If you know people in Vietnam who you need to send money to, regardless of whether they be relatives, friends, or employees or clients, you should know that all of your money transfer service options are not created equally.
You see, some money transfer services will be cheaper or faster than others depending on the specific service that you are using. And if your specific goal is to send money to relatives in Vietnam as cheaply as you possibly can, there are a number of important factors that you will need to take into consideration.
Here are tips you can use for selecting the cheapest money transfer service:
Find A Guaranteed Low Exchange Rate
The higher the exchange rate is, the more you will have to pay. This is why you will want to get as low of an exchange rate as you possibly can.
At the same time, the exchange rate for currencies also varies significantly and can change multiple times a day. For this reason, if you seek a quote for the transfer from a remittance service, you’ll want to make sure that the exchange rate in that quote is guaranteed.
Take note that not all remittance or transfer services offer a guaranteed exchange rate in their quote, so it’s something you’ll want to confirm before proceeding.
Pay A Percentage Fee Rather Than Flat Rate
In addition to paying the margin of the exchange rate, you’ll also more than likely need to pay fees for the transaction as well. There are two ways that banks and remittance services can charge fees: either a flat rate or by a certain percentage (such as 3-5%) of the amount of money that you are sending.
Between these two, the percentage based option is almost always cheaper, especially if you’re going to be sending a smaller amount of money. As for the flat rate fee, banks and transfer services will charge as little as $10 or as much as $100 depending on the specific services that you’re using.
Don’t Forget About What Your Recipient Pays
Don’t forget that certain banks and remittance services can also charge the recipient a fee to receive the transaction as well. This fee can also be charged either in terms of percentage or by a flat rate, though it will also be usually less than the fee that must be paid to send the money in the first place
Therefore, you’ll want to remember to notify your recipient in Vietnam about the fees to receive the transaction (if any apply) and confirm that they are okay with paying it to get their money.
Choosing The Cheapest Money Transfer Service
In summary, the cheapest money transfer service you can possibly use for sending money to those you know in Vietnam will be one that has a low exchange rate, low fees, and that charges your recipient(s) a minimal amount as well.