Transferring money can be done in a number of different ways, and using online payment providers, like Cashero, as a way to transfer funds or to settle bills is increasingly becoming the most popular option. While this may be the quickest way to transfer money, is it the safest?
In this article, we’ll answer the question, “What’s the safest way to transfer money?”. This may help give you some peace of mind when carrying out any financial transactions. To do so, we first investigate why you may need to transfer money as well as why you need to transfer money safely. Finally, we identify the ways in which you can improve your online security so that you can transfer money over an internet connection as safely as possible.
Want the quick answer now?
While we do recommend reading through the entire article, we know some people just want a quick answer and would likely skip to the bottom to see the conclusion, so we’ll save you the trouble and give it here:
The safest way to transfer money is through online transfer services, such as Cashero, which offer quick transaction times, and minimise the opportunity for user error. Digital security features are now commonplace with most financial institutions, so there is often little need to worry about your money getting hacked or re-routed accidently through fault of the institution itself. However, user errors when setting up money transfers can be quite common, so it is important to find services that stream-line this process and have taken conscious steps to minimize the potential for errors of this nature. Cashero offers a simple, user-friendly mobile app with checks and balances throughout the process and One Time Passwords (OTP). All transactions in the backend are protected using multi-party computation (MPC) and hardware isolation with Intel SGX enclaves. It sounds complex and it is, on purpose. These security layers ensure your money is safe and secure.
Why you need to transfer money
There are many reasons why you need to transfer money, whether it’s via traditional means like checks or in bank transfer or through online transactions. They include:
Settling bills
One of the reasons you may need to transfer money out of your own account is because you need to settle up on a bill or invoice. Some bills can be paid via a credit or debit card, but many can also be settled using a bank transfer which many individuals prefer to use. Using a transfer means that you will settle such bills quickly and easily and often almost immediately.
Account transfers
Many of us have accounts open at different financial institutes that vary in structure and type. Most people have a checking account where their salary is paid and which they use for covering their day to day expenses like groceries or rent. Often, however, they like to keep their savings separate so that they can more easily build up a pot of cash in another account — preferably with a better interest rate, like Cashero offers. As a result, they’ll often want to move cash into such accounts to build up the account balance.
Gifts or owes
One of the most common reasons to transfer money is to give a gift or pay back a person who lent money. Transferring money from account to account means that giving cold hard cash in such instances is not needed.
The safest ways to transfer money
There are many ways to transfer money, and some that are safer than others. Those who are not used to using the internet for their financial affairs may prefer going into a bank to help with their transfer. However, online transactions now offer better security and ease of use than this traditional route of transferring funds. Such ways to transfer money include:
Wire transfers
You’ll need to work with your bank to carry out a wire transfer. To some, that will simply mean using their bank’s app or website to transfer money from account to account. In these instances, you will need to know your online banking details as well as the details of the account you want to pay money into. The reason you need to make such a transfer is not actually necessary, although it’s a good idea to make a note on the transaction as to what the transfer refers to.
Online payment providers
These types of transfer services, such as Cashero, are relatively new to the scene, but they offer some of the best options when it comes to safety and security in transferring money. Different providers have various levels of security that they offer, but with Cashero, we ensure that funds are only sent when desired, and protected in various ways, as mentioned, including multi-party computation. Cashero allows you to save your recipient’s contact information, and all that is needed is a phone number. No complex account number necessary.
International money transfer companies
International money transfers companies are businesses that allow for transfers all over the world. International transfers are not always straightforward and can be subject to a number of difficulties, particularly if a bank does not deal with a certain currency for example. Companies that specialize in these types of transfers have long been in the game of providing their customers with the ability to send cash both domestically and abroad safely. Often they can provide access to funds for individuals who live in countries that are without a stable banking system. Typically these kinds of transfers require the person to pick up the funds in cash at a specified location, along with proof of identity. In some sense that makes it quite safe against loss of funds due to someone impersonating the receiver. But once that cash has been withdrawlth, they can be an easy target for theft from others. There are also typically quite high fees associated with these types of transfers.
Why you need to transfer money safely
Transferring money safely is key to ensure that you never lose any cash during a financial transaction. Knowing why you need to stay safe during any transfer is key to understanding how to protect yourself online or otherwise.
Fraudsters and hackers
There are many criminals out there who seek to take advantage of unsuspecting victims and look to benefit from transfers through digital stealing. Hackers and fraudsters have increasingly intelligent ways to gain access to people’s accounts and transfers, so it’s important to increase your safety throughout any financial transaction. Doing so will help keep you safe from such individuals.
Credit rating
Other than simply stealing your hard-earned cash, one of the ways that fraudsters and hackers can affect you is by damaging your credit rating as well. Having a poor credit rating can have long-lasting implications on you as the lower your credit score, the less desirable a candidate you appear to banks or lending facilities. You may, one day, need to use a bank’s loan services for the means of buying a car or getting a mortgage. With a poor credit rating, the options provided to you are far less than if you have a good credit score.
Inconvenience
Ultimately, one of the reasons you need to transfer money safely is because the inconvenience caused by trying to claim back any money lost is frustrating and annoying. In our increasingly busy lives, having to sort out any incorrect or fraudulent activity on your financial transactions is something that we can all do without.
How to improve online security
While many financial institutions have some of the best security measures in place to help keep users safe while online, there are a number of things that you can do to help improve your online security.
Password manager
Having strong passwords is a key way that you can protect yourself against online fraud committed at the hands of hackers. Strong passwords mean that your accounts are far more difficult to infiltrate from the outset. However, remembering all your passwords can be difficult , yet it’s prudent to have different passwords for every single online account you have. As a result, it can be a very good idea to have a password manager that will remember your passwords for you.
VPN
VPNs or Virtual Private Networks are an extra layer of security that you can give yourself at all times when online — particularly when doing any online financial activities. There are many different VPN providers out there, but it’s a good idea to use one at all times, especially if you are not using a secured wireless network. They don’t need to cost much each month — often they will just be priced at the same as a takeaway coffee. However, they can be a very powerful piece of software that encrypts all your data so that it remains unreadable to anyone except the person it’s intended for.
Trusted sites
If you’re transferring funds to purchase goods or services, always buy from sites that are trustworthy and secure. Doing so means that you materially improve your chances of doing business with a company that will only use your details as they are intended. It also means your information is far less likely to be intercepted by those who will seek to use it illegally and for their own financial gain.
Known entities
There are so many different ways that you can transfer money these days, which is why you must ensure that you’re using a known entity when making online financial transactions or any other type of cash transfer. Some companies may sound too good to be true when it comes to helping you make such transfers — and sadly the reality is that they probably are. Only use companies that have a proven track record when it comes to the security of their customers. If you don’t, you will put yourself and your funds at undue risk.
Conclusion
Transferring money safely is fundamental to protecting yourself to online fraud and financial loss. To do so, it’s important to know how and with whom it’s safe to transfer money. Additionally, it’s imperative that you take all precautions that you can as an individual to improve your online security so that you can ensure that any time you spend online is without risk. Hackers are becoming increasingly more intelligent in their ways of gaining access to financial information. As a result, staying abreast of these methods, employing your own safeguards is key to your financial safety and success, and choosing the right partner, like Cashero, to assist you with transferring money are all important considerations.
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As of the date of publication, the information contained on this page is deemed to be factually accurate for all terms of conditions, features, and fees. Changes made to Cashero’s terms of conditions, features, or fees after the publication of this content may not be accounted for.
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The Cashero App is now available for download in both the Apple App Store and Google Play Store, though not all features are currently functional. Cashero has not yet officially launched.
