Wire Transfer Fees

07/03/11

I recently received a reimbursement payment from an Israeli university for some travel expenses for a talk.  The reimbursement was for $553 and was done via wire transfer.  To my surprise, my account was only credited with $525.  $28 was taken out as a fee.  I inquired with my bank about this, and they said that they didn't charge the fee--it must have been an intermediary bank.  But the wire transfer receipt didn't indicate any intermediary. In fact, I was surprised to hear that there was an intermediary--the transfer was from one of Israel's largest banks to the largest bank in the United States.

I'm rather puzzled by this fee.  I didn't agree to it, as far as I know (although who knows what is buried in my bank account agreement).  There was no indication of how it was calculated, etc., or to whom it was paid, only an indication that $28 was taken out of the transfer.  

For $28, it simply isn't worth the time and effort to try and track this down on the Israeli end. But this leaves me feeling quite puzzled about my rights.  I'm really surprised to have been hit with a bank fee by an unknown entity with no explanation of the calculation and without any agreement to it. But then this is the world of wire transfers, where typical consumer protections like EFTA and TILA don't exist.  

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