In the banking world, there are all sorts of terms and definitions that can sometimes create a bit of confusion in our heads. There are 2 types of international bank transfers, SEPA transfers and SWIFT transfers, but what is the difference?
SEPA transfers (Single Euro Payments Area)
SEPA transfers were introduced in 2008 with the aim of facilitating money transfers between European Union countries. These transfers are carried out under the same conditions as if they were made in your own country. SEPA transfers only take place in the Single Euro Payments Area.
Currently, there are many banks which are using the SEPA instant system and this means that your transfer can be completed in a few seconds, but it usually takes between 1 or 2 working days.
For example, imagine you have a grandfather in France to whom you want to send money to help him pay the rent of the flat where he is staying. With SEPA transfers, you can send him the money you want and he will receive it either instantly or within 1 or 2 working days… Easy, isn’t it?
SWIFT transfers: (Society for Worldwide Interbank Financial Telecommunication):
These transfers are carried out using the SWIFT interbank system, which is very widespread, as it is the communication channel most widely used by most of the existing banks. This system helps banks to be intercommunicated worldwide.
SWIFT transfers (Society for World Interbank Financial Telecommunication)
These transfers usually take between 2 and 5 working days from initiation to completion. It will always depend on how many intermediary banks are involved in the action.
Now let’s take the previous example, imagine that instead of France, your grandfather lives in a little house in Toronto (Canada). In this case, we will use the SWIFT system, as we are talking about a transfer outside the Euro zone. Your grandfather would receive the money quickly and easily within 2 to 5 working days.
Nowadays, banks offer a wide variety of options for making these transfers, either in person at the bank itself, or over the phone, online or even using the App on your mobile phone to make it easier and more convenient. In addition, there are also online platforms outside the banks that offer the services you are looking for.
Can transfers be made with Shasta?
Shasta App is a mobile application that offers an innovative way to carry out such transfers, whether domestic or international, at a very low cost.
To make such transfers in Shasta you only need to:
– Choose the type of currency you want to use ($ or €) and the amount to send.
– Select the addressee and the concept of the action.
– Confirm the transfer and you’re done!
The cost of transfers varies depending on the membership you are affiliated with. We recommend you take a look at our memberships so you can choose the plan that best suits your financial needs.