How does money transfer works?

Money transfer is the procedure of transferring money from a bank account to another bank account. It works in different ways, key method is known as electronic fund transfer or EFT. When you purchase an item from a super market, paying via bank debit card, money has been transferring from debit card owner’s bank account to shop’s main account. So money has been exchanged or moved electronically. this is known as Electronic fund transfer.

When moving money through internet from one country to another country is a different deal. Sender and receiver must have bank accounts which is connected with a contact number, email address & bank address. Online money transfer has been designed to work more efficiently & easy.

Money transfer charges often comes based on the exchange rate of home currency & foreign currency. Some of the Main currencies are US Dollar, Euro, UAE Currency, Indian Rupee, Peso and so on

There are different type of transfers

1.       Swift Transfer

2.      Foreign Demand Draft

3.      Telegraphic transfer

Swift Transfer

Swift transfer is a method of transfer money from one nation to other via Swift network. Swift network was founded on 1973 for fast money transfer, before Swift, TELEX was used to transfer money but this network had many issues based on the security & speed of the transfer. More than 10000 members in this network from 2oo+ countries, mostly banks are the members but some of the exchange houses are also members.