Whether you are an exchange student, an expatriate or if you live between different countries, sending money abroad can quickly become a matter of survival (how can you pay your deposit and rent if you have only just landed?) It can also be complicated, slow and rather expensive.
Thankfully, you have plenty of different options when it comes to sending money abroad – but it’s a good idea to know a few things about each method, before you click “send”.
Monito compares all your options to find you the best deal!
We live in wonderful, digital times! There are many ways you can send your money to the country of your choice. Here are just a few examples:
This is the most traditional way of sending your money abroad. While relatively safe and easy, it is nevertheless the most expensive (and in many cases, slowest) option. Indeed, banks are usually not the best way to make international money transfers.
This is because, while the fees can be quite low (sometimes even as low as zero), banks often apply a markup on the exchange rates. This hidden fee usually amounts to around an additional 6 to 8 percent of your transfer.
PayPal is another convenient option. Everyone has a PayPal account, right? While PayPal is great for domestic money transfers, it becomes quite an expensive option when you begin transferring money between different currencies.
In addition to high percentages and additional fixed fees (depending on your payment method), PayPal charges a margin every time you convert your money from one currency to another. Ultimately, you can add at least 2,5 percent to the total transaction amount.
If you need to change your money from one currency to another, you can, of course, do it physically. The Bureau de Change is still a very popular option for exchanging money between different currencies.
However, these companies live on the extra fees they charge. Depending on which you choose, you can count on paying an additional 2 to 16 percent in fees.
Excellent question! The international money transfer market has grown significantly in the past few years, as new players pop up to challenge well-known giants. With so many different companies offering their services, from Western Union to TransferWise, you’re sure to find a number of cheap, fast and safe options that would perfectly fit your needs without making you pay extra hidden fees.
But all this variety makes it difficult to recommend one specifically. There are more than 300 different kinds of companies, all different, with different advantages, disadvantages and prices.
Added to which, people’s needs differ: You would not send money the same way from Germany to the United States as you would from Germany to India. Some providers might not cover the country you wish to send your money to.
The best solution is to compare all of them and decide if the conditions (pace, price and safety) fit your own needs. You can be sure that at least a few providers will cover the countries you require.
Monito is a comparison website that helps expats – and anyone, really – who need to send money abroad. As well as providing free and transparent information about international money transfers, they compare money transfer providers from all over the world. This helps you to choose the best, cheapest, safest and most convenient way to transfer your money.