Things You Should Know Before Sending Money Abroad
It is one thing to be the one sending money overseas and another to be the one receiving it. For this article, it is assumed that you are the sender so we will be talking from the sender’s point of view. However, if you are the receiver, it may still pay to read through because, then you may be able to suggest your opinions to whoever will be sending the money to you.
Without further ado, when sending money overseas, aside from how much money you intend to send, there are 3 main things you should keep in mind. They are:
Exchange Rate
Exchange rates are in constant fluctuation and depending on the time you send the money, you may have to send more or less. For example, let’s say you plan to send £500 to a relative or someone in New Zealand. And at that time, the exchange rate is £1 = NZ$2.50. On the other end, at this particular time, the receiver will get NZ $1,250. However, on another day, with the exchange rate at £1 = NZ$2.00, the recipient will only get $1,000 for the same amount (£500) sent.
Keeping the exchange rate in mind anytime you plan to send money overseas will help you know exactly how much to send for the receiver to get the exact amount intended for them.
Receiver’s Location
The receiver’s location is another main factor to bear in mind when sending money overseas. For example, some locations in third world country may not have the banking facilities needed to receive money from an overseas account. In such cases, you may have to go with Western Union Money Transfer because chances are they have an outlet somewhere close; the receiver may just have to travel some distance to cash the money.
What Methods to Choose From
Sending money overseas can be done either by bank transfer, Paypal (using email and credit card) or via Western Union Money Transfer as mentioned earlier. Which one you choose depends on you and the location of the receiver. For example, you wouldn’t want to use Paypal for someone in a remote area with little to no access to the internet not to talk of an email address and how to use it to receiver money.
