Everything You Need to Know to Send Money Overseas Without Any Issues

send money to overseas

There are many reasons why a person might want to send money overseas. One common reason is foreign investment and mortgages. Unfortunately for overseas investors, there are costs to transferring money internationally. These costs can be mitigated by using the right transfer provider, however.

Another problem for international investors is fluctuations in their local currency and their investment currency. One way that property investors can get around these fluctuations is by requesting that their employer or clients pay them in the currency that they will be investing in, straight into a foreign bank account.

In this article, we will explore how you can send money overseas to pay a mortgage without any issues:

Understand the Law

In most countries, you are required to register any money that you have transferred to pay for a mortgage abroad. This is because it’s not uncommon for criminals to use international money transfers to launder their money. 

If you don’t register your money, you could be arrested for money laundering, which is a serious crime. To avoid getting into trouble, it’s very important that you read up on the law surrounding international transfers in the country that you’re investing in. 

In some countries, there are limits to how much money you can transfer at one time. You may also have to pay tax on the money you’re transferring.

Explore Your Options

When you are paying for a mortgage abroad, you need to know what your options are. You might be able to send the money directly to a bank account. With that said, in most countries, international money transfers with foreign currency are much easier when you use a third-party transfer service. 

While banks are safe, they can take a long time to appear in the recipient’s bank account. In addition, foreign banks are notorious for taking large fees out of the recipient’s funds. Transfer services usually take very minimal fees.

If you are going to send money with international transfer service, then it’s very important that you do your research and find the one that offers you the best foreign currency exchange rates. When you’re applying for a mortgage overseas, you want to retain as much of your investment as possible. 

Make sure to read reviews and guides in order to find the most reliable and reputable money transfer service.

exchange rate on sending money overseas

Exchange Rates

Whenever you’re handling international money transfers, you need to know about your investment country’s exchange rates. Different transfer services will offer different exchange rates. You can find out what current exchange rates are on Google and Yahoo. 

You can also contact the transfer provider directly and ask them. Researching the exchange rate is a very important part of overseas investment. When you know how much your money is worth in another country, you know how much you have to spend and can budget properly. 

By knowing the exchange rate beforehand, you will also minimize your chances of being caught off-guard and spending more than you planned to.

Service Charges

If you are going to use a transfer service, then you need to search for one with minimal service charges. As we mentioned in this article’s introduction, service charges can eat away at a person’s investment, especially if they are transferring a large sum of money. 

If a transfer service doesn’t have any service charges but offers a low exchange rate, then they take their fees from the exchange rate. It’s usually much better to pay a fixed price for your transfer instead of getting a low exchange rate.

Some services will deduct a fee from you when you transfer money and from the account that receives the money. You should try to avoid services that do this when possible.

sending money to overseas

Reputation

It’s important to only deal with transfer services of good repute. Some transfer services are notorious for delays and added fees. You should also try to find a transfer service that has robust web security. 

The internet’s overrun with fraud gangs, who target money transfer services and intercept transfers. If the service doesn’t take its security seriously then your money could be compromised.

One good way to find a transfer service of repute is to ask for referrals from friends or other foreign investors that you know. You could also ask questions on forums, chat rooms, and websites frequented by foreign investors.

You need to make sure that any service you use has an SSL certificate on their website. Websites that don’t have SSL certificates are much easier for hackers to get into. This is especially important if you are making transfers online.

Transfer Time

International transfers shouldn’t take a long time. Some can be processed in a few minutes, while others can take a day or two. The sooner the recipient receives your money, the sooner you will be able to take ownership of your investment. Most services will publish information about their transfer times on their website.

If a service doesn’t have any information available about how long transfers take with them, then contact them directly to find out. If a transfer provider’s customer service is slow or there isn’t a chat option, it’s advisable to look elsewhere. If you can’t get hold of them before you make a transfer, you can’t guarantee that you will be able to if there is an issue during or after.

It’s worth mentioning that some transfer services charge more for instant transfers. This is an option that’s available to you if you don’t mind paying more.

Recipient

While with some services, you can send money abroad and collect it in cash, it’s not advisable if you’re sending a large amount for a mortgage. Instead, you should have it sent directly to a bank account. It’s usually best to send it to your buyer’s agent or solicitor, who can then finalize your purchase for you. 

Alternatively, you can send it directly to the bank or building association that you’re getting a mortgage from.

Sending money abroad to pay for a mortgage can be confusing. With this article, it’s never been simpler. Make sure to carefully consider each point in this article in order to reduce the chances of any complications with your transfer.

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