Five Major Concerns in Transferring Money Overseas

By: majamalan
Great amounts of money are being sent overseas everyday. Some send large and some small amounts. Some transfer abroad on a regular basis, whereas others may have to send a one-off payment overseas. What is important is that for every occasion there is a unique service that optimises transfer factors such as cost and speed. One must know the best option for each case in order to get the best deal.

In any particular case of money transfer, there are five major concerns to look out for. These are:

1- Cost
2- Security
3- Transaction Speed
4- Choice of Destination/Destination Type
5- Transfer Amount

1. Cost: The most important thing for someone who wants to transfer money overseas is to find a deal which will give the most value for money. There are three different costs involved. Firstly, as the term international depicts, it's the matter of currency exchange rate. All international money transfers involve this stage and it is hence important to find the best deal.

The second cost that many transfer agents may charge is commissions, which is usually dependant on the amount of money transferred. Remember that the exchange rate you get is crucial. Many companies that transfer money claim to be charge-free/commission-free but then give you a substantially worse exchange rate, meaning you get less value for your money.

The third and most occasional cost you may acquire when sending money is the actual transfer fees, usually charged by banks.

In any case, when you want to compare two international money transfer services for cost purposes it is best to ask the golden question of 'How Much Euros/Yen/Dollars Will I Get For My Pound, Etc. After All Fees And Charges?'

2. Security: While small amounts may not involve high risks for transfer, larger amounts of money call for extra security measures. For this reason it is always best to work with those services which have been long in the business. One might consider the use of a colleague or a friend's past experience in a successful money transfer.

3. Transfer Speed: Another very important factor involved in transferring money abroad is the speed with which the transfer is conducted and the time it takes for the money to reach its destination. While some services offer transfer times as low as 20 minutes others may take days or even weeks to reach completion. It is therefore very important to find out about the transaction speed before committing to transfer the money.

4. Choice of Destination/Destination Type: While many companies may be able to offer the cheapest or fastest deal to transfer money overseas many are often limited in the choice of destination countries which they can offer for the transfer. To find the right deal you must refer to a service that offers transfer of money to your desired destination country.

Other than the country to which you are transferring money, it is important to decide about the type of money you wish to receive at the destination, which may be in the form of a bank deposit, bankers draft, traveller's check, postal order, etc. Again it is important to consider the costs involved when choosing any of the above.

5. Transfer Amount: Many services tend to impose limits on the amount of money you are allowed to send, based on whether or not they are designed for large transfer amounts. This limit should also be considered when trying to choose the best method for overseas money transfer.

Now that you are aware of the main concerns in transferring money overseas, you can easily compare different services and find one that best suits your current needs.
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