How to Send Money in Minutes with a Debit Card

If you're like most people, there may be times when you need to send money quickly to a friend or family member. Digital money transfer services connected to your prepaid debit card can help get funds to recipients faster than traditional methods like checks or money orders. However, transfer fees and timing can vary depending on the service and transfer method you choose.

We'll explain how digital money transfers work with your prepaid debit card and what to consider when choosing transfer options. 

How expedited digital money transfers work

Instant transfers work by using peer-to-peer (P2P) or other platforms that let you send and receive money. It generally follows these steps:

Set up your account with a money transfer platform. You'll need to provide some basic contact information to create a new account. 
Link a funding method. This step is where you'll input your debit card information into the platform's "Wallet" or "Money" section. 
Specify who you want to pay. Most platforms let you add a recipient and their contact information to store later. This makes it easier to pay the same person more than once without having to retype all their information. (You may be asked to confirm the recipient's information by providing their cell phone number or other data.)
Specify the transfer amount. Different platforms have different limits for how much you can send per recipient and per day. Type the amount in carefully to make sure the right amount is taken from your account.
Confirm and send. The platform may ask you to verify additional information, and that you want it to be an expedited transfer. If they charge for expedited payments (usually 1%-2% of the transaction amount), you'll need to confirm your acceptance of fee for this, as well. 

After you confirm, P2P money transfers must be authorized by the platform and payment networks, but you won't see this part. Each platform takes steps to reduce fraud, using digital communications between banks and payment services to make sure money gets routed correctly. If everything is approved, the recipient should see the money in their receiving account typically in a few minutes. 

Pros and cons of an expedited digital money transfer via prepaid debit card

Unsure if this method is right for you? While sending funds with a debit card is very convenient, it has both advantages and disadvantages to consider. 

Pros: 

Safer than sending money or checks through the mail
Faster than a traditional ACH payment from your bank account
Cheaper than some bank wires
Includes options for pickup, including cash in person, through a bank account, or by digital wallet

Cons:

Hard to find free options 
Exchange rate markups are often added
May be limited to domestic transactions or geographic regions
Could require creating an account and downloading an app

From this list, you can see how someone sending money domestically to someone with existing bank relationships may find it easier and even cheaper to conduct a money transfer. Likewise, someone who wants to send money abroad to a relative without a bank may find it more challenging.

Money Transfer Options with Your Netspend Card

Your Netspend Prepaid Card¹ offers several ways to send money to friends and family:

FlashPay Transfers: Send money to other Netspend cardholders using their FlashPay ID. Transfers typically complete within minutes.²

Third-Party Services: Your Netspend card can be used with various digital money transfer platforms that accept debit cards.³

Important Fee Information: Money transfer fees vary by service and transfer method. Expedited or instant transfer options typically incur higher fees (please confirm costs with the provider of the money transfer service). Standard transfer options may have lower fees but take longer to complete.

Services that offer expedited transfers with fees 

Two services, MoneyGram and Western Union, both charge fees to send money instantly. They specialize in getting money to almost anywhere in the world quickly, even to those without a bank account. Here's how they compare:

MoneyGram

This global money transfer service lets you fund your transfer with a debit card, using their online website or app. Fees vary by location and include any exchange rate markup. Recipients can choose to have money deposited into an account or available for pickup in person at a participating location. 

Western Union

Western Union is a leading money transfer service and has been making it easy for people to send cash across the globe for decades. Access the convenient service through the app, online, or by phone, and pay for your transaction with your debit card. (You can also visit an in-person location to send cash, but they may not accept a debit card as the method of payment.) 

Western Union lets recipients pick up payments as cash from a retail location or accept them as a direct bank deposit or mobile wallet deposit. Fees and rates vary by location, which may include currency exchange markups. 

Choosing the best transfer option 

No money transfer option is perfect, so you should research each one to see which fits your unique financial needs. Some things to consider include:

Network and system congestion — In times of high traffic, it can take longer for transfers to complete. Be prepared to wait a few minutes or even a few hours for your money to arrive at the recipient's account.
Fees —Expedited transfers usually charge a fee of a percentage of the amount you send. International transfers may incur additional charges to cover the currency exchange. 
Bank integration — Services associated with a bank and offered as part of standard debit card features may be faster and cheaper than third-party services.
Geographic restrictions — Some services aren't available outside of the U.S. and can't be used for international money transfers. 
Security and trustworthiness —Make sure the service uses secure digital features, such as two-factor authentication and encryption for transactions. 

You should know before you transfer how the recipient can receive their funds. Most platforms require the recipient to sign up for an account so they can receive payments.

You'll also want information on how to receive the money. Platforms typically require users to either connect a bank account to get their funds.

Is an expedited money transfer right for you?

In the end, only you can decide if the fees or limitations on expedited transfers can work within your budget and timeline. Remember to assess your needs by asking the following questions:

Are you sending money internationally? If so, what restrictions and fees apply? 
Are you more interested in lower-cost transfers or faster delivery?
Does the recipient have an account with your chosen transfer service?
Have you reviewed all applicable fees before sending?

If possible, use the service of choice with a small amount first to make sure the transaction goes as planned. This gives you a chance to troubleshoot issues without risking a large amount of money. If you like the experience, you can also send the rest of the funds in a second transaction. 

Digital money transfers from your prepaid debit card can provide a convenient way to send funds to friends and family. Always review transfer fees and timing before sending money, and start with smaller amounts to test new services. Check out the Netspend blog to learn about other financial strategies that may work for you.