Money transfer is the daily transaction in which money is transferred from one account to another. Money travels from one place to another during this activity. Of course, there is currently no tangible movement of money. Rather, one account is credited and another is debited.
An ownership transfer occurs when money is relocated. The instruments used include checks, money orders, demand drafts, ATMs, debit cards and credit cards. Different circumstances are:
o Issuance of loans
o Cash/check deposits
o Interest/earnings/payroll deposits
o Payment of telephone, gas, electricity bills, etc.
o Payments against your purchases
o Repayments against loans
o Insurance premium payments
o Tax payments
The form will contain the necessary details of your bank account. Your bank will then issue a user ID and password within seven business days of receiving your form. This will register you for the electronic money transfer service. You are charged a certain amount as an administration fee in case you transfer the money to a third party
Benefits of transferring:
o Money transfer is the safest method as the sender is already verified through their own account number.
o Account opening is readily available in case you don’t have one.
o It is no longer necessary to carry cash to/from money transfer locations. This prevents loss of cash in transit.
o Electronic money transfer knows no borders and can work with almost any country or state.
o The money is transferred in a matter of seconds in the case of electronic means.
Security is a primary concern when transferring money. Several complaints about financial fraud have been registered. As criminals get smarter, it’s our primary responsibility to keep a close eye on our money and personal information. Here are some tips to have a secure money transfer:
o Never share your personal information with third parties during money transfer.
o You may find that electronic money transfer is as simple as handing over the money in tangible form. However, you must make sure that you make secure transactions.
o Call your recipient immediately after sending the money to make sure it has reached the intended person.
o To safeguard your money, consider using a service that provides insurance if the transfer is seized.
