How to Financially Support Your Family Members Who Live in Asia

collaobrative guest post

If you have loved ones who’ve moved out to Asia in pursuit of education opportunities, career advancement, or any other reason, then you might want to provide them with a financial safety net. Fortunately, thanks to modern technology, it’s easy to send money quickly and cheaply to any corner of the planet. But in order to leverage this technology, you’ll need to take the right approach. Let’s consider how to proceed.

Assess Your Family's Financial Needs

You should start with an assessment of your family members’ budget and requirements. Break everything down into housing, education, healthcare, and other costs. If you simply open up your wallet whenever the cash runs low, then you’ll create the wrong incentives. This danger is particularly acute in the case of younger family members, who might have yet to develop good money-handling skills.

Through the right assessment, ideally taken in collaboration with the person (or people) being funded, you’ll ensure that your contribution aligns with their needs, and that you aren’t creating a problem for yourself later on.

Choose the Right Money Transfer Method

As we’ve mentioned, there are many different ways to send money. These include traditional bank transfers, cash pickup services, and digital platforms. Getting things right typically means weighing up the various advantages and drawbacks of each. Traditional banks might offer greater peace of mind, and less inconvenience – especially if you’re used to working with them. On the other hand, online platforms specialising in international money transfers, which are burdened with fewer overheads, tend to be more competitive when it comes to exchange rates.

Understand the Costs Involved

Sending money overseas comes with a number of different costs. The forms these costs take might not be easy to understand at first glance. They include transfer fees, and potentially fees for the recipient, too. There might also be hidden fees lurking in the exchange rate you’re being charged. Different banks might have slightly different rules when it comes to sending money overseas. For example, HSBC charges a £5 fee to customers sending money to overseas accounts that aren’t run by HSBC. Review the costs before you commit to a method of sending money, especially if you’re going to be sending a lot of money.

Ensure Security and Compliance

It’s vital that the mechanisms you use to send money are rock solid, and resilient against security threats. In the UK, this means looking for providers that are regulated by the Financial Conduct Authority. When you deal with murky, unregulated actors, you risk giving away not just your money, but also your personal details.

Stay Informed About Exchange Rates and Transfer Times

Getting the best possible deal often means choosing the best possible time to send money, and understanding how long it will take for the funds to actually arrive. The faster the money is needed, generally speaking, the more you’ll have to pay. Thus, it’s important to be honest and frank about how much money is needed, and when. 

It’s also a good idea to keep an eye on exchange rates and to send cash in bulk when you think that it’s favourable. On the other hand, since it’s difficult to be certain about what will happen in currency markets in the future, you might avoid thinking about this entirely.