Individuals have different reasons for sending money abroad. Many do it for business purposes, just like when you have employees from different parts of the world working for you. Some people do it for other various reasons like sending money to the family or for studies. Whatever be the reason of transferring money abroad there are some important things that one should keep in mind.
1. Have knowledge of the law:
Sending money abroad to your family or employee is not a crime, but it can become one if not done correctly. Many criminals have used international fund transfer for money laundering due to which organisations have implemented many laws to prevent this. Simple misconduct or miscommunication of laws can alert the authorities about a serious crime. To prevent this from happening, one should know the laws of the country they are sending money to. For example, some countries have a cap on the amount of money you can send.
2. Know different options:
You can do international fund transfer either with your bank’s help or by choosing other money transfer agencies. Although banks are known for safe and secure money transfer options, it takes more time to transfer money. The receiving bank to which you are transferring money also charges a fee for withdrawal, resulting in a lesser amount of money received by your love ones. The best thing you can do is a little research on finding the option for you.
3. Know about exchange rates:
As you are not dealing with domestic money transfer knowing the exchange rates is an important aspect you should be familiar with. Different money transfer agencies offer different exchange rates. Most of these agencies offer lower exchange rates as they get most of the profit from it. So before choosing a provider, make sure that you know the exchange rates of the country you are sending money. You can know exchange rates from Google or other similar websites.
4. Service charge:
Many service providers have claimed that they have the lowest money transfer charges to attract more customers. Same is the case with banks. However, don’t get fooled. To find out about the hidden costs is by asking for the exchange rates they are offering. If they provide no service charge but have low exchange rates, there is no point in choosing them.
5. Know the reputation of the agency:
International money transfer needs to be secure. You can check with your family or friends for trusted service agencies. Since money transfers and banking are done online these days, the chances of getting your account hacked have increased. The website you are using for transferring money needs to be secure. The straightforward process makes you enter fewer details which makes it easier for you and more secure.
Keep the above factors in your mind before sending money abroad. Choosing the right service provider depends on how much research you have done. This article contains all the key information that you must know to make an informed decision.