How to save money when transferring money abroad

Today, geographical barriers have been overcome due to the advancements in technology and the internet. As a result, we have become global citizens who can trade with others around the world freely. Sending cash to another country has rapidly expanded.  The internet and rapid growth of technology have made sending money overseas simpler.

You may feel that the convenience of your nearby bank is your best option. While banks allow the transfer of money securely across the globe, the cost of this service, on the other hand, is expensive. Banks as compared to other money transfer service providers offer exchange rates are weak, higher charges and fewer options to transfer and receive cash.

With such huge numbers of money transfer service providers available, you are spoilt for choice how your beneficiary gets your money.

In contrast, to banks, service providers like Transferwise have specialized in global money transfers. With this specialization, Transferwise is able to offer lower transfer fees and higher exchange rates, saving you money – your beneficiary gets more in their pocket.

How you send cash and how it’s received will eventually influence conveyance speed — from minutes to a few business days.

Obviously, you can’t send cash to another country without a fee. Each bank and money transfer firm have its own charges and fees. You could be paying much more in fees and sending significantly less of your cash. So, in light of that, here are three tips to know before you send cash abroad.

1.      When you transfer more you save more

The same way of buying something in bulk saves you money, the same principle applies when transferring money abroad. Sending more money in a single transaction guarantees you a better currency conversion rate and lower fees, saving you more money. Another way to bring down your fee and conversion costs by transacting less often as possible.

2.      Use money transfer service providers

Although banks are a popular means of sending cash abroad, the fees charged per transaction tend to be higher than foreign currency exchange specialists. A research done by Transferwire found that European banks charged an average fee of 13 x higher to send €250 compared to firms specialized in foreign currency exchange.

3.      Look out for the exchange rate:

Most international money transfer agents provide you with a live update on exchange rates and let you know when it’s favorable for you to carry out a money transfer. To avoid losses, you can have an arrangement with your money transfer provider to watch the market on your behalf for fluctuations of exchange rates.

In conclusion, when transferring money abroad, don’t use an international money transfer service provider because they promise lower fees, rather look for a reputable agent like Transferwire that will offer you personalized services tailored to your needs. This way you will save more on transfer fees, get great exchange rates for every transaction you send abroad.

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