Cash Transfer Options

There are four major ways to transfer money from the United States to someone in another country.

1. Cash Transfers – Money wiring services.
2. Money Orders – U.S. Postal Services, Banks, Various Retail Stores.
3. Banking Transfers – Checks, Foreign Drafts, Wire Transfers.
4. Pre-Paid Debit Cards – Gift Cards, Reloadable Cards

Cash Transfers

Money wiring services are commonly used because of their ability to rapidly send money to anyone worldwide, including the ability to transfer money online or by phone using a credit card or debit card.  You will need to locate a sending agent and a receiving agent.

Each transaction has a specific control number, which makes it easier to collect funds for the recipient.  Funds are normally available within the hour (depending on the business hours of the agent), and proper identification is required.

Money Orders

Money orders are one of the cheapest ways to send money.  They can be purchased at Banks, United States Post Office (issues international money orders), and local retail stores.

They cost anywhere from $1.00 to $8.50 and you must fill out the recipient’s name before mailing.  You will have a carbon copy for your records.  Money orders are traceable by a unique number located on the bottom of the money order.  U.S. money orders can be cashed in banks or post offices in most countries.

Although this is a cost-effective method or transferring funds, there is a maximum of $700 (U.S. Postal Service) and other retailers set limits on the amount of a money order.  Most banks have a limit of $1,000 and the fee can be as much as $10.00.  There is a delay in the recipient receiving the funds due to mailing, although you can pay extra to have delivery expedited.

Banking Transfers

Not all banks operate in the manner so you should check with your local bank for details.

Sending a Check Abroad

Sending a check to a recipient is quick and easy, but check clearing, especially in other countries may takes 4-6 weeks.  The recipient can be charged a fee of up to $50 for check processing.  Some countries do not honor foreign-drawn checks.

Foreign Drafts

Depending on your location, it can sometimes take a few days to a week for a bank to prepare a draft.  The money comes out of your account when the draft is prepared.  There is a fee of up to $25 for this service.  The recipient must wait until the draft is delivered via mail and they must have access to a corresponding bank.

Wire Transfers

Wire Transfers are quicker than Foreign Drafts since they are usually done immediately.  You are charged a fee of up to $40 and if you are not a customer, it could be as much as $60.  The recipient again, must have access to a corresponding bank.

Pre-Paid Cards

Pre-paid debits cards and gift cards can be purchased online or at most retail stores.  Most of them have either the MasterCard VISA Maestro or Cirrus logo.  You load the card with funds – some gifts cards can be purchased in different denominations.

You then mail the card to the recipient and notify them of the PIN number.  (It is important to do this separately since anyone who retrieves the card and has access to the PIN can then use the card).  The recipient can then use the card to withdraw cash at an ATM, or use it anywhere VISA MasterCard Maestro or Cirrus are accepted.  Some cards are reloadable (for a small fee), so you can add funds when needed.