Transferring money internationally is not something most people do regularly. It is only when we actually start looking for services to make international money transfers in which we realize there are in fact many options out there. Traditionally, people have used bank transfers and, later on, payment providers like Western Union and PayPal to make transfers. With individuals and businesses increasingly affiliating with partners overseas, it has become imperative to find a reliable and economically-progressive international payment solution. Often times, companies have staff working abroad and must process global payroll for their salaries. Similarly, many corporations need to make payments to remote freelancers as it is cheaper and convenient to enrol freelancers for low-value services.
The challenge is that in either case, additional charges will be relieved by the service provider that processes your payment. Various factors such as service charges, currency conversion and their own margin come into effect. The key here is finding an international payment solution provider that accommodates all kinds of transfers while simultaneously providing a win-win situation for everyone involved.
Western Union
Western Union has been associated with global money transferring for many years and has thus established a credible reputation. With a presence in more than 200 countries and over 500,000 agent locations, 150,000 ATMs and kiosks around the globe, Western Union does indeed stand tall in this field. The duration of the transfer and the fees that you pay when making an overseas payment with Western Union depends on the total amount you are transferring and the mode of payment you choose. The amount can be transferred to a bank account or for a direct cash pick up at one of their agent locations, which is one of the strengths of Western Union. Most other payment providers do not have cash pick up points.
The catch: Bank to bank transfers usually take about 4-5 business days in most countries. If you use a credit or debit card (though the transfer is faster by one day), depending on the amount you send, you could easily be charged $8 to $10 for a single transfer. Not surprisingly, the maximum you can transfer using this option is limited to $5000.
PayPal
PayPal is another option that can be considered for international money transfers as well as leisurely shopping. PayPal can be linked to your bank account and cards. B2B payments and individual payments can also be done quickly using PayPal, which is especially beneficial for freelancers. Regarding business payments, PayPal provides an easy solution using your email account as a platform for making and receiving payments, in addition to providing options for sending formal invoices. People from over 200 countries use PayPal, and most payments take approximately 3-5 working days to materialize. It has proven to be safe and effective, though.
The catch: For local payments, PayPal charges you an additional fee at 2.5% of the amount along with a fixed fee. For international business payments, PayPal has predetermined charges based on monthly fees and currency involved. It could vary from 3.4% to 4.4% in addition to fixed rates.
Payment Rails
Another payment platform, Paymentrails, allows you to make international payments to recipients in more than 200 countries. Their infrastructure enables you to automate the collection, validation of banking information and disbursement of mass payments easily. Paymentrails also allows you to access local banking networks as seamlessly as your domestic network, reducing bank transfer costs. They have an automatic compliance screening and security mechanism in place to ensure that the payments are safe. It has also incorporated the tax compliance features into its platform. They have monthly subscription options starting from $49 to $199 per month. The applicable features differ, and the $199 option includes the W8/W9 Tax Form Collection as well.
The catch: They have charges varying from $1 to $10 depending on the payout method and recipient’s country/mode or receiving. The transaction fee applies to all payments.
REMITR
Among all alternatives, the REMITR payment platform stands out like a cool breeze on a hot summer day and offers some very beneficial differentiators. Perhaps the reason for REMITR scoring above all other providers is the fact that it was formed while keeping specific business-oriented needs in mind. A passion for simplifying and automating cross-border payments and drastically reducing the time and cost of transferring funds internationally are the core motives that are behind the business-friendly solutions provided by REMITR. They do not waver from this commitment and thus offer the best, safest, most effective and— undoubtedly— the most affordable payment solution around.
They have simplified international payments while ensuring that the integrity, safety and security of the transactions are not compromised in any way. The solutions are available for sending business payment to individuals or businesses, tending to all of your needs. Automated payments through connecting your purchase management system are also possible. It is fast, efficient, and available to send payment to over 150 countries.
Depending on the countries to which or where from the money is transferred, payments take anywhere between a two hours to a maximum of two business days. Also, whatever the amount you send, REMITR only charges a flat fee ranging from $5 to $10, depending on the country, and all transfers are done by bank transfer or EFT mode. You really cannot beat this, if you make international payments often— you could end up saving a lot of money!
Note: Information about various payment providers have been taken from their respective websites as of the date of publishing this post and may have changed subsequently. You are requested to verify the information independently as pricing, policies and coverage of each provider tends to change over time.
