Technology is having an increasing impact on almost every aspect of our lives. This has been true when it comes to the likes of work for decades. Over the past 20 years or so, however, it’s been having an increased impact on how we pay for things. While the majority of people still use credit cards, a significant amount of people are using a variety of different methods to pay for things online. This isn’t limited to the likes of buying clothing from an e-commerce store. It is also become increasingly common to pay for the likes of groceries and more using some of these services.
This has been driven by the fact that it has become easier and easier to transfer money online, through either a smartphone or other device. With the wealth of options to choose from, however, many people may be overwhelmed with the choices. That shouldn’t be the case, though. There are quite a few notable ways to transfer money online, with these being broken down into two key categories: person-to-person apps and money transfer services. There can be advantages to both, which can lead to many wondering which of these they should go with.
Money Transfer Services
Some people may not want to choose an option that doesn’t have a physical storefront that they can go to. This is primarily because many of us might feel more comfortable speaking with someone at a business that specializes in this area. Because of that, there have been quite a considerable amount of companies that have built their names on this kind of service. Perhaps the most notable of these have been the likes of Western Union and more.
One of the added advantages of these money transfer services is that whoever is receiving the funds may not have to have an account with the service to receive the payment. Instead, all they’ll need are a few transaction details. This can offer a few notable security benefits, with the most obvious being that the money will be sent to exactly who you want to send it to and won’t be liable to the likes of hacking.
With the sheer amount of ways to transfer money online, many people might wonder which to choose. As we’ve explained above, however, it’s worth noting what kind of benefits and drawbacks each of these apps and services offer. While there are a few notable options that have been popular for years, that doesn’t mean that they’ll be the best choice for you. Instead, you should look at the likes of fees, payment periods, and much more when you’re considering which method to use.
Some might even restrict which countries you can send money to. As a result, if you’re planning on traveling to various countries, then this is something that you’ll need to be aware of. By using one, or a few of the above, you should be able to avoid this. When it comes to your finances, it’s better to be safe than sorry, which is why you should also look at how secure each of these platforms are.
Person-to-Person apps have become increasingly common over the past two decades. This has chiefly been because of PayPal’s success since being founded in 1998. Since then, there have been a variety of different companies established that focus on the niche. This has resulted in quite a few notable features and improvements to the software and methods used to send money online with these apps. These have also been quite an easy way to do so, as the apps will draw the money directly from your bank account to send funds to someone else.
The majority of these person-to-person apps also allow you to pre-load them with a certain amount of money, or even connect a credit card to them. As such, you shouldn’t need to worry about spending more than is in your bank account. However, it should be noted that both the sender and receiver will need to have an account with these apps for the method to work. Outside of this, though, it’s a relatively quick and easy way to send money around the world without having to pay a significant amount of fees.
The popularity of the method has led to quite a few notable brands being launched in the industry. Some of the more surprising of these are Google and Facebook, who each offer their own digital wallets. There are also a considerable amount of other companies that are making a name for themselves in the market.