Sending money across to people or businesses within the same geographical location is a bit different from transferring money to overseas. In choosing the way and platform to transfer money to, there are some things you must consider so as to have seamless and sucessful transaction.
It is important that you choose the best transfer service provider and to do that, you need to consider areas like the exchange rate they offer, how much you are sending, where you are sending from, the exchange rate and some others factors. This article have solved this for you. We have compiled top 10 best Global Money Transfer Service provider with little or zero charges rate.
What is Money Transfer
Money Transfer can be simply be put as electronic means of transferring money from one account to another of the same bank or across multiple institutions, without the direct involvement of bank staff.
Ways To Transfer Money
There are different known ways to transfer money, but ways in which you can send money internationally will be discussed here. They include:
1. Cash-to-Cash Transfer Method: This method involves sending cash through a money transfer service and it’s expected be received in cash after been converted. It is just like walking into Money Gram counter to send money to another person oversea, whereby the person will receive the money in local currency. It is a way of sending money suited for developing countries which have many people who are not using bank, due lack of bank infrastructure in some areas. Cash-to-cash allows immediate recipient of money for individuals in those area. Using this method comes with theft cases, you should ensure you transact with reliable money transfer service provider, as money after been sent, if not received can’t be reclaimed.
2. Bank-to-Bank Transfer Method: This method is good if the bank you are using is operating in the country you are sending money to. You can send money internationally to the recipient by providing your account and routing number and the recipient’s, given that you are both banking with the same institution. It is trusted and fast means of global money transfer and it can be done via online or phone. However, you might been having issues in getting the recipient’s routing numbers if he/she isn’t your friends/family.
3. Account-to-Cash Transfer Method: This is one of the most popular ways of sending money internationally. It involves sending money from a bank account to person who isn’t having a bank account. Your bank will send the money to the recipient who will go to Money Gram in his location or others who offer this service to claim the cash. Not all banks offer this, so make enquiry before you do the transaction.
4. Credit-to-Credit or Debit-to-Debit Transfer Method: This is another method to conveniently send money to friends and family abroad. This involves the use of your credit or debit card to send money to an international recipient’s credit or debit card. It comes with high charges, as It’s not an option with every credit or debit card. Understand the fees associated with this method before venturing into it.
5. Prepaid Debit Card Method: This involves loading of some certain amount of money in a debit card in which the recipient can use. It is one of the safest method of international money transfer and can be reloaded. However, not every debit card operates internationally, do your findings, before opting for this method.
6. Digital Wallet Method: Digital wallets like Cash-to-Cash transfer is more convenient for people in places lacking banking Infrastructure but having smartphones. Money can be sent across border digitally using digital wallet like Venmo, whereby the recipient only provides his username or email. For this to be possible, the recipient must be using same digital wallet as the sender.
How to do a Money Transfer
We just explained the methods to choose in sending money internationally, here is the steps to follow in sending money overseas:
Step 1: Pick money transfer provider of your choice
Step 2: Create a free account with them
Step 3: Start Transfer Process.
But for must of them, you need to submit approve of identification (like a government issued ID cards) in order to start transacting little or large amount of money.
Step 4: Confirm the process
Step 5: Track the transfer made via online or email
Step 6: Step 6: Recipient’s received funds via bank account
What is Money Transfer Company
These are companies trusted for providing the business of transferring money both locally and internationally. They are normally called a “money transfer service“.
Types of Money Transfer Service
There are three types of money transfer companies that offer an alternative to using the bank:
1. Remittance Service: This service provides services for immigrants sending money to their home countries, especially to their families. This is a very important way of transferring funds to families in developing countries which is characterized by little work opportunity.
2. P2P Service: These services facilitate global money exchange between one person and another person directly. It is one of the common ways of transferring funds from one account number to another person’s account. The amount sent are always not the ones that could raise the attention of financial institutions.
3. Non-P2P Service: These are transfers between companies in different countries or extremely large transfers between individuals. The money involved here is such which can raise the attention of authorities and financial institutions.
Factors To Condsider When Choosing Money Transfer Company
There are many money transfer services out there which provide the business of sending money that is why you need to know some factors which can help you choose the best of the rest. The factors to consider are:
Security: When you want to choose a money transfer service to ensure that it is registered with the right financial authorities in the country it operates in. Also, it must be a reputable company with secured service in which you can be sure that your money is saved with them.
Transfer Speed: You also need to consider the time it will take for the money you transferred to get to the recipient. The time taken for transaction to reach the recipient depends on the company involved and perhaps your specification. So, ensure you consider this while choose the money transfer service.
User Experience: This might not be an objective way to access the company, however, checking its customer service performance is a recommended thing to note, especially if you will be using the service often.
Transfer Cost: This has to do with the amount you will be charged for a transfer. Some services have flat rate while some charges some percentage based on the amount you are transferring.
Availability: It’s also a must for you to ensure that the service you are choosing is available for the route you need. It is not all providers that accept transfers to all places.
