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On August 1, 2025, the Bank of Tanzania made a change that reshaped every incoming transfer: all international money transfers must now route through TIPS, the Tanzania Instant Payment System, with a flat fee of TZS 1,000 (about $0.40) per transaction. Tanzania received an estimated $750 million in diaspora remittances in 2024, according to World Bank data, and the new rule is aimed at moving more of that money through a single, trackable, interoperable rail instead of scattered, slower channels.

For everyday senders, that is good news on speed. It does not automatically mean a better price. This guide covers what changed, what a transfer to Tanzania actually costs, and how the popular options compare.

This is why so many people keep searching:

• how to send money to Tanzania from abroad
• best way to send money to Tanzania from the US or UK
• cheapest app to send money to M-Pesa Tanzania
• send money to a Tanzanian bank account

What changed for Tanzania in 2025

Before TIPS became mandatory, an incoming transfer could land through several different systems depending on which bank or mobile network was on each end, which meant inconsistent speed and inconsistent fees. Routing every transfer through TIPS makes mobile wallets, banks, and other licensed providers interoperable on one instant-settlement rail, and it caps the routing fee at a flat TZS 1,000 rather than letting it scale with the transfer amount. Cross-border mobile money inflows already rose 33 percent year over year following the shift, according to the Bank of Tanzania’s National Payment Systems reporting.

What TIPS does not do is cap the exchange rate margin a transfer provider builds into your quote. That part is still entirely up to the app or bank you choose, which is where most of the real cost still hides.

Where a transfer to Tanzania quietly loses value

According to World Bank Remittance Prices Worldwide data, the average cost of sending money from the UK to Tanzania sits around 4.88 percent once fees and exchange rate margins are combined, well above the roughly 2 percent seen on some other African corridors. Three things usually explain the gap:

• An exchange rate marked up below the real market rate, with the margin folded into “the rate” instead of shown as a separate fee
• A flat sending fee stacked on top of that already marked up rate
• Cash pickup charges that a direct deposit to a mobile wallet or bank account avoids entirely

We cover the same underlying math in our guide to choosing the best way to send money internationally: whoever quotes the number closest to the real market rate, not the app with the flashiest onboarding, is the one protecting your money.

Mobile money in Tanzania is more split than you might expect

Unlike Kenya, where M-Pesa dominates almost completely, Tanzania’s mobile money market is genuinely competitive: Vodacom’s M-Pesa holds around 41 percent of the market, Tigo Pesa around 24 percent, Airtel Money around 21 percent, and Halotel around 10 percent, based on recent network data. Since TIPS now connects these wallets and the banking system on one interoperable rail, which specific wallet your recipient uses matters far less than it used to. A transfer sent to any of them should settle quickly, as long as the sending provider actually routes through TIPS.

How the popular options compare

Most people sending money to Tanzania end up choosing between a bank wire, Western Union, WorldRemit, LemFi, or a Novacrust account. All of them can land money in a Tanzanian bank account or mobile wallet. What differs is the rate, the fee, and how many days it takes to clear.

Example: sending $500 to Tanzania

At the real market exchange rate, $500 converts to a specific shilling amount. A transfer priced with a 4 to 5 percent all-in margin, in line with the World Bank’s UK-to-Tanzania average, quietly removes $20 to $25 of that before it lands, even with TIPS keeping the routing fee itself small. Sent every month, that gap adds up to real money over a year.

The fix is not finding the fastest-looking app. It is comparing the actual exchange rate you are quoted against the real market rate before you send, every time.

Why freelancers and diaspora senders use Novacrust

A Novacrust account lets you hold US dollars and send to Tanzania, or to 50+ other countries, without stitching together a separate bank, card, and remittance app. You can:

• Receive USD directly from international clients, Upwork, Fiverr, or a US employer
• Convert to Tanzanian shillings at a competitive rate, in the same account
• Send to a Tanzanian bank account or mobile wallet in minutes

If you do not have a US dollar account set up yet, our guide to opening a USD Account online in minutes covers what you need before your first transfer, no US address required.

