After reading this Israel Money Transfer Guide, you will understand how to get the most out of your currency by knowing how and where to get the best ILS exchange rate. Whether you are sending money to or from Israel, our selected foreign exchange companies will provide the cheapest service and more benefits than any of your local banks (in Israel and outside of Israel).
Best Company To Transfer Money From Israel & To Israel
There are very few global companies that deal with the Israeli shekel and even fewer companies that take on clients from Israel and can accept domestic transfers from an Israeli bank account. Below you can find the two best companies for Israelis investing abroad and overseas investors in Israel (as well as ‘Olim’).
Best For Transfer From Israel:
Can’t handle clients from USA, Australia, South Africa – Only Israel and Europe
HQ in Israel, specializing in Shekel trades
Young and promising startup
Fresh looking website, straightforward registration process
39 NIS Fee for Shekel Transfers + Great rates
Regulated locally in Israel, and also in the UK by the FCA
Best For Transfer To Israel:
No Israeli bank accounts, can’t move money from Israel
HQ in UK, trading 40 different currencies
Established for 20 years, trading £5bn+ a year
Great website, superb support from dedicated dealers
No fee on trades, one of the best rates in the industry
Regulated by the FCA and several other
More of the guide’s topics:
- Today’s Shekel Rates
- Most Popular Reasons to Move Funds into Israel
- Regulation and Limitations
- Clarification about availability of currency services in Israel (Hebrew)
- 2018 forecast for the Israeli Shekel
Supported Countries & Payment methods
Currencies Direct has one of the largest portfolios of international currencies, so you can rest assured that they cover any location on the planet. Countries like the USA, the UK, Canada, Australia, Germany, Italy, and even China are destinations that they work with every single day. If you want to be sure that they can deliver to your desired location, check out their website for more info. You can fund the transfer by a local bank transfer and debit cards.
Today’s Foreign Exchange Rates for ILS
Why Send Money To Israeli Bank Account
The Israeli new shekel is the national currency of the State of Israel, but it is also used by the Palestinian territories of the West Bank and the Gaza Strip. It has been in use since 1 January 1986, when it replaced the old shekel.
Tourism: Israel is a hub for many religious tourists. The vast majority of these people are doing an Aliyah—a so-called return to the ‘promised land’, which is exclusively for Jewish people. In 2013 Israel received the most tourists, setting a new record with over 3.5 million.
Silicon Wadi: Tel Aviv has for some time been nicknamed the ‘Silicon Valley of the Middle East’ as more and more start-ups are emerging from this city. It has more start-ups per capita than anywhere else, and it has 61 companies listed on NASDAQ.
Thinking Of Relocating To Israel?
If you are thinking of moving to Israel and living there as an expat, you may find the following information helpful.
Advantages Of Moving To Israel:
- High Level of English: Israelis speak incredible English, which greatly facilitates the transition.
- Thriving Economy: Many expats come here to take advantage of English-speaking job opportunities in Israel and are highly satisfied with their decision.
- Easy to Obtain Nationality: : Israel has opened its doors to those with Jewish heritage, and you can enjoy the benefits of being a citizen.
Disadvantages Of Moving To Israel:
- Military Service: For those who do nationalize, there is a requirement to serve for two years in the military for both male and females. This is a drawback to many prospective expats considering nationalizing.
- Security: While Israel is one of the places that I have felt the safest in the world, it is important to remember that there is a security threat there with tensions in the region.
- Getting a Work Visa is Nearly Impossible: For those who do not have Jewish ancestry, getting sponsored for a working visa is a difficult and prolonged process.
How The Money Transfers Works
Considering that other options for transferring money overseas are quite expensive, many may find it difficult to believe that sending money to Israel for free is even possible, as the Israeli shekel is considered a more exotic currency. It is possible, though, because FX companies actually make their money off of currency exchange rates rather than fees charged to their customers. They make money by helping you to transform your current currency into Israeli shekels.
As these professionals spend most of their days watching the currency markets, they know the best times to make their trades to ensure the best returns. They then pass along the savings to customers who make larger transfers or to those who make frequent transfers.
If free transfers weren’t enough, most FX companies conduct their business over the Internet. This means that their customers can log on to set up transfers, check currency exchange rates, and conduct other business no matter where they are, as long as they have an Internet connection.
Details Needed to Initiate a Transaction:
- Bank Name and Address;
- Swift Code;
- Receiver’s full name and address.
Setting Up The Transfer:
- Create a free account with the chosen company.
- Get a quote from one the company’s specialist.
- Approve the given quote.
- Fund your account with the necessary amount for the transfer.
- Wait 1-2 days until you get the confirmation from the dealer that the transfer is completed.
Our Company Recommendation:
- Send Money to Israel: Companies that enable people to transfer money to Israel internationally.
- Send Money from Israel: Companies that accepts Israeli Clients.
Regulations on money transfers to and from Israel
Israel’s currency is the new Israeli shekel (ILS). The ILS is fully convertible, making transfers in and out of Israel relatively simple.
The Bank of Israel
The Bank of Israel oversees payment systems, monitors the proper function of financial systems, and works to preserve price stability. Although the Bank of Israel can intervene in monetary markets to ensure the shekel’s stability, its policy is to refrain from foreign currency trading except in the case of drastic shifts.
There are no transfer restrictions on money going in and out of Israel, but large-scale foreign transfers must be reported to the Controller of Foreign Currency.
Foreign Direct Investments (FDI) in Israel do not require government approval, except in regulated sectors such as banking and insurance.
Taxation on foreign income
Israeli residents are taxed on any foreign income. Non-residents are taxed only on income originating in Israel. Double tax treaties are in place to avoid double-taxation.
List with biggest Israeli banks
- Hapoalim Bank
- Bank Leumi
- Discount Bank
- Mizrahi-Tefahot Bank
- First International Bank