Wire transfer

What is a bank transfer?

A bank transfer is a transfer of money that is made through Bank entities, from the account of a person who order the transfer to the account of another that receives the money (beneficiary). It is executed between different banks, that is, there is usually at least 2 banks involved.

When transfers are made within the same bank, that is, when the person ordering and the beneficiary have their account in the same bank, the transfer is called transfer.

Types of bank transfers

Bank transfers can be classified according to different criteria, including geography, method and time.

In function of the geography

Depending on geography, bank transfers can be:

• • Nationals: when the payer and the beneficiary are in the same country (Colombia, for example).
  • Exteriors: when the payer and the beneficiary are in different countries (Colombia and Mexico, for example). Transfers between localities could also be included within this classification; However, as the banking systems are national, it does not usually make a difference to make a transfer between localities or within the same locality.

Depending on the method

Depending on the method with which it is ordered, bank transfers can be:

• • Via ATMs: some ATMs have the option of making bank transfers by entering the card and the data of the destination account.
  • In the branch office: we can go to a bank branch and order to make a deposit in a person's account.
  • For telephone or fax: you can call the bank or send a fax with the transfer details.
  • For Internet: banks have online platforms with which people can make transfer orders from their home or work without having to move to a site.

Function of time

Time-based bank transfers can be classified as follows:

• • Ordinary: which take between 1 and 2 business days. This varies depending on the regulations in the countries.
  • Urgent: they are credited the same day to the beneficiary's account.
  • Immediate: as soon as the transfer is made, the beneficiary has the money available in his account. This usually happens when transfers are made.

Bank transfer fees

Operations through banking entities generate an expense, and in this way said entities manage to generate income to maintain your activities. This expense represents the commission that must be paid by those involved in the transaction.

Bank transfer fees depend on the nature of the transfer, that is, on the classification seen above:

• Ordinary transfer- Fees for ordinary transfers are usually low, but can vary depending on the method by which they are requested.
• Transfer: transfers are usually free of commission because they are an operation within the bank.
• Return: when a transfer is not made because there was an error in the data indicated by the payer.
• Transfer abroad: this type of transaction usually charges a higher amount than national ones.