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Best way to transfer money to a dutch bank account?

Categories: Finance

Want to send or receive money to your Dutch bank account or to friends, co-workers, or family overseas? Just know that the response isn’t “there’s an app for that,” so much as “which app do I use?”

That’s because there’s a whole array of money transfer companies that specialize in moving money digitally, on a global scale. The great thing about online money transfer companies is that in the vast majority of cases, they are less costly than wiring the funds to, or from, a Dutch bank account.

For instance, traditional Dutch banks take up to a 3% fee for transfers going from within, to outside, the Euro zone, and may even charge more for the exchange rate.

Be mindful of “low transfer fees”

And just be mindful – there are times when banks offer “low transfer fees”, but make up the difference by over-charging on the currency exchange. (Not to put too fine a point on it, there are also times when the originator bank will not inform you that the receiving bank will charge a fee to the recipient to accept the cash).

Every car payment  or mortgage payment you make while outside the eurozone, for instance, there’s an additional 3% charge via traditional bank options. On average, if you send 1000 EURO a month that could add up to 36 Euro a year just on fees alone.

There are better options, and they take the form of services you can easily access through apps. Choosing the right service depends on how important certain factors are, to make the decision that’s right for you.

While most companies in this sphere offer competitive exchange rates, they may differ in transfer speed depending on the complexity of the currency or destination. Some may take minutes; others may take a couple of days.

It might be important for you to know, moreover, which companies have more customer ratings, have won awards or which ones have a flat rate transfer fee, versus a percentage. Some companies are renown for their customer service, letting you reach them via email, phone or via online chat; others might not be so versatile.

Minimum and maximum transfers

Still another issue worth asking is what their minimum, or maximum, transfer rate is – in other words, whether they’ll send $100 just as easily as $10,000? Again, it all depends on your preference and needs.

(Note that transferring money between SEPA Euro accounts doesn’t normally cost anything, so transfer apps are good for currencies outside of the Eurozone.)

These are among the many reasons why so many are opting for online money transfer services. Have a peek at these popular choices, and what they have to offer:

1. TorFX has won several customer service awards, and is equally used by business and personal use alike. You can transfer as little as £100 without a fee.

Other advantages is their guarantee to beat any competitor’s exchange rate, and you can also request that the transfer is made at a time specific to when a rate is more favourable to you.

They’ve earned a slew of accolades. In 2016, 2017, 2018 and 2019 they won International Money Transfer Provider of the Year, at the Moneyfacts Consumer Awards. And for two years straight they won Best Customer Service, besting a hundred companies in more than two dozen categories. (Front and centre on their website is that they have a “dedicated customer support team” to assist with any problem, so that your transaction fits precisely with what you’re looking for.)

Since opening in 2004, they have opened offices in the United Kingdom, mainland Europe, Australia and America, with nearly 500 employees. They have transferred in excess of 6 billion pounds in foreign exchange and international payments per year, and hold the highest credit rating with Dun & Bradstreet. Currently, they have served more than 50,000 private clients and more than 5,000 corporate clients.

Their versatility and customer service is what their customers rave about, since they can transfer everything from wages to payroll, pension, to property payments, or travel costs.

2. TransferWise boasts four million customers globally. What’s cool is that many people are choosing Transferwise for transactions in Europe instead of IBAN. Yes, a normal bank transfer using IBAN is free, can be done in your bank app, and just like TransferWise, both take about a day. Yet there are differences.

TransferWise, for one example, pegs their exchange rate to the mid-market rate (so it’s not an arbitrary number, according to them it’s the “real rate”). That number is available on their website. The small transfer fee is determined by a percentage of the funds moved.

With some 43,000 reviews on TrustPilot, and five out of five star rating, they have been trusted with money transfers, e-commerce, and bill payments world over.

Creating an account is free, and takes minutes – and in few exceptions, a couple of days for additional verification. The recipient of the funds does not require an account with TransferWise, but they only need to provide their banking details to receive the funds.

TransferWise has been covered in Wired, Financial Times and the Economist.

Meanwhile, users of bunq bank will be pleased to know that the company has recently partnered with TransferWise. So that means if you are a bunq customer, you are automatically able to use TransferWise, and transfer funds internationally, in a variety of currencies. It’s up to eight times cheaper than any traditional bank and does not charge any foreign exchange fees on the transfer thanks to their ZeroFx system. This also applies to ATMs as there are no ATM withdrawal fees when you are travelling abroad. Transfterwise is available directly via the bunq app

3. With CurrencyFair not only has fast and secure funds transfers, their USP is that they have a kind of peer-to-peer market where people can buy and sell currency to each other. It’s good if you’re not in a rush, and don’t mind waiting for a really competitive rate from other users. They can provide international transfers in 19 global currencies. Funds transfers could take anywhere from one day, to five days, depending on the currency. They are rated 9.4 out of 10 by more than three thousand customers on the review site Trustpilot.

4. Xoom, now owned by PayPal, enables the user to send and receive money to over 150 countries. With a click, any exchange rate is viewable in realtime. Pay bills, reload phones, or send funds to someone’s bank account. Deposit to any Euro bank account in the Netherlands, 24 hours a day, 365 days a year, including ABN AMRO, ING, and Rabobank. Most money transfers available within 2 business days.

