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expat

Challenges As An Expat In A New Market – How PayPugs Can Help!

Blog by Kristine Kjerulfa, Chief Operating Officer at PayPugs

Expats face many challenges when moving to new countries. They often leave their families and support systems behind, so they have to forge new connections and friendships.

The culture shock can often be extremely severe as well. But beyond the psychological and emotional struggles expats have to deal with, there are also a plethora of practical challenges, from a convoluted immigration process to finding a new home and work.

One of the most common challenges is: how am I going to pay for things and how am I going to get paid?

Not all cards are accepted

Not all card payment methods are universally accepted.  For example in the Netherlands, credit cards and check cards aren’t accepted everywhere, and despite having a Visa or MasterCard branded debit card, it might not necessarily work either – Maestro is king. 

Struggles of opening a bank account

You’ll find similar issues in every country you move to and the simplest solution seems to be opening a local bank account from which to pay and get paid. But that can be a greater problem than one might think, as your ability to open a bank account is tied to things like your residence status, immigration status, your type of visa, etc. Confirming and documenting all of these is time consuming and can delay your ability to be able to send and receive money.

Spending power and the exchange rates

As an expat, you have to operate in another currency on a daily basis and you find yourself constantly having to convert the amounts in your mind. Your perception of what things cost also changes, as local conditions may make some things cost more and other things cost less than you are used to.   A good illustration of this would be the Big Mac Index which compares the costs of a McDonald’s burger in different countries, and provides a sort of index to what things cost locally.  All of this means that you’re much more aware of every cent in your bank account. 

Exorbitant international transfer fees

For international students or spouses of employed expats, things can get tricky as well. Many aren’t allowed to work in the country they’re studying in because their visas don’t permit it and so they rely on family for funds. This can lead to spending huge amounts on fees for each international bank transfer. It’s extremely frustrating when you need a specific amount only to find that the amount transferred isn’t sufficient for your needs because of the high transfer fees that were deducted – for expats every cent counts! The same goes for families supporting family members abroad or vice versa.

Language gap and complicated text

Because expats aren’t always fluent in the local language of the country they’re moving to, trying to find a convenient and understandable international payment provider can be a nightmare. This often means that people tend to stay with banks in their home country that provide their service in their native language.  But this convenience can come with  high international payment fees.

Delays and frustrations when opening a business account

Credit history also becomes an issue for expats looking to open a business account. Where expats have built up years’ worth of credit history in their countries of origin and are “known”, when moving to a new country banks may require months if not years’ worth of credit history and compliance documents.

PayPugs offers expat clients the perfect solution! 

  • With PayPugs you work directly with an account manager who will go through the onboarding process with you every step of the way. 
  • We’ll provide constant feedback on the documents needed and submitted and the procedure as it unfolds.Everything is simple, easy-to-understand, and transparent. No hidden fees, no hidden faces!
  • Once you have been onboarded, you’ll be able to transfer money instantly regardless of currency or location at a fraction of the cost. 
  • With PayPugs you’re working with an accredited and trustworthy service provider and a management team that has worked for some of the world’s top financial institutions, including MasterCard, VISA, and PayPal.
  • No more checkbox legal and security checks. Our team members are highly trained and certified in these requirements and it is at the core of everything they do.

The challenges faced by expats are many and can be frustrating but doesn’t have to be when you work with trusted partners.

Join the collaboration platform designed with collaborators, freelancers, start-ups, organisers, project managers and business owners in mind.