How do you send money to Bangladesh or your home country from abroad? Nowadays it’s uncommon to do face-to-face payments and that’s because of the emergence of online money transfer systems. It has made transactions much easier and time-saving. Back then, trudging down a bank branch was the only way to get your transactions done. Although the traditional in-person banking was abandoned a lot earlier than any of us know. It only became evident after the internet grasped an important place in our lives. In today’s world, almost all transactions and payments can be handled online.
When it started?
The banking industry is one of the sectors which benefited a lot by going online. With the introduction of online banking, customers can now remotely manage their funds without the need to go to the bank.
Banks started internet banking as early as the 1980s. However, at that time internet was a luxury. The commonality didn’t have access to the internet and it took a decade for the internet to be easily available to them. During this time banks used to provide telephone banking services generally known as telebanking. After the masses get access to the internet, online money transfers to Bangladesh and other developing countries gained popularity.
First bank to offer online money transfer
The United American Bank is the first bank in the world that offered home banking. They started offering this service in December 1980. Followed by United America Bank, in 1981 four of New York’s major banks (Citibank, Chase Manhattan, Chemical, and Manufacturers Hanover) started offering home banking services. Home banking provided the facility of banking via phone as well.
Popular in the UK and Europe
In the UK online banking system was introduced in September 1982. At first, it was confined to some areas and in 1983 it expanded nationally. Half of the European people use online banking for money transfers to Bangladesh or other parts of the world. Almost 95% of Norwegian people use online banking systems to manage their finances. The percentage in the rest of Europe is pretty much the same as in Norway.
Online money transfer and India
India is the 2nd largest country in the world in terms of population. By 2020, India’s population was 1.38 billion. This huge population of India loves to bank online. India has the highest number of people using online banking systems in the world. Almost 68% of India’s population transfers money online.
Online money transfer is available round the clock giving it an edge over traditional physical banking where you must have to visit a bank branch to make your transactions possible. So on holidays or in case of any emergency you don’t have to wait for the bank to open. You can transfer your money any time, irrespective of day or night. The recipient will also get it within no time.
As they say, time is as important as money, so online banking is an actual time-saver. If you want to apply for a loan, transfer money or perform any banking transactions online then waiting is not an option. No one has to wait outside the banks in long queues to execute these actions. Through online money transfer portals, all these tasks are just one click away.
Everyone wants to get the job done by paying less or not paying at all. A traditional bank might charge $10 or even $15 per month just to have a checking account. But now, when you transfer money online they charge you less or in some cases no fee at all. They are clear winners when it comes to fees. The one main reason is that when you transfer money from bank to bank they charge money on the total percentage of the amount you are sending but in the case of online a nominal sum is charged.
Minimum desk work
The rate at which climate change is affecting countries all around the world is alarming. Campaigns have started all around the world against deforestation. For this reason, most countries around the globe are working towards going online completely in order to reduce paper usage. So when you transfer money online, you don’t have to do any work involving paper for example you don’t have to sign any document.
Instead, there is no need of signing checks or filling forms in order to pay your bills because with online money transfer you can automate your bill payments. By paying your bills this way, you can also monitor your money and keep up with your transactions
So, with all that being said, if you hate going to banks then you should opt for the online money transfer means. To send money to Bangladesh online, the only thing you need is the internet. They offer better interest rates and are safer as compare to traditional banking methods. Most importantly, with the online money transfer methods, there are no geographical barriers.