The cross-border international remittance, resulting from the ever-rising number of migrations is a matter of global importance. It is crucial as the exchange is not of goods and services, but national currencies of each country. The financial market is always in motion with fluctuating foreign exchange rates and the field of international money transfer is a hectic system in itself.
For the better organization of remittance services, there are certain defined general principles that ensure the proper functioning of the system. Here are the principles:
- Transparent Services and Customer Protection
Money transfer agencies must adopt policies on the transparency of their services and customer data protection. The transaction expenses, service costs, estimated time of delivery, various methods of payment etc. has to be made clear along with data protection assurance.
- Legal and Regulatory Environment
Agencies must adhere to and comply with a proportionate legal and regulatory framework with relevant jurisdictions. This particular framework must include laws relating to contracts, payments, securities, banking, case law etc.
- Market Structure and Competition
Like any other economic field, the efficiency of remittance services improvises with the structure and competitiveness of its business market. In a real competitive environment, the agencies will contest with each other to offer the lowest prices, improved service levels, seasonal offers and cashback etc. The rise in competition usually benefits the customers in multiple ways.
- Governance and risk management
Apart from abiding by the rules of authority bodies, appropriate governance and risk management practices must be taken by the remittance services to enhance the safety and soundness of money transfers. These strict governance policies allow them to fulfil their responsibilities to the customers and protect their rights.
Following these general principles close to heart, makes the organizations’ operations authentic and trustworthy. Almost all services of the best online money transfer in Australia are following the principles of the remittance system so as to facilitate an advanced international money transfer.