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remittance

Sending money to Malaysia

Sending Money to Malaysia

By | Banking, Money transfer

Remitting or sending money to Malaysia is a fairly easy process these days. The Malaysia currency is known as Ringgit (pronounced as Ring gait) Malaysian with its usually known symbol being RM or MYR.

Sending money to Malaysia

There are two methods to sending money to Malaysia. The first is the traditional method using conventional banks and financial institutions operating in Malaysia. These financial institutions are regulated by the Malaysian Central Bank or Bank Negara Malaysia. The remittance of funds is covered by the Exchange Control Act 1953 and the Payment Systems Act 2003. The other method which only recently has become more popular due to the convenience of the Internet is online transfers such as Western Union, PayPal which are the more popular remittance service providers.

Regulation

There are various rules regulating the transfer of funds into Malaysia from overseas. The rules applies differently to residents and non-residents. The rules are also different for companies and individuals. Different rules also apply to remittance of foreign currency to Malaysia and the remittance of foreign currency to be converted into ringgit.

B2B transfers

Exporting companies which would receive payment for product or services rendered and to be paid by the foreign company in any foreign currency must show proof of that the product or services was purchased and invoiced to the foreign company. The funds sent must correspond to the value of the product and services invoiced by the Malaysian resident company. The company remitting the money would also have to provide correct details about the invoicing company and its bank account – ie Name of the account, Bank Name and address and SWIFT or BIC (Bank Identification Code) which is the bank’s unique identification code.

See also our article B2B money transfer

Individuals receiving money

Individuals (residents or non-residents) can receive funds from overseas via normal money transfers into their bank account. These funds will normally be converted from the foreign currency into Ringgit before being deposited into the local bank account. Individual residents or non-residents can also receive foreign currency in the specific foreign currency i.e. not converted into Ringgit if they have a Foreign Currency Account Bank Account. However, the currency being remitted must be the same as the type of currency the Foreign Currency Account was opened with – a remittance of USD$ can be deposited into a USD$ Foreign Currency Account but a remittance of Euro € may not be remitted into the USD$ Foreign Currency Account. The other issue with transfers via bank accounts is the time taken for the funds to be cleared and available to the recipient is based on the individual bank’s operating hours and clearance guidelines which can sometimes be up to five days.

For a faster more convenient method, online transfers are used to remit funds to residents and nonresidents. These transactions can be completed in minutes and to any location in Malaysia which is affiliated to the particular remittance company.

The overseas sender may be requested to provide information about the recipient who is based in Malaysia such as name, passport number or date of birth and other personal information. The recipient would only need to show some form of identification or some information corresponding to whatever condition set by the sender to receive the funds.

Further reading

SWIFT money transfer

By | Money transfer, Outsourcing: an original view

A Brief about Society for Worldwide Interbank Financial Telecommunication

The world has turned into a global village due to the advent in technology. Technology has made this world pretty small and compact, interaction between people far away geographically requires only a few keystrokes now. This global village-ness of the world has made it so comprehensive for people to get humongous things done from the comfort of their home. One of these activities is the transfer of money from one place, to a location that is hundreds of miles away.

One of the chief medium through which money is transferred from one place to another is SWIFT money Transfer. A SWIFT money transfer is a kind of global wire transmission that is an electronic way of transferring currency from one nation to another. SWIFT initiated in 1974, when seven worldwide banks fashioned the “Society for Worldwide Interbank Financial Telecommunication (SWIFT)”. The money can be transferred and can be received by the receiver’s account in as short as a few minutes, but due to some unforeseen circumstances, it can also take up to about a few days. The transmission appears to be like a piece of paper with data in print, for instance the sending bank’s info, the entities tangled in the transmission and a sequence of codes that define how the money will be received. SWIFT money transfers permit money to be directed to far-off nations further quickly than by mail or courier facilities. They similarly offer receivers with an assurance that they will take delivery of funds as payment and that the money received is what was arranged upon throughout the deal.

Charges of $30 usually are obligatory to initiate SWIFT transmissions and there are related fees to accept one. Moreover, SWIFT transfers are also used by perpetrators of scam who bid that money be wired to them for scamming the people obviously. Customers must be wary if they are requested by an unfamiliar individual to wire cash out of the country.

SEPA payments

Within Europe SEPA payments are the norm. These are a lot cheaper, most often even free.

 

Money transfer to India

By | Banking, Money transfer

How to Send Money Back Home without Much Ado

India is situated in the heart of Asia. It is known for its cultural diversification, its history, its monuments and what not. However, India also has the third largest population in the world. According to the census of 2003, the population of India is nearly 1.3 Billion people. It would not be much of a problem had all its occupants were living on a satisfactory income, but unfortunately, they are not. Almost 80% of Indian people live below the line of poverty. In this regard, most Indians strive to grow up and move abroad for earning money. This strategy of the people of India has brought fruitful results to the country because firstly, it has outsourced a lot of people which has decreased the population boom. And secondly, because when these people send money from abroad, part of it also assimilates in the national wealth of the country.

There are a lot of methods via which overseas Indians send money back to their relatives in India; some of these are Greenwich Money Exchange, Western Union Money Transfer, and Remit2India etc. But the most famous of these options is Continental Exchange Solutions. It is a huge conglomerate, whose division for India is called “Ria Financial Services”.

This assists millions of overseas Indians in their quest of money transfer to India.

Sending Money

Continental Exchange Solutions allow customers to send money from wherever in the world to India via a debit card or a credit card, whichever suits your needs. You can also go to one of the millions of branches of Continental Exchange solutions personally and handover cash to them to transfer it to a particular city in India.

Receiving Money

Receiving the money sent via Continental Exchange Solutions is as easy as 123. There are two options for your recipient in collecting the money. He or She can either transfer the money received directly to his bank account, or the money can be collected personally through the 44000 branches of Continental Exchange Solutions throughout India.