Other ways dollars reach Tanzania

A bank or mobile money transfer is not the only route. Two more worth knowing:

• Gift cards. If you are paid in US gift cards, or received one as a gift, selling gift cards for cash converts that value without a wire transfer at all.
• Stablecoins. A growing number of East African freelancers and traders convert USDT or USDC directly instead of routing through a traditional bank. Our roundup of the best apps to buy and sell USDT and USDC in Africa covers the options people actually use.

FAQ: sending money to Tanzania in 2025

What’s the cheapest way to send money to Tanzania?

The cheapest option is whichever one quotes an exchange rate closest to the real market rate and charges a clear, separate fee instead of hiding its margin inside the rate. TIPS keeps the routing fee itself small, so the exchange rate is where the real savings or losses happen.

Do all transfers to Tanzania now go through TIPS?

Since August 1, 2025, the Bank of Tanzania requires international transfers to route through TIPS, which connects banks and mobile wallets like M-Pesa, Tigo Pesa, and Airtel Money on one instant-settlement system. In practice, that means faster, more consistent delivery regardless of which wallet or bank your recipient uses.

How long does a transfer to Tanzania take?

Bank wires typically take one to three business days. Apps built for cross-border transfers, including Novacrust, usually settle to a Tanzanian bank account or mobile wallet in minutes now that TIPS handles routing.

Which mobile money wallet should my recipient use in Tanzania?

Whichever one they already have. M-Pesa, Tigo Pesa, Airtel Money, and Halotel are all connected through TIPS, so the wallet choice matters far less than confirming the sending provider actually supports direct mobile wallet delivery.

Is it safe to send money to Tanzania through an app instead of a bank?

A licensed, regulated transfer app is not inherently less safe than a bank wire. Check that any provider you use is licensed for the corridor you are sending through before you rely on it regularly.

Final thoughts

TIPS made transfers to Tanzania faster and more consistent, but it did not touch the exchange rate, and that is still where most of your money is won or lost. With $750 million a year already flowing to Tanzania through official channels and cross-border mobile money inflows rising fast, comparing the real rate before you send is worth the extra minute every time.

Sign up to get started on Novacrust here.

Kenyan households received Sh931.8 billion in remittances between June 2024 and May 2025, according to a joint survey by the Kenya National Bureau of Statistics, the Central Bank of Kenya, and FSD Kenya. The United States alone accounted for 43.5 percent of that total, and more than 92 percent now arrives through formal channels like banks and mobile money instead of informal cash routes.

That’s a lot of money moving through official channels, but it doesn’t mean every transfer is priced fairly. This guide covers how much a transfer to Kenya should actually cost, how the popular options compare, and where you’re most likely to lose value without noticing.

This is why so many people keep searching:

• how to send money to Kenya from abroad
• best way to send money to Kenya from the US
• cheapest app to send money to M-Pesa
• send money to a Kenyan bank account

What a transfer to Kenya really costs

According to World Bank Remittance Prices Worldwide data, the average cost of sending money from the US to Kenya sits around 4.26 percent once fees and exchange rate margins are combined. That’s more than double the 1.96 percent average on the UK-to-Nigeria corridor, which tells you the “average” cost swings a lot depending on which provider you pick, not just which country you’re sending from.

Four things usually drive that number higher than it needs to be:

• An exchange rate marked up well below the real market rate, with the margin hidden inside “the rate” rather than shown as a fee
• A separate flat fee stacked on top of that already-marked-up rate
• Cash pickup charges that direct-to-M-Pesa or bank transfers avoid entirely
• Multi-day delays that expose your transfer to shilling volatility before it lands

We cover the same underlying math in our guide to choosing the best way to send money internationally, including why mobile money delivery through M-Pesa is usually the fastest way for a transfer to actually reach someone in Kenya.

How the popular options compare

Most senders end up choosing between a bank wire, Western Union, WorldRemit, LemFi, or a Novacrust account. All of them can land money in a Kenyan bank account or on M-Pesa. The difference is the rate, the fee, and whether cash pickup is even an option worth taking.

