Do you ever think about how to send money to Pakistan? In this article, we will talk about some of the companies offering the best exchange rates for sending money online worldwide.
With technological advancement, the way people send money to their loved ones away from them has changed in a dramatic manner. Earlier it was through banks. Then the payment methods through cards were seen and practised. And the evolution did not stop here. Technology kept evolving, and today we have the methods of sending money online to a distant land with just a few clicks on a computer or even fewer taps on the screens of our smartphones.
Let’s first see what a currency exchange rate is.
Exchange rate:- A currency exchange rate is the value of one country’s currency versus the currency of another country.
For example, if you wish to buy one US dollar with a Pakistani rupee, you will see how many rupees one US dollar will cost you. That is called the currency exchange rate for money transfer to Pakistan.
Now let’s study the two main types of exchange rates. Because, without understanding these, we will be unable to have a fair idea about how currency exchange rates are determined.
Floating exchange rates:- These rates are driven by the simple demand and supply principle in the open market. With higher demands, the rate will be high and low with lower demand. One point to bear in mind in trying to understand these rates is that their demand and supply depends on a lot of factors such as economic viability and political stability etc of a country.
Fixed exchange rates:- This rate is set and determined by the government of a country through its central bank or central financial regulatory authority. An authority in consultation with its respective government and by studying several important factors determines the rates of one big currency against another major currency in the world.
Now let’s take a look at the top ten online money transfer companies’ exchange rate markups.
- XE comes atop the list with a 0.5% exchange rate markup for online money transfers to Pakistan or another country;
- Wise (TransferWise) holds the second position with 0.5% exchange rate markup;
- WorldRemit is on position number three with 1% to 1.5% exchange rate markup;
- On position number four is standing OFX with 1.5% exchange rate markup;
- The fifth position is held by Azimo with a 1.5% exchange rate markup;
- On number six comes Remitly with 1% to 2% exchange rate markup;
- On position number seven is Skrill with a 3.99% exchange rate markup;
- Ria Money Transfer comes in at number eight with 0.5% to 2.5% exchange rate markup;
- Xoom holds position number nine with 2% to 4% exchange rate markup; and
- MoneyGram holds position number ten with a 4% to 5% exchange rate markup.
Conclusion:- We have studied currency exchange rates and their types and also gave a glance at the world’s top ten companies offering the best exchange rates. There are other factors such as speed, security, convenience, reach etc., that affect the exchange rates. Besides, ACE is another credible company that offers the best exchange rates with uncompromised service quality and offers top-notch security of your amount and transaction taking place at lightning speed coupled with maximum convenience for its customers. ACE’s growing customer base is a strong testimony that the time is not far when ACE will grab the top slot in the list of best exchange rate offering companies worldwide. Do you send money to Pakistan online through ACE?