Remittance.

In plain English

A remittance is a transfer of money from a person in one country to a recipient in another, typically through a bank, money transfer company, or app. Most remittances are everyday support payments, like a worker sending part of a paycheck home to family. In the United States, these transfers are protected by the CFPB remittance rule (part of Regulation E), which means the company must show you the exchange rate, the fees, and the exact amount the recipient will get before you pay. You also generally get a short window to cancel a transfer and a process to fix errors.

01Why it matters

Remittance fees and exchange spreads can eat a real slice of money that a family is counting on, so knowing your right to see the full cost upfront helps you compare services and avoid overpaying.

02The math, step by step

You send 200 dollars to a relative abroad. Before you pay, the service must disclose the fee (say 8 dollars, shown here only as an illustration since fees vary by service), the exchange rate, and the final amount your relative will receive. You can generally cancel within 30 minutes of sending if the money has not yet been picked up or deposited, and if you spot an error you have up to 180 days to report it for the company to investigate.

03What this is NOT

04Receipts

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