Money Transfer Options

As a society, we move money with greater frequency than ever before. We simply do not carry that much cash anymore. Parents transfer money to their children. People split restaurant bills by allowing one person to pay and getting reimbursed by others via a phone app. We send payments for lawn care, babysitting, and other services through money transfers. Some people even pay their rent via money transfer. But is this the most efficient option available? How can you tell?

Money Transfer Applications

There are quite a few popular money transfer applications today. This list will give you an excellent place to begin your search for applications that can make the money transfer process easy, whether you are at home or on the go:

• Venmo. Venmo is a free app to download that allows you to transfer money instantly to friends when the money is drawn from a debit card, bank account, or Venmo balance. You can also use credit or debit cards to make transfers, however, there may be a fee associated with this transaction. You can also transfer any money you receive via Venmo to your bank account.
• PayPal. Many folks are familiar with this service for making online payments. You can send money through their application as well. There are usually no fees for transfers drawn from your PayPal balance.
• Bank Applications. Many banks today have apps that allow you to access various aspects of your account, including initiating money transfers.
• Zelle. Zelle allows you to transfer money directly from your bank. While Zelle does not charge a fee, your bank may, so check with them to make sure.
• Google Pay. This app essentially allows you to send money or make purchases from your phone. There are no fees for debit cards or bank transfers. If you are transferring money from a credit card, be mindful that there is typically a fee.
• Apple Pay. Using Apple Wallet, you can make contactless payments and more. There may be fees for transfers made using this application. Transfers typically take between one and three days to transfer from Apple Pay Cash to your bank account.

Things to Keep in Mind When Using Money Transfer Applications

Like any service, there are pros and cons when using money transfer applications. Here are a few things to keep in mind:

• Transaction limits. Different apps have different maximum transaction amounts.
• Fee ambiguity. Because all apps have different fee structures and banks may have fees as well, some apps could prove more costly than they first appear to be.
• Transfer times. There is not only the transfer time from one account to the next, but also from the money transfer app to the recipient’s account to consider as well.
• Bank compatibility. Some banks may only work well with some apps. You have to find one that works with your bank.
• No cash required. Thanks to a growing cashless society, these apps help you pay friends back right on the spot.
• Convenient. Because you can make the transactions on your phone it offers outstanding convenience.
• Easy. Most transfers initiate with the click of a few buttons.

Takeaway

Money transfers offer a quick and convenient method of transferring money. As more people go cashless, this creates a unique opportunity to share funds, split bills, and repay debts on-the-go and from your phone.