International Money Transfers: Banks Vs Specialist Services

  • ERemit
  • 2 minutes read

When you think of doing an international money transfer, never ever think that banks are the only ways to go for the overseas transaction, because it is not. There are plenty of other money transfer service providers who facilitate the same services and same business model as the traditional banks but at cheaper rates, much faster and better convenience.

So, before you go for the next international money transfer, take a look at our comparison of bank transfers and service providers to give you a rough idea of what you were missing so far and what you can gain in the future if you switch to service providers. This article is sure to make you rethink.

  • Banks are more expensive than service providers:
    To begin with, banks offer the lowest exchange rates, whereas service providers try to provide the highest exchange rates in the remittance market. In addition to this, banks usually charge transaction fees said to be fixed fees, commission etc. Some transfer providers charge some transaction fees, some don’t. Even if they do, these fees are minimal compared to the fees charged by the banks on each transaction.
  • All banks aren’t digitized to the needs of the current age:
    There are still banks that haven’t established their online money transfer services and require the customers to visit the local branch to do the wire transfer standing in long queues and filling out long forms. Whereas, almost all transfer service providers have their own website and specially designed mobile app to conduct transactions digitally without wasting a bit of your time. They give priority to the convenience of the customers, enabling them to conduct transactions anytime and anywhere.
  • Bank transfers may take a longer time to reach the beneficiaries:
    Bank wire transfers aren’t as fast as transfer service providers. It was okay in earlier times if your money arrived late, now it’s not the same, people have no time to wait, they wish everything must happen immediately. This again gives service providers a positive edge over the banks.
  • Service providers are better for smaller transactions:
    If you wish to send smaller amounts in overseas transactions, service providers can handle your transfer better than any bank. Exchange rates offered by the banks will never come in favour of the customer making it extra expensive in small transactions.

It’s totally your personal choice to pick banks or service providers to conduct your money transfers. However, before jumping to a conclusion, compare the exchange rates, transfer fees, transfer time, and other aspects of remittance before selecting the apt service for your online money transfers.