xoom money transfer

How Does Xoom Money Transfer Work

May 7, 2022

Xoom is a PayPal Service that deals with electronic funds transfer or remittance services. The platform allows consumers to send funds, reload mobile phones, and pay bills from the United States and Canada to 131 countries worldwide. The company’s headquarters are in San Francisco, California, United States. We shall be looking at how Xoom money transfer works later on. That will enlighten you if you plan to open an account with the service.

By the way, Xoom has come a long way since its foundation in 2001. In 2010, the platform was a case study in the Inter-American Dialogue of 79 money transfer service providers among the companies having the highest consumer satisfaction ratings. Later in March 2011, Xoom was among the best money transfer companies listed in the “Wall Street Journal’s” annual “Next Big Thing List.” It was among the 50 best venture-backed companies.

There are a lot of good things that you can find at Xoom. Being an online money transfer company, you can be sure that it is convenient for all your transaction activities. You need to use your smartphone or tablet, and you are good to go. The service also supports computers. Many conveniences come with online money transfers. You can carry out a transaction from anywhere and on your own time.

How to get started with Xoom?

You only need to create an account to get started with Xoom, and you are good to go. When signing up with PayPal, you should confirm that you are at least 18 years old and accept the Xoom User Agreement. Once you create your account, PayPal links it to your PayPal account.

To open your profile, you will need to visit the account creation page and then tap the ‘Sign Up with PayPal’ button to get started. Next, you will need to enter your country and phone number. You can create a Xoom account from various countries, which include the United States, Austria, Belgium, Bulgaria, Canada, Cyprus, Denmark, Estonia, Finland, France, French Guiana, Germany, Gibraltar, Greece, Guadeloupe, Hungary, Ireland, Italy, Latvia, Liechtenstein, Malta, Martinique, Netherlands, Lithuania, Luxembourg, Norway, Poland, Portugal, Réunion, Romania, San Marino, Slovakia, Slovenia, Spain, Sweden, and the United Kingdom.

Once you enter your phone number, you should press the next button. Enter the code sent to your phone number to continue on the page that opens. You should ensure that the number can receive messages to get the code and follow all the other prompts to complete the account application.

How does Xoom money transfer work?

xoom money transfer

First, it is wise to learn how Xoom operates before opening an account with the platform. As I mentioned earlier, Xoom is a PayPal service that allows you to transfer funds worldwide to your friends and family. Just as you can accept ACH payments instantly with your bank account, recipients can get their funds within minutes. Xoom allows you to carry out various transactions.

First of all, you can send funds to other people in their bank account, debit card, or Xoom mobile wallet. That is the primary use of Xoom, which makes it a bit better compared to its parent company, PayPal. It eliminates the use of bank wire transfers which takes a long time to process when it comes to international transfers.

Also, you can send cash for pick up at a location or home delivery. That means the recipient must not have an account with Xoom to receive finances. Also, it is not a must for someone to have a bank account to receive finances from Xoom.

Another way you can use Xoom is to pay international bills. Suppose you are getting services from a company abroad. In that case, you do not have to struggle to pay your debts since Xoom makes it easy to carry out the transaction activity. You can also pay bills domestically using the platform. Suppose you transfer money using the routing number and account number using your bank account to your service provider. In that case, you could save a lot using Xoom.

Also, you can reload a prepaid mobile phone and continue enjoying various services. You can see that there is no more waiting in lines and filling out paperwork as it happens in banks and credit unions. Being a member of the PayPal family, the platform makes money transfers safer, fast, and easier to execute, allowing you to help your relatives faster.

How much can you send on Xoom?

Another important detail you should have when transferring money is the maximum amount of money you can send on the platform. Xoom allows you to send finances up to three different levels. Each level has a maximum amount you can send within a particular period. The sending limits depend on various factors, which include the following.

