When traveling abroad has become a part of life from the businessman to the fledgling student, international money transfer has become all the more demanding and risky. With more and more need for money at overseas counters, transactions and risks of international money transfer have increased considerably.
Risks of international money transfers
- Fraudulence is a major risks of international money transfer A major section of swift transfer is through various processes and procedures that evade or prevent all sorts of fraud activities. Passing through various banks in different countries makes the process all the stronger and vigilant.
- Incorrect payment details catered during the KYC documentation or while sharing beneficiary details could create havoc. Hence double check the account number, name, amount, and Swift / BIC codes with perfection.
- Relying on a non-licensed forex dealer is a major risk of international money transfer. You might submit all documents and the money, only to find them missing on the next visit. Always depend on an RBI licensed service provider.
- Another area to be cautious of is the documentation part. While dealing with other dealers, you stand the risk of misuse of your KYC documents also
- Your wrong information might delay your transaction. If you give the wrong Swift code, the bank could hardly find the transaction and get your amount reversed.
- Exchange rates are yet another area to be the focus. Rates keep on fluctuating thwarting your budget and plans. Hence get the rates and calculate your expense before moving ahead.
What are the reasons for the delay in international money transfers?
- Delay in international money transfers could be due to different time zones. Always pre-calculate the time span that the transfer could take and schedule it during working days.
- Always avoid bank holidays and weekends to avoid delay in international money transfers
- Foreign currency conversion is yet another reason often reflected during money transfer overseas.
- A change in BIC/ Swift code can bring about a drastic change in the transfer duration. If the codes are wrong the money gets reversed back to your account.
Get updated all about the risks of international money transfers to avoid it at the inception. Financial institutions with a license are often found to be more vigilant about each transaction to avoid all sorts of delays and risks of international money transfers. Send money as FCDD / Foreign Currency Demand Draft or in the form of electronic fund transfer directly be credited to the overseas bank account through Swift transfer.
