What exactly is a remittance or money transfer?

September 10, 2021
money remittance

The word remittance comes from the word remit,’ which means ‘to return.’ A remittance is a sum of money transferred or paid from one party to another, frequently across international borders. Personal money transfers to family and friends, as well as commercial payments, are examples of remittances.

More remittances are being transferred today than ever before, and two major variables are to blame:

  • More people are deciding to live and work in other countries. As a result, many remittances are sent home by persons working and living abroad.
  • Businesses that are globally connected to the internet have made it easier than ever for businesses to connect with suppliers, clients, and employees all over the world. As a result, the number of offshore remittances used to pay for business invoices has increased dramatically.

There are various options for making a remittance payment, including:

Bank transfer/wire transfer

Over the counter

Cash Pick-up

Door-to-Door Delivery

The traditional Way

Transactions that are completed non simultaneous are known as offline payments. The transaction is normally completed offline and then reconciled to the console either manually or automatically. When compared to online payments, where everything happens in real time, there is always a wait when paying offline and reconciling it.

Apart from online payment methods such as cards, online wallets, and so on, offline payments are made with cash, cheques, bank transfers, postal orders, or any other offline means. Allowing consumers to pay via offline payment methods can help you expand your business’s reach to locations where internet payment methods aren’t available.

Offline money transfer, often known as wire transfer, is one of the oldest methods of sending money to someone else in another location. It’s normally done by placing a check into one of the depositors’ or one of the recipient’ bank accounts.

It is regarded as one of the safest and most secure methods of sending money to other nations, which is one of the main reasons why people prefer this method to send money or funds to individuals all over the world, especially in this day and age.

Offline money transfers normally refer to cash transactions or transfers, however credit card machines can receive offline payments from credit cards like Visa and MasterCard within a certain time frame, which is usually up to 7 working days.

Money can be remitted online or by real cash or check from abroad, depending on the service provider. They also give the recipient the choice of receiving cash in response to the customer’s request. Some service providers collect money online and deliver the draft to the recipient.

The majority of reputable money transfer service companies have a nationwide network from which the recipient can collect the funds. The money is delivered to the recipient within 1 to 3 business working days. Senders can also hand over the money in person at the service provider’s overseas branch. The same amount of cash will be delivered to the recipient in different specific locations within minutes or a few hours after the service provider receives the cash.


• There are no fees for money transfers, and there is no risk of theft because no account or debit card is required. Debit cards in some countries have less security protection than credit cards, resulting in reported PIN theft.

• There are no technical difficulties, and there are no long lines.

• Checks are shipped, and receivers must deposit them in their bank accounts, after which they must wait for the checks to clear.


In this age of science and technology, which has made it easier for people to send money to others at home and abroad, the one element that offers offline money transfer methods a reasonable advantage over online money transfer methods is transparency.

Offline, both the sender and the recipient are confident in sending and receiving monies because these transactions are mostly conducted through banks, and people place their trust in these institutions because they are well established and solidly founded. And it appears unlikely that the development of online money transfer providers, no matter how reputable or genuine, would erode this trust in the foreseeable future.

Transactions that are made directly 

Both the sender and the receiver can be confident in the transfr because they contain hand-to-hand transactions.


The offline method of sending money to others is straightforward and convenient, and it does not require any paperwork or additional steps like registration on specific websites or apps.

Easy to use 

Offline transactions do not necessitate technical expertise, as does an internet money transfer from one country to another. These methods do not necessitate the use of any devices, making it simple and convenient for anyone, particularly the elderly, to use offline ways for sending money.



Offline methods are just PIN confirmed. In order for the transaction to complete and mature, the credit card machine must be online.


Payment may be delayed or even declined in an offline transaction for a variety of reasons before it can be completed.

A large sum

Huge sums transferred using offline methods run the danger of being rejected by the relevant channels, thus you’ll need to use an online method to send money abroad.


We’ve now grasped some of the fundamental reasons why people choose offline methods of transferring money to others in the same nation or elsewhere. Trustworthy money transfer businesses, such as Optimum Exchange Remit, provides excellent services for sending money to Philippines from United Arab Emirates, Kuwait, Saudi Arabia, Hongkong, Singapore, and Saipan among others. There is still a long way to go before traditional money transfer methods are totally displaced by other methods.