Remittance Simplified
The phenomenon called Globalisation changed the world. To the uninitiated, the past century saw major economical advancement in some countries resulting in a migration drive with people leaving their homes to these greener pastures. Today, the boundaries of the world are blurred as people move from one country to another more frequently than ever before.
Even though people move abroad, they still continue to stay in touch with their loved ones back home through mails, telephone and through the money they send them. Of course, since the very reason for moving abroad is to provide for a better future for their family, sending money home becomes a gesture of love.
The act of migrants sending money back home is called Remittance, which forms a strong basis of income for many developing countries. The strong currencies of developed countries receive better appreciation when converted into the local currency, hence becoming profitable not only to the family but also for the nation.
Sending Money To Home Country
There are numerous ways to send money back to homeland. People may choose to send money through friends, agents or carry it themselves. The safest way to send money is through a remittance house, which remits money for a nominal price. Here are a few ways to transfer money to a beneficiary’s account:
To A Bank Account : One can transfer money from a remittance house to a relative’s bank account in the home country. The sender will remit money and the family back home will receive the amount equal to their currency’s value. The remittance can happen either through an exchange house or through an online money transfer portal.
UAE Exchange, the leading global remittance and foreign exchange brand, offers bank credit facility. For some banks it has Flash Remit, a product for real time account credit, which will deliver the amount at the fastest turnaround time. An SMS notification confirms both the sender and the receiver about the amount credited in the bank account.
Instant Money Transfer : There are many instant money transfer brands, which provide the service through a valid agent. When an expatriate sends money through an agent, his family can receive the amount from another agent back in the home country, within minutes. Hence the service is known as Instant Money Transfer.
UAE Exchange offers Xpress Money, the leading global instant money transfer brand, with more than 100,000 agent locations across hundred countries. The sender receives an SMS notification, the moment cash is received by this family.
Online Money Transfer : Internet has today become a popular hub for many business dealings and financial transactions. It is increasingly become the favourite channel for those who remit money, because of the convenience and security it offers.
UAE Exchange brings Money2anywhere, the online money transfer portal. This service is available in10 countries from where customers can send money to anywhere in the world, in just a few clicks. It supports bank to bank, card to bank, bank to cash and card to cash transactions. Customers can choose to either send money directly into the beneficiary’s bank account or as hard cash, which the beneficiary can receive from an instant money transfer agent, back home. Money2anywhere customers have the strong support of the wide network
Xpress Money agents for the same.
How Is Remittance Different From Foreign Exchange?
It is true that both the concepts require money transfer and currency conversion. But the basic role of remittance is money transfer from the migrant to his family in his homeland. Foreign exchange or Forex, on the other hand, can be basically defined as an exchange of one currency for another, with respect to the rate of exchange at that particular point of time.
ABC Of Remittance
Remittance: The money sent by a migrant back to his family is called remittance.
Sender: The migrant who sends money home is the sender.
Beneficiary: The person who receives the money sent by the migrant is called the beneficiary.
Currency: Currency is value of money as issued by a country’s governing authorities, usually imprinted on paper or metallic coins and denoted by a symbol. This officially authorised money issued by government is called fiat currency, giving rights only to a particular central bank for minting it.
Currency Conversion: In the process of money transfer, the money is converted from the value of one particular currency to the value of the other currency, this is called currency conversion.
Exchange Rate: An exchange rate is the value at which a currency of a country will be exchanged with the currency of another.
Posted: December 26, 2011
For more information please visit Global Money Transferrer – UAE Exchange website or nearest Branch Location
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