Introduction

As a Colombian remote worker on Upwork, receiving payments in USD is a common scenario. Fortunately, Upwork offers several methods to facilitate this process, allowing you to access your earnings conveniently. Understanding these options and their associated fees and timelines is key to efficiently managing your income. This guide will introduce you to the primary ways Colombian freelancers can easily get paid in USD through the Upwork platform.

How Colombian remote workers can get paid in USD

As a Colombian remote worker on Upwork, you have several convenient options to get paid in USD. Here are the primary methods:

1. Direct to Local Bank: Upwork allows you to directly transfer your USD earnings to your Colombian bank account. There is typically a fee of $0.99 USD per transfer for this method. The funds will then be converted to Colombian Pesos (COP) by your bank, and the exchange rate and any additional bank fees will apply. 

2. Transfi: Transfi is an online money transfer service designed for international payments, potentially offering Colombian freelancers a cost-effective way to receive USD.Senders, like Upwork or direct clients, would use Transfi to send USD. The receiver could then have these funds converted to Colombian Pesos (COP) by Transfi at their provided exchange rates and deposited directly into their linked local bank account, or possibly held in USD within a Transfi account depending on their Colombian services. Transfi, like other similar platforms, often emphasizes lower transaction fees and more competitive exchange rates compared to traditional banking methods for such international transfers.

3. Payoneer: You can link your Payoneer account to Upwork. Payoneer provides you with a USD receiving account, allowing you to receive your earnings in USD. You can then withdraw these funds to your local Colombian bank account (converted to COP by Payoneer or your bank, with associated fees) or use the Payoneer debit card for online or in-person purchases. Payoneer may charge its own transaction fees.  

4. PayPal: Upwork also supports payments via PayPal. You can link your verified PayPal account to your Upwork profile and withdraw your USD earnings to your PayPal balance. From there, you can either use the funds for online transactions or withdraw them to your Colombian bank account (converted to COP by PayPal or your bank, with applicable fees). PayPal typically charges fees for receiving international payments and for currency conversions.  

5. U.S. Dollar Wire Transfer: You can opt for a wire transfer directly to your bank account. However, this method usually incurs a higher fee from Upwork (around $30 USD per transfer) and potentially additional fees from your Colombian bank for receiving an international wire transfer.  

To set up any of these payment methods on Upwork:

1. Go to Settings in your Upwork account.
2. Click on Get Paid.
3. Click Add Method.
4. Choose your preferred payment method and click Set Up.
5. Follow the on-screen instructions to enter your account details.

It's important to consider the fees, exchange rates, and processing times associated with each method to determine the most suitable option for your needs. You should also ensure that the name on your chosen payment account matches your verified name on Upwork for security reasons. Transfi comes with no hidden costs and following fees, it makes the process of payment simplified and quicker. 

Digital Assets vs Bank Transfer: Best way to cash out Upwork earnings in Colombia

It's difficult to definitively say whether crypto or bank transfer is the best way to cash out Upwork earnings in Colombia as it depends heavily on your individual priorities and circumstances. Here's a comparison to help the decision making process.

Bank Transfer (Direct to Local Bank):

Pros:

• Simplicity: Straightforward process, funds go directly to your familiar bank account.
• Widely Accepted: Traditional and well-understood method.
• Upwork Integration: Directly available as a withdrawal method on Upwork.

Cons:

• Currency Conversion by Bank: Your Colombian bank will handle the USD to COP conversion, and their exchange rates might not be the most favorable.
• Potential Bank Fees: Your local bank might charge fees for receiving international transfers or for currency conversion.
• Upwork Fee: Upwork charges $0.99 USD per transfer to a local bank outside the U.S.  
• Processing Time: Can take up to 7 business days.

Cryptocurrency (Indirect via Exchanges):

Pros:

• Potentially Better Exchange Rates: Depending on the cryptocurrency exchange you use, you might find better USD to COP exchange rates than those offered by traditional banks.
• Lower Transaction Fees (Potentially): Cryptocurrency transaction fees can sometimes be lower than bank transfer fees, although exchange platforms will have their own fees for conversion and withdrawal.
• Faster Transfers (Potentially): Crypto transactions can be faster than traditional bank transfers.  
• Control Over Conversion Timing: You can choose when to convert your USD (received as stablecoins or other cryptocurrencies) to COP based on market rates.

