Today, there are a variety of ways to send money, from traditional methods such as Western Union to newer payment apps that allow users to send money anywhere. When it comes to transferring money, the recipient’s location and how much money you need to send are both important factors to consider. When banking with SoFi, you don’ have to worry about unnecessary fees like when using traditional banks.
Below are some simple and safe ways to send money. There are also a few smart steps to ensure that the transaction goes smoothly.
1. Money Transfer Services
Despite the evolution of digital money transfer services, some companies still exist. For instance, Western Union and MoneyGram have locations all around the world. Although these services have gone digital, they still allow users to send money to their physical locations. You can also open an account online and send money using a computer or an app. Unlike other money transfer services, Western Union and MoneyGram offer international and domestic transfers.
2. Wire Transfers
A wire transfer simply refers to transferring money between separate bank accounts. Although it’s a great option for sending large amounts of money, it’s important to note that there are typically high fees associated with wire transfers. For wire transfers, a bank may charge up to $30 for a domestic transaction and up to $45 for international transactions.
You can make a wire transfer by calling a bank or visiting a wire transfer company. However, it’s important to make sure that the company is a trusted source.
3. Person-to-Person Third-Party Apps
Another type of payment method is called peer-to-peer or P2P services. This method allows users to send money from a bank account to a recipient. Some popular person-to-person apps include Venmo, Paypal, Zelle and Facebook.
For instance, if you’re planning on renting out a room, you can use a P2P app to accept money from people who are interested in the property. These payment methods are often free to use and are generally easy to set up. However, they do have fees associated with linking a credit or debit card.
Some providers require both the receiver and the recipient to establish an account to use their services. This is something that users should check out before signing up for a particular app. Additionally, it’s important to check out its terms and conditions and be sure that the company has adequate security measures in place.
Sending Money Using SoFi’s Checking and Savings Accounts
According to the experts at SoFi Invest, “Better banking is here with 1.00% APY and no account fees.” Many providers require the recipient to have an account with the company to send money. However, SoFi lets its customers send money to anyone with a U.S. bank account. If the recipient already has a SoFi checking or savings account, the transfer should be made immediately.
However, if the recipient doesn’t have a SoFi account, the money should be deposited into the recipient’s bank account within a couple of days. Unlike other P2P services, a sender can cancel a payment made through SoFi’s checking and savings accounts. If the recipient doesn’t have a SoFi account, they can open an account online.
Joining SoFi is an excellent opportunity to receive various perks, such as low introductory rates on savings accounts and a debit card with cash-back rewards. It should be your go-to for transferring money.