The aim of this module is to teach you about concept of remittance and BACS payments, both within the country of origin, as well as international payments.
The objectives of this section are:
- To define the concept of remittances and their associated documentation and procedures
- To identify the costs and charges linked to remittances
- To provide information on security and validation for making and receiving payments
By the end of this module, you will be able to:
- identify different ways of sending money overseas.
- understand the costs of sending money.
- become better skilled at including remittance costs in your budget.
In this module, you will learn about remittances. Remittances are payments that are sent or transferred to another party in a variety of ways. For example, business payments and bills are forms of remittances. The most common form of remittance is money that is being sent or received from another person abroad, usually a family member. People working in foreign countries often send money back home to their families.
There has been an increase in remittances being sent overseas due to a larger number of people living and working abroad. It has also become easier to send money thanks to the internet. Remittances have become an important part of many low-income countries’ economies and have also provided important services such as disaster relief and encouraging economic development.
There are many ways that money can be sent abroad. Nowadays, the most popular services are online due to their convenience and affordability. People can easily send money abroad from their mobile phones with money transfer apps. Aside from online services, money can also be sent via wire transfer, transfer firms, and foreign exchange brokers.