Introduction: How to Transfer Money to Panama for Expats
How to transfer money to Panama is one of the first questions expats ask when settling in the country. Whether it’s paying for your new apartment, sending money back home, or simply managing your daily expenses, understanding the safest and most cost-effective ways to move money is crucial.
Based on real expat experiences, this guide compares traditional bank transfers, modern apps, cryptocurrencies, and remittance services so you can choose the method that fits your lifestyle.
Traditional Bank Transfers in Panama: Pros and Cons
Bank-to-bank transfers are often the first option people consider. They are secure and well-established, but they come with major downsides.
The expat consensus is clear: traditional bank transfers are “slow, expensive, and inefficient.” Many report paying high fees both on the sending and receiving side, sometimes losing a significant percentage of the total transfer in costs. One expat described it as “a mistake you only make once.”
Bank transfers may still work for large, one-time moves (such as buying property), but they’re rarely the best choice for everyday needs.
Money Transfer Apps for Expats in Panama
The most popular solution among expats today is money transfer apps. Services like Wise (formerly TransferWise), Remitly, Xoom, and WorldRemit dominate conversations in expat communities.
- Speed: Transfers often arrive in hours instead of days.
- Transparency: Users praise the clear, low fees and fair exchange rates.
- Convenience: Money arrives directly in your Panamanian bank account.
One expat described Wise as a “game changer” and “the tool that saves you.” For routine transfers, these apps are by far the most recommended option.
Money Transfers from Panama to Abroad
While most expats focus on bringing money into Panama, there are situations where you’ll need to send money out—for example, supporting family abroad or paying bills in your home country.
Here, too, apps like Wise are effective, but some expats prefer to keep an international account outside Panama as a hub. This way, they can move money in both directions without relying entirely on Panamanian banks.
Using Cryptocurrencies for Money Transfers in Panama
Among younger and more tech-savvy expats, cryptocurrencies are an alternative method. They allow near-instant transfers at very low cost.
However, expats emphasize caution. One common piece of advice: have a clear plan for converting crypto to U.S. dollars. While Panama is dollarized, not every service or person is familiar with crypto. Volatility is another risk.
For those comfortable with digital assets, crypto can be efficient, but it’s not recommended for everyone.
Cash Transfers and Traditional Services
Not every expat is a fan of apps or crypto. Many Baby Boomers and Gen X expats still rely on traditional services like Western Union and MoneyGram.
- Pros: Widely available, easy to access, and cash pickup options.
- Cons: Higher fees than apps, less transparency.
For smaller transfers or for those who prefer a conservative, “walk-in and collect cash” model, these services remain relevant.
Best Strategies to Save on Fees When Sending Money to Panama
From the experiences shared by expats, here are the smartest strategies:
- Use apps for routine transfers (low cost, fast).
- Reserve bank wires for large amounts (property purchases, investments).
- Keep a U.S. or international account as a backup hub.
- Avoid unnecessary conversions—stick to U.S. dollars whenever possible.
- Plan—last-minute transfers often cost more.
Conclusion: The Smartest Way to Transfer Money to and from Panama
The truth is, there’s no single best method. Traditional bank transfers are safe but inefficient; money apps like Wise are the go-to choice for most expats, and crypto or traditional remittances serve niche needs.
As expat communities often say: “Bank wires are what you use once. Apps are what you use every day.”
By understanding the pros and cons of each option, you’ll be able to save time, money, and stress while living in Panama.