International money transfer, also known as FX transfers, entail transferring large amounts of money overseas by selling one currency and acquiring another. These services are offered by banks, foreign exchange transfer experts - FX brokers, online money transfer companies, MTOs, etc.
When you want to transfer large amounts of money overseas (usually over $5,000 or the corresponding amount in your country´s currency) to purchase a property or to buy luxury goods, to pay school tuition, make an investment or regular payments and even for launching a business, you will need a specialist to guide you and help you find the best solution.
Banks are renowned for offering poor exchange rates and charging fees. As such, they are rarely the best way to transfer money abroad. By contrast, the service offered by specialist FX brokers is refreshingly different. Why? Because they specialize in international money transfers and can offer you a customized solution for your needs. There are many advantages to using a FX broker, among them: the ability to fix exchange rates for a set period of time; they can process the transfer faster than banks; and the ease of using their services. Moreover, they charge no fees at all.
Depending on your needs of sending money abroad, you have several options to choose from. You can make regular money transfers and/or one-off transfers of small or large amounts of money.
Let´s take them one by one:
Whether you are retired in another country or want to pay a mortgage for a property you purchased, you can make regular payments and still get the best exchange rates.
As mentioned above, high street banks are the most expensive option, as they give you poor exchange rates and charge high fees.
FX brokers offer a much wider range of services and options. Their regular payments services save you time and money because they find the best rates for you, and cut out banks´ commissions. You set up a regular direct debit with your broker and they will transfer money from your account, change it into the foreign currency agreed and send it to the receiver´s account overseas.
Small FX transfers
If you need to send small amounts of money abroad (less than $1,000), there are several ways to do so:
- Through a bank and have to pay commissions and high exchange rates.
- Through online companies, which are cheaper than a bank, and they send the money pretty quickly;
- Through MTOs (money transfer operators) such as Western Union or MoneyGram. These companies are rather expensive, but they do send your money in matters of hours or maximum a day or two, and allow the transfer to be collected in cash.
- Through prepaid cards - a very easy to use alternative. They work pretty much like debit or credit cards. After loading the funds, you can use them overseas for purchases and travelling.
- Another option is to consolidate your payments up to $1,000 and use the services of a FX broker.
Large one-off payments
Whether you are buying a property overseas or launching a business and need to send large amounts of money (more than $5,000), a FX broker can get you the best exchange rates and charge no fees at all.
They are easy to work with: you open an account with a broker, fund it from you bank account or credit card, and they get to work for you.
Finding the best money transfer rates, can be daunting and transform in a hustle if you are not very well informed. To make sure you get the best in terms of exchange rates, lower fees, speed and security, compare providers to find the best money transfer deal for your needs.