There are daily maximums for sending funds, and a chart is laid out on their website. For most transactions 8,000 Euro or over, requires several ID checks. Fees do range depending on where the recipient is, the amount sent, the payment method and the currency. If you’re looking for an instant, straight-forward answer, you might be disappointed.

Your recipient can have money hand delivered, available for pickup, or deposited directly (options vary by country). You can pay using your bank account, debit card, or credit card.

5. Transfermate is yet another alternative, though many might feel reticent when they find out that there are fees on transfers under €5000. But what they promise is that you can send and receive funds internationally, as though they were domestic. They serve 162 countries and in 134 currencies (so basically, everywhere). By this year, it’s ninth, they had transferred €10 billion.Deloitte dubbed them a finalist in the Fintech Company of the Year, they have won the Ernst and Young Entrepreneur of the Year Award, and won the HSBC European Business Award, among scores of other awards. A nice advantage is that you can request that they notify you when an exchange rate for a certain currency is at its lowest. They are backed by an ING investment of €21m.

6. FairFX has been featured in Financial Times, New York Times, and Guardian in the UK. The 11 year old company has won several awards, and has nearly 9,000 reviews on TrustPilot. Transfers are no cost over £100. They promise the lowest online rates to any of their competitors.

7. WorldRemit says that after nine years, they have in excess of 120,000 5-star reviews, they employ 700 people in six continents, and there’s about 145 countries you can send funds to (and over 50 countries you can send from). With their mobile platform, they boast that 70% of their transfers take less than 3 minutes. They also offer a cash pickup in some areas.

If you’re at all interested in the issue of gender pay gap, by UK law WorldRemit has to annually report on this issue, and makes this available to the public. CNN, New York Times, BBC and the Guardian have all written about the company, and they have won various awards.

8. currencyevolve.com says that they provide you with a round the clock currency specialist, in person or over the phone, free of charge as part of their service. They monitor the market movements, and work with clients directly, to provide the best possible rate of exchange with quick service.

They claim they will beat any bank’s rate, and send the money same day to an overseas account.  It also offers investment solutions for clients, claiming that their hedging solutions work to minimize risk and maximize profit for businesses, whether they are looking to keep costs of foreign exchange low or profit on market trends.

They have been established in Spain since 2001, and have branches across Europe.

9. Xe.com – A Canadian based company, XE.com was ranked in the top 500 of all sites worldwide by traffic in 2013, and a top 100 traffic site in Ireland, South Africa and the UAE.

In 2018, XE claimed that its services attracted over 285 million unique visitors.

They claim to offer better rates than the large American banks such as Chase, Citibank and Bank of America, with zero fees. There are no monthly charges to have an account with them, and fees are never charged for money received, as well as no transfer fees for forex transactions.

However, they do note that a third party bank may charge a fee when transferring money to their service as part of the process. They boast a 5/5 rating by Trustpilot, and transferred $74B USD worth of currency in all of 2018. They are also publicly traded on the NASDAQ under the ticker symbol EEFT.

10. The Western Union money transfer app allows sending money online to every country in the world, with more than 500,000 locations for pickup. A 4 euro fee is applied.

They allow paying with credit, debit, online banking, and bill paying. They boast being an ‘anywhere in the world 24/7’ app, and the app can be read in multiple languages.

11. Small world money transfer says they have the best rates in the market, and promises to send money in a matter of hours, with no fees for the receiver. It considers itself a global leader in international money transfers, mostly between US and Western Europe, and the rest of the world, and calculates more than 81 million transactions. Payment options include: cash pick-up, account transfer, mobile top-up, mobile wallet, and home delivery. With 680 employees globally, they claim to have the best of local and global business practices. Agents and staff are available to help customers find the right options for them.

12. Azimo indicates it has a quick registration process, and ease of service. Azimo also considers itself one of the safest money transfer companies. You have the option of sending to bank accounts, cell phones, or one of 300,000 pick up locations around the world. Authorized by the FCA (Financial Conduct Authority), it is also verified by Visa and Mastercard. It has an app, and with push notifications tells you exactly when, where, and how to pick up or collect your money. It was founded in 2012, and as of March 2018 had connected over a million people on its platform. The app has been downloaded almost a million times, with 30,000 five-star reviews. Michael Kent, its CEO, is also a co-founder of Tandem Bank.

13. NBWM (Nederlandsche Betaal & Wisselmaatschappij) has been helping businesses and personal accounts since 2013, with a goal to make currency transactions inexpensive and more efficient. Their stated aim is to eliminate the “high costs and the risk of fluctuating exchange rates”. Since launching, they have helped in excess of a thousand Dutch and international companies. Two years ago, they opened a Singapore office, under the name Clarency, in order to more easily interact with their Asia-Pacific customers. They rank tenth in the Financial Times’ FT100 ranking, highlighting Europe’s fastest growing corporations. Transaction rates are a fixed €5, and they have more than 150 currencies available to transfer.

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