Bank · July 29, 2020 0

How to Wire Money in Steps

“Wiring cash” may sound good old, such as sending a wire or mailing a letter through the Pony Express, yet it’s as yet perhaps the quickest approaches to send cash, regardless of whether it’s the nation over or outside the United States.

A wire move is additionally harder to fix than composing a check or covering a tab through charge card. Thus, the main thing you have to realize when you’re prepared to wire cash is that you’re 100% certain you wouldn’t fret the cash leaving your record — rapidly, and for eternity. Wiring cash takes anyplace from a couple of moments to a couple of days, however once you’ve begun the procedure, you need to expect that the money is no more.

When you’re certain you’re all set through with it, a wire move is a really simple procedure.

How to Wire Money

Follow these five steps to learn how to wire money successfully:

  • Step 1: Decide which company you will use to wire money.
  • Step 2: Calculate the fees.
  • Step 3: Make a list of your information.
  • Step 4: Fill out the required paperwork for the wire transfer.
  • Step 5: Keep your receipt to document the transfer.

Step 1: Decide who you’re going to use to wire the money.

There are two types of institutions that provide wire transfers: traditional banks and credit unions, and nonbank money transfer providers such as Western Union, MoneyGram, and Ria.

Depending on which service you choose, and how much money you wish to send, you might be able to complete your transfer online. Otherwise, you’ll have to go to the provider in person.

Step 2: Calculate the fees.

As of 2015, domestic wire transfers cost an average of $27.50 for the sender and $15.50 for the recipient, according to an analysis of fees at the top 10 banks in the U.S. by MyBankTracker. Fees were higher for international transfers, ranging from $40 to $50.

Wire transfer fees may be cheaper at credit unions, but regardless of which type of provider you use, the most important thing is to ask about all the fees, upfront, before sending any money. For one thing, you’ll want to make sure that you have enough to cover the fees, as well as sending the cash. Check with your institution beforehand, so that there won’t be any surprises.

Step 3: Make a list of your information (and check it twice).

To send a wire transfer, you’ll need the following information:

  • Your bank account number.
  • The recipient’s name.
  • The recipient’s bank name and address.
  • The recipient’s bank’s American Bankers Association number, commonly called a routing number (for transfers within the U.S.) or Bank Identifier Code (outside the U.S.).
  • The recipient’s bank account number.
  • Any other information required by your bank or money transfer provider or the recipient’s bank.

Step 4: Fill out the wire transfer form/online submission form.

Follow the provider’s instructions for filling out the form, and be certain that you use the right account numbers. It’s important to make sure you fill out all the information correctly, to ensure that your transfer goes through — and that it goes to the person and bank account you intend.

If you send cash to the wrong account number, it may be difficult to get it back. There’s no automatic process for reversing wire transfers made in error.

Step 5: Keep your receipt and ask about next steps.

If you send the money in person, ask the teller how long the transfer should take, and be sure to hold on to your receipt with the wire transaction number, for your records.

Avoid These Costly Mistakes When Wiring Money

As you can see, making a wire transfer is simple enough. Still, here are three mistakes that could cost you money during the process if you’re not careful:

  • Making typos on account numbers or recipient names. It bears repeating: If your account numbers are off by a single digit, you could wind up with a blocked transfer — or worse, one that goes through, but to the wrong person. You also need the full, correctly spelled name of the recipient, in order to ensure that the money goes through.
  • Forgetting about the exchange rate for foreign transfers. Sending money abroad? How much cash arrives will depend on the exchange rate when you send the money. If the recipient is waiting for a set amount, it pays to know what the exchange rate is when you’re wiring the cash.
  • Sending cash more often or more quickly than necessary. If you know you’ll need to spend money on a regular basis — for example, to a student who’s studying abroad — it might make sense to spend more money, less often, since those wire transfer fees can start to add up. It’s also smart to plan ahead whenever possible so that you don’t have to send money in a rush, which might incur additional fees.
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