Example: sending $500 to Kenya

At the real market exchange rate, $500 converts to a specific shilling amount. A transfer priced with a 4 to 6 percent all-in margin, in line with the World Bank’s US-to-Kenya average, quietly removes $20 to $30 of that before it lands, and a flat fee on top can push the total loss higher still. Sent monthly, that gap adds up fast.

The fix isn’t finding the fastest-looking app. It’s comparing the actual exchange rate you’re quoted against the real market rate before you send, every time.

Why freelancers and diaspora senders use Novacrust

A Novacrust account lets you hold US dollars and send to Kenya, or to 50+ other countries, without stitching together a separate bank, card, and remittance app. You can:

• Receive USD directly from international clients, Upwork, Fiverr, or a US employer
• Convert to Kenyan shillings at a competitive rate, in the same account
• Send to a Kenyan bank account or M-Pesa in minutes

If most of your income already comes from international clients, our guide to the best payment setup for Upwork and Fiverr work in Africa covers how to get paid in the first place, and our walkthrough of opening a USD Account online in minutes covers what you need before your first transfer.

Other ways dollars reach Kenya

A bank or mobile money transfer isn’t the only route. Two more worth knowing:

• Gift cards. If you’re paid in US gift cards, or received one as a gift, selling gift cards for cash converts that value without a wire transfer at all.
• Stablecoins. A growing number of Kenyan freelancers and traders convert USDT or USDC directly instead of routing through a traditional bank. Our roundup of the best apps to buy and sell USDT and USDC in Africa covers the options Kenyans actually use.

FAQ: sending money to Kenya

What’s the cheapest way to send money to Kenya?

The cheapest option is whichever one quotes an exchange rate closest to the real market rate and charges a clear, separate fee instead of hiding its margin inside the rate. Direct-to-M-Pesa or bank deposit is almost always cheaper than cash pickup.

Can I send money straight to M-Pesa from abroad?

Yes. Most modern transfer apps, including Novacrust, support sending directly to an M-Pesa number rather than requiring a bank account first.

How long does a transfer to Kenya take?

Bank wires typically take one to three business days. Apps built for cross-border transfers, including Novacrust, usually settle to a Kenyan bank account or M-Pesa in minutes.

Why do remittance costs to Kenya vary so much between providers?

The World Bank’s own data shows a wide spread because providers price the exchange rate margin differently, and many don’t disclose it as a separate line item. Two apps can advertise “free transfers” and still leave you with very different amounts on the other end.

Is it safe to send money to Kenya through an app instead of a bank?

A licensed, regulated transfer app is not inherently less safe than a bank wire. Check that any provider you use is licensed for the corridor you’re sending through before you rely on it regularly.

Final thoughts

Kenya’s diaspora remittances have never flowed through more formal, trackable channels than they do now, but formal doesn’t automatically mean cheap. The exchange rate you’re quoted, not the name on the app, decides how many shillings actually reach the person you’re sending to. Compare the real rate before you send, every time.

Sign up to get started on Novacrust here.

On May 1, 2026, a new Central Bank of Nigeria directive took effect: every international money transfer operator must settle diaspora remittances through naira accounts held with authorized Nigerian banks. Nigerians received $21.8 billion from abroad in 2025, and the CBN wants a bigger share of that flowing through official channels it can track and price fairly, with a stated goal of $1 billion in monthly remittances by the end of 2026.

If you send money to Nigeria regularly, or you’re doing it for the first time, that policy shift changes what “the best way to send money” actually means right now. This guide covers what changed, where transfers quietly lose value, and how the popular options compare.

This is why so many people keep searching:

• how to send money to Nigeria from abroad
• best app to send money to Nigeria
• send money to Nigeria from the US or UK
• cheapest way to send money to a Nigerian bank account

What changed for Nigeria in 2026

Before this year, some transfer operators could pay recipients out in foreign currency or route funds outside formal naira settlement. The CBN’s March 2026 directive closed that gap: as of May 1, every licensed money transfer operator must process inflows, beneficiary payouts, and related settlements through naira accounts at authorized dealer banks. The stated aim is more transparency, better price discovery in the foreign exchange market, and fewer remittances slipping through informal, unregulated routes.

