The full guide
Where the cost really is
Moving money between currencies has two costs: the fee you see, and the difference between the exchange rate you get and the mid-market rate. On large amounts, a 2% markup can cost far more than any fee. Always compare the final amount in euros that will land in your account.
Your options
| Option | Good for | Watch out for |
|---|---|---|
| Specialist transfer service | Regular and medium transfers, good rates | Limits and checks on very large amounts |
| Your home bank | Convenience | Wider rate markups and fees |
| Currency broker | Property purchases and large sums | Make sure it’s regulated |
| Multi-currency account | Holding and converting when rates suit you | Not always accepted for direct debits |
Euro transfers inside the EU
SEPA transfers in euros between EU accounts are cheap or free and usually arrive within a day. Under EU rules, banks in the eurozone must offer instant transfers at no extra cost compared with standard ones, and they now check that the name you enter matches the account holder before you send. Spanish landlords and utility companies expect a euro IBAN; see opening a bank account.
Large transfers
Under anti-money laundering rules, banks can ask where large sums come from. Have documents ready: a house sale completion statement, investment statements, or a will. If you’re buying property, see buying property in Spain and talk to your lawyer about timing.
Cash rules
| Situation | Rule |
|---|---|
| Entering or leaving the EU | Declare cash of €10,000 or more |
| Moving cash within Spain | Declare €100,000 or more |
| Paying a business in cash | Maximum €1,000 (€10,000 for non-resident individuals) |
Tax points
Bringing your own money into Spain isn’t taxed as income. But once you’re tax resident, interest, dividends and gains are taxable wherever they arise, and foreign accounts above €50,000 may need form 720. Gifts from family can carry regional gift tax, so check before a large gift.
Common mistakes
Converting at the airport or with your card abroad. Dynamic currency conversion and kiosks have poor rates. Pay in euros.
Moving everything at once without a plan. For big sums, consider staging transfers or fixing a rate.
Frequently asked questions
Will Hacienda question my transfers?
Banks report certain information to the tax authorities, and large movements can prompt questions. Keep records showing the money is yours and already taxed.
Can I keep my home bank account?
Often yes, but some banks close accounts for non-residents. Ask before you move.
