The problem with Wire transfers is that they put the companies accepting them at risk. They are giving you their complete banking information... routing number, account number, and all. I am a seller- I spoke with my bank about accepting wire transfers for extremely large orders (to avoid the fees that come with accepting credit cards) and they advised me Not to do it. They said that once I have given my account information for someone to Put money in- the person also has the information they need to Take money out.
I represent a manufacturer in India- and transfer funds to them on a weekly basis using wire transfer. In a lot of foreign countries, wire transfer is the best way to go. Paypal is not accepted in every country, and each country has different regulations regarding International trade. Also- some payment processing services (paypal and even credit card processors) may not give a good rate of exchange on the funds- and also charge such high fees. In order for these companies to keep costs down, and prices low, it makes good financial sense for them to accept wire transfers only.
My advice before transfering money is to make sure you have a good relationship with your local bank. Ask their advice about risks and safeguards. Some banks may even offer insurance on these transactions... mine does. And- you may be able to transfer funds through your bank from your credit card- in which case you may be protected under your card's fraud protection policy.
|