Money Transfer | Practical Money Skills

There are all sorts of reasons why you may want to transfer money. Maybe it’s to buy something or pay a bill. Perhaps you need to pay someone back or pay your share towards a meal, gift or family event. And then there’s sending money to friends and money overseas.

The three main ways to send and receive money quickly, conveniently and securely are:

Online – You’ll usually have to register and create a profile with a provider to send money online.
In-app – Download an app, enter your details to set up an account to send money on the go.
In person – Visit a physical location during business hours to make transfers in person.

No matter which method you choose, you’ll need some way to fund the transfer. This is usually by linking your account to a card or bank account or paying cash across a counter in person.

The good news is that there are so many providers offering money transfer services nowadays, making it more likely you’ll find a product suited to your needs. The options range from traditional banks to money transmitters, digital-only providers with branded apps and physical stores, such as supermarkets, mobile phone shops and kiosks that offer in person transfers.

Here are some factors to consider when choosing the right way to make money transfers for you:

Features – the characteristics of the service. Some providers let you track your transfer online or in the app. Others alert you when the money has been collected for international transfers. What’s essential for you? What’s useful?
Fees – how much it costs to make transfers. Some providers have fixed fees for transfers. Others charge a percentage of the amount transferred. Some providers have minimum charges or minimum transfer amounts. Consider what type of transfers you’ll make and how often to compare the costs.
Transfer speed – how fast the funds will arrive. Sometimes speed is critical. Other times, it doesn’t matter if it takes a day or longer. Consider what’s important for you.
Coverage – the reach of the provider’s network. This is especially relevant if you’re sending money overseas or if you prefer to make and receive transfers in person. Does the provider operate in the countries and locations practical for you?
User experience – how quick and easy it is to use the service. This covers everything from how easy it is to register and send money, to whether it’s possible to set up repeat transfers. What’s important for you? What’s nice-to-have?