: Glen Mills, PA
Posts: 8,870
Re: $20 Wire Charge by U.S. Government
Hi,
This is my first post. My wife and I recently arrived in the States. We are both retired and discovered (if our information is correct) that every time our pensions are wired from the UK to the US, the U.S. government takes a flat rate $20.00 for each wire. As we have two state pensions and one private that adds up to $720 a year excluding bank charges. My question is, who would I talk to about whether this charge could be waived in the case of pensions? I have thus far been unsuccessful in tracking down who to ask - our bank in the UK and our bank in the U.S. dose not know who to ask. Thought someone may have some knowledge on this subject.
Many thanks in advance.
Zany
This is my first post. My wife and I recently arrived in the States. We are both retired and discovered (if our information is correct) that every time our pensions are wired from the UK to the US, the U.S. government takes a flat rate $20.00 for each wire. As we have two state pensions and one private that adds up to $720 a year excluding bank charges. My question is, who would I talk to about whether this charge could be waived in the case of pensions? I have thus far been unsuccessful in tracking down who to ask - our bank in the UK and our bank in the U.S. dose not know who to ask. Thought someone may have some knowledge on this subject.
Many thanks in advance.
Zany
But I know of no reason for the US Gov to take your money. I had mine paid into my bank account from day1, so I haven't seen it come via draft.
Feb 16th 2008, 7:05 pm
#7
Joined: Mar 2003
Posts: 68,280
Re: $20 Wire Charge by U.S. Government
I wonder if CHAPS is being used by the sender
Feb 16th 2008, 7:06 pm
#8
Lost in BE Cyberspace
Joined: Oct 2003
Location: Avon Lake, OH
Posts: 5,270
Re: $20 Wire Charge by U.S. Government
It's because it goes through the FEDWIRE system and they charge for it.
Feb 16th 2008, 7:13 pm
#9
Lost in BE Cyberspace
Joined: Oct 2003
Location: Avon Lake, OH
Posts: 5,270
Re: $20 Wire Charge by U.S. Government
This is how it works.
Sending bank > US FEDWIRE system > Receiving bank. The bank sends the money to the FEDWIRE system as a gateway to all US banks. The Federal Reserve who run it take $20 out and then send it on to the receiving bank. That's why neither bank say they took the money because bank A did send the original amount and bank B only gets what the FEDWIRE system sends them and they don't know what was originally sent.
Sending bank > US FEDWIRE system > Receiving bank. The bank sends the money to the FEDWIRE system as a gateway to all US banks. The Federal Reserve who run it take $20 out and then send it on to the receiving bank. That's why neither bank say they took the money because bank A did send the original amount and bank B only gets what the FEDWIRE system sends them and they don't know what was originally sent.
Feb 16th 2008, 7:17 pm
#11
Joined: Apr 2002
Posts: 35,082
Re: $20 Wire Charge by U.S. Government
How did you discover this charge? We have never noticed a $20 deduction, and we get monthly xfers.
And when we wired some money UK--US before, the only charge I saw was the $25 that our receiving bank charged.
Am I still not 'getting' it?
And when we wired some money UK--US before, the only charge I saw was the $25 that our receiving bank charged.
Am I still not 'getting' it?
Feb 16th 2008, 7:26 pm
#12
Lost in BE Cyberspace
Joined: Oct 2003
Location: Avon Lake, OH
Posts: 5,270
Re: $20 Wire Charge by U.S. Government
I don't know how XE transfers from UK > USA but theres a chance it will still go through the FEDWIRE system.
I noticed it when I compared the paperwork from both banks and saw there was a difference. One said they sent X amount, one said they got X -$20.
I noticed it when I compared the paperwork from both banks and saw there was a difference. One said they sent X amount, one said they got X -$20.
Feb 16th 2008, 7:37 pm
#13
The Unmod
Joined: Jul 2005
Location: Glen Mills, PA
Posts: 8,870
Re: $20 Wire Charge by U.S. Government
I have mine direct deposit into my account here, quarterly. UK Soc. Sec. claims they get the best exchange rate, but they don't tell me how many GBPs go in, or what the exchange rate is for any particular payment, so I suppose I could be losing $20 to the feds each quarter.
If you can manage, transfer at longer intervals between transfers.
If you can manage, transfer at longer intervals between transfers.
Feb 16th 2008, 8:28 pm
#14
BE Forum Addict
Joined: Nov 2004
Location: SC
Posts: 4,153
Re: $20 Wire Charge by U.S. Government
Taking my UK OAP and converting into the $ Exchange rate on XE has never shown a discrepancy of $20. My pension goes in on a Tuesday and I check the exchange rate from the prvious Friday onwards so if it is happening then I have not spotted it.
Feb 16th 2008, 11:34 pm
#15
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Joined: Nov 2006
Location: Hong Kong, mostly.
Posts: 5,214
Re: $20 Wire Charge by U.S. Government
I wire back and forth weekly and have never paid a $20 charge--ever.
Maybe time to look for a new bank.
Maybe time to look for a new bank.