Hidden FX Fees Cost Filipinos PHP 8.37B in 2023

Filipinos unknowingly lost PHP 8.37 billion to hidden foreign exchange (FX) fees in 2023, according to research commissioned by Wise.

Despite global efforts to reduce remittance costs, including the United Nations’ goal to lower fees to 3% by 2030, many Filipinos continue to pay excessive hidden charges when sending money abroad.

Wise’s study revealed that 72% of Filipinos believe they understand international payment costs, yet only 18% fully grasp the impact of hidden FX markups.

An example showed a USD 10,000 transfer could carry PHP 21,187 in hidden fees due to a 3.6% markup, even if advertised as “fee-free.”

Hidden fees hit hardest on overseas Filipino workers (OFWs), gig economy workers, and families relying on cross-border financial support.

Wise urged providers to adopt transparency in line with Bangko Sentral ng Pilipinas (BSP) regulations, calling for clear cost breakdowns and an end to misleading terms like “0% commission.”

The company expanded its services in the Philippines, launching Wise Account, a prepaid card, and InstaPay integration for faster, more affordable international transactions.

Wise aims to help Filipinos avoid hidden fees and get the most value from their money by providing mid-market exchange rates and upfront pricing.