What is preferable - Paypal or TransferWise?
May 26, 2019
by Evgeny Kulkov
Millions of people regularly face the problem of transferring money abroad. What are the best ways to do this in the world today?
Payment system Paypal
Currently, the largest debit electronic payment system is PayPal. Of course, system services are quite convenient for the international transfer of money. If you send money domestically using your PayPal account balance, the service will not charge a fee. But my experience of using the system shows indifference to customers. And this is very important.
For many years I used the services of this company to pay for goods abroad. Not so long ago, PayPal began to offer a free service of compensation for the cost of returning goods to foreign online stores! Two months ago, this situation has developed and I decided to return to Italy bought things. After providing Russian Post checks and return invoices – I was asked within 14 days to provide documents on receipt of the return by the supplier and a copy of the money transfer online store! Time to return and consider the case in Italy – took 41 days! Since I did not meet the deadline of 14 days – I was denied compensation.
In addition, a significant drawback of the PayPal system is a long withdrawal. Quite a few other PayPal alternatives are available with lower rates, improved customer service, and even better interfaces.
Payment system TransferWise
Now the best alternative to Paypal is TransferWise. This system is very easy to use. To simplify the registration process, there is an opportunity to do it through a Google or Facebook account. However, during registration, your identity is checked in order to comply with the rules of anti-money laundering. But, if you do not want to provide your passport or driver’s license, it is enough any document confirming your address. It can be a utility bill (telephone, electricity, gas) or a credit card statement.
The interface of the TransferWise system is very convenient. There is a special currency converter that allows you to immediately see how much money you will receive as a result of the transfer. And this amount will pleasantly surprise you because the сommission of TransferWise is only 0.5 %! TransferWise commissions are completely transparent. They charge a percentage of the transferred amount and a fixed fee for some transfer directions (combinations of countries).
To speed up the payment process, you can view previous payments and repeat them at the touch of a button. This is especially useful if there are constant monthly payments.
I found another nice surprise in the interface of TransferWise – a great referral program. If You invite your friends to this payment service via a referral link, and they make payments, you will earn £ 50 for every three referrals.
TransferWise converts the money using the real market average rate when they receive and process your payment. This means that the TransferWise exchange rates are the most honest, most accurate rates you can expect. In addition, TransferWise will automatically fix the exchange rate for a certain period of time, from 24 to 48 hours, which will allow you to avoid the risk of exchange rate fluctuations. This ensures that your recipient receives the exact amount of money. But your money must come to your TransferWise account within a certain time, or the exchange rate will no longer be guaranteed.
So the conclusion is clear. Do you need to transfer money? Type Transferwise on the keyboard of your computer or smartphone!