Cons:

• Complexity: Requires understanding of cryptocurrency wallets, exchanges, and trading.
• Volatility Risk: If you receive payment in a cryptocurrency other than a stablecoin, its value can fluctuate significantly before you convert it to COP. Stablecoins (like USDC or USDT) aim to maintain a 1:1 peg with USD, mitigating this risk.  
• Exchange Fees: Cryptocurrency exchanges charge fees for trading (converting between currencies) and for withdrawing funds to your bank account.  
• Withdrawal Fees: Withdrawing COP from a crypto exchange to your Colombian bank account will likely incur fees.
• Regulatory Uncertainty: While cryptocurrency ownership and trading are generally permitted in Colombia, regulations can evolve. Banks might also have varying policies regarding transactions involving crypto exchanges.
• Indirect Method: Upwork doesn't directly pay out in cryptocurrency (as of late March 2025). You would likely need to receive USD through another method (like Payoneer or a direct bank transfer), then use those funds to buy crypto on an exchange, or have clients pay you directly in crypto outside of Upwork. Some platforms like Grey allow receiving foreign currencies and converting them to USDC, which can then be sent to a crypto wallet.  

Here's a simplified breakdown for Colombian Upwork freelancers:

1. Traditional Bank Transfer: Simple, direct, but potentially higher overall cost due to exchange rates and fees.

2. Indirect Crypto (via Exchanges): Potentially better rates and lower fees, but more complex and carries volatility/exchange risk. You'd likely need to use a platform that allows you to receive USD and then convert it to crypto, or receive direct crypto payments outside Upwork. Platforms like GCash (which supports USDC) or other Columbian exchanges (Coins.ph, PDAX, Maya) could be involved in the USD to COP conversion after you acquire USD-backed crypto.  

Recommendation:

• For Simplicity and Familiarity: Direct bank transfer is the easiest to understand and use, but be prepared for potential costs.
• For Potentially Lower Costs and Better Rates (with more effort): Exploring stablecoins and reputable cryptocurrency exchanges in Colombia could be beneficial, but requires research and understanding of the process and associated fees. Platforms like Wise might offer a balance with transparent fees and good exchange rates for direct bank transfers.

Before making a decision:

• Compare the exchange rates offered by your bank and different cryptocurrency exchanges for USD to COP.
• Calculate all the fees involved for each method (Upwork withdrawal fee, intermediary platform fees, bank receiving/conversion fees, or crypto exchange trading/withdrawal fees).
• Consider the processing time for each step.
• Research reputable cryptocurrency exchanges operating in Colombia and their USD/stablecoin to COP conversion and withdrawal processes.

By carefully evaluating these factors, you can determine the best way to cash out your Upwork earnings in USD (ultimately receiving COP) in Colombia based on your individual needs and risk tolerance.

How stablecoins can help Colombian freelancers receive USD faster

Stablecoins can indeed offer a pathway for Colombian freelancers to potentially receive USD faster compared to traditional bank transfers, although it's not a direct Upwork payout method. Here's how:

1. Faster Transactions: Stablecoin transactions on blockchain networks typically clear much faster than traditional bank wires, which can involve multiple intermediaries and take several business days. Once a client (potentially outside of Upwork for direct crypto payments, or via a platform that bridges fiat to crypto) sends USD-pegged stablecoins like USDC or USDT to the freelancer's crypto wallet, the transaction is usually confirmed within minutes.  

2. 24/7 Availability: Unlike banks that operate during business hours, cryptocurrency networks are active 24/7, allowing for near-instantaneous transfers at any time, regardless of weekends or holidays.  

3. Reduced Intermediaries: Stablecoins bypass many of the traditional financial institutions involved in international money transfers, potentially leading to quicker processing as there are fewer steps and verifications needed in the initial transfer.  

However, it's crucial to understand the entire process for a Colombian freelancer to access their funds in COP:

1. Receiving Stablecoins: The freelancer needs a cryptocurrency wallet that supports the chosen stablecoin. The client would need to send the payment in stablecoins to the freelancer's wallet address. Upwork currently doesn't directly pay in crypto, so this would likely be for direct client work or if a freelancer uses a service that can convert their USD earnings to stablecoins (like Grey).  

2. Converting to COP: To use the funds locally, the freelancer would then need to convert the stablecoins to Colombian Pesos (COP) on a cryptocurrency exchange that operates in Colombia (e.g., GCash which supports USDC, Coins.ph, PDAX, Maya, or potentially international exchanges like Binance or Coinbase, keeping in mind local regulations).

3. Withdrawal to Bank: Finally, the freelancer would withdraw the COP from the exchange to their Colombian bank account.

Where the "faster" aspect comes in is primarily the transfer of the USD value in the form of stablecoins. The subsequent steps of converting to COP on an exchange and withdrawing to a bank account will have their own processing times, which may vary depending on the platform and the bank.

