U.S.-Dominicans pay among highest rates to send money back home
NEW YORK.- Dominicans living in the U.S. pay one of the world’s highest fees to send money back home, which at a rate of 7.3% per US$200, or 12 dollars, tops Costa Rica’s 6.8% and El Salvador’s 4.7%.
To make thing worse, the recently passed tax package takes effect in January, for which the percentage could jump significantly.
Dominicans send as much as 500 dollars per week, according to a report on remittances disclosed this week by the regional banks group, Center for Latin American Monetary Studies,.
The Center, with the support of the World Bank (WB) and the Inter-American Development Bank (IDB), has launched an initiative, so that instead of wiring money through the usual agencies, immigrants can opt to send remittances via Internet, to substantially cut costs.
Center remittances specialist Paloma Monroy said the use of the Web will create more market transparency and help trim the high fees paid to send money.
The banking organization estimates that saving just 1%, means around US$150 million for immigrants and their families each year.
The two organizations opened the website enviacentroamerica.org, but didn’t specify the percentage charged.
The major access points for the new website twill be in California, Florida, New York, Washington DC and Massachusetts.
Western Union is still the world’s most expensive money shipper, charging as much as 29 dollars to send $300 within the U.S.
Category: DR News |