Is there a good way to do a quick wire transfer? I recently had
to send my brother a few hundred dollars and paid a lot in fees.
Wondering if there's a better way to do it. -Terrence
Hi Terrence: It all depends on the institutions you and
your brother have access to. Some options work well; others try
to take you for all your worth. I'll list a few options and hopefully
something will make sense for you going forward.
apps. This is the obvious solution, though it doesn't work
for everyone. If the recipient has the means of sending money
to the collector or their bank account and then making immediate
use of the funds, then Venmo, PayPal, or Cash App are ideal. Most
of these services allow you to share without any sort of fee.
Unfortunately, this typically doesn't work for someone who needs
cash in a hurry. The funds will transfer right away, but if your
brother doesn't have access to a bank account or the internet,
having electronic funds won't do a lot of good. (I'm assuming
this option wasn't available, but it should still be on your radar.)
2. Bank/credit wire transfer. I'm guessing this is what you
did the first time if you had to deal with fees. Transferring
immediately from a bank account or a credit card through a service
like Western Union makes it really easy to share money, but it's
not going to be cheap. The fees come from both ends, with Western
Union charging for the service and your bank charging on their
end as well. If you use a credit instead of a debit card, you'll
also get hit with cash advance fees. If you can avoid this, you
should. Naturally, this might be the only option for someone who
has to send money in a hurry. My advice is to avoid using a credit
card and potentially hop on the phone with your bank; talking
to a person could help you dodge a transaction fee or two.
3. Cash transfer. This option requires a little more effort,
as you have to go to a physical location with cash in hand. However,
using cash instead of going through your bank eliminates half
the fee potential. Another benefit of cash transferring is setting
the terms. If you have to send money to someone who has lost their
wallet and identification, paying cash upfront usually allows
you to set a password or a pin number that the recipient can use
on their end.
| It's never
fun to be in the position of sending money in a hurry, so it's good
to know your options ahead of time. Hope this information proves helpful
in the future!
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