A bank transfer, also known as a wire transfer, is a method of transferring funds from one bank account to another anywhere in the world. The benefits of sending a bank transfer include not having to wait for anything to arrive in the mail, not having to cash any cheques, and having the funds available immediately upon receipt.
Method 1: Making a Bank Transfer in Person
1. Obtain the necessary information from the recipient. The first step is to ensure that you have all of the necessary information from the person to whom you are paying money. Take the time to thoroughly double-check all of this information. The information you provide will tell the bank where to send the funds. This varies slightly from bank to bank, but be ready with the following:
The name and address of the person, company, or other entity that will receive the funds.
The name and address of the bank to which the funds are being sent.
The account number of the recipient.
The American Banking Association’s (ABA) routing number for the bank to which the funds are being transferred.
If you are in the United Kingdom, you will need the six-digit sort code of the receiving bank.
Depending on the receiving bank, you may require “further delivery” instructions. This could be a different account number or a different name.
2. Determine the deadline for submitting a bank transfer. If you need your transfer the same day, you must meet this deadline, which is usually in the mid-afternoon. There may be an additional fee for a guaranteed same-day transfer, so make sure you know exactly how much it will cost. The time will differ from bank to bank, so if you are unsure, contact your branch. If you intend to meet this deadline, make sure to arrive with plenty of time to spare.
3. Make sure you have enough money in your account. Always double-check that you have enough credit in your account before making a bank transfer. If you do not have the necessary balance to cover the cost, you may go overdrawn and be charged by your bank. If you are making a transfer in person at a branch and are unsure whether you have enough money, ask the bank teller to double-check before proceeding.
If you are scheduled to be paid at the end of the week but only have time to go to the bank before that, you can schedule the transfer to be processed after you are paid.
When the teller processes your transfer, she will most likely ask you when you want to send the money.
4. To the bank, bring photo identification as well as your bank card. Remember to bring photo ID, such as your driver’s licence, as well as your bank card when you go to the bank. The requirements may differ from one bank to the next, so if you are unsure, contact your branch or visit the website for more information. It is preferable to be certain rather than risk a wasted trip. When you get to the bank, tell the teller you want to make a transfer. Some banks will only wire funds if the sender is physically present.
5. Fill out the bank transfer form. The bank teller will hand you a bank transfer form, which you will fill out with all of the transfer information. Where you are sending the money, how much you are sending, and when you want the money to be sent are all important considerations. The teller will then enter all of the necessary information into the system and initiate the transfer.
The funds may take 1 to 3 days to appear in the receiving account. Bank transfers within the same country are typically credited faster than funds transferred internationally.
Transfers to another account at the same bank can happen almost instantly.
Check your account for any transfer fees that have been deducted. Your bank may charge a fee for sending the transfer, and the receiving bank may charge a fee as well.
Payment Method 2: Online Bank Transfer
1. Make sure you have access to internet banking. Transferring funds to another account via online banking is a quick and simple method of sending funds. This is only possible if you have access to online banking through your account. If you don’t, you can sign up when you visit your branch, and you may even be able to do so on your bank’s website.
Online banking not only allows you to send money without having to visit a branch, but it also allows you to access your account information at any time and set up and control your incomings and outgoings.
2. Prepare the recipient’s account information. To make an online transfer, you’ll need some basic information about where you’re sending the money. Because you’ll already be logged in to your account, you won’t need to identify yourself or provide as much information as you would if you made the transfer in person. In most cases, the account number and the ABA routing number (or sort code in the UK) will suffice.
You may be asked to include a reference for the payment so that the recipient can clearly identify it.
For example, if you are sending money to a flatmate for a bill, you could use the reference “utilities bill.”
If you are in the UK and use a “card reader” for online banking, make sure you have this as well as the card for that account with you. If you’re sending money to someone you’ve never sent money to before, you’ll need to use the reader.
3. Transfer the funds via your online banking website. Once you have all of the recipient information and are logged in to your account, go to the transfer money section. You will be prompted to enter information about the account to which you are transferring funds, as well as the amount of the transfer and the date you want it to be processed.
Make certain that all of the information is double-checked. If you make a typo when entering the recipient’s account information, you will not be refunded.
If you typed in the wrong account number, contact your bank immediately to stop the payment.
4. Consider transferring funds to an email address. As people become more accustomed to and reliant on online banking, some financial institutions are developing new services to make it even easier to pay by bank transfer online. One of these new services allows you to send money simply by entering the recipient’s email address or mobile phone number.
In theory, all you have to do is enter the amount you want to transfer, and the recipient will receive a text or email notifying them of the transfer and providing all the information they need to obtain the funds.
Method 3: Sending Money Abroad
1. Recognize the costs. There may be significant charges and costs if you send money to an overseas bank account. These include both explicit fees and the more subtle costs imposed on you as a result of the use of uncompetitive exchange rates. There isn’t much you can do about these fees unless you’re willing to shop around and open a new bank account, but you should be aware of them.
Be wary of special fee arrangements. It is possible that the money you save is offset by the exchange rate you are offered.
Similarly to domestic transfers, you can usually get the money to the recipient faster by paying additional fees.
2. Obtain more account information. If you’re sending money abroad, you’ll need the same information about the recipient and the receiving bank account that you’d need for a domestic transfer. International transfers, on the other hand, necessitate the use of the Bank Identifier Code (BIC), also known as the SWIFT (Society for Worldwide Interbank Financial Telecommunications) code.
You will need these codes and numbers from both your own and the receiving account.
3. Make the transfer to your local branch. If you have never made a transfer to a foreign account, the best thing to do is visit your local branch and they will walk you through the process. This way, you’ll be able to learn about the process and what information you’ll need for future international transfers. The staff will walk you through the steps.
If you discover you don’t know your SWIFT number, your bank will be able to locate it and tell you how to identify it on future statements or through online banking.
Dealing with people in person can make things much easier and clearer, particularly if you are unfamiliar with some of the terms and language used.
4. Make the transfer via the internet. You might also be able to transfer funds to a foreign account using your regular online banking. Navigate to the Transfer Money section of your account. Check to see if there is a way to send money overseas. If this is the case, it will show you what information you need about the recipient bank account in order to proceed with the transfer. Check this first to ensure you have all of the necessary information.
The amount you want to transfer and the speed with which you want it to arrive will influence your transfer options as well as any fees you may incur.
5. Think about money transfer services. Aside from your bank, there are numerous companies that specialise in cross-border money transfers, such as Western Union. These can be a quick way to send money without the need for a formal account. These services can also be costly, and you may not receive the same guarantees and protections as you would with a bank.
These companies are typically regulated differently than high-street banks, and as a result, your money may be less safe if it is held by a company that then goes bankrupt.
Before using any money-transfer services, make sure they are reputable and registered with your country’s financial regulators.
You can also use a third-party service like PayPal.
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