Western Union vs Instarem - Everything you need to know before choosing

Trying to pick between Western Union®¹ and Instarem®² for your next international money transfer? This guide has you covered.

Western Union is one of the best established money transfer providers globally, and has a huge agent network in the UK and around the world. Instarem lets you send payments online and in-app, to 60 countries. Instarem has services for business and personal customers, while Western Union has recently divested its business service offering in the UK.

Which service is best for you will depend on what exactly you need - this Western Union vs Instarem comparison will help you decide. Plus, we’ll touch on an alternative - Wise - which lets you send personal and business payments to 150+ countries with low fees³ and the mid-market rate. More on that later.

What is Western Union?

Western Union was established in the US way back in 1861, originally to send telegrams conveniently. Over time the services being offered changed and developed, as new channels opened up and customer demand grew. By 2020, Western Union had stopped telegram services altogether and was firmly established as a global leader in in person, online and in-app money transfers. Overall, Western Union has over 500,000 agents globally and processes an average of 24 digital payments a second.

Western Union offers personal payment services in the UK, to pretty much every country in the world. They recently sold their business service division to Convera®^³.

What is Instarem?

Instarem has both personal and business services in the UK, with fully digital ways to send payments for deposit to bank accounts. Personal customers can send money to 60+ countries, while Instarem business^⁴ customers can transfer money to 170+ countries. Business customers also have other options including multi-currency accounts and cash flow products, to make doing business internationally easier.

Instarem transfers may be instant or same day depending on the destination, and you can earn rewards which can be traded for discounts on future payments.

Western Union vs Instarem benefits

As we’ve seen, Western Union and Instarem have some similar digital services for personal customers. However, the features of each provider are quite different which may mean one suits you better than the other, depending on the specific service you need.

Firstly, here’s a rundown of some ways in which Western Union and Instarem are similar:

• Both Western Union and Instarem offer personal customers transfers you set up online or in-app
• Western Union and Instarem both let you send money to be deposited to a bank account
• Western Union and Instarem are both FCA regulated in the UK and safe to use

Beyond this, both Western Union and Instarem have their own unique features and benefits. Let’s look at these individually:

Western Union Features and Benefits

• Send to 200+ countries and territories
• Pay for your transfer in cash at a UK agent, as well as options for online and in-app
• Payout options include bank and mobile wallet deposit and cash collection at 500,000+ agents
• Choose the ‘money in minutes’ service to have your payment collected instantly, or wait a couple of days for a bank deposit⁵
• Limits apply to how much you can send online, based on your account type and how you pay - higher transfers may be arranged in person at an agent in some cases

Instarem Features and Benefits

• Send to 60+ countries as a personal customer
• Personal payments are deposited to the recipient’s bank account, often instantly
• Business services are available, including payments to 170+ countries and multi-currency holding accounts
• Personal customers can send unlimited payments by bank transfer, but can send no more than 10,000 GBP using a debit card^⁶

Western Union vs Instarem - international transfers

Western Union and Instarem both offer online and in-app international payments. Western Union also lets you send money domestically. Here’s a quick summary of where the payment services provided by Western Union vs Instarem are similar, and where they’re different:

	Western Union	Instarem
Send money to	200+ countries and territories	60+ countries as a personal customer; 170+ for businesses
Payment limit	Unverified customers can send up to £800 online Verified customers can send up to £4,000 online every 3 days when paying by credit card, or up to £50,000 when paying from a bank account Higher transfers may be available in store	No limit for bank transfers; £10,000 for debit card payments
Pay in options	Bank transfer, card or cash	Bank transfer or card
Payout options	Bank or mobile money deposit, cash collection	Bank deposit
Business services	No - Western Union’s business services have recently been acquired by Convera	Yes

Western Union vs Instarem exchange rates

Both Instarem and Western Union use variable exchange rates which may include a markup on the mid-market rate. That’s a fee that’s rolled up into the exchange rate offered. It’s very common, but can make it harder to work out exactly what you’re paying overall for your transfer.

Western Union vs Instarem fees and charges

Western Union and Instarem international payment fees and charges vary a lot based on factors like how much you’re sending, the destination country, and how you want the money to be received.

