When it comes to transferring money overseas, everyone wants the safest and the quickest option. But with so many options available it could be difficult to pick the best one for you. While banks would offer more secure payments, other money transferring facilities may provide you with a better rate of interest. So now the main focus is to find a way to send money overseas in a way that would offer not only the best rate but also a safe and secure gateway.
Technology and other factors today have influenced the world of instant money transfer immensely. And now with the expectation of a major increase in international remittances people are looking for new and improved ways of transferring money. Since 2009 there have been many money transfer services discovered, and the cost of sending such remittances has come down to 7.9% which is a huge difference from the previous value of 10%. These new money transferring technologies are developed with main aim of improving efficiency and safety while transferring money across all borders.
Here are a couple of ways in which technology has changed the landscape of Global Money Remittance:
Improving the existing infrastructure of fund transfer overseas.
Existing infrastructure like card payments and electronic networks (eg: Automated Clearing Houses) have already established themselves in most countries as a stable and secure means of money transfer. Two such systems being directly connected between countries can provide a faster way of transferring money internationally, with certain policies in place for international money transfer, and will have the additional advantage of being accessible to a larger number of users.
Existing payment options are combined with new payment options.
Many countries have been using the same ways of funds transfer overseas and have become familiar with it. But what happens when it is time to upgrade for speed and safety? Technology has provided the answer to this by effectively combining the new and the old, the result of which costs less and is more innovative. One example of this is the dual card product which allows one to both withdraw cash from ATMs as well as use it to make payments. In this way, the already existing card option has become more efficient and useful.
Filling in the gaps in the existing money transfer market
Over time many people have realised that there is a lot of scope in the remittances market and this has brought in a lot of new players. As more and more new companies come in they help in strengthening the existing payment infrastructures as well as create better and improved ways of doing so. An example of this could be companies that have created a connection between the internet and the mobile phone, which allows customers to send or receive payments domestically or internationally through their phone.
Finding new ways to make banking and transferring money easier.
Businesses are now giving their customers the liberty to choose from a variety of money transfer services to pay for their transactions. While the most popular method happens to be using a debit or credit card, other ways include sending money directly to the seller’s bank account or sending money through an agent in the beneficiary’s country.
Even with the existence of all these innovations, there are still a lot of barriers for technology to overcome in the remittances market. There could be many reasons due to which people still use cash as a method of sending or receiving remittances. One major reason could be the lack of access to non-cash payment options or simply the lack of a bank account. But once these barriers have been demolished, sending and receiving money overseas would definitely be a piece of cake.