Sending and receiving money are two of the most common financial operations. Every day, billions of people worldwide engage in just as many money transfers. However, few of them stop to consider the risks that online transactions usually pose. Unfortunately, most people realize the dangers of transferring money when they are victims of fraud. But by then, it’s already too late.
In this article, we take a closer look at some of the safest ways to transfer money. Like Paxum, these electronic payment applications provide high-security standards and optimal performance at a low cost.
- Wire Transfers
A wire transfer is an easy means of transferring funds from one entity to another. People can use it to move money from one bank account to another. Also, they can send funds worldwide, and receivers can redeem them in cash.
Most services that offer wire transfers are safe. They use the most secure banking protocols to ensure complete protection for your funds. Furthermore, the advent of online transfers has contributed to more financial services in this field. Nowadays, numerous electronic payment apps provide this service.
- Peer-to-Peer Transfers
Some of the most secure solutions for sending and receiving money are peer-to-peer (P2P) transfers. You likely know of a few favorite P2P apps that provide high accessibility and versatile payment choices.
The best part about these apps is that they do not involve third parties like banking institutions. Instead, they bridge two entities and enable them to transfer money without the approval of a centralized authority. Simply put, if both you and your friend have accounts on one of these apps, you can send each other money without the banks interfering.
When using P2P apps, you do not have to link your bank account to them. However, this doesn’t mean that the applications are not safe. On the contrary, they benefit from some of the best security protocols in the business.
Lastly, these apps allow international money transfers, but which come with hefty transaction fees. Your best choice is to always have extra funds to pay transaction costs. Other than that, most of these apps are free to use.
- Cross-Border Transfers
The last entry on our list involves electronic payments that take place internationally. Simply put, these solutions are ideal for those who travel often. If you cross borders at least twice a month for the whole year, you need your money to follow you quickly and efficiently.
The market for cross-border transfers is quickly expanding. Many applications in this field enable users to transfer money to other countries rapidly and cost-effectively. Furthermore, it allows them to receive payments in a currency of their choice.
Alternatively, cross-border money transfers are perfect for those who work with contractors or clients from different countries. In this regard, it enables them to pay and receive payments almost instantly and with low transaction fees.
Due to their international status, borderless money transfers benefit from high standards of security. You can count on them when sending and receiving funds.