International money transfer is the process of sending money to other people or bank account abroad via PayPal, wire transfer, regular postal mail or via remittances. Want to know how does international money transfer works? Transferring your hard earned money abroad can be easy but it has a certain risk involved. Read this guide to avoid losses and to eliminate or lessen the risk when moving your money from one place to another. In this guide you will find the ways on how to transfer your cash using different methods such as online payment processors, bank to bank, remittances and by postal mail.
Also, we want to give you some guide on how to track your money during the transferring process. First of all, you need to know the risk.
There is no guarantee that your money will be send to receiver (especially when the system fails). You have to be aware those companies (let’s say banks or remittances) who have no reliable system or trusted system.
What to Avoid
Avoid high fees, high rates and those companies that are illegally making Forex business. Make sure the company will transfer the right amount when they convert your money into other currency. Example, if you are from United States wants to make international money transfer to United Kingdom, double check the amount and the rate from US dollar to sterling pound.
1. Money Transfer Online with PayPal
If you want to transfer money online via PayPal. PayPal is the most popular online payment processors online. How does it work?
- If you want to send money to other people, make sure the receiver has a PayPal account. Get his PayPal account email address and decide how much you want to pay.
- You can use your PayPal account or your credit card when transferring money to PayPal.
2. Transfer Money to Bank Account
This is the easiest way. If your bank has a online banking you can do it yourself. Example, as far as technical issues concern, I know Chase Bank and other banks in USA has online banking facility. You can transfer money from bank account to another bank account.
If your friend is in Australia and he has a Chase bank account, you can transfer money from your Chase account to his bank account. If you are sending money abroad using your bank account, you should know the specific swift codes of the bank account you want your money to transfer in.
3. Send Money via Remittances
This is also easy. If you want to send money, you can use remittances. The remittance will ask you how much money do you want to send, the receiver and the place or address of the receiver. Example, in Western Union, you can send money anywhere abroad.
Tip and Warnings: Send money to people you only know. If you are selling products or services online and the options is Western Union payment, double check if the seller is legitimate or just a scam.
4. Transfer Money via Post Mail
This is very risky. You can also send money via postal mail. When sending money by mail, you need to know the exact address of the receiver. Get the real name of the receiver. It is easy as if you are sending regular mail.
There are certain limits when transferring money. Sometimes it is just a common sense. You don’t want to transfer one million dollars by just sending it via postal mail, right? Will you transfer thousands of dollars using PayPal, maybe, if you are familiar with PayPal.
There are also requirements for making international money transfer such as social security number, bank account number, government IDs, etc. To avoid high rates and high fees, it is better to compare the rates from different remittances and banks.