Service members lose millions a year in hidden fees - here’s why.

Sending money abroad is a regular occurrence for many people living international lives, especially those serving our nation abroad. But many are unaware what they actually pay to send, spend, or receive money internationally. That’s because international money transfer providers often mislead people, including service members, on the fees they charge. They may say they have low or even no fees, but they hide extra fees in a marked-up exchange rate.

In a year, US military service members spent more than $455 million on foreign exchange fees. Of that, $301 million was lost in hidden fees due to exchange rate markups.

“I have been stationed overseas for over 18 years with the US Government and have always gotten ripped off on the exchange rates when moving my salary in US dollars to local currency amounts.”

— U.S. service member

Nearly 200,000 members of the US Armed Forces are stationed around the world. Many service members live off base with their families, where they pay for items including cars, utilities, and groceries in foreign currency. Many others send money home to their families in the United States. Military families are getting ripped off, being told there’s no conversion fee at on-base ATMs when there is actually a markup in the exchange rate.

“I am an American military veteran, residing in France, I must transfer my VA money back and forth constantly between French and American banks, and it has a real effect on my well-being to give up so much extra to unnecessary fees.”

— U.S veteran

Financial services providers should prioritize transparency for those converting or sending money cross-border while serving overseas. By putting an end to hidden foreign exchange markups, we can significantly reduce the $300M lost in hidden fees each year and put more money back into the pockets of those who need it most: service members and their families.

This Veterans Day, we’re honoring U.S. veterans and active duty service members by telling the world their experience of sending money abroad. It’s long past time to end the $300 million hidden fee on the U.S. military - share your story!