What is a wire transfer and how do I send one?

What is a wire transfer?

A wire transfer is an electronic form of funds transfer that is routed using the FedWire system.


How do I send a wire transfer?

Depending on your bank you will need to login to your online banking platform to setup and send a wire transfer. Many banks require their clients to go in to the branch to send a wire transfer.


My bank says that I can do the same thing using ACH and it will save me money.
ACH transfers and wire transfers are not the same. Kraken does not accept deposits using ACH. If you send funds using ACH they will take roughly 5 business days to reach our bank and they will automatically be returned to you which will take another 5 business days. This means that if you attempt to do this your funds will be in limbo for up to 10 business days.


How do I know if I am sending a wire transfer and not an ACH?

There are a number of things that will help you identify if you are sending a wire or an ACH.

  1. Cost: a wire transfer will typically cost between $25-$30. This fee is charged to you by your bank. ACH transfers are usually free or $5-$10 if you ask the bank to speed up delivery. If the transfer is not going to cost you $25-$30 you are not sending us a wire transfer and the funds will not be credited to your account.
  2. Notes/Comment Field: wire transfers include a place where you can put a note or comment to the recipient. This is where you input the reference number we provide you upon creation of your deposit notification in your Kraken account. If you do not have a place to input this reference number you are not sending a wire transfer.
  3. Speed: wire transfers are always notated same day transfers. Note that this does not mean that your funds will always be credited to your Kraken account the same day. Our partners may need to perform additional due diligence which can delay the settlement of your funds. If your transfer is not specified as a same day transfer you are not sending us a wire transfer.


Is bill payment equivalent to a wire transfer?

No, bill payment is not equivalent to a wire transfer. Do not send us funds using Bill Pay. They will have to be returned to your bank account and this requires manual processing by our bank. If you attempt to send us funds using this method you may experience substantial delays in getting your funds back.


Can I send a check to your bank account to fund my Kraken account?

No, Kraken only accepts wire transfers to fund client accounts. If you send us a check it will have to manually be returned to you. This is a time consuming process and may result in substantial delays.

Can I deposit cash directly to your bank account to fund my Kraken account?

No, Kraken only accepts wire transfers to fund client accounts. If you deposit cash directly to our account there is no way to identify who the funds belong to. Once they are identified the funds will have to be returned to you. This is a time consuming process and will result in substantial delays.