Send Money to Pakistan from the UK or US: Safe Channels

Pakistan is one of the largest remittance destinations in the world, and the people sending money are often supporting family, paying for property or moving their own savings home. The sending part is easy to find: dozens of apps and banks compete for it. The harder parts are knowing which Pakistan-side schemes still exist, which channels are formal, and what your rights are if a transfer goes missing. This guide covers those for senders in the UK and the US.

This is general information, not financial, tax or legal advice. We do not rank providers or recommend one, and nothing here is a quote. Rules and figures were checked on 3 November 2026 against the sources listed at the end. Where we could not confirm a point from an official source, we say so in the text.

Last updated 3 November 2026. This piece sits in the Protect section.

The short answer

Use a formal channel: a bank, or a regulated money-transfer provider. Compare the rupees that arrive, not the headline fee. Check the provider is authorised (FCA Register in the UK, the written disclosure in the US) and remember that a 1% US tax applies if you pay in cash. Do not rely on rewards schemes without checking the State Bank of Pakistan: the Sohni Dharti scheme stopped awarding new points from 1 July 2026, and a separate scheme, Pasban, now rewards recipients rather than senders.

How big this corridor is

The World Bank reports that Pakistan received about US$40.48 billion in personal remittances in 2025, up from about US$34.91 billion in 2024. On that series it ranks sixth among the 132 countries with data for 2025, just behind Egypt at about US$41.52 billion. We worked the ranking out from the World Bank data ourselves. The series covers every sending country, not only the UK and US.

How the money can reach Pakistan

Route What the recipient needs What to check before you send
Bank account deposit Account title, number and IBAN (in Pakistan, 24 characters starting with PK); ask the provider whether it needs the IBAN That the name matches exactly and that the account can take foreign credits
Mobile wallet A wallet account in the recipient’s name The wallet’s own limits and whether your provider pays out to it; check the wallet’s own help page
Cash pickup Valid ID and the transfer reference The pickup point, the ID it accepts and how long the cash is held; rules differ by network
Roshan Digital Account A qualifying account for non-resident Pakistanis, described below That the account holder is eligible, and that money is sent through banking channels

Payout times depend on the provider and the route, so use the speed the provider shows you for your exact transfer.

Why formal channels matter

Informal value-transfer systems such as hawala or hundi move money outside regulated firms. They give you no complaint route, no refund right and no protection if the money disappears. In the UK, HMRC says that trading as a money service business without being registered is a criminal offence. We did not fetch an official Pakistani page on the legal status of informal channels for this edition, so we do not state what Pakistani law says about them. The practical advice is simple: if a firm cannot show you a licence and cannot give you a written receipt showing what is arriving, do not use it.

What it really costs

Fees are only part of the price. The exchange rate the provider uses is the other part. The mid-market rate is the rate banks use with each other, which you can see on a currency converter. The gap between that and the rate you are given is a cost.

The US Treasury quotes World Bank estimates in the Federal Register: for US$200 and US$500 remittance transfers sent from the United States in 2025, the average transaction fee was 5.56% and 3.81% of the amount, respectively. Those are global averages for sends from the US, not a price for Pakistan and not a quote.

To compare offers:

  1. Write down the exact number of rupees the recipient will receive after all fees.
  2. Look up the mid-market rate at the same moment.
  3. Divide rupees received by the mid-market rate. The difference from what you sent is your real cost.

Illustration (invented numbers, not a quote). You send 400. The mid-market rate is 280 rupees per unit, so a perfect transfer delivers 112,000 rupees. Offer A charges a fee of 4 and uses a rate of 277, so the recipient gets 396 × 277 = 109,692 rupees, a cost of 2,308 rupees or about 2.1%. Offer B has no fee but uses a rate of 272, so the recipient gets 108,800 rupees, a cost of 3,200 rupees or about 2.9%. The “no fee” offer is the dearer one.

For reference only, the State Bank of Pakistan (SBP) shows an interbank US dollar to rupee rate on its website; on 3 November 2026 the weighted average bid was 276.3975. A consumer provider’s rate will differ. The SBP also says banks must publish their customer exchange rate on their websites in connection with Roshan Digital Accounts.

Rewards schemes: what changed

The Sohni Dharti Remittance Programme was an SBP scheme that gave reward points on eligible formal remittances. Business Recorder, reporting an SBP circular on 3 July 2026, says no further reward points are awarded from 1 July 2026. It says eligible transactions up to 30 June 2026 are still reported for point crediting, points accumulated to 30 June 2026 remain redeemable until 30 June 2027, and the programme becomes non-functional from 1 July 2027. We did not see the circular itself. Dawn’s report on the launch of the Pasban scheme describes Sohni Dharti as discontinued. If a provider or an agent promises you Sohni Dharti points on a transfer you make now, ask them to show you the SBP wording.

