Normally, wire transfers that happen between U.S. bank accounts are completed within 24 hours, while international transfers can take up to five business days. However, not all wire transfers are created the same.

Many variables can affect how fast your wire transfer hits. Some of these factors may even be beyond your control, while some can be manipulated to make your transfers faster. Continue reading to learn more about how wire transfers work and how long it takes.

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What Factors Affect the Speed of a Wire Transfer?

Wire transfers don’t all move at the same speed. Here are the three main factors affecting the speed of a wire transfer:

Time the Transfer Was Made

The time of day that you imitate your transfer makes a difference in when it will transfer. Each financial institution will set its own cutoff time for wire transfers, so be sure you do it early to avoid it transferring later than you want.

If you file your paperwork before the deadline, your wire transfer will go out the same day. If you fail to meet the deadline, your wire transfer typically won’t go out until the following business day.

Location of Recipient

As mentioned before, domestic wire transfers can usually be completed much quicker than an international wire transfer, especially if you’re just sending it to a single institution. International transfers take longer because the receiving banks often slow down the process to help protect against any fraudulent transfers.

Additionally, some countries are labeled “slow-to-pay” since they take longer to process financial transactions. Some of the “slow-to-pay” countries include Argentina, Brazil, Cambodia, China, Indonesia and Russia.

How the Bank Transfers Funds

There are a couple ways of going about a wire transfer, and each method may have different wire transfer speeds. Some of the most commonly used wire transfer methods are as follows:

FedWire

FedWire is often the quickest method, but it is generally reserved for large amounts and time-sensitive transactions. The only downside is that this option is only available for domestic wire transfers, but can be processed immediately. You will have to wait for all the paperwork to be checked and approved anything can be sent though. Once a wire is sent by your bank through FedWire, it can be available immediately on the receiving end, particularly if it is received by the same bank.

CHIPS

CHIPS is the acronym for Clearing House Interbank Payments System. Under this system, multiple wire transfers are grouped into batches and sent in a large transaction. Since the wires are sent as a group rather than as individual transactions, there might be a slight delay compared with FedWire transfers.

SWIFT

A SWIFT code is just a system that is used for international wire transfers. SWIFT transfers are sent through intermediate banks before reaching their final destination. This results in delayed transfers because of the home bank and the destination bank’s differing time zones.

What Do You Need To Send a Wire Transfer?

Wire transfers are preferred whenever people want to send a large or important money transfer because they are secure. To send a wire transfer, you will need to provide extensive information about the recipient to ensure proper delivery. Normally, this information will consist of:

Name
Address
Bank name
Bank account number
Bank ABA / routing number

How To Track a Wire Transfer

Once you initiate your wire transfer, tracking it is a breeze because you are given a Federal Reference Number that is unique to your transaction. You will be able to use this number to track the status of your wire transfer and see if it was successful. At any time you can also see the location of your funds and where they have deposited.

How To Cancel a Wire Transfer

Wire transfers are a quick and secure way of sending money to another bank account, especially if it is a large amount. They are often used for real estate purchases and similar transactions that are time-sensitive and typically run into the tens of thousands of dollars. Banks tend to have different speed and costs when it comes to wire transfers, so be sure to do your research to find the best one for you.

Bottom Line

Wire transfer are great financial tools to use if you need to transfer a large or important sum of money between bank accounts. They are quick and secure to use with the option of either sending it domestically or internationally. Whether you’re trying to purchase real estate or simply sending money to loved ones overseas, it is important to know how long does a wire transfer take. Also, fees and speed varies per institution so do your research. For more posts like this, check out our list of bank guides!