The freelancing business is gaining traction as many people are shifting from full-time employment to freelancing. The field accommodates thousands of jobs from contractors, suppliers, designers, content creators, and more. Most organizations seek foreign freelancers since they are affordable and offer diversified skills.
Though working with international freelancers is beneficial. There are always minor hiccups, especially in the payment process. Clients or contractors must diligently understand crucial facts about overseas payment such as payment modes, charges for each platform, exchange rates, time, and more. The factors allow the cleint to settle for particular payment methods or payment wallets. The payment should suit both employee/company and freelancer for easy transactions.
Technology gives convenient transactions services such as Paynco for easy collaboration between the client and freelancer. The payment platform allow the freelancer to convert the funds from a specific rate ($ to £) or any other conversion. Users don’t need to worry about scammers since the client need to deposit the funds and freelancer to deliver to gain the money.
Factors to consider before paying overseas freelancers
It’s challenging handling freelancers from different parts of the world. To get the results, one must compare other payment platforms, exchange rates, and complex calculations. However, before sending or concluding a payment, ensure to check on the following factors.
- The exchange rates
For easy conversion, the sender should review different money transfer modes. The platforms determine the rates. Also, a higher exchange rate favors the sender, meaning you need to compare the rates before conducting a transaction.
- Transfer service
The internet offers various payment services for international fund transfers. However, settling for the best is pretty challenging. The employer or organization need to consider either bank transfer service or money transfer platforms.
- Reliable service
The employer should select a popular, established platform. This eliminates fraud cases identity theft and keeps the banking details safe. It’s advisable to check on reviews and the platform’s transfer history to determine eligibility. Legal money transfer services follow the country’s Financial Authorities or Regulation bodies. The service should provide the user with reliable customer support service on financial issues.
Every payment service is designed with unique features which align with different clients. The employer should review the speed of each transfer service to suit the freelancer and company’s needs. Some services take longer, which is disappointing to the freelancer.
- Transfer charges
Some transfer services either overcharge or have hidden charges. This makes it difficult to calculate the correct charges, which is costly to the sender. To avoid overcharging, ensure to check all transfer service payment policies. Some charges should be cleared by the client to relief the freelancer from paying from their end.
Types of charges
- The foreign exchange rates
- Service fee
- Collection or withdrawal fee.
- Agreement on payment terms
Before starting any project, the freelancer and employer should agree on the payment terms. There should be a legal agreement binding the relationship. The agreement or contract helps determine the payment plans, such as upfront and after completing the project. The agreement should cover details about the currency, duration of the project or payment, transfer platform, etc. Both parties need to participate in the contract development to avoid disagreements after completing the order.
Payment services to consider for overseas freelancers
Companies hiring freelancer services have the option to select from the vast number of platforms. One can opt for bank transfers through credit card services or electronic transfers. Both parties should decide on the payment platform to cater to all needs.
- Paynco (Paynco.com)
Freelancers and employers can operate at ease with the development of payment platforms such as Paynco. The platform guards the interest of freelancers and employers by providing a secure ground. Freelancers can provide their work or exchange documents through the platforms with anyone safely. The employer can also credit the payment on Paynco, awaiting the completion of the project.
Once the freelancer sends the project, they will receive their funds without delays. Paynco eliminates scammers and helps freelancers accept their payments fast. It’s a secure bridge that offers clients and freelancers a platform to communicate quickly and make agreements. Paynco accommodates both buyers and sellers, making it easy to work online.
- Freelancer platform payment services
Most employers or organizations get their freelancer crew from freelancing platforms. The services have a defined work submission system and payment services convenient to clients and freelancers. The platform charges a fixed service charge, making it easy to decide on your service’s exchange rates and payment rates. Most freelancers offer their rates hourly, making it easy to convert and make substantial profits for their projects.
- Credit card payment
It’s easy to link your credit card to mobile payment apps. This allows for fast money transfer through payment wallets such as PayPal, skill, Payoneer, and more. The payment option is convenient but also expensive. The payment wallets charge the freelancer a receiving payment which might cause the payment rates to go down slightly. The client may agree to pay the fee, but also the freelancer will pay for the currency conversion rate. The users should review all the mobile apps rates before sending the payment.
Bank to bank services
The nature of freelancing services might require bank-to-bank transfers. This helps transfer huge amounts of funds to international freelancers. The process is reliable but slow and expensive compared to all transfer services. However, the freelancer might require to wait for a few days or a week to receive the payment in their account due to safety and proper records (statement).
International money transfers require the clients to settle for the best services to avoid losses. Freelancers and clients can avoid simple mistakes such as invoice errors which might delay the payments. Some payment services are sensitive and can hold the payment until a proper due diligence process is conducted. This consumes time and becomes irritating, especially for freelancers.
The client needs to approve the funds to avoid unnecessary delays in the payment process. Investing in the correct payment mode (bank or mobile app) will help freelancers receive their payments on time. Clients can opt for transaction services such as Paynco for accessible fast services.