Key Considerations:

1. Upwork Integration: Upwork does not currently offer direct payouts in stablecoins. Freelancers would need to find alternative ways to receive USD as stablecoins, potentially outside the Upwork platform for direct client work.

2. Exchange Processing Times: While stablecoin transfers are fast, the time it takes for an exchange to process the conversion to COP and the subsequent withdrawal to a Colombian bank can vary.

3. Fees: While stablecoin transaction fees can be low, freelancers need to consider the fees charged by the cryptocurrency exchange for conversion and withdrawal to COP.

4. Regulatory Landscape: While cryptocurrency use is growing in Colombia, regulations are still developing. It's important to use platforms that comply with local laws.  

5. Volatility Risk (De-pegging): Although stablecoins are designed to be pegged to fiat currencies, there's a small risk of the peg temporarily breaking. Sticking to well-established stablecoins like USDC and USDT minimizes this risk.  

In conclusion, stablecoins can expedite the receipt of USD value for Colombian freelancers by offering faster and more direct transfers. However, the overall time to access funds in COP also depends on the efficiency of the chosen cryptocurrency exchange for conversion and the speed of the bank withdrawal process. This is where Transfi comes into play making your transactions faster, easier and cost effective. Payouts and collections through Transfi are very simplified and quick as well.

^{“You put in the work—you should get paid without delays, guesswork, or endless conversions. Whether you’re a designer in Medellín or a developer in Bogotá, TransFi BizPay makes it easy to access your USD earnings quickly, with support across 70+ countries and 250+ local payment methods.” - Rahul Sahni, COO & CPO TransFi}

Conclusion

In essence, while Upwork's direct payout options are reliable, stablecoins offer a potentially faster way for Colombian freelancers to receive USD value, particularly for direct client work or through services that bridge fiat to crypto. However, the total time to access funds in COP also depends on the speed of the chosen cryptocurrency exchange's conversion and withdrawal processes, alongside the associated fees and regulatory considerations. Therefore, while stablecoins can introduce speed to the initial transfer, the entire cash-out process needs to be evaluated for overall efficiency.

Frequently asked questions (FAQs)

1. How can stablecoins help Colombian freelancers receive USD faster?

• Faster blockchain transfers.
• 24/7 transaction availability.
• Fewer intermediaries involved.
• Near-instant USD receipt (as stablecoin).
• Bypasses traditional bank processing times.

2. How can Colombian remote workers get paid in USD?

• Direct to local bank (COP conversion).
• Payoneer (USD account, COP withdrawal).
• PayPal (USD balance, COP withdrawal).
• Wire transfer (higher fees).
• Grey (virtual USD account, COP withdrawal).
• Transfi (online transfer, COP conversion).
• Stablecoins (receive USD-pegged crypto).
• Convert crypto to COP on exchanges.
• Withdraw COP to local bank.

3. How to minimize fees when withdrawing Upwork payments in Colombia?

To minimize fees when withdrawing Upwork payments in Colombia, consider using platforms that offer competitive exchange rates and lower transaction costs compared to traditional banks or Upwork's direct bank transfer. While Upwork charges a flat $0.99 fee for direct to local bank transfers, the exchange rate provided by their banking partner and potential receiving bank fees can add to the cost. Transfi, as an online money transfer service, positions itself as offering lower processing fees and competitive exchange rates for international payments. By potentially using Transfi (if integrated with Upwork or for direct client payments), Colombian freelancers might benefit from a more favorable USD to COP conversion and reduced overall fees compared to standard bank transfers. However, it's crucial to compare Transfi's specific rates and fees for USD to COP transfers and withdrawals to your local bank against other options like Wise or Payoneer to determine the most cost-effective method for your situation.

4. How to Receive international payments in Colombia?

• Online Transfers: Wise, Western Union, MoneyGram, Xoom, WorldRemit, Ria, Transfi.
• Bank Transfers: SWIFT/BIC code, account details.
• Freelance Platforms: Payoneer, PayPal (withdraw to bank).
• Declaración de Pago: May be required (first time).
• Abono Automático: For Bancolombia.
• Provide bank details: Name, account number, SWIFT.
• Currency Conversion: To COP by service/bank.
• Check Fees: Compare services.
• Check Rates: Compare exchange rates.
• Be Aware of Taxes.

5. What are the best banks for receiving USD payments in Colombia? 

• Bancolombia
• Davivienda
• Banco de Bogotá
• BBVA Colombia
• Citibank Colombia