Last week, we talked about some of the ways you can ensure that you get the best possible exchange rate for your future money transfers. Today, we’re going to have a similar discussion about another part of the transfer process: costs.
If you look up, “How much does an international money transfer cost?”, you’re not going to get a quick, universal answer. This is a seemingly simple question that definitely doesn’t come with a simple answer. The answer will depend on the specific details of your money transfer, including but not limited to:
- The exchange rate
- Transaction fees
- How you pay for your transfer
- Where you’re transferring money
Just like your currency exchange rates are informed by factors out of your control, you can’t control every aspect of how much your transfer costs. But doing a little research and making smart choices will help you to get the most out of your next money transfer.
Target a favorable exchange rate.
Looking for more information on how to do this? Check out last week’s blog post on this very topic to learn more about how to:
- Keep an eye on the currency markets
- Set up a Rate Alert to notify you when your ideal rate is live
- Explore alternate money transfer options that will help you take advantage of favorable rates
- Shop around for the provider that will best suit your transfer needs.
Pick your payment method carefully.
When you make a money transfer through Xe, you have three options for providing transfer funds:
- Card transfer
- ACH direct debit
- Wire transfer
The method you choose will depend on: are you hoping to send the money and make your transfer as quickly as possible, or are you not working on a deadline and would rather avoid extra service fees?
Card transfers and wire transfers are both reliable methods for sending your money quickly. However, because the money travels through these other institutions, you will incur a small fee for using these methods.
ACH payments, on the other hand, can take longer to process, but because the funds are coming straight from your account, there are no fees attached to this payment method.
Research how your provider charges fees.
Every money transfer provider is different. One might charge you a flat fee for every transfer, no matter the amount or destination, while other providers base their fees on how much you’re transferring and where it’s going. You might also find that some providers have additional fees hidden in the transaction.
When you look for a money transfer provider, think about what (and how) you plan to transfer. If you plan to regularly transfer money, “one-time” flat fees can quickly add up. On the other hand, if you’re making a property purchase or other investment that requires a large transfer, consider how much a proportional fee would add to your cost.
Don’t be afraid to take some time to research and ask questions when preparing to make a money transfer. While it’s a quick and simple process, tailoring the process to your needs and goals will help to ensure that the experience is as seamless as possible for you and your recipient.
Ready to send your own money transfers? Sign up or log in to your account to get started.