5 Vital Elements to Consider When You Send Money Online

Whether you are traveling abroad or have to send money back home, the online money transfer facility is the most seamless, secure and quick process as compared to all other methods. It eliminates the need to visit the bank and stand in long queues thus making the task easy and convenient.

But before you instigate the process, read on to know 5 vital elements that you must consider while sending money online.

1. Bank Account: The first point to note here is that the bank account you are using to send money online should allow you to use the service for free or at a minimal cost. The perfect example, in this case, is Citibank. It is the foreign bank with several branches across the globe and allows wire transfers amid U.S and other countries absolutely free. In case you need to send money to friends and family in another country more often, you may open an account in the same bank as that of a recipient to make the process easy-on-pocket. An online method like PayPal is also the most common and inexpensive way to send money online.

2. The Transferring amount: It is the second important element that you must ponder on. Generally, the money transfer fee is based on the amount of money you transfer. Each provider has its own charges based on the amount of money that needs to be sent. By taking an example of Wire transfers, these are beneficial for big amount transfers from $1000 to $5000. Banks generally charge a flat fee for this. Besides, you can also send money online with the help of money transmitters similar to Money Gram and Western Union. These transmitters work on the principal that the more money you will send, the more fees you are likely to pay and vice versa. For sending money as less as $1000, they charge a little amount.

Find here: IFSC Code for Easy Money Transfers

3. Exchange rates: It is the third most important element that you must consider before sending money online. Since the exchange rate fluctuates frequently, it is impossible to find the most appealing rate. Note that the exchange rates offered by different financial institutions are not constant. To find the best value, you must consider both the wire transfer fee as well as the exchange rate because the hidden charges associated with the exchange rate can lay a poor impact on the total amount of money that has been transferred - especially if it is a big amount.

4. Mode of payment: Payment method is the other determinant in the list. So let’s suppose, if you pay via credit card or debit card to send money, the fund will be transferred immediately to the recipient, the process will cost you the most as compared to all other methods.

5. Delivery time: Considering the delivery time is also essential. It goes hand in hand with the mode of payment. Note that the immediate transfers and overnight delivery of funds are highly expensive as compared to all other modes of online money transfer.

These are quite a few significant elements that play a vital role in online money transfers. Being observant of all these points will help you in saving a lot of money that you would otherwise spend in paying the charges levied by the bank for transferring money to other places.

In the present scenario, sending and receiving money online has become a part of life. Therefore it is imperative to know about all the elements related to the online money transfer facility so that you can easily send funds online to the family and friends both in India and abroad.