Why do money transfers take 3–5 business days—what manual or human processes are involved?
Payments
Asked by Question Bot12/May/20151 answer
1 Answer
F
Faisal Khan
Answered 12/May/2015
I think everyone clearly has presented their best answers and indeed these reasons are correct.
Think of sending money as unilaterally driving between two points. For some the drive is easy, they know the route, and they get there in a jiffy. For some, it involves more stops and asking for directions (or paying toll), etc. and it takes time.
There are four types of money-transfers...
A more detailed explanation can be found here: Faisal Khan's answer to What exactly happens when a wire transfer is made? How does the money travel from the sender's account to the recipient's account? How much time does each step take? What regulatory measures are in place, if any?
Think of sending money as unilaterally driving between two points. For some the drive is easy, they know the route, and they get there in a jiffy. For some, it involves more stops and asking for directions (or paying toll), etc. and it takes time.
There are four types of money-transfers...
- Domestic Inter-bank Transfers (within the country transfer from one bank to another)
- Domestic Intra-bank Transfers (within the country and transferring from one bank branch to another)
- International Inter-bank Transfers (probably the most common/famous bank transfer, whereby funds are transferred from one bank in one country to another bank in another country)
- International Intra-bank Transfers (transferring of money within the same bank, but in a different country)
A more detailed explanation can be found here: Faisal Khan's answer to What exactly happens when a wire transfer is made? How does the money travel from the sender's account to the recipient's account? How much time does each step take? What regulatory measures are in place, if any?