Finance Tips

Remittances contribute to economic growth and to the financial and social inclusion of needy people worldwide. Recent studies have shown that remittances not only play an important part in many people’s daily lives but are particularly important for people during financial crises.

In Latin America and the Caribbean, remittances play an important role in the economy of the region, totalling over $66.5 billion in 2007, with about 75% originating in the United States. This total represents more than the sum of foreign direct investment (FDI) and official development aid (ODA) combined. In 7 Latin American and Caribbean countries remittances account for more than 10% of GDP and exceed the dollar flows of the largest export product in almost every country in the region.

A majority of the remittances from the US have been directed to Asian countries such as India, the Philippines and China. Most of the remittances happen by conventional channel of agents, however online money transfer has gained substantial momentum over the years. Continue reading ‘Top Countries Receiving Remittance Money’ »

There are 2 kinds of remittances-family and community. Family remittances are money sent by individual immigrants to family and friends back home. These remittances are often used to meet their most basic needs.

Community remittances are money sent by immigrants and by hometown associations to communities in their home country. This money is traditionally used for infrastructure like roads, schools, parks and churches.

Remittances are now more than double the size of net official flows and are second only to foreign direct investment as a source of external finance of developing countries. In 36 out of 153 developing countries, remittances are larger than all capital flows, public and private.

Also, remittances are stable and may even be counter-cyclical in times of economic hardship. Moreover, remittances are person-to-person flows, targeted to the needs of the recipients who are often poor. Continue reading ‘Understanding the Importance of Remittance’ »

Not all wire transfer services offer good deals for those wanting to send or receive money abroad. It all depends on the size of the wire transfer. Some options are good for large transfers, but larger transfers can also limit the options. Smaller transfers can usually be done using any type of method, but the fees can be costly when sending money using services that specialize in large money transfers.

For large sums of money, the best method may be a bank’s wire transfer service. This transfer is also one of the easiest, but there are a few things to keep in mind when you’re thinking about transferring money to England through a bank.

Both the sender and the recipient have to have a bank account. The sender must also know the recipient’s bank account number so the wire instructions can be sent (no one can send money if they do not know where it is going.) The sender will usually get charged a flat rate when sending money, no matter how much or how little they send. These fees vary, so it is best to check with the bank sending the transfer beforehand. Continue reading ‘Before Sending Money Do a Little Research’ »

Each method of sending money takes a different amount of time. If you do not have a set day on which your family needs the money, you can simply send a check in the mail. Family members can then head to the Bank of China to cash it. However, this method can take weeks to a month, so this is obviously not a good idea when your family needs money fast. Additionally, remember to calculate the exchange rate in China, as $1 equals 6.8 Renmibi Yuan.

Another popular method of transferring money to China is through wire transfer. This involves going to your bank with your relative’s bank name, account number, and bank contact information. You will also need the SWIFT code for your family’s bank, which is how your bank will quickly identify a foreign bank. A wire transfer is a fairly quick way to send money, as it typically takes only a few days for the transfer to go through. However, there are fees each time you send money, and they differ depending on the bank.

You can go to the Bank of China in New York and send money for $10 if it is an electronic transfer, and $20 if it is not. However, if you do not have an account with the Bank of China or even have one near you, most other banks can perform the transaction as well. HSBC can make a money transfer to China for $30 if you send it to a branch of the same bank in China, or $45 to send it to another bank. Wells Fargo charges about $5, and Citibank charges $12.

Clearly, such fees can get costly if you need to send money constantly to foreign countries. If you need to make a money transfer to China regularly, consider using a prepaid debit card. You would select a company to go through, send a debit card to your family, and then put money on it whenever you need to through the company’s website. Adding money does incur a fee, usually of about $5 no matter the amount, so putting a lot of money on it at one time is more cost-effective than adding small amounts. There is also a tiny transaction fee each time your relative uses the card, usually less than a dollar per purchase. However, the convenience of the card usually counteracts small fees. Continue reading ‘Select Your Method of Making a Money Transfer to China’ »

Choose the method that is least expensive and easiest for both you and your recipient. Just remember that the exchange rate from U.S. dollars to Canadian dollars is 1.15, so when you send a dollar, your relative will actually receive $1.15, which is convenient for them.

