How long do bank transfers take?

How long does a UK bank transfer take?

If you’re making a domestic payment, you can expect the money to move between accounts within just a couple of hours (as a maximum). Thanks to the work of the UK’s Faster Payment Service (FPS), account holders should see their funds transferred in minutes. Larger payments might take a little longer, but will still be processed in two hours.

It should be noted that the FPS system only applies for payments of £250,000 or less. Anything about this value will be dealt with by the Clearing House Automated Payment System (CHAPS).

FPS was introduced in 2008, as a means of speeding up the process of transferring money domestically in the UK. It replaced the Bankers' Automated Clearing System (BACS) as the primary method of money transfer. While BACS still operates, transfers made in this way tend to take up to three days to process.

How long does an international bank transfer take?

Understandably, international transfers tend to take a little longer than those made internally. When making a direct payment between your bank and the second party, the average time you can expect one of these transfers to take is anywhere from one to five days.

This wait time can be drastically reduced when using a trusted digital payments service. The same FPS service which ensures money is quickly and efficiently transferred domestically works with these institutions to make sure money is sent in real time.

Despite the massive step forward in processing and transferring time, there are still factors which can cause a transfer to take longer than predicted. The day of the week, public holidays, currency, and time zone can all play a role in the total amount of time it takes.

Things that affect how long a bank transfer takes

As we’ve touched on, there are factors beyond your control which can change how much time it takes for a transfer to happen. While in most cases these are somewhat predictable, they can on occasion catch you by surprise. Let’s take a closer look at some of the most common:

• Fraud prevention. One of the most common causes of delay are extensive fraud prevention checks. The SWIFT network, for example, will often require up to three checks before money eventually lands in their recipient’s account. While the additional time can be annoying, these checks serve a valuable purpose when it comes to protecting your money.

• Wrong payment details. When transferring money, it’s really important to make sure all the information you’ve included is correct. That means the recipient’s name, address, SWIFT code and IBAN number. If any of these are wrong, the transfer will be denied and sent back to the original account.

• The currencies you’re transferring from and to. When transferring money overseas, the type of currency money is being converted from or into will also impact the transfer time. The more common a currency, the more frequent currency corridors for it will have been used. That means if you’re transferring to something like USD from GBP, it shouldn’t take too long. The same might not be true if someone is moving Cambodian Riel to a Panamanian Balboa, for example.

• The time zone the recipient’s account is in. A factor which you might not initially consider is the time zone the recipient lives in. For example, if you were to transfer money from Toronto to London at 6pm local time, the time in the UK would be 11pm. At this hour, a transfer is unlikely to be processed until the next day.

• The exact day you send it. Bank holidays and weekends also need to be taken into account. If a bank – or that of the person you’re sending money to – is closed, the payment isn’t going to process.

Different types of bank transfers

Now you have a better understanding of just how long a bank transfer might take, let’s explore in more detail some of the different ways you could choose to move your money.

• BACS. This is the most common method for internal transfers in the UK. The system has been in place for as long as 50 years, and usually deals with direct debits.

• CHAPS. This kind of payment is usually reserved for wholesale and retail payments – usually in the region of £10,000 or more. While there is no lower limit on the value of a transfer, the high processing fees make them more suited for businesses.

• FPS. As we’ve already discussed, faster payments are one of the quickest ways to transfer money between accounts. Banks and building societies have the ability to set their own transaction limits and charges when using this service.

• SWIFT. A SWIFT payment method is the go-to for people when transferring money overseas. The process sees money being transferred between a series of intermediary banks, before eventually landing in the account of your intended recipient.

What do you need to make a bank transfer?

If you’ve never made a digital bank transfer before, it might be a little intimidating. If you’re unsure what you need to complete a transaction, here’s a clear list of what you should ideally have to hand:

• The full name of the person or business you’re paying

• The date you want the payment to be made on

• The six digit sort code of their bank account

• Their eight digit account number

• Their SWIFT code or IBAN number if it’s an international payment

• A payment reference

It’s useful to have all these ready to go when transferring money, as it will make the process less stressful and more streamlined.

Mistakes to avoid when making a bank transfer

Sometimes a bank transfer can be delayed by human error. These are usually fairly preventable, but the best way to know how to avoid making a mistake is by educating yourself on what they are. Here are some of the most common:

• Getting the finer details wrong. If you make an error when entering their SWIFT code, IBAN number, name, address, or any other personal details, there’s a high chance the transfer will be rejected and reversed. This could result in a fee. Make sure to double check all the details before you send.

• Insufficient funds. Does your account have the funds needed to be able to successfully make the transfer? If you haven’t preemptively checked how much you have in the account you’re transferring from, you could be in for a nasty surprise.

• Leaving a transfer until it’s too late. We’ve already seen how transfers can be delayed by factors which you can’t control. If your recipient needs the money quickly, or if a payment is due which you really don’t want to miss, make sure to begin the transfer well ahead of time.

Bank transfer FAQs

We’ve discussed quite a lot in this guide, but there might still be more you want to discover about bank transfers and how they work. Here are some FAQs which might help you better understand them.

Do international bank transfers cost money?

Fees will vary for international transfers, and are usually based around the country where the money is being sent. Banks tend to charge more than online digital payment services, which is why more people are turning to this alternate method.

Is there a limit to the amount I can send in one transfer?

There will always be a limit on the amount of money you can send, but this will vary depending on a number of factors:

• The country the money is being sent to

• The country the money is being sent from

• The payment option you choose

• The transaction limits of any local partners

These figures are usually capped at a fairly high amount, so it’s unlikely to impact the average person.

Can I cancel a bank transfer?

If you are using a service where the bank transfer is instant, you may not be able to cancel it. If you have any questions regarding the cancellation of a transfer, it’s best to talk to the customer service team of the organisation you’re transferring through.

Are you more clued up on how long a bank transfer might take? Make sure to reach out to the team here at WorldRemit for any further questions you might have. Transferring with an online digital service will save you money when compared to traditional banks.