4 fees you need to be aware of when transferring money online

Sending money online is one of the cheapest and most convenient ways that you can make a money transfer. However, there are still fees and other charges involved in doing so. It is important for you to know how much the fees you’ll be needing to send, especially when you plan on transferring money online often.

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Money transfer fees

The fees involved with you transferring money online depends on the type of service that you will be using. Most online payment solutions like bank transfers and money transfer services that charge you fees for every transaction that you make. Others like online payment services and debit/credit cards can simply charge you monthly or annual fees for using their service.

If you are using bank transfers, there may be charges for the actual transfer transaction, the change of currency, and even an additional fee if you don’t want to wait for up to 5 business days for them to complete the sending of funds. This all depends on the bank that you are doing your business with. 

For money transfer services, they usually will charge you a flat rate fee for every transaction and it will depend on how much you are planning to send. The fees usually get higher the more money you want to transfer.

Online payment services don’t usually have too many fees that can be added on with every online money transfer that you make. However, this can still depend on the payment service that you choose. Some charge you a certain percentage of the money that you send out every transaction, while others will do this for free. The great thing about using online payment services is that they are usually very transparent when it comes to their fees and charges so you will be able to know exactly how much you will have to pay for using their services. 

Exchange rates

Another fee that you will have to look out for, no matter what type of money transfer service you use, is their exchange rate. There are some online payment solutions that can charge your higher exchange rates or even a fee for changing the currency that you send into the currency to match the location you are sending the funds to.

Recipient charges

There are certain payment services that can also charge the recipient of the funds another fee on top of all the charges that you already have to pay for. This is a smaller amount than the initial fees for the money transfer, but it can still be significant. 

Hidden charges

Although most online payment solutions are pretty transparent when it comes to their fees and charges, there are still some that have hidden charges involved. It all depends on the payment service provider that you choose. It is best if you look into all the fees involved in transferring your money online before you go ahead with using that particular service.