does anybody know about hawala transfers ? if yes can somebody explain

__________________
Life Rocks

its transfer of funds by 3rd party, such that cheque amounts are converted to cash, it is illegal though not allowed

__________________
Trade Mumbai
Buy & Sell property in mumbai

Yes I second Ankur, it is surelly illeagal.

However the money transfer through Hawala is not safe too.

There is a 3rd party involved.

__________________
Parkway Consultants | Business Forum

Hawala is not illegal, it's an islamic term of money transfer. thats all.

__________________
Forum Policies & Guidelines

Hawala (also known as hundi) is an informal value transfer system based on performance and honor of a huge network of money brokers which are primarily located in the Middle East, Africa and Asia.

__________________
Unsecured Loans Bad Credit Loans Debt Managment Personal Loans

And here is all details about hawala how it works:

In the most basic variant of the hawala system, money is transferred via a network of hawala brokers, or hawaladars. A customer approaches a hawala broker in one city and gives a sum of money to be transferred to a recipient in another, usually foreign, city. The hawala broker calls another hawala broker in the recipient's city, gives disposition instructions of the funds (usually minus a small commission), and promises to settle the debt at a later date.

The unique feature of the system is that no promissory instruments are exchanged between the hawala brokers; the transaction takes place entirely on the honor system. As the system does not depend on the legal enforceability of claims, it can operate even in the absence of a legal and juridical environment. No records are produced of individual transactions; only a running tally of the amount owed one broker by the other is kept. Settlements of debts between hawala brokers can take a variety of forms, and need not take the form of direct cash transactions.

In addition to commissions, hawala brokers often earn their profits through bypassing official exchange rates. Generally the funds enter the system in the source country's currency and leave the system in the recipient country's currency. As settlements often take place without any foreign exchange transactions, they can be made at other than official exchange rates.

Hawala is attractive to customers because it provides a fast and convenient transfer of funds, usually with a far lower commission than that charged by banks. Its advantages are most pronounced when the receiving country applies distortive exchange rate regulations (as has been the case for many typical receiving countries such as Pakistan or Egypt) or when the banking system in the receiving country is less complex (e.g. due to differences in legal environment in places such as Afghanistan, Yemen, Somalia).

Furthermore, the transfers are informal and not effectively regulated by governments, which is a major advantage to customers with tax, currency control, immigration, or other legal concerns. For the same reasons, governments do not favor the system, and accusations have been made in recent years that terrorist funding often changes hands through hawala networks.

__________________
Unsecured Loans Bad Credit Loans Debt Managment Personal Loans

you forget this type of method.
you always do your transaction through safe and secure website like paypal.
i do my each of the transaction through paypal.
be careful about this type of transactions.

__________________
Web Hosting Service - Online Earning Idea
http://www.shahdipal.blogspot.com

Hawala is definitely illegal in most of countries.Its not secure also.