Introduction
Overseas Filipino Workers (OFWs) have many remittance options available in order to send money to the Philippines. In 2021, OFWs working in the US remitted around 12.1 billion USD. However, choosing the right one can be tiring and time-consuming. It is crucial that you take into account the necessary costs and fees for each option. Investing the time and effort to look up the best remittance option will help you make the most out of your international money transfer.
What to Consider Before International Money Transfers
Remittance Expenses
Remittance centers charge a flat rate for their services, however, there might be hidden costs depending on the currency and the location where you want to send them to. Consider the current rates and if there are any remittance promos during certain seasons. You can also reduce expenses by making one large transaction compared to several transactions.
Customer Service
In the event that you encounter problems during your transfer, having a responsive customer support system can help guide you through the process. In this way, you can be assured that your money remittance is carried out properly.
Convenience
The sender and the receiver’s convenience should be a prime consideration in the remittance process. Choose the best remittance option based on the following factors:
- How You Send Your Money (Online, In-Person, etc.)
- Transaction Expenses (Transfer Fee, Exchange Rates, etc.)
- Speed of Transaction (Emergency or Non-Emergency)
- Convenience of the Recipient (Direct Transfer, Cash-Pickup, etc.)
Current Exchange Rates
Depending on when you remit your money, you might experience challenges such as high transfer fees and low peso exchange rates. Wait and take the right time before you remit your money so you avoid encountering any unwanted problems during your transaction.
Ways to Transfer Money to Philippines
As stated earlier, there are several options for OFWs to remit money back to the Philippines. There are traditional methods such as through bank and wire transfers, and there are also specialized foreign exchange companies that allow for cheaper rates and more convenience.
To help you choose the best option, here are a few ways to send money to the Philippines:
Bank Deposits
When people think of remitting money, banks are usually the first option as it is the traditional and most secure method. However, bank-to-bank transfers are not always the most cost-effective nor most convenient option as banks offer a vast range of financial services, which means less support or tools compared to dedicated online money transfer providers.
Online Money Transfer Services
Remittance centers in the Philippines can offer several advantages, such as instant money transfers online if the sender and the receiver have an account with the same provider. However, fees can vary depending on the amount, so choose your remittance center wisely.
Transfer Agents in the Philippines
Transfer providers can be located in most areas in the Philippines, which can allow you to send money that can be picked up in similar agent locations.
Cheques
If time is not an issue, picking up an international cheque from your local bank or the Philippine Postal Corporation can be an option to send money to the Philippines.
Conclusion
When you have worked hard to earn money, you have to make sure that the remittance process is carried out properly. If you take into consideration all four factors before remitting money, you can rest assured with a safe, secure, and reliable money transfer.
