With all the different ways to send money these days, you may never have had to transfer money by wire. Many higher-end checking accounts reduce or even waive fees for wire transfers; the service is especially helpful if you need to get funds to a friend or family members, and do it quickly and securely. Mobile and online banking (not to mention “third-party” applications such as PayPal) have made wire transfers less visible, as banks devise alternate ways to send money remotely. Still, you may have a need to use a wire transfer in the near future. BankShout explains the steps, including:

• Knowing the Types
• Determining the Methods
• Finding the Codes
• Knowing the Fees

Do you need to send money to your friend, who lives across the country? Or to a business partner who is on an international sales conference trip? There are several different types of wire transfers available. Basically, wire transfers are either incoming or outgoing. Wire transfers can be domestic or international, and can be used for personal transactions as well as by small businesses and corporations. Banks allow outgoing wire transfers in foreign currencies, which is obviously necessary when the international party is not dealing in U.S. dollars.

To wire funds, you don’t necessarily have to show up at a bank branch, although this is one of the methods that you can use. Many banks offer online wire capabilities, which vary according to the bank’s own website. Bank of America for instance has a “Transfer” tab, which in turn has a tab called “Outside the Bank Transfers,” to get you started. Due to security concerns, some banks disallow online wire initiations. Wells Fargo, for instance, requires you to visit a branch and give your signature to send an initial outgoing wire, and then you can send additional wire transfers by phone.

To receive a wire transfer, you will need a bit more information than just an account number; you also need to have the bank’s specific wire codes. To receive a wire, you will need to provide the sender with your name as it appears on your bank account, plus the bank’s own wire routing transit number. You will also have to provide the bank’s city and state, normally where the bank is actually headquartered (Wells Fargo’s city and state is San Francisco, CA, for example). If the wire transfer is an international one, the sender will also need a “SWIFT Code,” which is also particular depending on the receiving bank. Many banks publish their transit codes online.

Fees can depend on whether you are sending or receiving the wire, and can also vary depending upon your relationship with your bank. Banks generally charge more for outgoing wires than for incoming wires, and a higher fee applies to international transactions compared with domestic ones. High-end or “elite” checking accounts and many business accounts may reduce or waive fees. Wire transfers offer a big advantage in that, unlike a check, the funds are cleared through the Federal Reserve or another clearinghouse. Because fees are included in the initial transaction, there are no bounced checks or other surprises with wires (although the potential for fraud is high, so banks require the utmost security procedures for wires). Review your account agreement or ask your banker what fees will apply.