Exchange Rate: This is the most important factors to note when transferring money oversea. It is one of the major ways which bring revenue to the provider. Always go for the cheapest exchange rate because the slight the difference in the rate the more the impact.
Fees Associated With Money Transfer
There are many fees associated with transferring of money internationally. Let’s discuss common ones:
Transfer fee: This is the fee charged by the transfer service. It is not fixed charges, it depends on where you are sending the money to. Some providers might not even charge anything.
Sending fee: This is another term used for transfer fee. Don’t be confused when you come across this. Transfer fee is also sending fee.
Exchange rate: Exchange rate is the method of conversion between one country’s currency and another.
For example, you are transferring $100 US dollars to Japan, and the exchange rate is $1 to 7.08 Japanese yen. Using this exchange rate, the recipient in Japan will receive 708.05 Japanese yen.
The exchange rate is paid by the sender and sometimes the provider can deduce it from both the sender and the receiver. Also, some consumer charges both the sending and exchange rate to amass double profit from a single transfer.
Top 10 Global Money Transfer Company With Zero or Little Charges
Considering the fact that you have known the factors to notes when choosing a money transfer service. We have compiled the best 10 with the cheapest exchange and transfer rate in which you can choose from. They include:
This is is a London-based online money transfer service founded in January 2011. It supports over 750 currencies across the world. TransferWise has presence in over 70 countries and you’ll likely pay lower costs and get your money faster by using one of this service provider.
Cost: For every transfer made, TransferWise charges a percentage of 0.6 -1%, depending on the currency combination. It doesn’t charge fee for paying through bank while it charges 0.15% for wire transfer or 0.3% – 0.2% for payment through debit or credit card.
Exchange Rate: TransferWise offers some of the best exchange rates you can get out there. Its exchange rate is set to standard, mid-market rate.The rates are usually 0.35% variable fee.
Speed: Sending through debit or credit cards only take minutes, while transferring through bank account take 3 working days, depending on where the money is sent to.
Transfer limits and options: For a transfer, you can send up to $1 million. You can pay through Wire Transfer, Apple pay, credit card or debit card. Ensure that the recipient is having bank account.
Customer Service: Phone can’t be used for accessing the site weekends but overall customer services is good.
It is a super cheap means of transferring money overseas. The transfer service supports only 20 sending currencies across 157 countries and bank transfer is the only way you can transfer funds on currency fair.
Cost: CurrencyFair charges between 0.25 and 3% depending on the currency pair being exchanged during transfer, but if there is no match on the other side during the exchange, it charges, however, when there is no match available on the other side of the exchange, it charges 0.1% to 0.6% and a fixed fee of 3 euros or its equivalent.
Exchange Rate: They use the official exchange rate which is 8X better than what banks use. It’s off value is around 0.35% which is same as Transwise.
Speed: On average, it takes 1-3 days for the transaction to reach the recipient. 0-1 day for the money to get to CurrencyFair. For the transfer out, it takes anywhere between 1-2 business days.
Transfer Limits and Options: Transfer limit is not specified, but it was the first-ever global money transfer service to break the $1 billion transfer matching barrier. Currency fair accepts bank transfer and Debit card or credit card is accepted when sending money in CHF, DKK, EUR, GBP, NOK, PLN, or SEK.
Customer Service: It’s has below average customer service performance.
OFX money transfer is s US-based online money transfer service for over 80 countries. It services is affordable and no limit to what you can transfer using OFX.
Cost: No service or transfer cost will be charged if you use this platform for transfer.
Exchange rate: its charges tend to be 1% less above the mid-market rate which is still one of the best.
Speed: Transfers take on average two to four business days.One to two business days for the company to receive funds from your bank account, plus one to two days for it to get to the recipient.
Transaction Limits and Option: You can transfer from $2,000 to $2 billion on the platform.
Customer Service: OFX operates round the clock and has a good and prompt customer service.
4. XE Money Transfer
This is one of the most reputable foreign exchange companies around. It focuses on businesses and individuals. It can be used to transfer funds to 170 countries in 65+ currencies. You can transfer money using this platform without sending a dime.
Cost: It cost nothing to transfer using XE as it doesn’t charge transfer fees.
Exchange Rates: It’s exchange rate margin stands at 0.4-3.5% off the interbank rate. It displays live exchange rates and has a currency converter widget on its website.
Speed: Transaction can be completed within a day and it can take up to 4 days.
Transfer Limit and Options: Transfer limit is unlimited. Bank transfer is only accepted thorough online or telephone banking.
Customer service: XE Money Transfer is a trusted, reliable, fast, and secure option to send money overseas and provides good customer service.
The Australia-based transfer service is another among the cheapest transfer platform globally. It is a fee-free transfer service with the support of 40 different currencies across over 200 countries.
Cost: Every transaction is free no matter the currency.
Exchange Rates: SendFX adds a margin to the mid-market rate before selling you a currency which is not disclosed to the public. However, some quarters suggested it to be around 0.25-0.5%.
Transfer Limit and Options: There is a minimum of $500 that you must send when performing a transaction. The maximum transfer amount is no stated. Plan to be accepting the debit card is still underway. Bank Transfer is only accepted.
