April 18, 2013 by Andrew Minalto - 11 Comments

TransferWise.com – A Simplified PayPal for Business Banking?

  1. Quicker international bank transfers!
  2. Better currency exchange rates!
  3. Lower fees than any bank can offer!

Sounds terrific, right? Well, it is! Welcome to the 21st century of banking via TransferWise.com!

No, it’s not actually a bank and doesn’t offer super profitable deposits or loans. But they do specialise in one thing, and it’s something that we business owners face on a regular basis – international bank transfers.

If you buy stock for your eBay business from abroad, quite often you’ll need to make international money transfers. Now that’s ok if your supplier is happy to take card payments or PayPal but quite often the only way to pay is by sending a wire transfer via your bank.

So that means either visiting your local branch OR sending the payment through online banking, paying a small fortune in fees while receiving the worst exchange rate imaginable. If we’re talking about a payment of a few thousand pounds or more, then you lose out – big time.

And even with PayPal or a credit card, when you’re paying in a different currency than your base account, chances are the exchange rate you’re getting is far from the best. Plus most companies will charge extra if you pay via PayPal or credit card as they have to cover the payment fees at their end. (more…)