Money transfer to Korea: 3 methods, processing time, and fees

Key takeaways

• You can send a money transfer to Korea through a bank, a money changer, and a unified financial platform. Each option differs in speed, cost, and FX transparency.

• Verify your recipient’s Korean bank account number and SWIFT code before sending funds. Understanding FX markups can help you avoid delays and hidden transfer costs.

• Airwallex gives you access to competitive FX rates starting from the interbank rate +0.2%, no hidden fees, and same-day delivery for about 93% of international payments.

South Korea is a key trading partner of Hong Kong, where businesses in both regions engage in frequent transactions. It is extremely important to have a convenient, fast, and secure method to send funds to South Korea, as it directly impacts the relationship and profitability between both parties. 

This article compares the three most common methods for money transfer to Korea from Hong Kong, covering factors such as handling fees, processing times, exchange (FX) rates, and other key considerations.

Why should you use South Korean Won (KRW) for payments?

In South Korea, cashless and digital currency transactions have become mainstream. The local landscape has fully embraced the era of digitalisation, with most stores and public transportation opting for digital payments. In addition to daily life, using KRW also simplifies payment when dealing with Korean suppliers like food companies or local businesses. This method is straightforward, and helps sidestepping currency conversion costs and minimise associated handling fees.

In case of urgent or large orders that require immediate payments, using KRW can speed up money transfer to Korea and ensure swift transaction completion. This strategy not only saves time but also reduces risks associated with currency conversions, handling charges, hidden expenses, FX rate fluctuations, and payment delays.

What are the 3 common methods to transfer to Korea?

There are three common methods to send money from Hong Kong to South Korea, including bank international remittance services (wire transfers or through online banking), money changers, and unified financial platforms such as Airwallex.

1. Bank telegraphic transfer: Traditional but costly

Telegraphic transfers (TTs) through traditional commercial banks are the established option for cross-border payments. You can start a transfer at a branch, through online banking, and in a mobile app. After signing in, select international payments and enter your recipient’s Korean bank details, including their account number, bank name, and SWIFT code. Next, specify the amount and currency before submitting the payment. The bank displays its transfer fee and applicable exchange rate before processing begins.

Bank transfer costs come from two main sources: Transfer fees and hidden exchange rate markups. Banks rarely offer the mid-market rate. Instead, they build profit margins into their sell rates. A small percentage difference can add up quickly for businesses making regular payments. Bank wires can also take several business days to arrive, depending on the intermediary banks involved in the route.

2. Money changers: Convenient but restrictive

Selected money changers across Hong Kong provide outbound international transfer services. Not every money changer supports transfers to South Korea. Money changers often impose lower transaction limits and offer inconsistent exchange rate transparency. Customer support can also be limited if a transfer encounters an issue. As a result, money changers are rarely suitable for businesses managing regular, high-value corporate payments.

3. Airwallex: Fast with transparent pricing

Airwallex is a licensed Money Service Operator regulated by the Customs and Excise Department of Hong Kong (MSO Licence No. 16-09-01929). Businesses can complete the online onboarding process and open an account within minutes. After signing in, enter your recipient’s Korean bank details and select the transfer currency. Airwallex displays real-time exchange rates and transparent fees upfront. Once confirmed, the payment is processed, with about 93% of international payments arriving on the same day.

Comparing 3 approaches to sending money to Korea: Fees and speeds

Here’s how the three common transfer options compare:

Bank wires remain a traditional choice, but hidden FX markups can make their actual cost higher than expected. Money changers vary widely in pricing and processing times. Airwallex provides clear FX pricing and faster transfer speeds, making it a practical option for businesses managing regular international payments.

Exchange rate markups: The most overlooked hidden cost

Many businesses focus on upfront transfer fees and overlook exchange rate markups. An exchange rate markup is the difference between a provider’s quoted rate and the real-time mid-market rate. For large and frequent payments, this hidden markup can cost significantly more than the transfer fee itself. Comparing a provider’s quoted rate with the live mid-market rate before sending funds gives you a clearer view of the total transfer cost.

Required information and documents for a money transfer to Korea

Preparing your transaction details in advance can help prevent processing delays, regardless of your chosen payment provider. Below is the essential information required from the sender and recipient.

