Wise Terms of Service

Item: Wise
Rating: 68
Author: Terms.Law Editorial Team

Last updated: January 2026 | Reviewed: February 2026

Industry-leading transparency on exchange rates and fees. Reasonable terms overall, but broad fund hold rights and compliance termination provisions apply.

Grade B

Terms Summary: Wise (formerly TransferWise) offers the most transparent terms in the remittance industry. They use real mid-market exchange rates with clearly disclosed fees. However, like all money transfer services, they reserve broad rights to hold funds, delay transfers, and terminate accounts for compliance reasons. Their terms are clearer than competitors but still protect Wise significantly.

Category Scores

Rate Transparency 88/100

Fee Clarity 85/100

Fund Protection 55/100

Account Termination 52/100

Dispute Resolution 62/100

Key Findings

✓ Real Mid-Market Exchange Rates

Wise uses the real mid-market exchange rate (the rate banks use between themselves) with no markup. This is exceptional transparency in an industry where competitors often hide profit margins in exchange rates.

"We use the mid-market exchange rate, which is the midpoint between buying and selling prices of two currencies. We don't add any markup to this rate."

✓ Clear Fee Structure

All fees are disclosed upfront before you confirm a transfer. The total cost is shown clearly, and there are no hidden fees. This transparency is significantly better than most competitors.

"The fee you see before confirming a transfer is the total fee you'll pay. There are no hidden charges."

⚠ Broad Fund Hold Rights

Wise can hold your funds for extended periods for compliance review, fraud prevention, or regulatory requirements. While necessary for legal compliance, these holds can happen without prior notice.

"We may hold, limit, or delay your transfers or access to your funds if we reasonably believe there is a security concern, fraud risk, or if required by law or regulatory authority."

⚠ Compliance-Based Termination

Wise can close your account if their compliance systems flag concerns. Due to regulatory requirements, they often cannot explain the specific reason for termination, which can be frustrating for legitimate users caught by automated systems.

"We may suspend or close your account if required by law or regulation, or if we reasonably determine that your use of our services poses unacceptable risk. We may not be able to tell you the specific reason."

Terms Comparison

Feature	Wise	Industry Standard
Exchange Rate Markup	0% (mid-market)	1-4% typical
Fee Transparency	Fully disclosed upfront	Often hidden in rate
Fund Hold Period	Indefinite for compliance	Similar
Account Closure Notice	May not be explained	Similar
Regulatory Coverage	FCA, FinCEN regulated	Varies widely

Recommendation

Best in Category: Wise offers the most transparent and fair terms among major money transfer services. Their commitment to real exchange rates and clear fees sets an industry standard.

What to Watch: Like all remittance services, Wise has broad rights to hold funds and terminate accounts for compliance reasons. Don't use Wise as your only method for time-sensitive transfers. Maintain verification documents and avoid unusual transaction patterns that might trigger compliance reviews.