Understand The Importance Of International Wire Transfers

by David Jenyns on March 5, 2012

International wire transfers are known to be reliable and common practice in the global market.  However, when conducting international business, the funds rarely come through in a timely manner. Delays are common practice and can halt a transaction all together.It can be frustrating when international wire transfers are delayed.

International wire transfers are common because they are often used to transfer large amounts of money.Fees are charged by wire transfer companies when doing global business. You can expect large fees because they know that you have few other options of transferring money.  In addition, the person sending the wire transfer pays a fee to submit it, as does the person receiving it.

International wire transfers are not easy to use because they require crucial banking details.On odd occasions the international wire transfer might be halted due to insufficient bank details.Once you realise your money is missing, it often has to be traced intensely.

Discrepancies over exchange rates often cause problems when sending and receiving international wire transfers. Banks are responsible for converting the funds to the currency of the receiving country. The day’s exchange rate changes drastically and receivers should be aware.When conducting global business, the funds your expecting will be converted to your local currency.When transfering funds to another country, it is important to realise the receiver will get the funds in their own currency, not the senders. 

International wire transfers are sometimes slow. You may expect your money one day but due to bank holidays or weekends, the timing may be off and you are delayed in receiving your payment. You may be aware that different time zones are also problematic because of this. Sometimes the money is even caught up somewhere in limbo and must be traced to see if it has arrived. 

Often times, the companies that handle the international wire transfers won’t even let you know the money has arrived. You have to check in with them.  You can check your bank information to ensure that the money has left your business account but you won’t ever receive confirmation that it has been received on the other side by unless the recipient notifies you that they have received it.  Even something as simple as a transfer receipt would be preferable.

There are other methods out there for transfering money internationally.  It is easier to have money transferred instantly and without having to deal with bank holidays, weekends, time zones and other issues that cause delay of transfers.Some businesses need a common and easy technique when sending money.


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