  • Where you live
  • How the funds are received
  • Partner limits. They vary by country. The Xoom partners include financial companies such as banks, pick-up locations, and other services that allow the recipients to receive the funds you send them. The following table shows the amount you can send if in the United States.

i) Bank deposit maximums

Level 24-hour limit 30-day limit 180-day limit
1 $2,999 $6,000 $9,999
2 $10,000 $20,000 $30,000
3 $50,000 $60,000 $100,000

ii) Cash pickup maximums

Level 24-hour limit 30-day limit 180-day limit
1 $2,999 $6,000 $9,999
2 $10,000 $20,000 $30,000
3 $10,000 $20,000 $50,000

How do you increase your sending limits on Xoom?

When you send money with a checking account number to another account within your branch, you may not get a lot of restrictions, especially if you hold an ordinary account. The ways to increase your sending limits may vary from one country to another. To increase your sending limits in the United States, you must meet various requirements. For example, when you transfer an amount that exceeds your current sending limit, Xoom will ask you to upgrade your account by providing additional details and documents. The following details are necessary.

Levels Required details and documents
Level 1 Sender profile details
Level 2 Passport or Social Security Number
Level 3 Xoom may require the following documents if you had not submitted previously:
1) Passport, driver’s license, or Green Card for identity verification
2) Utility bill or equivalent to proof your address
3) A bank statement or a pay stub

Apart from the above, Xoom may also ask for additional details to keep your transaction secure.

Do Xoom partners have transfer limits?

Xoom has various partners, including cash pick-up locations, banks, and home delivery services that facilitate the receipt of money. Every partner has specific restrictions, which vary from one country to another. These include;

  • The amount of money to be paid in a single transaction
  • The amount of money to be paid out to a recipient within a specific period
  • Look for operating hours, payment limits, and other details when choosing a partner for your transaction.

Can you transfer funds to a debit card via Xoom?

Do you want to transfer money from one debit card to another using Xoom, and not sure if it is possible? You need to understand that Xoom usually supports transfering money to a bank account, pick location, or home delivery. However, you can use a debit card to fund your transfer over the platform.

You can only move money from one debit card to another via Xoom by transferring the funds to the checking account that links to the debit card. When funds are in the checking account, they will still be available with the debit card. Remember that debit cards allow you to use your checking account balance.

How to reload phones using Xoom?

You need the mobile phone number you want to reload, and Xoom will automatically identify the mobile carrier. The payment methods available vary depending on the currency you’re paying with. Reloading phones is one of the ways you can use Xoom. You can either load your device from your Xoom app or web browser. Let’s see each one of them.

1) Reload from your Xoom app

  • Log in to your Xoom account
  • Tap Reload phones
  • Choose the country you are sending to
  • Enter the phone number, and Xoom will detect the mobile carrier
  • Select a reload amount
  • Input your contact’s details
  • Complete your profile if you are using the service for the first time
  • Choose how to pay
  • Review your details carefully and slide to reload. 

2) Reload from your web browser

  • Navigate to My Account and click Reload
  • Choose the country you’re sending money to
  • Enter the phone number, and Xoom will detect the carrier
  • Choose the amount to reload
  • Enter your contact’s details 
  • Complete your profile if using the service for your first time transacting on Xoom
  • Choose how to pay
  • Review your details carefully 
  • Tap on Send to Reload!

After completing the reloading, Xoom will send you a confirmation message to your contact.

Bottom line

Xoom is a PayPal Service that deals with electronic funds transfer services. The platform allows consumers to send funds, reload mobile phones, and pay bills from the United States and Canada to 131 countries worldwide. You must open an account online to use the company’s services. You can use Xoom to send money, pay your bills, and reload mobile phones easily.

Posted by Spencer Tierney
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Spencer Tierney is a writer and expert on certificates of deposits at transfermone.com. His work has been featured by USA Today, MSN, SF Gate, the Los Angeles Times, NerdWallet and more. He earned a bachelor’s degree in English at UC Berkeley.