5 Tips for Sending Money In the Cheapest Way Possible
Posted on Apr 20, 2015 by Laurent Oberholzer
We are lucky enough this week to feature a guest blog post by Laurent Oberholzer of tawipay.com. Laurent is an expert in the various ways to send money. Below, he provides us with a few tips for how to shop for the best way to send money. Best - Naysawn
If you regularly send money overseas, chances are you’re looking for ways to save money on transfer fees. Here are five insider tips and tricks that will help you cut the cost of your remittances.
1. Be aware of the cost breakdown and structure
The cost of transferring money typically includes both a transfer fee and a currency exchange fee. Don’t fall prey to “Zero Fees” advertising. Make sure you know what a currency exchange rate margin is and how to identify it. Take both of these into account, along with any other fees, when comparing services. Fees also sometime evolve in “steps,” so it may be advantageous to transfer more money at a time for the same cost.
2. Pay only for the speed you need
International money transfers can take anywhere from a few minutes to a few days – or weeks, even, in rare cases. Among other things, the speed influences the fee for the money transfer. So if the recipient needs money right away, choose an instant money transfer service. But if you don’t mind waiting a few days, then pick a more cost-efficient alternative.
3. Hunt for special deals
Money transfer operators often distribute coupons or offer special promotions for a limited time. Be sure to take advantage of these opportunities. Stay informed by consulting social media channels, newsletters, or websites. It will only take 5 to 10 minutes, but it can save you anywhere from $3 to $15 depending on how much you’re sending and the speed of the transfer.
4. Change your habits
You can save tons of money annually if you’re willing to try new things now and then. That includes changing your default money transfer provider. For instance, transferring money online instead of through an agency will cut down the transfer fees you pay, and minimize back-end charges for your recipient.
5. Compare different services
You do a bit of comparison shopping before buying a laptop or phone, right? Why not do the same for money transfer? If you send and receive money regularly, it’s worth the effort of finding the best service for your budget. The cheapest payment service might differ depending on the transferred amount, the speed of the transfer, the payment and delivery methods or even the time of the year.