Cheapest Way to Send Money to Kenya: Complete Analysis 2025
Sending money to Kenya? The difference between cheapest and most expensive options can be up to 10%. This guide finds you the best deal for any amount.
The True Cost of Sending Money
Many people only look at transfer fees. But the real cost includes:
- Transfer fee - What you pay directly
- Exchange rate markup - Hidden cost in the rate
- Receiving fees - What's deducted in Kenya
- Payment method fees - Credit card premiums
Cheapest Option by Amount
Sending $100
| Provider | Total Cost | Recipient Gets |
| Sendwave | $2 (in rate) | KES 12,500 |
| Remitly | $3.99 | KES 12,250 |
| Wise | $0.55 | KES 12,830 |
Winner: Wise (but Sendwave close for convenience)
Sending $500
| Provider | Total Cost | Recipient Gets |
| Wise | $2.75 | KES 64,092 |
| Sendwave | $10 (in rate) | KES 63,135 |
| Remitly | $11 (fee + rate) | KES 62,748 |
Winner: Wise by ~KES 1,000
Sending $1,000
| Provider | Total Cost | Recipient Gets |
| Wise | $5.50 | KES 128,173 |
| Sendwave | $20 (in rate) | KES 126,270 |
| Remitly | $20 (fee + rate) | KES 125,900 |
Winner: Wise by ~KES 2,000
Sending $5,000
| Provider | Total Cost | Recipient Gets |
| Wise | $27.50 | KES 640,000 |
| Remitly | $80 (fee + rate) | KES 629,000 |
| Bank wire | $45 + rate | KES 600,000 |
Winner: Wise by ~KES 11,000
The Cheapest Providers Ranked
1. Wise - Cheapest Overall
- Mid-market exchange rate
- 0.55% fee
- No hidden costs
- Best for $200+
2. Sendwave - Cheapest for Simplicity
- Zero transfer fee
- Rate markup ~2%
- Best for small, frequent transfers
3. Remitly Economy - Cheapest Slow Option
- Often $0 fee
- 3-5 day delivery
- Good rates
4. XE Money Transfer - Cheapest for Large Sums
- No transfer fees
- Competitive rates
- Best for $5,000+
Avoid These Expensive Options
Banks
Traditional banks are the worst:
- Fees: $25-50
- Rate markup: 3-5%
- Total cost: 5-8%
Western Union In-Store
- Fees: $10-30
- Rate markup: 4-6%
- Total cost: 6-10%
Airport Exchange
- Rate markup: 8-15%
- Never use for remittance
Money-Saving Tips
1. Send Larger Amounts Less Often
Fixed fees make small transfers expensive:
- Bad: $100 weekly ($400/month, ~$16 in fees)
- Good: $400 monthly (~$4 in fees)
Savings: $144/year
2. Use Bank Transfer Not Card
Card payments often cost 1-2% more:
- Bank transfer: Free-$0.50
- Debit card: $1-3
- Credit card: $5-15
3. Compare Every Time
Rates change constantly:
- Check 2-3 providers before sending
- Use our calculator
- Set rate alerts
4. Avoid Currency Conversion
If you have USD, send USD:
- Don't convert USD â GBP â KES
- Direct USD â KES is cheapest
5. Time Your Transfers
Exchange rates fluctuate:
- Mid-week often better than weekends
- Mid-month often better than end-of-month
- Morning often better than evening
Hidden Costs to Watch
Exchange Rate Margin
The biggest hidden cost. Example:
- Real rate: 1 USD = 129 KES
- Provider rate: 1 USD = 124 KES
- You lose: 4% (KES 2,500 on $500)
Correspondent Bank Fees
On bank wires, intermediary banks may deduct:
- $15-30 per transfer
- Unpredictable
- Avoid by using Wise/Remitly
M-Pesa Withdrawal Fees
Your recipient pays to cash out:
- KES 10-27 (small amounts)
- KES 27-197 (larger amounts)
- Usually negligible
Cost Comparison: $500 Monthly
| Method | Monthly Cost | Annual Cost |
| Wise | ~$3 | ~$36 |
| Sendwave | ~$10 (rate) | ~$120 |
| Remitly | ~$12 | ~$144 |
| Western Union | ~$25 | ~$300 |
| Bank Wire | ~$45 | ~$540 |
Wise saves $500/year vs bank wires!
Special Situations
Urgent Transfers
When speed matters:
- Fastest: Remitly Express ($3.99, minutes)
- Still cheap: Sendwave (free, instant)
- Avoid: Bank wire (expensive AND slow)
Very Large Transfers ($10,000+)
Contact providers directly:
- Wise: Standard rates work well
- XE: Negotiable for large amounts
- Banks: Can negotiate (but still worse)
Regular Recurring Transfers
Set up auto-transfers:
- Wise: Scheduled transfers available
- Remitly: Autopay feature
- Save time and optimize rates
Quick Decision Guide
| Your Situation | Best Option |
| Best rate possible | Wise |
| Zero fee simplicity | Sendwave |
| Need it NOW | Remitly Express |
| Large one-time | Wise or XE |
| Regular monthly | Wise auto-transfer |
| Have PayPal balance | Xoom |
Bottom Line
For 95% of people, Wise is the cheapest way to send money to Kenya.
The mid-market exchange rate beats everyone else, and the 0.55% fee is minimal.
For small, frequent transfers where you value simplicity, Sendwave is a close second.
Last updated: January 2025