Why does a wire cost more than the fee my bank quoted?

The quoted fee is only the sending charge. Correspondent banks in the chain deduct lifting fees from the principal in transit, the receiving bank may add its own credit charge, and the exchange rate applied carries a spread over mid-market that never appears as a line item.

What is an FX markup?

The difference between the mid-market rate — the midpoint between buy and sell prices — and the rate you are actually given. A 3% markup on $10,000 costs $300 even when the stated transfer fee is zero. It is the largest and least visible cost on most cross-border payments.

How does a stablecoin payout's cost break down?

Three parts: a network fee to move the USDC, which is cents on a low-fee chain; an off-ramp or partner fee to convert it into local currency and pay it into a bank account; and a spread on that conversion. The percentage fees dominate, not the network fee.

What does settlement time actually mean here?

The time from sending to the beneficiary having usable funds, not the time the transfer leaves your account. Cut-off times, weekends, local bank holidays and compliance reviews all extend it. A stablecoin transfer confirms in minutes, but the local payout still depends on banking hours.

Do the savings hold on small amounts?

The percentage costs scale down but fixed costs do not. On a $200 payment the wire's fixed fees swamp everything, so any percentage-priced rail wins by a wide margin. Between the percentage-priced rails, the cheapest one depends on the rates each charges, not the amount.

What documentation does a cross-border receipt still need?

Choosing a cheaper rail changes nothing about reporting. An Indian receipt still needs FEMA-compliant documentation such as a FIRA from the AD bank and EDPMS closure on goods exports, and stablecoin receipts can attract VDA tax treatment. Confirm requirements with your own advisers.

Cross-border payment cost calculator

See the fee and FX markup on a wire, Wise and a stablecoin payout side by side, and what the beneficiary actually receives.

Amount to send (USD)

Destination corridor

SWIFT wire

Sender / upfront fee: $35.00
Intermediary + local credit: $15.00
FX markup (3%): $300.00
Total cost: $350.00

Beneficiary receives

$9,650.00

Settlement: 1–5 business days

Fintech transfer (Wise-style)

Cheapest

Sender / upfront fee: $55.00
Intermediary + local credit: $0.00
FX markup (0%): $0.00
Total cost: $55.00

Beneficiary receives

$9,945.00

Settlement: 0–2 business days

Stablecoin payout (USDC)

Sender / upfront fee: $90.50
Intermediary + local credit: $0.00
FX markup (0.3%): $30.00
Total cost: $120.50

Beneficiary receives

$9,879.50

Settlement: Minutes to same day

On fintech transfer (wise-style), the beneficiary keeps $295.00 more than on the wire — 2.95% of the amount sent.

Deep USD/INR market; receiving banks usually credit INR without a separate payout fee, though they do charge for the paperwork on some accounts.

What these numbers assume

Every figure below is indicative and hard-coded, not fetched. No live exchange rate, bank quote or partner price is used anywhere on this page. Last reviewed September 2026.

SWIFT wire: $35 sender fee, $15 of correspondent / lifting fees deducted in transit, and a 2.5–3.5% FX spread over mid-market (3.0% used here). Settlement: 1–5 business days.
Fintech transfer (Wise-style): About 0.55% of the amount as an explicit fee, with the conversion done at mid-market, so no separate FX spread. Settlement: 0–2 business days.
Stablecoin payout (USDC): ~$0.50 network fee on a low-fee chain, ~0.9% off-ramp / partner fee, and ~0.3% over mid-market on the local-currency conversion. Settlement: minutes to same day.
Corridor adjustment: The corridor only moves two things: a fixed local payout fee at the receiving end ($0.00 on this one) and a spread adjustment of 0%, applied only to rails that already quote an FX spread. A rail priced at mid-market stays at mid-market.

Plaitr is a financial technology company, not a bank. Banking and payment services are provided by licensed partners, and a stablecoin payout only settles in local currency where a licensed off-ramp exists in the destination country.
Real wires vary: some correspondents deduct more than one lifting fee, some receiving banks add their own charge, and the FX spread a bank quotes a small business is usually wider than the one it quotes a large one.
This is a cost estimate, not tax or legal advice. Confirm the treatment of any payment with your own advisers.
India specifically: an inbound receipt still needs FEMA-compliant documentation — FIRA or an equivalent advice from the AD bank, and EDPMS closure against the invoice for goods exports. Stablecoin receipts can also attract VDA tax treatment, including the 30% rate on gains and 1% TDS on the crypto leg. Choosing a cheaper rail does not remove either obligation, and nothing on this page does.

All figures on this page are indicative planning estimates last reviewed September 2026. No live rates are fetched and nothing here is a quote. Plaitr is a financial technology company, not a bank, and this is not tax or legal advice.

Questions

Why does a wire cost more than the fee my bank quoted?: The quoted fee is only the sending charge. Correspondent banks in the chain deduct lifting fees from the principal in transit, the receiving bank may add its own credit charge, and the exchange rate applied carries a spread over mid-market that never appears as a line item.
What is an FX markup?: The difference between the mid-market rate — the midpoint between buy and sell prices — and the rate you are actually given. A 3% markup on $10,000 costs $300 even when the stated transfer fee is zero. It is the largest and least visible cost on most cross-border payments.
How does a stablecoin payout's cost break down?: Three parts: a network fee to move the USDC, which is cents on a low-fee chain; an off-ramp or partner fee to convert it into local currency and pay it into a bank account; and a spread on that conversion. The percentage fees dominate, not the network fee.
What does settlement time actually mean here?: The time from sending to the beneficiary having usable funds, not the time the transfer leaves your account. Cut-off times, weekends, local bank holidays and compliance reviews all extend it. A stablecoin transfer confirms in minutes, but the local payout still depends on banking hours.
Do the savings hold on small amounts?: The percentage costs scale down but fixed costs do not. On a $200 payment the wire's fixed fees swamp everything, so any percentage-priced rail wins by a wide margin. Between the percentage-priced rails, the cheapest one depends on the rates each charges, not the amount.
What documentation does a cross-border receipt still need?: Choosing a cheaper rail changes nothing about reporting. An Indian receipt still needs FEMA-compliant documentation such as a FIRA from the AD bank and EDPMS closure on goods exports, and stablecoin receipts can attract VDA tax treatment. Confirm requirements with your own advisers.

Run the payment, not just the maths

Plaitr runs bank rails and stablecoin rails from one account, so you can pick whichever is cheaper per payment and keep the books reconciled either way.

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