With a large number of Mexican citizens living and working in the United States, several methods have been made available for sending money from the United States to Mexico. As technology has made new electronic methods of sending cash available, a very competitive environment for companies that offer money transfer services has emerged. This is great news for consumer looking to send money to Mexico.
There are several methods that are relatively easy, each with its own set of costs, requirements, time lines, and advantages.
Some of these methods include:
Bank Transfers: There are essentially three ways that money can be sent to Mexico through a local US bank. The first is a wire transfer, which generally costs between $ 25 and $ 65. In order to initiate a wire transfer, the sender must have a valid bank account in the US and the recipient must have a valid bank account in Mexico. The sender must have all of the required information for the receiving bank, including the SWIFT number, an international bank identification number.
In addition to wire transfers, bank customers can purchase a "C-draft," which is essentially a money order purchased from a bank. The sender of the C-draft must mail the money order to the recipient, which can take longer that many money senders would prefer.
Finally, people sending money can also choose to purchase a cashier's check. The downside with a cashier's check is that the bank in Mexico may choose to put the check on hold while it verifies that the check is valid, which could take several days.
Prepaid Debit Card: An individual sending money to Mexico can have a debit or ATM card issued and sent via Fed Ex to the intended recipient of the funds. That card can either be given access to a bank account directly or be loaded with a prepaid amount. The sender will have access to the cash through any ATM machine included in the network of the sending bank. It may take a few days to get the card into the recipient's hands, but this method can be used again and again with the same debit card. Costs for this service are generally reasonable and almost always lower than fees for a wire transfer.
Money Transfer Service: Money transfer services are another option but will charge a fee when you consider that a prepaid debit card can get money there quickly at a fraction of the cost. The recipient of the funds must have access to a money transfer agent in Mexico, which can be challenging.
This is a secure and popular way to send money, although there are a rising number of options just as fast as a money transfer service that make sending money even more convenient for the sender and the recipient.
The companies working to increase their share of the business for money being sent to Mexico are certain to keep this landscape competitive, ensuring that consumers will continue to have access to faster, safer, and more effective ways to send money.