Your student is visiting the Philippines. Everything seems to be going fine until you get that call. Your child needs a little money, and now you’ve got to send some money abroad. The following are a few mistakes you’ll want to avoid when doing so.
Going Straight to the Bank
Perhaps one of the biggest mistakes people make when sending money abroad is using the bank. You have other options out there, and it is worth looking at those options before making a decision. What you have to keep in mind is that international transfers from bank to bank can cost a lot.
Banks are notorious for high fees and exchange rate markups. You do not want to deal with these if you don’t have to. Yes, a lot of people do choose this route because it feels safe, and it comes with a few perks, like security, but there are options out there that are just as safe. Remember that if you do have to send money to your kid more than once, these extra fees are going to start piling up, which gives you another reason to explore.
Getting the Wrong Numbers
Another mistake you do not want to make is getting the account number wrong. You’d be surprise how easily folks overlook this when learning how to transfer money to the Philippines. You have to confirm the routing number and the account number so that you can send money to the right account.
There are folks who confuse these two numbers because at first glance they look similar. Make sure you make the distinction between the two, and repeat it a few times when you give it to the financial services company you will be using to transfer this money. Remember to ask how long it might take to transfer the money because sometimes it could take days.
Forgetting to Convert the Cash
Cash conversion is something most people do not think about, but you need to consider it now that you are sending money to the Philippines. Since it is something you don’t normally think about, it is easy to make the mistake of sending money to this country without converting it.
You don’t want to make this mistake because it could spell trouble for your loved one. Some banks or financial institutions deny the transfer, and that means the money will be delayed even further. There are some financial services that will convert the cash for you on their end once it arrives, but they might charge higher fees or markup the exchange rate, which means your recipient is going to get a lot less than he or she expected.
Not Checking on the Needs
It is easy to just send using any available method, but this may not be the best idea. Talk to your child, and confirm what he or she actually needs. If your loved one is in a remote part of the Philippines, it may not be a good idea to send money directly to an account because debit or credit cards may not be used in the area.
You may want to find out if it is better to use a transfer center with locations around the world where your kid can receive cash. There are several places in this country that deals with cash. Make sure you track the money, and only tell your kid the money is available when it is ready to be picked up because travel can be hard in remote areas.
Hopefully, this information helps you avoid common mistakes. If you have additional questions, then make sure you talk to your financial services specialist so that you are as informed as you can be before making this transfer. It may be a good idea to talk to your kid about financial literacy so that he or she budgets money more effectively.