You’ll be able to set up your payment online to view and compare the rate and fees available from each provider. It’s a good idea to look at how much your recipient will get in the end with a few different providers to see which works best for your needs.

To illustrate, let's take an example comparing Instarem, Western Union and and Wise, and imagining we are sending 1,000 GBP to a friend in France:

Sending 1,000 GBP to France with:	Fee	Exchange rate	Recipient gets
Wise	4.49 GBP	1 GBP = 1.1668 EUR	1,161.51 EUR
Western Union	0 GBP	1 GBP = 1.1667 EUR	1,166.73 EUR
Instarem	0 GBP	1 GBP = 1.1625 EUR	1,162.50 EUR

*Details correct at time of research 25th March 2024

In this example, your recipient will get more with Western Union. Bear in mind that the overall costs will depend on how you pay, and - in some cases - how long you can wait for your money to be delivered. It’s also worth remembering that providers may offer promotional or new customer offers, which can mean paying lower fees or getting a better exchange rate. These tend to be short term offers, so shopping around every time you make a payment is essential.

Western Union vs Instarem - app and ease of use

Both Western Union and Instarem offer the option to set up your payment in an app. This means you can send money with nothing more than your phone.

Before choosing which app to use, it’s worth weighing up which will be more intuitive and easy to use. Here’s how Western Union and Instarem measure up on app ratings:

	App store	Google Play
Western Union	4.8 out of 5 stars, from 694k+ reviews⁷	4.6 out of 5 stars, from 293k reviews⁸
Instarem	Instarem UK reviews not available	4.4 out of 5 stars, from 8.5k reviews⁹

*Details correct as of 25th March 2024

Western Union does well on both Apple and Android phones, and is well rated with a good number of reviews live. Instarem has a decent score on Google Play, but quite a small number of reviews - and no score is available for Instarem UK on the Apple App store at the time of research.

The good news is that whichever you choose, the apps are safe to use, with regular updates and teams working on improving security behind the scenes all the time.

How to easily transfer money with Wise

Comparing providers every time you make a payment is the best way to get a great deal. As well as looking at the costs and rates on offer from Western Union and Instarem, check out Wise.

Wise transfers can be sent to bank accounts in 150+ countries - and your money can be with the recipient quickly or even instantly^1⁰. You’ll get the mid-market exchange rate with low transparent fees from 0.43%, plus easy options to hold a foreign currency balance, get paid from overseas, and spend internationally with your Wise debit card.

Here’s a step by step guide to sending money with Wise:

1. Download the Wise app for free
2. Register an account by entering your personal and contact information
3. Get verified by uploading a photo of your ID documents
4. Model the payment you want to make to get a fee and rate quote
5. Choose how you want to pay (bank transfer or card for example)
6. Check everything over and confirm - you’ll be prompted to pay using your chosen payment method

Want to do more with your money? Check out the multi-currency account and card from Wise

Open a Wise account online or in the Wise app, to hold and exchange 40+ currencies conveniently. You can get paid with local bank details for up to 8+ currencies, and order a Wise debit card to spend and make withdrawals in 150+ countries. Wise accounts are available to personal and business customers in the UK, with no minimum balance requirements, no ongoing charges and no hidden costs to worry about.

Learn more about the Wise account 💰

Bear in mind that Wise isn’t a bank, it’s an e-money institution. Like Western Union and Instarem it’s regulated in the UK by the FCA.

Services like Western Union and Instarem offer quite a different suite of services for UK customers - so while there’s some overlap, ultimately you’ll need to compare them for your specific transaction to find the best deal for you.

While you’re shopping around it’s worth looking at other, non-bank, alternatives, like Wise, too. Use this guide to kickstart your comparison and get your money moving in no time at all.

Sources used in this article:

1. Western Union
2. Instarem
3. Convera
4. Instarem business
5. Western Union FAQ - speed
6. Instarem limits
7. Western Union App Store
8. Western Union Google Play
9. Instarem Google Play
10. Speed: The speed of transaction claim depends on funds availability, approval by Wise's proprietary verification system and systems availability of our partners' banking system, and may not be available for all transactions

Sources last checked March 25, 2024