AFEX is a currency exchange service that lets you send money abroad or convert currencies without using a bank

AFEX is a money transfer and currency exchange company based in the United Kingdom. It handles international payments, currency conversion, and transfers for individuals and businesses. Unlike a bank, AFEX specializes only in foreign exchange — it does not offer checking accounts, loans, or other banking services.

The service works by locking in an exchange rate, holding your money, and then sending it to a recipient's bank account in another country. You can initiate transfers online, by phone, or through a mobile app. AFEX operates in over 100 countries and handles transfers in dozens of currencies.

AFEX is regulated by the Financial Conduct Authority (FCA) in the UK, which means it must follow rules about how it holds customer money and reports transactions. It is not a bank, so your funds are held in a segregated account separate from the company's own money.

Key Takeaways

  • AFEX locks in an exchange rate before you send money, so you know exactly how much the recipient will receive.
  • You can send money to bank accounts in over 100 countries, and transfers typically arrive within one to three business days.
  • AFEX charges a flat fee per transfer plus a margin on the exchange rate; the total cost depends on the amount, currency pair, and destination country.
  • You can set up recurring transfers for regular payments like rent, school fees, or family support.
  • AFEX requires identity verification and proof of the source of your funds before your first transfer.

How to send money through AFEX

To send a transfer, you first create an online account and complete identity verification. AFEX will ask for your name, address, date of birth, and a photo ID such as a passport or driver's license. You may also need to provide proof of address, such as a recent utility bill or bank statement.

Once verified, you log in and enter the transfer details: the amount you want to send, the currency you are sending from, the currency the recipient will receive, and the recipient's bank account information. AFEX shows you the exchange rate and total fee before you confirm. You then transfer the money from your bank account to AFEX's account, and AFEX sends it to the recipient's bank.

The recipient does not need to do anything — the money arrives directly in their bank account. Transfers usually take one to three business days, depending on the destination country and the receiving bank's processing time.

Fees and exchange rates

AFEX charges two costs: a flat transfer fee and a margin on the exchange rate. The transfer fee varies by destination country and typically ranges from £5 to £25 for personal transfers. The exchange rate margin is the difference between the real market rate and the rate AFEX gives you — this is how the company makes money on each transfer.

The total cost depends on how much you send, which currencies you are converting, and where the money is going. AFEX publishes its current exchange rates on its website, so you can see the exact rate before you commit. Some competitors, such as Wise (formerly TransferWise), may offer tighter margins on certain currency pairs, so it is worth comparing if you are sending large amounts regularly.

AFEX does not charge monthly fees or account maintenance costs. You only pay when you send a transfer.

Who uses AFEX and why

AFEX is used by people sending money to family abroad, expats paying bills in their home country, and small business owners paying international suppliers or employees. It is also common for people buying property overseas, paying school fees abroad, or managing investments in foreign currencies.

The main reason people choose AFEX over a bank is the exchange rate. Banks typically offer worse rates than specialist currency exchange companies, which means you lose more money to the conversion. AFEX also tends to be faster than a bank for international transfers and offers more control over the exact rate you receive.

Businesses sometimes use AFEX because they can set up recurring payments and receive invoicing, which makes accounting easier than making individual transfers each time.

Security and regulation

AFEX is authorised and regulated by the Financial Conduct Authority (FCA) in the UK under registration number 115897. This means the company must follow strict rules about how it handles customer money, reports suspicious activity, and protects against fraud.

Your money is held in a segregated client account, which means it is kept separate from AFEX's own funds. If AFEX were to fail, your money would be protected and returned to you. However, this protection is not the same as the UK's Financial Services Compensation Scheme (FSCS), which covers bank deposits up to £85,000 per person per bank.

AFEX uses encryption to protect your login details and personal information. You should use a strong, unique password and enable two-factor authentication if the service offers it.

Limits on how much you can send

AFEX does not publish a single maximum transfer amount on its website. Instead, limits depend on your account history, the destination country, and the currency. New customers typically start with lower limits and can request increases after completing several successful transfers.

Some destination countries have legal limits on how much money can be received in a single transfer or within a time period. AFEX will tell you if a limit applies to your specific transfer. If you need to send a very large amount, you can contact AFEX directly to discuss options.

Comparing AFEX to other currency exchange services

AFEX competes with services like Wise, OFX, Remitly, and traditional banks. Wise is often cheaper for small to medium transfers in major currency pairs (such as GBP to USD or EUR to GBP) because it uses a peer-to-peer matching system rather than buying currency on the open market. OFX is popular for larger transfers and business payments. Remitly focuses on lower-cost transfers to developing countries.

Banks are usually the most expensive option because their exchange rates are poor and they charge high transfer fees. However, banks may be the only option if you need to send money to a country where AFEX does not operate or if you need additional services like insurance or legal documentation.

The best choice depends on where you are sending money, how much you are sending, and how often you send. For a one-time transfer to a major country, the difference between providers might be £10 to £50. For regular transfers or large amounts, the difference can be hundreds of pounds per year.

Frequently Asked Questions

How long does an AFEX transfer take?

Most transfers arrive within one to three business days. Some destination countries process faster than others. AFEX shows you an estimated delivery date when you enter the transfer details, and you can track the status of your transfer online after you send it.

Can I cancel or change a transfer after I send it?

Once AFEX has received your money and sent it to the recipient's bank, you cannot cancel it. If you need to cancel before AFEX processes it, contact customer support when ready — you may be able to stop it if it has not yet left AFEX's account. If the transfer has already been sent, you would need to contact the recipient's bank to attempt a reversal.

What happens if the recipient's bank details are wrong?

If you enter incorrect bank details, the money may be rejected by the receiving bank and returned to AFEX, which will then return it to you. This can take several weeks. Always double-check the recipient's account number, sort code (or equivalent), and bank name before confirming the transfer.

Do I need to report AFEX transfers to tax authorities?

That depends on your country's tax laws and the reason for the transfer. Sending money to family is usually not taxable, but large transfers may trigger reporting requirements in some countries. Consult a tax professional if you are unsure whether your transfers need to be reported.

Can I use AFEX if I live outside the UK?

AFEX serves customers in many countries, but not all. Check the AFEX website or contact customer support to confirm whether the service is available in your country. If you are a UK resident living abroad, you can usually continue using AFEX as long as you have a UK bank account to fund transfers.