"Explore the best methods for receiving international payments tailored to your needs. From well-known options like PayPal to secure online payment gateways such as Stripe, and the convenience of multi-currency accounts like Wise and Revolut.
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“I am putting together a recreational sporting event and there are some people coming across from the USA. When I set up the event I thought people could just pay into my NZ bank account. The people from the USA seem unable to do so and want to pay with Venmo, PayPal, Credit Card or a couple of other apps I’ve never used.
What is the easiest way for them to pay? With the cheapest fees?
Any suggestions?”
(Original question on Reddit)
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There are several ways to receive international payments, and the best method for you will depend on your specific needs and circumstances. Here are some options:
PayPal:
PayPal is a well-known option and is easy to use. It provides quick access to funds and is often used for smaller transaction amounts. However, PayPal does charge fees for receiving international payments, so you’ll need to factor this into your pricing or payment arrangements.
Online Payment Gateways:
Other online payment gateways, such as Stripe and Braintree, are also options. These are fully PCI compliant for security purposes.
Multi-Currency Account:
Using a multi-currency account like Wise (formerly TransferWise) or Revolut allows you to hold funds and make payments in multiple currencies without the need to open multiple bank accounts overseas. This can be a convenient option, especially if you’re receiving payments from multiple countries.
Bank Transfer:
Receiving money from overseas by bank deposit may seem like the easiest, cheapest, and safest way to go. However, while bank transfers are often best for receiving money from abroad (especially when made locally through a money transfers specialist), they’re not always the best suited to your individual needs and preferences.
Venmo:
Venmo is a popular payment app in the USA, but it’s worth noting that it’s primarily designed for payments between friends and family, and isn’t typically used for business transactions.
Remember, the best method for you will depend on factors such as the amount of money you’re receiving, the country you’re receiving it from, and your personal preferences. It’s always a good idea to compare the fees and exchange rates of different services before making a decision.
Hope this helps.
Regards, Clive Fernandes (Financial Adviser)
Director – National Capital
Disclosure: I am the director of National Capital, a KiwiSaver advice firm. The views expressed in this article are the views of the author. The information provided is of a general nature and is not intended to be personalised financial advice. You may seek appropriate financial advice from a Financial Adviser to suit your individual circumstances or contact National Capital.
