UAE expatriates who frequently make international fund transfers, either for meeting financial commitments back home or investment purposes, can rack up thousands of dirhams in charges a year, according to some financial experts.
In the remittance industry, service providers make money through transfer charges, exchange rate margins and in some cases, “back-end” fees . And if all the costs tacked into the bill are added up, the aggregate amount could reach several thousands of dirhams a year.
Standard service fees alone can vary, depending on where the money is being forwarded to. Funds moved to Asian countries, for example, can range between Dh16 and Dh22 per transaction. The charges can reach as much as Dh70 for other expats making multi-currency transfers to the United Kingdom, Europe or United States, according to currency specialists.
Other remitters tend to pay higher fees, however. At one bank dealing with high-income customers, for instance, international money transfer fees range between Dh40 and Dh100, depending on the type of transaction and bank account.
Guardian Wealth Management (GWM), a global financial planning firm, has recently calculated how much it costs UAE expatriates, particularly those in the above-average income bracket, to move funds overseas, and the accumulated fees can reach as much as Dh6,000(INR 1,04,385) on average in one year.
Post Your Comments