What are the advantages and disadvantages of a bank wire transfer ?
A wire is a paperless transaction between banks. The electronic submission of money debits your account (payor) and pays the payee. I put money in quotes because there is no physical dollar bill that changes hands. It subtracts the amount from your account and adds it on to the other account you're paying. There is a trail for such a transaction, so it can be traced from one bank to another. It is instantaneous, like a debit card transaction, in that the payor's account automatically has the funds taken out of the account (held for close of business when the bank feeds all the wires through) and the entity receiving the funds has them the next day. advantage: It's instant (if you're buying a car in full w/ a wire, the car is fully paid in 24 hrs. A check of that size may have a 10 day hold on your account before verifying!) Disadvantage: it costs more than a check. Wires are a few bucks to about 20 bucks. Not practical on smaller transactions, but if you forgot to pay your daughter's tuition and she's about to start class, this scenario is perfect.
its just a transfer of funds from one account to another --- usually overseas --- most intracountry transfers can be accomplished online today ---- it depends on how much you need to transfer and to whom --- there are much easier and cheaper ways to transfer funds --- credit cards, international transfers such as western union, international postal orders ---- have fun
Wire transfers on average will run you $15 for domestic and $30 for international. Both representatives from two different banks will process the electronic transfer. Advantage - No physical cash is exchanged. The money will be at another institution the same day. Disadvantage - Fee
Major advantage is the money is there almost instantly or at least on the next business day. Disadvantages: 1. Someone else has your bank account numbers so potentially fraud at a later date would be possible (but this can be avoided by only sharing this information with a trusted source and not some Internet person you didn't know!) 2. There is usually a charge for transferring and accepting. Using Paypal, Money Gram or Western Union is probably cheaper and much safer depending on your circumstances.
Wire transfers on average will run you $15 for domestic and $30 for international. Both representatives from two different banks will process the electronic transfer. Advantage - No physical cash is exchanged. The money will be at another institution the same day. Disadvantage - Fee
