29 Oct 2024
While transferring money, many Sri Lankan people living in Belgium may not realize that a portion of the money they are transferring gets eaten by these hidden fees while making an online money transfer from Belgium to Sri Lanka. When accumulated, these fees diminish the effectiveness of the funds you remit to support your families back home. With Sri Lanka receiving over $7.1 billion in remittances last year, any extraneous expenses seem like a waste at the sender’s end.
This blog will detail some of the hidden costs associated with using remittance services and give tips on ensuring that every euro sent is of the optimum value.
One of the most challenging aspects of global money transfers is deciphering how the providers of the services use various non-governed methods of charging extra fees. Let’s break down the most common ones:
The first and most obvious cost people tend to overlook in remittance costs is the currency exchange markup. Sometimes, on the internet, providers prefer offering less attractive exchange rates that seemingly can confuse the consumer a great deal while, instead, they are, in reality, losing money. For example, if the mid-market exchange rate from Euros to Sri Lankan Rupees is 1 EUR = 390 LKR, a provider might give 1 EUR = 380 LKR, thereby making a profit from the exchange.
Thus, one should always compare the exchange rate offered with the market rate available on the internet. Services such as ACE Money Transfer, which offers making a money transfer from Belgium to Sri Lanka, transparently explain the rates so a person can be sure that he is not being cheated.
Transfer services costs differ on the basis of the service provider in question. Some of them require that you pay a fixed fee for each transaction while others will require that you pay a fee as a percentage of the amount being transferred. The challenge comes when these fees are not stated or are sneaked and then added to other charges; you realize their existence after the transfer is made.
Another way is to look at the transfer fees among providers to identify a lower-cost solution. ACE Money Transfer is unique in its low margins and reasonable charges that it does not hide any other charges that may be incurred during the transfer process.
Sometimes, the sender’s and the recipient’s banks impose extra charges for completing the transfer. These hidden costs can substantially minimize your family's payout in Sri Lanka. Of course, you could not enjoy the feeling of sending €500, for instance, only to realize that both the sending and receiving banks have withdrawn their penny, leaving your loved ones with much less.
To prevent being charged such fees, you are advised to opt for other non-banking remittance services. Consequently, some global digital money transfer providers have local banks or mobile wallets in Sri Lanka, which means they might even erase or reduce the costs of receiving fees.
The type of payment and sending money from Belgium to Sri Lanka also has a way of including some hidden costs. With the money transfer service, one gets charged more than through bank transfers or opting for a local payment method by using a credit card. Of course, credit cards provide comfort and the possibility to make purchases without having the necessary money in the account. Still, such cards are often accompanied by some extra costs, such as cash advance fees.
It is advisable to go for STR or use local payment methods, which are preferred in selected countries. Most of the remittance services let you transfer your money from your household bank account, and you are protected from those pesky fees for using a credit card balance.
The increase in the number of remittance services available to consumers means there is much more to look for than just the fees they are willing to pay.
Some of the remittance providers will charge various fees, while others will not eat into the amount of remittance your family in Sri Lanka receives. While some providers boast of free services, we have seen others only charge in other ways, such as through very little value for every currency exchanged.
Conduct a web-based comparison to find out the various service providers. Platforms such as ACE Money Transfer are specifically prized for their low cost and simple pricing structure that helps you to maximize your remittance to send money to Sri Lanka from Belgium.
Most of the service providers make remittances for various transfer times. A customer can also select an instant transfer mode, which is relatively expensive, but there is a standard transfer mode that takes 1-3 days and costs less. If you have no time complications while transferring money, you can select other transfer speeds to avoid such charges.
It is advisable to use standard transfer rates while picking an adequate exhibiting velocity. Like all reasonable money transfer services, ACE Money Transfer offers a number of transfer methods that clients can choose based on the amount of time and money needed to complete them.
Currencies change their rates every day, and using the convenience of transferring the money when the rates are good can save a lot of money later on. Some of these services also include options for locking the rate, whereby you can lock a good exchange rate to use later while transferring the money.
Consult your remittance service provider and ask them to notify you when the exchange rates are favorable. It may sound trivial, but this action can help one time his/her transfer to have the best output/ effect.
Most remitting firms offer special bonuses or money transfer fees for customers who are using the service for the first time. If these offers are carried out more often and the prices considerably decrease, they can be quite advantageous for setting up funds transfers.
One should consider engaging a remittance service provider to send money online to Sri Lanka from Belgium during the seasonally offered promotions or discounts. ACE Money Transfer has other special promotions where you stand to benefit. First-time merchants tend to help you keep money for your family by charging less.
Before signing any agreement, take the time to review all the terms and conditions, especially those in a smaller font or buried in the middle of the document. If you're unsure about any fees or charges, don't hesitate to ask the company representative for clarification. By following these best practices, you can minimize or avoid hidden fees altogether:
The best way to escape encircling costs is to find a remittance service company that reveals all fees without secrecy. Unlike other money transfer services, ACE Money Transfer is genuine in its charges; hence, no hidden charges will shock you.
In every transaction, it is advisable to choose a service provider who fully discloses the charges and exchange rates before confirming the transaction. Reputable providers ensure that you understand how much you are transferring and how much your recipient will receive.
Mobile wallets and other Fintech startups have made the transfer of money seamless, cheap, and faster than conventional banks. These facilities are relatively cheaper, and some of them deal at relatively narrow exchange rates.
It is advised that remittances ought to be made via digital wallets. Not only do they charge you lower fees, but they make your recipient in Sri Lanka receive your money faster and more conveniently.
It is important to avoid sending several small remittances simultaneously because they will attract many fees. However, transferring a larger sum in a single attempt to avoid fines is better.
Whenever possible, timing your remittances in more significant amounts will prevent you from paying per-transaction fees.
The way your recipient gathers the funds has a significant influence on their charges in some way or the other. For instance, there are charges attached to cash pick-up, while bank deposits or transfers to mobile wallets are less expensive, and sometimes come for free.
Make sure that your recipient accepts cheap payment options. It is always annoying to have a few dollars taken from your paycheck to pay bills.
To ensure that your loved ones in Sri Lanka receive your hard-earned money in full sum, it is advisable to avoid being charged hidden fees while planning to send money to Sri Lanka online from Belgium. However, you can opt for a transparent service such as ACE Money Transfer, keep an eye on the exchange rate, and be wary of which transfer method can save a lot of money.
Are you ready to transfer the next amount without worrying about extra costs? Start using ACE Money Transfer today to get the way of effective, secure, and easily affordable money transfer services. Join now to take advantage of some of the best rates available for money transfers to Sri Lanka with no hidden fees.
Concealed costs are all those services that are not very well explained, such as the variations of the foreign exchange or extra costs that apply to the service.
Nothing special needs to be done; only check that the mid-market exchange rate offered is higher than the rate the provider is charging.
Search for a comparison of fees and exchange rates within various service providers via the internet.
Digital wallets also tend to offer more or sometimes even lower fees than banks and transfer money much faster.
Initiating bigger transfers fewer times as opposed to small transfers serves to minimize the charges of multiple transactions.
