Sending money abroad can be expensive if you don’t do things right. If you don’t do your research first and just transfer the money through the first option that you get, you can end up having to wait a few business days for the transaction to go through after you will have had to pay the exorbitant fees to start the process in the first place.
To make things easier, here are the cheapest ways that you can send money abroad:
Digital wallets are a great way to send money internationally especially if you are doing so for personal use – like sending cash to family and friends. These are also best used for smaller transaction amounts. It is a convenient method to use since you can process any transaction right through your mobile phone using the Apps these types of services have made available.
If you are planning on sending bigger amounts of money abroad, then the best way that you can go about doing so is with the use of a P2P service. This enables you to cut down the costs of having to pay for the exchange rate since you can convert your money beforehand. Also, these types of services only charge you a small percentile of the money you are transferring – as opposed to a set rate that increases with the amount you send when using other services.
Virtual bank accounts
Using a virtual bank account is a great way to transfer funds especially if you are a business that deals with clients and merchants who are mostly from other countries. You can open up a USD or EUR virtual bank account and transfer your funds through there. This way, you can bypass the cost of having to pay for the exchange rate every time you transact with them.
Prepaid debit cards
Prepaid debit cards are probably the most cost-effective method you can choose to send money abroad. This is because the fees involved in getting one is usually a one time deal. Also, you can transfer funds into the card in a lot of ways that make it more convenient for you in the long run.
Choosing an online payment method
Compatibility is one of the factors that affect which online payment options we will use. There are smartphone apps and those for different devices such as those of iPhones. Our mobile devices vary and some are low-end and cannot be used for certain apps. There is no universal method of online payment, unlike before when cash was the way to pay.
Advanced payment solutions
Online financial services know that competition is tough in its industry and continually come up with innovative products. Intertwined with technology are the advanced payment solutions that can complete payment transactions in a few minutes. Mobile payments provide quick transactions that bring about the growth of the eCommerce industry. When more people own mobile devices that can be used to download financial services apps, mobile payments will dominate the cross-border fund transfer industry.