The process of transferring money from one account to another is quite complicated and time-consuming for some people. If you are not well-researched, you will end up making mistakes while making an international fund transfer or domestic money transfer.
There are so many options to choose from, and it is extremely easy to send money overseas given you are thorough with international fund transfer norms and rules set by both countries.
Many companies offer both domestic money transfer and international fund transfer services that are easy, fast, secure, and reliable.
Whether the purpose of remittance is education, medical tourism, immigration, or hotel bookings, there are applicable norms that you may not be aware of, due to which you can end up with confusion or spend more time than usual to make outward remittances. Sometimes, a failed transaction can also result in the loss of your money.
The common mistakes to avoid
We have prepared a list of common mistakes you can avoid and get the most out of both inward and outward remittances.
1. Cross-check beneficiary details
Providing a wrong account number could send your money to another person, and once the transfer is authorized, it is difficult to track and reclaim the funds. However, if you notify your bank right after you make a mistake, there are chances you can claim the funds, but it will take time.
It is important to follow up and verify the following details with the recipient.
- The recipient’s complete name, account name, and home address
- The recipient overseas bank account number
- The SWIFT Code of the recipient’s bank
2. Read transfer norms
Every bank or financial service provider has some set of norms such as transfer and transaction limit per day, month, or year. It is crucial to research about rules and regulations of the recipient’s bank before making an international fund transfer.
To make it easier for you, we are sharing Muthoot Fincorp Ltd’s standard norms before initiating an international fund transfer to India.
- You can transfer up to $2500 at one time. However, the payout will be in Indian Rupees.
- Only 30 transactions are permitted in a calendar year.
- Only Rs. 50000 can be made in cash, and any amount above that can be made by account credit, payee cheque, pay order, or demand draft.
- Payouts can only be made to individuals above 18 years of age.
3. Consider Exchange rate fluctuation
Exchange rates are subject to rapid change due to market conditions. It would be wise to keep an eye on exchange rates and the right time to transfer money overseas. Always check the exchange rate at the time of making a transaction so that you know the payee is receiving at the same rate you are expecting.
4. Don’t overlook holidays
Banks and financial institutions are closed on public holidays which means more days for your payments to be processed. If you know when the recipient needs money, plan to make payment around bank holidays.
So, if you are planning to make a domestic money transfer or international fund transfer, always be wary of common mistakes such as avoiding transfer norms, overlooking beneficiary details along holidays, and exchange rate fluctuations.