Your rights on an international transfer

When you send money from the US to someone abroad for personal reasons, federal rules give you three protections: a clear price before you pay, 30 minutes to change your mind, and a way to get mistakes fixed. They come from the CFPB’s remittance transfer rule in Regulation E, 12 CFR 1005.30 to 1005.36.

What it covers

Consumer transfers of more than $15 to a person or business in another country, sent through a bank, credit union or money transfer company that sends more than 500 such transfers a year. A provider that sent 500 or fewer last year and is on pace for 500 or fewer this year is outside the rule, which mostly means some small banks and credit unions.

What you must be told before you pay

The provider has to show, in writing:

• The amount you are sending, its fees and taxes, and the total you pay.
• The exchange rate it will use.
• Any fees charged by others along the way that it is required to disclose, and the amount the recipient will get.
• A statement that the recipient may be charged other fees or taxes that are not included.

Your receipt repeats this and adds the date the money will be available, your cancellation and error rights, and who to contact. The rule makes the provider disclose its exchange rate. It does not make it disclose how far that rate is from the mid-market rate. The calculator works that out.

The 1% tax on cash-funded transfers

A separate federal rule took effect January 1, 2026: a transfer abroad paid for with cash, a money order or a cashier’s check carries a 1% excise tax under Internal Revenue Code section 4475, collected by the provider. Transfers paid from a bank account or with a US-issued debit or credit card are not taxed, and neither are transfers of $15 or less.

Cancel within 30 minutes

You can cancel for any reason within 30 minutes of paying, as long as the money has not been picked up or deposited. The provider must refund the full amount, fees included, within three business days. For a transfer you schedule at least three business days ahead, you can cancel up to three business days before the transfer date.

Fixing errors

You have 180 days from the promised availability date to report an error: the wrong amount arrived, it arrived late, or it never arrived. The provider has 90 days to investigate, must report its findings within three business days of finishing, and if there was an error must refund you or resend at no extra cost. Typing the wrong account number yourself is treated differently; the provider must try to recover the money but may not have to refund it.

If a provider will not help, complain to the CFPB at consumerfinance.gov/complaint.

Sources: 12 CFR 1005.30; 12 CFR 1005.31; 12 CFR 1005.33; 12 CFR 1005.34; 12 CFR 1005.36; CFPB, sending money abroad; 26 U.S.C. 4475, tax on remittance transfers.