The Internet has broadened the scope of what can be accomplished remotely. Indeed, the way the Internet has taken over so many functions makes us wonder how we managed it before it became widespread.
One of the many things that the Internet has made possible is paying for goods and services, as well as sending and transferring money.
As more consumers find fewer reasons to go to the bank for financial activities, the rise of smartphones has strained the limitations of mobile banking. Most banks provide apps that you can use on your mobile device to handle your banking needs.
However, the transaction expenses of some of these apps may be prohibitive. This article aims to enlighten you about several different options for transferring money online with ease, quickness, and lower transaction charges
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1. PayPal
PayPal is perhaps the oldest method of sending and receiving money via the internet. PayPal was created to eliminate the need for you to enter your financial information every time you need to make a transaction.
Apart from the risk of your financial information falling into the hands of cybercriminals, typing out a sequence of credit card digits on the small screen of most Smartphones can be tedious.
With PayPal, you may send/transfer money using only your email address. Most online stores use PayPal, so all you have to do at checkout is enter your PayPal email address.
You can withdraw funds from your PayPal account into your bank account if you receive funds in your PayPal account.
PayPal also provides PayPal MasterCard that you can use in stores.
2. Square
Square Cash is a newcomer to the online payments business, but it has quickly acquired traction, and the company just went public last month. Square wants to be a peer-to-peer payment service that lets you send money straight to other people’s debit cards.
Square’s attractiveness stems from its support for iOS, Android, and Windows Phone, as well as a dedicated Square Cash Web app.
Square is also a business-oriented platform. Square Cash for Business is a payment solution for small businesses that don’t have access to credit card readers.
People can pay with their debit cards immediately using $Cashtag, and businesses can receive money directly into their accounts.
Square is still in its growth stage, but the platform might become a major online payment platform once it signs up enough users.
3. BitGold
BitGold is an online payment system that looks to the past to solve current difficulties in order to prevent future problems.
BitGold allows you to purchase physical gold, which you can then keep in your account as a store of wealth because gold has a higher value retention rate than other asset classes. You can also send gold to other BitGold users online for a little cost.
It’s a terrific substitute for traditional online money transfer services. You’ll be given a Prepaid MasterCard that you can use to pay for online transactions with the gold. The card can be used anywhere major credit cards are accepted.
The prepaid card can also be used to withdraw local cash from ATMs.
BitGold is still new, and because its user base is still developing, it may not provide the ideal peer-to-peer payment method.
The fact that you may keep your money in gold bullion, on the other hand, means that you get all of the benefits of gold price stability without having to worry about gold bar safety deposit boxes.
If you prefer to keep the gold in your account as actual gold cubes or gold bars, you can request BitGold to transfer it to you as physical gold cubes or gold bars.
4. Bitcoin
Bitcoin maybe your best alternative for sending money online if the idea of sending, transferring, or receiving money without leaving a paper trail appeals to you. Bitcoin is decentralized, anonymous, fast, and inexpensive.
If you want to go the serious route and mine bitcoin, you’ll need some computer abilities, but you can quickly fund your bitcoin wallet by purchasing bitcoin from one of the many stores in town.
Bitcoin attempts to protect its value from manipulation by fiscal and monetary authorities; this should promote a fair distribution of wealth and provide everyone with an equal opportunity to earn money.
Bitcoin, on the other hand, is not immune to news-induced volatility. If you decide to maintain your money in bitcoin, you should be prepared to deal with the market’s dramatic swings.
5. Zelle
Zelle, which was formed in 2017, is one of the newest players in the payment landscape. Early Warning Services, a private financial services organization, owns the company, which is a digital payments network situated in the United States.
Users having funds in a U.S. bank account can enroll their email and a U.S. mobile phone number in the Zelle app or through their bank’s Zelle electronic portal to have access to the service.
The sender then inputs the recipient’s desired mail address and U.S. cellphone number, as well as the recipient’s bank account in the United States. The recipient receives a notification with instructions for completing the payment after it is sent.
Zelle does not charge fees to send or receive money, but sometimes the bank or other financial institution charges customers for providing access to the service.
6. Western Union or MoneyGram
Western Union and MoneyGram are two companies that offer similar services for sending money to another city, state, or country. They charge a set rate for the transfer, which is determined by the speed of the transfer, the recipient’s location, and the amount being sent.
You’ll be charged an exchange rate if you’re sending money overseas or internationally. These money transfer services don’t always provide a competitive exchange rate, resulting in a hidden fee whenever you send money internationally.
However, one of the most significant advantages of these services is that they are both dependable and convenient.
A $200 Western Union transfer to a destination within the United States or Canada, for example, will cost roughly $12 for a quick transfer and $8 for a next-day transfer.
A transfer to the United Kingdom will cost approximately $22 if made through a Western Union representative, and $15 if made online. Fees are subject to change at any time.
7. Cash
Though it may be considered the “old-fashioned manner” to send money, it can be incredibly useful in particular situations.
When time isn’t a factor, just withdrawing cash and physically transporting it to another bank to deposit into an account is free! In the vast majority of circumstances, the money placed is instantly accessible for withdrawal.
It’s important to remember that transferring cash through the mail is not recommended. There is no way to get the money back if the letter is lost.
8. Personal Checks
Another inexpensive option is to write a check and deposit it into another account, deliver it to another person, or mail it to a recipient in a different city or state—especially if your bank offers free checking.
When sending checks internationally, things get a little more complicated.
Sending a check made in US dollars to a foreign bank will almost always result in delays in cashing the check as the bank verifies the deposit, and some banks may refuse to accept international checks altogether.
The check’s receiver may also be required to pay a cashing fee as well as the conversion rate to have the funds converted into the local currency.
The Bottom Line
You can obtain the greatest money transfer deal by shopping around and researching your options. Take your time and check up on the most up-to-date cost information on the internet. In one situation, the cheapest way of money transfer may not be the same in another.
Make sure you’re not handing over your hard-earned cash to large financial institutions or money transfer companies by doing your homework.