Speed: Most transfers process within 1 – 2 business days and also provides same-day transfers.
Customer service: It is yet to develop its mobile app to buy its website is user friendly and has great customer support.
Having TorFX in the list isn’t a mere coincidence but as a result of outstanding service rendered in sending and receiving money overseas. It offers free transfer service and has one of the most sort after rates. TorFX is based in United Kingdom and have received numerous awards, notably of the them are; Moneyfacts Consumer awards for Best Customer Service and Exceptional Money Transfer Provider. It deals with over 60 global currencies.
Cost: It offers free transfer service.
Exchange Rates: TorFx rate is between 5% – 2% which depends on the amount and currencies involved and there may be some fixed fees for other services.
Transaction Limits and Options: Online, there is transfer limit of $50,000, while you can make transfers of any amount over the phone with your Account Manager. It only accepts bank-to-bank or card-to-bank transfers.
Speed: It takes about 1-3 days for your money to go through once you set up the transfer.
Customer service: It has top rank customer support and if you are based in UK, Austrailia or Europe, you will be assigned a dedicated account manager which will be assisting you in carrying out larger transfer.
This is one of the older service on this list, established in 1996 with about 300,000 customers around the globe. Like most other cheap service platforms, Currencies Direct will not charge a cent for transfer. It accounts are set up online or through mobile devices. The accounts are also free and user friendly. Currencies Direct has also won several awards, including the Money Transfer Provider of the Year award in 2018 and the Consumer Champion of the Year award in 2017. It accepts up to 20 different currencies.
Cost: Transfer is free to anywhere in the world.
Exchange Rates: Currencies Direct margins, are quite flexible and depend on the volume of transfer. If you are transferring $1000, you will paying $10.
Transfer Limit and Options: $2000 is the stated minimum transfer limit. Apart from using bank transfer to send money, you are allowed to send them money from your bank, but you can also pay with a debit card if you prefer. Exchange rate will be deducted in any way you use.
Speed: 2-3 days are given for the the recipient to receive the funds. It can sometimes be processed within 24hours.
Customer Service: Account managers are 24/7 available to assist customers in the various transaction and other issues.
This transfer service is also based in UK and offers many competitive benefits. It doesn’t charge for transfer fee and has a 24 hours a day, seven days a week customer service. The company can boost of over 400,000 users across the world and supports up to 187 different currencies. It’s customers in U.S. can only access its service under its new platform called Omega.
Cost: Zero transfer fee is charged
Exchange Rates: Its rate is competition and within the market margin.
Speed: It will take 1-2 days for the funds to reach the recipient. However USD will take 4 days.
Transfer Limitation and Options: Minimum transfer limit of £250 for online or £1,000 over the phone. It accepts bank transfer and mobile transfer.
Customer Service: The service provider also has account managers to help users in various transaction.
MoneyCorp is also another good and reliable international company offering foreign exchanges reliable transfers from your computer with Western Union. “Moneycorp is perhaps best known and most trusted company in the foreign exchange industry by a large number of users around the world. moneycorp, which operates Guardian International Money Transfers, is authorised and regulated by the Financial Conduct Authority for the provision of payment services and customer funds are safeguarded in segregated client accounts.
Cost: Moneycorp doesn’t charge fees on its transfers, and there’s no upper limit to how much money you can change. There is a lower limit, which depends on the currency you’re using. It’s 50 dollars in the United States, 50 pounds in the United Kingdom and 50 euros in the Eurozone.
Exchange Rates: Moneycorp’s exchange rates are based on the mid-market rate and fluctuate over a general business day. Moneycorp adds its own 1% to 1.2% margin on the mid-market rate.
Speed: Averagely, it takes 2-4 for the funds to be processed.
Transfer Limit and Options: The minimum amount you can transfer online with moneycorp is £50, or the equivalent in whichever currency you’re converting. While the maximum amount you’re able to send online is £100,000, or the equivalent in whichever currency you’re transacting.
Customer Service: Credited to have good customer service performance.
WorldRemit allows you to send money to over 140 different countries worldwide. They charge some fees sending money, but they have quite reasonable exchange rates. Its strength lies in several sources in which it can accept money which include: Apple Pay, prepaid cards, debit cards, credit cards, bank account transfer, iDeal and so on.
Cost: Charges transfer fee depending on currency
Exchange Rate: WorldRemit rate is between 0.2 to 0.6% off value which largely depends on currency in exchange.
Transfer Limit and Options: Funds beyond $10,000 are not accepted.
Speed: The speed depends on how the money is received. Cash Pick-up is instant, a bank transfer is instant to selected banks, mobile money is instant or near-instant and home delivery is between 1-7 days, depends on location.
Customer Service: 24/7 available customer service is there to cater for any issue any time any day.
Are there other better “Money Transfer Services” you use, which we haven’t listed here?
Let’s hear from you through the comment box below. Also try these ones listed on this page and share your experience here. The world is waiting to hear from you.