The Pasban Remittance Reward Scheme is a separate, bank-funded scheme. Dawn reports that the State Bank governor launched it on 25 September 2026, under the auspices of the Pakistan Banks Association and developed under the patronage of the SBP, and that it rewards the person receiving the remittance in Pakistan, not the sender. According to Dawn, a recipient qualifies automatically by receiving at least US$100 in an eligible bank account or wallet in each of the three months of a quarter. The first qualifying period runs from 1 October to 31 December 2026, with the first draw on 15 January 2027. Cash collected over the counter, Roshan Digital Account inflows and credits to foreign-currency accounts are excluded, and Sohni Dharti points do not carry over. We have not read the scheme’s own terms, so ask the receiving bank what applies. Treat any message asking you to pay a fee to claim a prize with suspicion.

The Roshan Digital Account

The SBP’s FAQ for the Roshan Digital Account (RDA) says it is for non-resident Pakistanis and non-resident holders of a Pakistan Origin Card, plus government officials posted abroad. A resident Pakistani with declared foreign assets may open only the foreign-currency version. The FAQ takes the definition of non-resident from section 82 of the Income Tax Ordinance: being present in Pakistan for 183 days or more makes a person resident.

The FAQ describes two kinds of account: the Foreign Currency Value Account (FCVA) and the Non-Resident Pakistani Rupee Value Account (NRVA). They are funded only by inward remittances through banking channels, not by money from Pakistani sources, apart from investment returns. Funds can be repatriated at any time without prior SBP approval, with special rules for money from real-estate sales within three years. The SBP says opening should take about two working days after complete documents, which are:

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  • a CNIC, NICOP or Pakistan Origin Card;
  • a passport;
  • proof of non-resident status;
  • proof of profession and source of funds; and
  • FATCA forms for US customers.

The FAQ also quotes charges of roughly US$5 to US$9 on the sending bank’s side. That page is undated, so treat the figure as a pointer only. The FAQ says deposit profit on these accounts is tax exempt for non-resident Pakistanis, with a 10% final tax on Naya Pakistan Certificate profit; the tax rules change, so ask a Pakistani tax adviser about your case. The SBP’s BPRD Circular Letter No. 9 of 2026, dated 24 March 2026, expands Roshan Digital Accounts to all non-resident persons, natural or juridical, within the Income Tax Ordinance definition, with no change to account opening for non-resident Pakistanis. The FAQ above is undated and may describe a narrower scheme than the current one, so ask the bank what applies to you.

Sending from the UK: checks

  • Check the firm is authorised. The FCA says non-bank payment providers, such as authorised payment institutions, small payment institutions and electronic money institutions, must be authorised or registered. Search the FCA Financial Services Register by the provider’s legal company name.
  • Know what is protected. The FCA says there is no Financial Services Compensation Scheme cover for these firms. Electronic money institutions and authorised payment institutions must safeguard customer money; small payment institutions do not have to. Safeguarded money can take time to return and may not be the full amount.
  • Complaints. Complain to the provider first. If you are unhappy with the answer, you can go to the Financial Ombudsman Service.
  • Money transfer businesses must be registered with HMRC. HMRC says trading without registering is a criminal offence.

Sending from the US: checks and rights

The 1% remittance tax applies only to some payments

A US excise tax of 1% on remittance transfers, under section 4475 of the Internal Revenue Code, applies from 1 January 2026. The IRS says it applies when the sender pays with cash, a money order, a cashier’s check or a similar physical instrument. The proposed rules add traveler’s checks. It does not apply to a transfer taken from an account at a covered financial institution or paid for with a US-issued debit or credit card. The sender is liable and the provider collects it. On US$500 paid in cash the tax would be US$5.

These are still proposed regulations. The Treasury and IRS issued them on 10 April 2026, with comments due on 12 June 2026, and we found no final version when we checked on 3 November 2026. The IRS has extended provider penalty relief (Notice 2026-52) until final regulations apply.

What a US provider must show you

Under the CFPB’s remittance rule (Regulation E, subpart B), before you pay, the provider must show the amount transferred, its fees and any taxes shown separately, the total, the exchange rate, any covered third-party fees, and the amount the recipient will get. It must also state that other fees or taxes charged by the receiving institution may reduce the amount received. Your receipt adds the date the money will be available, the recipient, your error and cancellation rights, and contact details for the provider, the state agency and the CFPB.

