What does wire transfer mean?

A wire transfer is a method of electronically transferring funds from one person or entity to another. This type of transfer can be initiated through a bank or a non-bank money transfer provider, and typically involves the sender providing the recipient's banking information, including their account number and routing number. Wire transfers are often used for large or time-sensitive transactions, such as real estate purchases, business payments, or international money transfers. They are considered to be a secure and efficient way to move money, as the funds are typically available to the recipient on the same day the transfer is initiated. However, wire transfers may also come with fees and processing times, depending on the financial institutions involved and the specific details of the transfer. Overall, wire transfers play a crucial role in the global financial system, facilitating the movement of funds between individuals, businesses, and financial institutions.