Many people send money overseas for various reasons, whether to pay the tuition for their child’s education abroad or to their family back home. Whatever the reason, transferring money overseas has become easier than ever. Thanks to the access of high-speed internet, the invention of smartphones and online financial services that allows users to transfer money digitally.
Some of those platforms specialize in offering services to send money across the globe to any country. So whether you’ve been wondering how to send money to Srilanka or any part of the world, you’ll find five smart ways to transfer money overseas in this article.
1. Bank Transfer
The first and foremost and the traditional way is sending money overseas through a bank transfer. Most banks these days offer their services to transfer money overseas. However, the charges incurred can be higher compared to any digital financial services that focus on moving money overseas. Most banks have an exchange rate markup for overseas money transfer. However, that might vary from each other.
Also, most banks require both parties to have an account with their bank to make the transfer. With that said, it is one of the most reliable and secure ways to transfer money overseas, even for higher amounts. The transfer time for the funds to reach the recipient might vary from bank to bank. However, most banks take at least a few business days for the same.
2. Western Union
Here is another reliable way to transfer money overseas. Several companies have simplified the process of sending money overseas and helping millions with currency exchange. Western Union allows the utmost flexibility to both the sender and receiver when it comes to money transfer. For instance, you can either walk into a Western Union location to make the money transfer or use their website and mobile application for the same, thanks to the digital advancement.
The recipient can either receive the funds directly to their bank account or reach out to the nearest Western Union location in their country to collect the amount in cash. It also allows people to send money directly using their debit or credit cards for a low fee and less exchange rate markup.
TransferWise is another company that offers digital financial services, originated in the United Kingdom. The company allows users to transfer money globally at the usual exchange rates without charging an additional markup rate. However, you’d have to bear the transfer fees. However, it might not be suitable for someone who makes regular and large transfers as they have a daily and annual limit for sending money overseas.
The company has a limit of 50,000 USD per day for personal transactions and does not allow transferring more than 2,50,000 USD per annum. Whereas for business transactions, the daily limit is 2,50,000 USD, and the annual limit is 1 million USD.
Additionally, it is not a company that offers instantaneous transfers. The money transfer usually takes a couple of business days.
OFX is a Sydney based company that solely focuses on International money transfers with offices in several countries across the globe. The best part of using their services is that there are no additional fees incurred. However, the company has a smaller exchange rate markup.
Also, that depends on how frequently you use their services. So, if you plan on making regular international money transfers with OFX, you might save some money with a lesser exchange rate markup.
And if the transfer amount is large, then the savings might be higher, too, as there are no additional fees charged. The company offers same-day transfer for specific countries and does not impose any maximum limit for transactions. However, the minimum amount of transaction should be at least 150 USD.
PayPal is another company that offers digital financial services by linking your bank account. It allows instant money transfer overseas with relatively lower fees. Users can send money directly through their bank account or their credit cards. However, the charges for sending money using the credit card depends upon the issuer.
Whereas if you prefer to make the transfer using your bank account, then you’ll have to bear the PayPal fees. That fee may vary depending upon the country, the user transfers money to, and from the country, they send money.
It allows various payment modes such as friends and family, goods and services to choose from based on your purpose. The instant transfer makes it suitable for transferring smaller funds. Whether it’s for a family member or an online order, you are placing in a different country. However, as it is an online platform for financial services, both the sender and receiver need to set up a PayPal account to transfer money overseas.
Now that you are aware of the different fees and charges for International Money Transfer and the various ways for the same opt for a reliable and trustworthy service that best suits your requirements.
Featured Photo by Alistair MacRobert on Unsplash