Cancelling and errors

  • Cancel. The CFPB says you can cancel for a full refund if the money has not been picked up or deposited, you paid less than 30 minutes ago, and the provider can identify the transfer. A scheduled transfer can be cancelled up to three business days before it is made.
  • Errors. Tell the provider within 180 days of the date it disclosed the money would be available. It must investigate within 90 days and report the result within three business days of finishing.
  • Wrong account. If you gave an incorrect account number or institution identifier, the transfer may not count as an error if the conditions in section 1005.33(h) are met, so you could lose the money. Check the number twice.
  • Receiving-bank fees that the provider does not cover are not treated as errors.

Receiving in Pakistan: what the recipient may be asked

Banks in Pakistan may ask for proof of identity, the purpose of the payment and the source of funds, particularly on larger amounts. Requirements differ by bank, so ask the receiving bank what it needs. Tell your recipient to keep the transfer receipt and reference number, and to contact their bank if a payment is delayed.

If you are a freelancer in Pakistan paid from the UK or US

If you live in Pakistan and clients abroad pay you, see our guides to getting paid in one country while you live in another, the payout fee stack on a US$2,000 payment, PayPal versus Wise for client payments and the W-8BEN. For tax residence, see tax residence versus where your client is, and for money held across borders, moving money across borders without a UK bank.

Safe-sending checklist

  • Is the company on the FCA Register (UK), or does it give the US disclosure before you pay?
  • Does the quote show the exact rupees the recipient will receive?
  • Does the recipient’s name match their ID, bank account or wallet exactly?
  • Did you pay in a way that avoids the 1% US tax, where that applies?
  • Has anyone promised you rewards or a special rate? Ask for the official wording.
  • Did someone ask you to pay into new bank details? Check using our guide on checking a change of bank details before you pay.
  • Have you kept the receipt and reference number?

If a bank closes your account because you live abroad, see what to do when a bank closes your account. For where to keep emergency money, see deposit protection abroad and emergency cash when ISAs and the FSCS do not apply.

Frequently asked questions

What is the cheapest way to send money to Pakistan?

It depends on the amount, the payout method and the exchange rate. Compare the rupees the recipient receives for each offer against the mid-market rate. A low fee with a poor rate can cost more than a higher fee with a good rate.

Is there a limit on sending money to Pakistan?

Providers and banks set their own limits and may ask about the source of funds. Ask the provider and the receiving bank what limits apply to your transfer.

What is the Sohni Dharti Remittance Programme?

It was an SBP reward-points scheme for eligible formal remittances. See the rewards section above for what changed and for the separate Pasban scheme.

What is a Roshan Digital Account and can it receive money from abroad?

It is an account scheme run under State Bank of Pakistan rules for non-resident Pakistanis and some others. Per the SBP FAQ, it is funded only by inward remittances through banking channels, and funds can be repatriated without prior SBP approval. See the section above.

Can I send money to a mobile wallet or for cash pickup?

Many providers offer both, but each wallet and pickup network has its own rules. Ask your provider which payouts it offers and check the wallet or pickup network’s help page.

Is there a US tax on sending money to Pakistan?

A 1% federal excise tax applies to transfers funded with cash, a money order, a cashier’s check or a similar physical instrument. It does not apply to transfers paid from a bank account or with a US-issued debit or credit card. The sender is liable.

Can I cancel a transfer?

US senders can cancel for a refund within 30 minutes of paying if the money has not been picked up or deposited and the provider can identify the transfer. In the UK there is no equivalent 30-minute right: the Payment Services Regulations 2017 (regulation 83) say a payment order generally cannot be revoked once your provider has received it, unless you agree otherwise with the provider. Check the provider’s terms and cancellation window before you pay.

Why can a transfer be delayed?

Providers and banks run identity, sanctions and anti-money-laundering checks, and a name mismatch or a wrong account number is a common cause of delay or return. Contact the provider first with the reference number. In the US you have the error rights described above.

What this guide does not cover

It is not tax, legal or financial advice. We have not listed named providers’ fees, speeds or limits, because they change often and we did not check any provider’s own fee page for this edition; the method above shows how to compare live quotes. We did not review the Pakistan Remittance Initiative’s own pages because we could not open them. We do not cover sending money out of Pakistan, buying property in Pakistan, or business payments.

Sources

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Matt Cartwright
Matt Cartwright

Matt Cartwright runs Bankrolled, a trading name of CLYFAR LTD, a UK company. He edits every guide for people whose income, home and savings sit in different countries, and checks each rule, limit and fee against the official source before it goes up. Nothing here is personal advice.

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