For everyday senders, the practical effect is simple: recipients get paid in naira, at a rate the transfer operator sets, through an accountable banking channel. That makes the exchange rate you’re quoted, and the margin baked into it, the single biggest factor in how much your recipient actually walks away with.

Where a transfer to Nigeria quietly loses value

According to World Bank Remittance Prices Worldwide data, the average cost of sending money from the UK to Nigeria sits around 1.96 percent once fees and exchange rate margins are combined. That number sounds small until you notice it rarely tells the whole story. Four things usually eat into the total:

• A marked-up exchange rate that’s presented as “the rate,” with no separate fee line
• A flat sending fee on top of that already-marked-up rate
• Delays of one to three business days, during which the naira can move against you
• Extra charges for cash pickup versus direct bank or mobile money deposit

We cover the same pattern in more depth in our guide to choosing the best way to send money internationally: whoever quotes the number closest to the real market rate, not the flashiest app, is the one protecting your money.

How the popular options compare

Most people sending money to Nigeria end up choosing between a bank wire, Western Union, LemFi, Chipper Cash, or a Novacrust account. They all get naira into a Nigerian bank account or mobile money wallet eventually. What differs is the rate, the fee, and how long it takes.

Example: sending $500 to a Nigerian bank account

Say the market exchange rate values $500 at a certain naira amount. A transfer with a 4 to 6 percent all-in margin, common across banks and several apps, quietly removes $20 to $30 of that before it lands. Add a flat fee of $5 to $15, and the gap between “what you sent” and “what they received” grows fast, especially if you’re sending every month.

This is also where the exchange rate itself matters beyond the transfer fee. If you’re regularly comparing naira quotes, our breakdown of which app gives the best USD to naira exchange rate walks through how to tell a fair quote from a padded one.

Why freelancers and diaspora senders use Novacrust

A Novacrust account lets you hold US dollars and send to Nigeria, or to 50+ other countries, without stacking a separate bank, card, and remittance app on top of each other. You can:

• Receive USD directly from international clients, Upwork, Fiverr, or a US employer
• Convert to naira at a competitive rate, in the same account
• Send to a Nigerian bank account or mobile money wallet in minutes

If you don’t have a US dollar account set up yet, our guide to opening a USD Account online in minutes covers what you need before your first transfer, no US address required.

Other ways dollars reach Nigeria

A bank transfer isn’t the only route into naira. Two worth knowing:

• Gift cards. If you’re paid in US gift cards, or received one as a gift, selling gift cards for naira in Nigeria turns that value into cash without a wire transfer at all.
• Stablecoins. Some senders convert USDT or USDC to naira directly, skipping the traditional banking rail entirely. Our guide on converting crypto to naira covers how that works end to end.

FAQ: sending money to Nigeria in 2026

Do Nigerians receive remittances in dollars or naira now?

As of May 1, 2026, licensed money transfer operators must settle remittances through naira accounts at authorized Nigerian banks. In practice, that means recipients are paid out in naira rather than foreign currency cash.

What’s the cheapest way to send money to Nigeria?

The cheapest option is usually whichever one quotes an exchange rate closest to the real market rate and charges a transparent, separate fee rather than folding its margin into the rate itself. Direct bank or mobile money deposit is almost always cheaper than cash pickup.

How long does a transfer to a Nigerian bank account take?

Bank wires typically take one to three business days. Apps built for cross-border transfers, including Novacrust, usually settle in minutes once the sender’s funds are confirmed.

Is it safe to send money to Nigeria through an app instead of a bank?

Licensed transfer operators now settle through naira accounts at authorized dealer banks under CBN oversight, so a regulated app is not inherently less safe than a bank wire. Check that any provider you use is licensed for the corridor you’re sending through.

Can I still send money to Nigeria in US dollars?

You can send from a USD account or balance, but under the 2026 rules the recipient is paid out in naira through the receiving bank. Holding dollars in your own account and converting only when you’re ready to send is still a valid way to manage timing.