Sender details

• Full registered name: This must match the name registered on the relevant bank account and platform account exactly

• Hong Kong address: Banks and financial platforms may request proof of address for identity verification

• Transfer purpose: State whether the payment covers supplier goods, service fees, and personal funds. Financial institutions may request supporting documentation for large amounts

• Identification documents: Personal transfers require a Hong Kong Identity Card and passport. Business accounts require company registration documents and letters of authorisation

Recipient’s Korean bank details

• Recipient’s full name: This must match the name registered on their Korean bank account

• Bank name and branch name: Some South Korean banks use specific branch codes, so verify these details with your recipient

• Account number: Digit formats vary between Korean banks, so double-check every digit

• SWIFT code: This is the bank’s unique international identifier. Missing and incorrect SWIFT codes can cause significant delays and payment rejections

Ask your recipient to confirm their bank details in writing before initiating a large transaction. This simple step can reduce the risk of delayed and misdirected funds caused by typos.

Things to note before sending large remittances to South Korea

Here are the considerations before sending large remittances from Hong Kong to Korea: 

• Payment process and restrictions: Understand the restrictions on remittance set by various methods, such as the daily or individual transaction limits, the purpose of remittance, and the required documents. Certain remittances may require additional documents, such as proof of identity for the sender or the recipient.

• Real-time FX rate and remittance fees: Stay updated on the latest KRW FX rates to decide on the optimal timing for your remittance. Banks offer differing rates for buying and selling, alongside potential transaction fees. Airwallex, the intelligent financial platform for global businesses, provides attractive FX rates and waive transaction fees. Large remittances come with notable exchange costs, so it's essential to compare rates from various institutions and opt for the most competitive rate for your remittance.

• Processing time: Various banks and financial remittance platforms have different processing time. Choose a provider that offers same-day crediting to handle urgent transfers, whether big or small. 

• Licenses and reliability: Choose a reputable and reliable bank or  financial platform for large remittance. Ensure that they have appropriate security measures in place to protect personal and financial information.

• Risks associated with different remittance methods: Opt for institutions that offer remittance tracking services so you can check the status and expected arrival time online or through mobile applications. This helps mitigate the risk of delays.

What are the advantages of using Airwallex for remittance to Korea?

Airwallex is an all-in-one leading global financial platform for modern businesses including wholesale trading, offering trusted solutions to manage everything from payments, remittance to Korea, currency exchange and beyond, to help you enter the Korean market affordably, simply, and reliably. Within minutes, you can open a business account under your company’s name through Airwallex at any time. There are no account opening fees, minimum balance or transaction amount limits.

Key advantages of making a money transfer to Korea with Airwallex include:

• Interbank FX rates: access competitive FX rates starting from the interbank rate +0.2%, helping to reduce hidden costs on every transfer

• Same-day delivery: about 93% of international transfers arrive on the same day, helping you keep business operations moving

• Transparent pricing: the rate you confirm is the final rate applied, with no surprise backend charges

• Fully regulated: Airwallex operates under a Money Service Operator licence (MSO Licence No. 16-09-01929) issued by the Hong Kong Customs and Excise Department, helping safeguard your business funds

Airwallex lets you convert currencies and make international payments in KRW and other local destination currencies. You get competitive exchange rates and faster execution through a single payment platform.

FAQs

1. Can banks in Hong Kong remit to Korea?

Yes, some Korean banks such as Shinhan Bank and Hana Bank have branches in Hong Kong, and they offer various financial services including deposits, loans, remittances, and FX transactions.

2. Will there be any delays when banks in Hong Kong remit to Korea?

There are usually no major delays. Nevertheless, the overall processing time might be affected by factors such as verification of remittance information, involvement of intermediary banks, and potential regulatory scrutiny for large remittances.

3. Can I send money from Hong Kong to Korea if I don't have a local bank account in the Korean banks?

Yes, you can still send money from Hong Kong to Korea with wire transfers, money changers, or unified financial platforms like Airwallex.

Sources:

Information was sourced as of September 2026 for reference purposes. For the latest details, please visit each provider’s official website.

• https://www.bok.or.kr/eng/main/contents.do?menuNo=400191

Disclaimer: This article was prepared in September 2026 based on voluntary online research and publicly available information. We have not personally tested every tool or provider mentioned. This article is for educational purposes only, and readers should independently evaluate each service provider based on their specific business requirements. Content is updated every six months. To request an update, please contact us at [email protected].