One of the most popular ways to make a money transfer to Canada is a wire transfer through your bank. This will only work either if you and your recipient have the same bank, or your U.S. bank has a relationship with a Canadian bank that allows transfers. Banks like Capital One, Citibank, JP Morgan Chase Bank, and HSBC are just some of the institutions that exist in both countries. Some banks in the U.S. charge lower fees when your transfer recipient takes money out of a particular bank. For example, Bank of America encourages the use of Canada’s Scotiabank when dealing with money in another country. You can send money from one bank to a different bank, but be prepared to pay for the convenience. Using HSBC as an example, you will pay $30 to transfer $100 from an HSBC bank in the U.S. to one in Canada. The fee increases to $45 for a transfer to a different bank in Canada that does not bear HSBC’s name.

Another way to make a money transfer to Canada is to use a company as an agent. In this situation, you would locate an agent, pay a fee, and provide the name and location where the recipient would pick up the money in Canada. The fee is typically a percentage of the money you are sending. Your relative would then need to supply a password to show that the money is for them, and would not have to pay a fee. This is usually best for one-time transactions, and nearly every large province in Canada has locations where your relative or friend can pick up the money, including grocery stores, check cashers, travel agencies, airports, and more.

If you are helping support relatives in Canada, you will probably need to send money regularly. The most cost-effective way to do so is to use a prepaid debit card, which can be obtained from several companies. In this situation, you would buy a debit card from the selected company, send it to your relative in Canada, and then call them with the PIN for the card. You would then add money to the card, either online or by phone. There is a fee when you send money, and a smaller fee when your relative uses the card. The fee for a money transfer to Canada is typically $5 to $8, and transaction fees are usually less than a dollar each, with slightly larger fees to take out cash.

You should choose the method of transferring money that makes sense for your situation. Sending money via wire transfer or agent is great for a one-time transfer, but can get costly over time. You only pay once for a debit card, and then pay small fees each time you add money, so this is often an advantage for those who don’t want to deal with agents or larger fees. Consider what is most convenient for both you and your relative when you a select the method of money transfer to Canada.

For more information on sending money both within the United States and abroad visit Send Money world wide or atmcash.com

Article Source: ArticlesBase.com – Make a Money Transfer to Canada Using One of Three Methods

It seems nearly everyone has a mobile phone, no matter where they live. If you have friends in another state or even country, it is now possible for you to send money through your phone. The most well-known way to do this is through your bank, as long as it has online checking and you can obtain the Internet on your phone. Most banks allow you to send a money transfer through the Internet using your cell phone. In fact, most banks now optimize their online services for cell phones, allowing the user interface to fit on yours perfectly.

One of the newest ways to send money online was developed by Japan’s NTT DOCOMO mobile Internet service, which allows users to send money from their phone to a friend’s phone. Rather than entering the friend’s account number, the user can just enter their cell phone number to ensure the money gets deposited into the correct account, as the phone number is attached to a bank account. Users of this service can deposit up to 20,000 yen, or $208, per transfer, and 200,000 yen per month. Recipients can choose to add the received funds to their bank account or apply it to their phone bill. There is a charge of 105 yen for the user who sends the money, and 65 yen for the recipient, unless they use it to pay their phone bill or deposit it into a Mizuho Bank account. In such cases, the transaction is free for the recipient. While it is only available in Japan right now, such a service could become available anywhere if it is successful.

Another way to send money online anywhere is to use a prepaid debit card. This type of service allows you to obtain a debit card from a company online, have it sent to a friend in another state or country, and add funds to it anytime online. Not only does this use debit card technology, but it is also easy to add money through your phone’s Internet. You can even call a number to add money if you do not have Internet on your cell. You will pay a small fee each time you add money, so it is usually best to add a lot of money at once rather than several small amounts. Continue reading ‘Send Money Online to Friends Using Advances in Cell Phone Technology’ »