December 12, 2019 | Posted by: Venus Zoleta | Personal Finance
December 12, 2019
This article was published on June 16, 2018 and was updated on December 12, 2019.
What remittance center do you usually visit to send money to the province or another country? Your favorite money transfer company may be providing great service, but it doesn’t hurt to look for better options out there.
Looking for a new remittance center for your money transfer needs? Here’s a comprehensive guide you can refer to for when you need to know more about remittance centers in the Philippines, which ones are the top service providers, and how to pick the best remittance center for your money transfer needs.
Remittance centers are financial service providers that allow people to send or receive money to anyone within the country or abroad. With multiple physical locations, these companies offer a traditional way to transfer money for Filipinos without a bank account, PayPal account, and/or internet connection.
Almost 20,000 money remittance centers operate all over the Philippines, including far-flung barangays where banks and ATMs are scarce. Aside from their accessibility, these money service businesses attract many unbanked Filipinos because of their other financial services such as pawning, bills payment, foreign exchange, and e-loading.
Customers can just visit the nearest remittance center and send cash to their loved ones, make payments, or claim remittances from abroad. Typically, money gets transferred and is ready for pick-up within minutes or the same day.
A remittance center in the Philippines usually serves OFWs who send money back home, as well as their families who receive such remittances. It also enables online and home-based businesses to receive payments from their customers who have no credit card or savings account.
Here’s a closer look at eight of the best remittance service providers in the Philippines. Most of them offer domestic money transfers, while a few ones provide international remittance services. Only Cebuana Lhuillier, Western Union, and MoneyGram allow sending money from the Philippines to various countries.
LBC Instant Peso Padala Rates
Convenience via the Peso Pak Door-to-Door Delivery: Instead of cash pick-up, you can choose to have cash delivered to the recipient’s home or office. This is a great option for sending money to senior citizens and persons with disabilities who may have difficulty traveling to the nearest LBC branch.
How do you know if you’re doing business with the right remittance center? In a nutshell, its money transfer service should be affordable, quick, convenient, reliable, and secure.
Whether it will be your first time to avail of a money transfer service or you’re a long-time customer planning to switch to a new provider, here are some important tips to remember when choosing the best remittance center in the Philippines.
Of course, you want your money to get to your recipient as soon as possible. Most of the top remittance centers in the Philippines (Refer to the list above) can transmit cash in real-time or within minutes, so your loved ones won’t have to worry and wait too long, especially if they need the money for an emergency.
Although remittance centers traditionally enable transactions in person, some of them have leveled up in terms of offering convenience to their customers.
For example, there are remittance centers that allow people to send money using their credit card or PayPal account, so they don’t have to personally visit a branch. Likewise, money transfer recipients have other options aside from cash pickup. Some remittance centers enable direct deposit to a bank account. Others even do door-to-door delivery, which is the most convenient way to receive remittances.
Visit the social media accounts of the remittance companies you’re considering to check the reviews and comments left by their customers. Take note of what most feedback (and complaints, if any) is all about. Also, observe how each company replies to negative feedback on social media. How does it deal with disappointed customers? Does it even respond to customers?
Even better, ask your family and friends about their experience with certain remittance centers. It’s important to know if a remittance center has a helpful, responsive, and friendly customer service team that can quickly assist you when an issue arises, like delays and failure to receive funds.
It’s also great if a remittance center offers different ways to contact its customer service reps, including phone, email, or chat.
When it comes to anything that has to do with money, you don’t want to take chances with a relatively unknown remittance center, or one that has a shady reputation. Go with a company with a good track record and reputation.
Reputable remittance centers are regulated by the Bangko Sentral Pilipinas (11), giving peace of mind that the money you send will reach your loved ones safely.
Which remittance center lets you save money with their low service fee? Keep this in mind when comparing different rates charged by remittance centers. Some service providers charge higher than others for a certain range of remittance amount.
While the money transfer fee seems minimal for every transaction, note that the fees add up over time as you keep sending money to your loved ones.
Also, make sure to choose a service provider that doesn’t charge recipients a fee for claiming remittance.
To make comparing service fees easier for you, we’ve created several comparison tables you can check when determining which remittance center provides the cheapest money transfer within the Philippines.
Cebuana Lhuillier and Western Union charge the same rate for international cash transfers of PHP 5,000 or less. Western Union Money Transfer is the cheapest service when sending PHP 5,001 to PHP 100,000 and PHP 250,001 to PHP 500,000. Sending PHP 100,001 to PHP 250,000 from the Philippines costs lower at Cebuana.
Meanwhile, MoneyGram is the most expensive option when sending PHP 10,000 or less. However, its service fees are more or less the same as the other two remittance centers when sending more than PHP 10,000.
TrueMoney is the cheapest remittance center in the country for sending cash up to PHP 2,000. But those sending over PHP 2,000 up to PHP 50,000, RD Pawnshop offers the cheapest money transfer within the Philippines.
Meanwhile, MoneyGram has the most expensive money transfer fees regardless of the remittance amount. Western Union also charges the highest service fees for sending larger amounts, from PHP 10,000 to PHP 50,000.
Here are detailed tables comparing the money transfer fees of the eight remittance centers in the Philippines.
To sum it up, when choosing between remittance centers for sending money abroad or anywhere in the Philippines, consider the service fees, location or accessibility, transaction speed, convenience, security, and quality of customer service. This way, you can save money and time, whether you’re remitting cash to your loved ones or receiving payments from customers for your online business.
If you’re an overseas worker who’s looking for the best way to transfer money to your family in the Philippines, check out the Moneymax remittance guide for OFWs.