10 Best Ways To Transfer Money Internationally

Sending money to family, business, or even friends has become pretty easy, thanks to the numerous online services and apps, including those specializing in transferring money abroad. Unfortunately, the associated time and costs involved in sending the money to its intended recipient varies widely. And so, we’ve put together a list of the cheapest and best ways that will help you get your money to the desired location. You cannot label any one service as the best to send money abroad since the definition of ‘Best’ might vary from various people. For some it might be the cheapest exchange rate, while the others might prefer the speed of remittance. Other factors that people prefer might be paperless transactions and reliability. It might be possible to find the cheapest exchange rate, but the transfer fee may not be as competitive, or vice versa. You may need to send money urgently to someone, while others may not have a time limit. And so, before deciding which provider is the best for your personal money transfer needs, you must consider a range of options.

moneyHOP

moneyHOP is India’s first full-stack cross-border Neobank. It’s international money transfer platform namely hopRemit provides a fast, secure, paperless and cost-effective option to send money abroad. They provide the most Competitive Exchange Rates in the market meaning you can transfer money abroad at near live exchange rates. Unlike other international money transfer players, moneyHOP doesn’t levy high exchange fees. This significantly reduces the transaction costs of sending money abroad. 

moneyHOP is also one of the Fastest Channels in case you need to send money abroad urgently. After receiving the funds, wire transfer instructions get processed immediately and money gets credited to the recipient’s account within 24 hours. moneyHOP provides complete transparency in the entire process of sending money abroad. No additional or hidden charges are levied, while banks typically charge between Rs. 500 to Rs. 2,500.  The entire process is digital. Users create an account on moneyHOP’s hopRemit portal and are on-boarded by conducting their digital KYC. They can then enter the beneficiary details and make the payment using an integrated payment gateway via a UPI, Net Banking, Debit cards or wire transfers. The portal also automatically updates the status of the transaction which the remitter can observe by logging in. Also Read: How to send money via moneyHop? moneyHOP is also a RBI authorized service provider which lets you send money abroad in the most secure way. The documents and details provided at moneyHOP are encrypted using bank-level encryption to protect the customer against any possibility of a data breach.  While a typical remittance process involves making multiple visits to banks, a complex documentation process, high fees, hopRemit  can simply send money abroad with a few clicks at the best exchange rates.  The icing on the cake is moneyHOP’s ‘One Global Card’. This one card can be used across the globe to swipe, tap, online, or to withdraw cash. 

Pros: Best Exchange Rates, Fastest Way, No Hidden Charges, Secure, Completely Digital, 24*7 Support.

Cons: None discovered. 

TransferWise

TransferWise is a financial company that enables International Money Transfers to several countries. It promises transfers at real-time exchange rates, without any markups. You need to pay a certain fee for the transfer and the money is remitted to the recipient’s bank account within a couple of days.  TransferWise can transfer money abroad for cheaper than banks as their system is based on local bank account transfers. But they charge a fee between 1.99% and 4.42% for every transaction, depending on the route and the quantum of money remitted. Like sending $1,000 to India costs $8.94 in fees through TransferWise. The platform is easy to use. Their minimum payment amount for India outbound payments is INR 20,000/-. They use real, mid-market exchange rates for each transachttps://moneyhop.co/blog/send-money-abroad-via-moneyhop/tion with a mark-up.. Also, TransferWise does not guarantee to be the cheapest way to send money abroad, but its price comparison tool lets you know that upfront.

Pros: Transparent pricing, easy-to-use online platform.

Cons: Not Quick for India outbound, $50,000 daily limit on personal fund transfer, Business fund transfers limit – $1 million annually, Additional documentation required at times. Very high fees structure going as high as 4.5%.

Western Union

Western Union is one of the oldest ways, after banks, to send money abroad. They are popular for their legacy and reach. You can either use the website, app or visit their brick-and-mortar locations for sending money abroad. They have branches in most countries of the world. They also offer a local withdrawal option.  If you have to send more than $5,000, you need to make the transfer through their OnlineFX website. One of the best features offered by Western Union is the use of cash or debit or credit card to transfer money abroad, which is directly deposited into the recipient’s bank account or can be picked up from the Western Union branch. They have also started to gain popularity in business transactions. 

However convenient Western Union may sound, one should keep in mind that the transfers may take varying amounts of time, up to a week in a few cases. Paying online instead of the physical location changes the transfer limits and timing. Also, Western Union isn’t recommended for small amounts of transfers because their fees depend on both the destination and amount. Western Union is one of the biggest companies for transferring money abroad in the world. However, a lot of people end up using their service without realizing the overhead fees involved in the transfer especially for smaller amounts. Depending on the use-case there are other more cost-effective options available. Western Union is very expensive and charges a high percentage fee on the money you’re sending. Also, they usually use the retail/tourist exchange rate are typically higher.

Pros: Flexible delivery options, Secure, easy-to-use app. 

Cons: Comparatively slow delivery (mostly four to five days), Extra Charges.

OFX

OFX is one of the best ways to send money abroad. They have offices around the globe. OFX takes a small margin on the exchange rate when you send money abroad. They do not charge any additional fees apart from the margin on the exchange rate. Plus, OFX charges based on how often you use the service, so if you are planning to make frequent transfers, it could be a good option for you. OFX has a minimum transfer of $250, so if you want to send anything smaller than this amount you will need another option. They set their exchange rates and charges for all transactions below $10,000. Almost 80% of their international money transfers are completed within 24 hours of receiving the payment. OFX is a good option to send large sums of money as their exchange rate fees go down for larger amounts. They let you deposit money directly into the recipients’ bank accounts, and are most attractive when transferring amounts larger than $10,000.

Pros: Easy-to-use online platform, same-day transfer between a few countries, no maximum transfer limit, 24-hour support.

Cons: Not always instantaneous, minimum transfer limit of $250, High fees on lower amounts.

Banks

Banks can assist with various types of transfers including wire transfers to another bank, state, or country. If you want to transfer money to an account at another financial institution, you’ll require the recipient’s account number and the bank’s routing number. Most often there are many fees associated with transferring money to another financial institution. Even though money transfers are possible through banks, you will require a lot of information, including the address of the account holder, information about the bank the money is being sent to, the SWIFT code of the recipient’s bank, and a few other things. The transfer fees and exchange rates are high and vary depending upon your bank.  International money transfers through banks are expensive. Banks always have an exchange rate markup plus a transfer fee that sometimes equals the amount of transfer itself. The only reason banks are a popular way of sending money abroad is because of the security that comes with their name. Although that isn’t the case anymore as all other alternatives provide the same security with lower charges. Banks typically only transfer money from one bank account to another bank account. Still, it is considered one of the best ways to transfer significant amounts of money.

Pros: Secure and reliable.

Cons: Transfers can take several days, Fees are higher, Bad support system, Typically branch based, In-person, Paper-driven

The Bottom Line

You must investigate your options to find the best deal for International money transfers. It is advised that you take your time and search for the latest fee information. As mentioned above, the most efficient mode of sending money abroad in one circumstance may not be the same in another.  One other thing to keep in mind is that since India is a capital controlled economy, the international players are not always equipped to handle the regulations in India and hence not the best option for India outbound payments.  So, do your homework and make sure that you aren’t spending your hard-earned money on big-money transfer organizations or financial institutions that charge you extra in the form of fees.