Final thoughts

The 2026 naira settlement rule makes one thing clearer than before: the exchange rate you’re quoted, not the brand name on the app, decides how much of your money actually reaches Nigeria. With $21.8 billion in diaspora remittances already flowing through official channels in 2025, and the CBN pushing for more, comparing the real rate before you send is worth the extra minute every time.

Sign up to get started on Novacrust here.

Gumroad does not let you add a payout method if your country is not on its supported list, and that list leaves out most of Africa, plus large parts of Asia and Latin America. Creators in Nigeria, Kenya, Ghana, Pakistan, and dozens of other countries hit the same wall: sales pile up in their Gumroad balance with nowhere to send them.

The usual workaround, routing payouts through a US-based friend’s PayPal or a forwarding service, costs 3 to 8 percent in fees and conversion spread on every payout. On a $500 month, that is $15 to $40 gone before the money even reaches you.

Why Gumroad payouts fail for so many creators

Per Gumroad’s own payout documentation, Gumroad pays out two ways: PayPal, or direct deposit to a US bank account. PayPal is only available in a limited set of countries, and even where it works, PayPal’s own conversion rates run 3 to 4 percent above the mid-market rate. Direct deposit needs a real US bank account with a routing and account number, which is exactly what most creators outside the US do not have.

That second option, direct deposit, is actually the cheaper and faster path. You just need the US account to plug into it.

The fix: a USD Account with a real routing number

A Novacrust USD Account gives you a US account number and routing number you can add directly to Gumroad’s payout settings, the same way a creator living in Ohio would. Gumroad pays out via ACH straight into your account. No PayPal, no forwarding service, no friend holding your money. If you want the mechanics of how ACH payouts actually work, see ACH vs Wire vs SWIFT.

Here is the setup:

1. Create a Novacrust account and open a USD Account. It takes minutes and needs no US address or Social Security number.
2. Copy your account and routing number from your Novacrust dashboard.
3. In Gumroad, go to Settings, then Payments, and add your Novacrust USD Account as a bank payout method.
4. Set your payout schedule. Gumroad sends funds via ACH, which typically lands in 1 to 3 business days.

Once your dollars land, spend them with a Novacrust USD Virtual Card, convert to naira, cedis, shillings, or another local currency at competitive rates, or send to 50+ countries. You keep the payout in dollars for as long as you want and move it only when you are ready.

It is not just Gumroad

The same routing and account number works for any platform that pays out via US direct deposit or ACH: Upwork, Fiverr, Patreon, Payhip, Podia, and most US-based marketplaces and ad networks. Set it up once on your Novacrust USD Account, and you can add it as a payout method everywhere you get paid. This is the same setup covered in our guide to the US banking system for non-residents, if you want the fuller picture of how a US account number works without a US address.

This is the difference between chasing a payout workaround for every platform and having one dollar account that plugs into all of them.

What this actually saves you

A creator earning $800 a month through Gumroad, routing payouts through PayPal or a forwarding service at a 5 percent blended cost, loses about $40 a month, or $480 a year. Routing the same $800 through a USD Account cuts that to Novacrust’s standard conversion rate, only charged when you actually convert to local currency, and only on the portion you convert.

FAQ

Can I add a Novacrust USD Account to Gumroad if I do not live in the US?
Yes. The USD Account comes with a real US account and routing number that works in Gumroad’s bank payout settings regardless of where you live.

How long does a Gumroad payout take once I switch to direct deposit?
Gumroad sends ACH payouts on your chosen schedule, and funds typically arrive in your Novacrust USD Account within 1 to 3 business days.

Do I need a US address or Social Security number to open a USD Account?
No. Novacrust’s USD Account is built for freelancers and creators outside the US and does not require either.

Can I use the same USD Account for Upwork, Fiverr, or Patreon payouts?
Yes. Any platform that supports US bank direct deposit or ACH can pay out to the same Novacrust USD Account.

What can I do with the dollars once they land?
Hold them in USD, spend them with a Novacrust USD Virtual Card, convert to your local currency at competitive rates, or send to 50+ countries.

Stop losing 5 percent of every Gumroad payout to a workaround. Get Started. It’s Free. Open your Novacrust USD Account in minutes and add it as your payout method today.