Remitly vs Xoom (2026) — Which Is Cheaper for India, Philippines & Mexico?

Key takeaway: Remitly is significantly cheaper on most corridors due to its tighter exchange rate markup (0.4–3% vs Xoom's ~4.5% average). Xoom's unique advantage is PayPal integration — especially the PYUSD zero-fee option — and its massive cash pickup network in India (100,000+ locations).

Remitly fees

Remitly offers two transfer tiers:

• Express: $2.99–$14.99 depending on corridor. Delivers in minutes. Better exchange rate than Economy on some corridors.
• Economy: As low as $0.49 (e.g., US to Argentina). Delivers in 3–5 business days. Better exchange rate.

First-time users often get fee-free promotions on their first transfer.

Xoom fees

Xoom's fees vary by corridor, funding method, and delivery type:

The PYUSD zero-fee play

Xoom's most interesting feature: if you fund your transfer with PayPal's PYUSD stablecoin, the transfer fee is $0. In March 2026, PayPal expanded PYUSD settlement to 68 new countries. The catch: you still pay Xoom's exchange rate markup (see below), so "zero fee" doesn't mean "zero cost."

Bottom line on fees: Remitly's Economy tier ($0.49–$3.99) is cheaper than Xoom's average of $5.43 per transfer. But fees are only half the story — the exchange rate markup is where the real cost hides.

This is the most important section. The exchange rate markup is where most of the cost lies — and where the two providers differ most dramatically.

What this means on a $1,000 transfer to Mexico

Real example from our comparison data:

• Remitly: Delivered MX$18,770 (fee + rate combined)
• Xoom: Delivered MX$18,604 (fee + rate combined)
• Difference: MX$166 more with Remitly (~$9 USD)

On a $1,000 transfer to India, the gap is similar: Remitly typically delivers ₹500–₹1,500 more than Xoom, depending on Express vs Economy tier.

Why Xoom's rate is worse: Xoom is a PayPal subsidiary, and PayPal has historically monetized through exchange rate markups rather than transparent fees. While Xoom's markup isn't as extreme as PayPal's direct transfer service (3–4%), it's still significantly above specialist providers like Remitly, Wise, or WorldRemit.

For a full explanation of how markups work, read our exchange rate markup guide. To see the actual rates right now, use our comparison tool.

Remitly's advantage: The two-tier system (Express + Economy) lets you choose speed vs. cost. If you don't need instant delivery, Economy saves money AND often gives a better exchange rate.

Xoom's advantage: Door-to-door delivery in the Philippines (6 hours in Metro Manila if sent before 3 PM) and mobile phone reload (airtime top-up) — neither of which Remitly offers.

Cash pickup: Where Xoom shines in specific corridors

India: Xoom has 100,000+ cash pickup locations through Muthoot Finance and Manappuram Finance — the largest network of any provider in India. Remitly has a smaller but growing network.

Mexico: Xoom has 14,500+ locations at Oxxo, Elektra, and BanCoppel — covering even small towns. Remitly's Mexico network is smaller.

Philippines: Both have strong networks. Xoom partners with Cebuana Lhuillier and M. Lhuillier (12,000+ locations). Remitly also covers major collection points.

Overall: Remitly claims 460,000+ global pickup points across 170+ countries, which is larger total. But Xoom's concentrated networks in India and Mexico are deeper in those specific countries.

Mobile wallets: Xoom has more Philippine options

For the Philippines, Xoom supports 5 mobile wallets (GCash, PayMaya, GrabPay, Coins, U-mobile) compared to Remitly's primary GCash support. For other countries, Remitly supports bKash (Bangladesh), M-Pesa (Kenya), and Easypaisa (Pakistan) — corridors where Xoom is weaker.

Unique to Xoom

• Mobile phone reload: Top up airtime for recipients in the Philippines and select countries — no other major provider offers this
• Bill payments: Pay utility bills in select countries ($2.99 flat fee)

Pattern: Remitly wins on pure cost in every corridor. Xoom wins on specific delivery features (India cash pickup network, Philippines door-to-door, PayPal/PYUSD integration).

Choose Remitly if:

• You want the most money delivered to your recipient (Remitly's tighter markup delivers ₹500–₹1,500 more per $1,000)
• You don't need instant delivery — Economy tier saves even more with better rates
• You send to Bangladesh, Kenya, Pakistan — corridors where Xoom is weaker
• You value 24/7 multilingual customer support

Choose Xoom if:

• Your recipient needs cash pickup in India — Xoom's 100,000+ location network is unmatched
• You want door-to-door delivery in the Philippines (6 hours in Metro Manila)
• You already have a PayPal account or PYUSD balance — fund directly and get $0 transfer fees
• You need to reload a phone or pay bills for your recipient
• You're sending over $10,000 (Xoom's limit is $50,000 vs Remitly's $10,000)

For the most accurate comparison on your specific corridor and amount, use our live comparison tool — it shows real-time quotes from both Remitly and Xoom plus 30+ other providers.