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What is a good Wise alternative for business payments? 

In today’s global economy, efficient cross-border transactions are important for both individuals and businesses. There is no doubt that Wise (formerly TransferWise) has established itself as a prominent player in this area.

In India, Wise supports international transfers to over 80 countries, provides multi-currency accounts, and offers debit cards that allow users to hold and spend in over 50 currencies, as well as receive payments in 10 currencies.

However there are wise alternatives for business payments as it comes with its own cons. The market is dynamic, with many providers now competing for attention. Given the varied accounting requirements and financial needs of different businesses and freelancers, Wise may not always be the ideal solution.

This blog examines some of the most attractive alternatives to Wise, categorised by their unique strengths and target audiences.

Let’s dive in!

Understanding Business Outward Remittances from India

Here are simple pointers for you to be aware of the international business remittance from India landscape. 

Importance of Seamless Transactions:

  • Essential for Indian businesses involved in global trade and services.
  • Critical for smooth cross-border operations.

Evolving Financial Landscape:

  • Increasing number of providers in the market.
  • Diverse options catering to various business needs.

Comprehensive Guide:

  • Explores top alternatives to Wise.
  • Categorizes them based on their unique strengths and target audiences.
  • Focuses on solutions tailored for Indian business outward remittance.

Challenges with Wise

  • Transfer Limits: Wise has predefined transfer limits, which might pose constraints for businesses dealing with larger transaction amounts, necessitating multiple transfers or alternative methods for handling substantial sums.
  • Exchange Rate Fluctuations: Despite offering competitive exchange rates, Wise transactions are susceptible to fluctuations between the initiation and completion of transfers, potentially impacting the final received amount.
  • Service Availability: Wise may not support all currencies or countries, limiting its utility for businesses operating in regions with restricted access to its services.
  • Bank Fees: Despite efforts to minimize intermediary bank fees, additional charges from intermediary banks during the transfer process could still apply, impacting the overall cost of transactions.
  • Account Verification: Wise requires thorough account verification, which can be time-consuming and may lead to delays for businesses requiring urgent transaction processing.
  • Customer Support: Some users have reported difficulties in accessing timely and effective customer support from Wise, particularly during peak periods or when facing complex issues.
  • Regulatory Compliance: Compliance with diverse regulatory requirements across different countries can present challenges, potentially resulting in transaction delays or complications.
  • Transaction Speed: While Wise offers relatively swift transfers, transaction speed may vary based on factors such as the destination country, currency, and chosen payment method.
  • Limited Integration: Integration options with accounting software or other business tools may be restricted compared to alternative remittance providers, necessitating manual entry of transaction details.
  • Perception of Trust: Despite Wise's established reputation, some businesses may harbor concerns about entrusting significant sums of money to an online platform for international transfers.

Who are Wise key competitors?

The following are the wise alternatives for business payments on a global scale. 

Wise Competitors

Wise Competitors

Competitor Services Strengths
PayPal Cross-border money transfers, online payments, business accounts Broad global acceptance, integration with numerous online platforms, high consumer trust
Revolut Cross-border transfers, multi-currency accounts, debit cards, cryptocurrency trading Favorable exchange rates, comprehensive app-based financial services, additional tools like budgeting features
Western Union Cross-border transfers, in-person and online services, business solutions Wide-reaching global network, option to send cash for pickup, various payment methods
Payoneer Cross-border payments, multi-currency accounts, prepaid cards, business payments Favored by freelancers and online vendors, partnerships with major marketplaces, bulk payment capabilities
OFX Cross-border money transfers, currency exchange, business payments Competitive exchange rates, no fees on large transfers, dedicated account managers for businesses
CurrencyFair Cross-border transfers, currency exchange platform Peer-to-peer exchange model, competitive rates, ability to set your own exchange rates
Skrill Cross-border transfers, digital wallet, prepaid cards Rapid transfers, widely accepted in online gaming and gambling, multiple currency options
Remitly Cross-border transfers, cash pickup, mobile money Competitive fees, fast transfer options, easy-to-use app
WorldRemit Cross-border transfers, mobile top-up, cash pickup, mobile money Diverse delivery options, intuitive interface, wide global reach
Xoom Cross-border transfers, bill payments, mobile reloads Integration with PayPal, quick transfer times, various delivery options

Overview of International Business Remittance Charges

Transfer Fees:

  • Transfer fees typically range from $5 to $50 per transaction, depending on factors like the destination country, transfer amount, and speed. For example, transferring $1,000 to India might incur a fee of around $10 with some providers.

Exchange Rate Margins:

  • Exchange rate margins usually range from 0.5% to 3% above the mid-market rate. For instance, if the mid-market exchange rate for USD to EUR is 1.20, a remittance provider might offer a rate of 1.17 for transfers, resulting in a margin of 2.5%.

Transaction Limits:

  • Transaction limits vary among providers, with some allowing transfers of up to $10,000 per transaction for business accounts. However, others may have lower limits, such as $5,000 per transaction.

Additional Charges:

  • Additional charges may include expedited transfer fees of $20 to $50 for faster delivery, currency conversion fees ranging from 1% to 3%, and receiving fees of $10 to $30 for funds in a different currency.

Bank Charges:

  • Bank charges for intermediary or receiving fees can range from $10 to $30 per transaction, especially for international transfers involving multiple banks.

Subscription Plans or Packages:

  • Subscription plans may cost around $20 to $50 per month for business users, offering benefits like discounted fees, preferential exchange rates, and additional features.

Promotional Offers:

  • Promotional offers may include discounts such as waiving transfer fees for the first transaction or offering a 20% discount on fees for a limited period.

Regulatory Compliance Costs:

  • Compliance costs for regulations like anti-money laundering and Know Your Customer requirements may add up to $5 to $10 per transaction for remittance providers.

Volume Discounts:

  • Businesses sending large volumes of transactions may qualify for volume discounts, such as a 10% discount on fees for sending over $50,000 per month.

These are some things to be kept in mind while making a business outward remittance from India. 

This is where Karbon forex comes into play. We cater to international business remittances for both inward and outward remittances

What is the process involved? We have broken it down with utmost transparency so you have no qualms in mind if when you decide to become our client. 

Karbon Forex 

The banking route for Karbon forex transactions is done with the help of our partner banks - IDFC and Yes Bank. 

This is a simpler and quicker method that many customers choose due to quicker transaction time. 

The user needs to upload the international vendor’s invoice. Once the invoice is uploaded on the user dashboard, the collection of documents takes place. 

  • 15 CA forms as produced by the company. It reveals information on tax declarations by the company.
  • 15 CB as produced by CA(You may choose your own CA or our in house expert with 15+ years of experience )
  • Form A2 
  • FEMA declaration - ethical code of declaration by the company to the Government of India (as per FEMA Act 1999 )

Following the completion of the form submission process, updates are made simultaneously to both the client dashboard and the Karbon dashboard where we get information about your transaction request. 

Lastly, your approval is sought through the use of a digital signature and Aadhaar e-verification.

If the transaction involves a vendor who has previously transacted with Karbon, it will be completed within 5 hours. Otherwise, it may take up to a maximum of 72 hours.

Sign up now to know your the markup fees you are eligible for!

The views expressed in the blogs on this page are solely the opinions of the authors and do not constitute expert advice. While we strive to provide accurate and up-to-date information, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk. We disclaim any liability for any loss or damage including without limitation, indirect or consequential loss or damage, or any loss or damage whatsoever arising from loss of data or profits arising out of, or in connection with, the use of this website.

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