Sunday, October 12, 2008

Sending Money Online!

Is it easy to send money fast? Of course it is! Sending money order online is safe, quick, convenient, cheap, and it can be sent to anywhere in the world. There are two methods to send online money order- by Bank and by Internet.

Online money transfer by Bank is the electronic transfer of money from one bank account to another. The recipient should also have a bank account and the money is transferred electronically within minutes direct into a bank account of the recipient. By this bank-to-bank account transfer, no actual cash is exchanged, but the electronic balances are adjusted accordingly in their respective accounts.

In the case of one not having a bank account, a cash wire transfer is possible. The money is paid at the bank and the recipient produces identification at the time of disbursement of funds. Cash wire transfers are costly and has certain limitations. During a purchase transaction a seller can provide false information to the sender of the cash wire transfer, collect the cash at the receiving end under the false ID, and vanish without delivering the merchandise.

Now,lets see what is money transfer by Internet! There are popular reliable financial providers like Western Union, PayPal, E-gold, Ikobo, Moneygram and Xoom which does not require you to have an account with them to transfer money online.

Western Union( - has outlets worldwide and money is transferred electronically between these outlets. A person can pay the transfer fee and money at a Western Union and the recipient can collect the fund from the nearest Western Union branch within minutes. The advantage of this method is that there is no need for Internet access or bank.

Pay pal( is the world's largest online payment service which allows people from all around the world to buy and sell off the internet. All one needs is an email address. The fees for such transactions may be a percentage of the money being transferred or a fixed fee, irrespective of the amount being transferred.

Ikobo( is a service that allows you to send money to anyone with a Visa debit card. All you have to do is to fill up the necessary information via its online form. When Ikobo receives the necessary information, the recipient and prepaid re-loadable Visa debit card are sent and your money can be collected.

Moneygram ( - includes Same-day service and Economy service. The Same-day service is for urgent money transfer and the economy service takes about three to five working days.

Payko ( - sells money order online. You can send money order via Payko with your Master or Visa credit card. The money order can be sent via regular mail, first class mail, priority mail, or express mail.

Finally, there are the nationalised Bank's International Credit and Debit cards like Visa and Mastercard ,as well as ATM cards which enable online money transfer within minutes. Whenever these cards are swiped at a retailer, wire transfer is authorised from the bank account of that card to the retailer's bank account.

Online money transfers are quick paperless transactions and furthermore, as precaution, during money transfers, details like the name of the country, bank, regional location and customer account number are facilitated by use of the IBAN that is, International Bank Account Number.

Copyright © 2008 Laila Rajaratnam. All Rights Reserved

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