Here are some suggestions of the cheapest ways to send money overseas.
Pay2Home
What: Pay2Home is a licensed remittance specialist offering money transfer services to the UK, Australia, New Zealand, Hong Kong, all Euro zone countries and others.
How: The first step is to make a payment to a Pay2Home settlement bank account. Either visit their branch, deposit a cheque into any of their clearing banks or transfer via internet banking. Your money is tracked in real-time and with SMS and email updates, you and your beneficiary will be notified upon completion of the payment.
Processing time: It takes one to two business days to complete the transaction.
Minimum amount: None
Fees: Pay2Home charges a single flat fee of $20 regardless of transaction amount.
OFX
What: OFX offers a secure and easy solution for international money transfers.
How: Simply open a money transfer account and a representative will contact you to discuss your needs.
Processing time: To send to Australia, it takes one to two days, and one to four days to send to the UK.
Minimum amount: AU$2,000 (or equivalent)
Fees: OFX charges S$15 for any amount below S$10,000. S$10,000 and above is free.
PayPal
What: PayPal is a service that enables you to pay, send money, and accept payments online without revealing your financial information.
How: Both the sender and receiver need to open an account with PayPal. You can choose whether you or the recipient covers any fees. Receiver will get an email or text notification prompting them to log in online to get the money. They can withdraw the money from their local/US bank account.
Processing time: The transfer is almost instantaneous (between PayPal accounts) but it takes three to five days for the receiver to withdraw from their bank account.
Minimum amount: None
Fees: PayPal charges a fee of 0.5 to 2 percent (depending on the destination) of transfer amount when fully funded with bank account or PayPal account balance, and 3.4 to 3.9 percent if paying with a credit or debit card.
Tranzfers
What: Tranzfers is owned and operated by Sydney-based OzForex Pty Ltd. Send funds between the UK, Australia, New Zealand, Singapore, Canada and South Africa.
How: Register an account with Tranzfers to make a money transfer. Simply login to your account, get a quote, add the beneficiary details and set up the transaction. You need to wire transfer money to Tranzfers’ account first either via internet banking, phone banking or going to a branch. When a transfer is booked you will be given a confirmation and Tranzfers’ account information.
Processing time: One to three business days.
Minimum amount: AU$100, NZ$100, GB£50 or equivalent
Fees: Tranzfers charges $15 to send money from Singapore.
SingPost
What: SingPost offers CASHOME – Visa Money Transfer. This service allows the transfer of money onto a Visa card which can be accessed using a Visa card.
How: Available online on SingPost’s internet portal, vPOST, at any post office and at self-serviced automated machines (SAM). You can use your NETS card or cash to remit funds to a Visa cardholder.
Processing time: It normally takes up to two or three working days for the money to be credited into the recipient’s Visa card account.
Minimum amount: None. The maximum remittance amount is limited to $3,500 per sender per day.
Fees: Sender needs to pay a nominal flat fee of $9 for each transaction.
Banks
Your own bank probably offers money transfer services, but check the rates first. Some examples:
1. Citibank offers online telegraphic transfers to non-Citibank accounts overseas, charged at $30 per transaction and takes three working days. citibank.com.sg
2. A cheaper alternative to telegraphic transfer is using demand draft. Similar to a cashier’s order, a demand draft is a written order issued by the bank. Once transferred, the receiver is able to withdraw the money from their overseas correspondent bank. At Maybank, you do not need to be an account holder to use this service. Maybank charges a commission fee of 0.125 percent plus processing fees. maybank2u.com.sg
3. DBS also offers an overseas telegraphic transfer service through internet banking. Payments generally arrive within two to four working days. Amounts up to $5,000 incur a fee of $25. Above $5,000 is $30. dbs.com/sg
For more helpful tips head to our living in Singapore section.
