Is it permissible to pay Zakat on money via bank transfer instead of handing it over in person?

It is not a condition to hand over zakat to its rightful recipient directly. It is permissible to send it via a bank, and depositing the money into the recipient's account is considered a valid قبض (receipt/possession). It is also permissible to deposit it into the account of the recipient's agent, or to send it to a person who will distribute it among the rightful recipients, as long as this does not lead to an excessive delay. A slight delay is permissible for a need or an excuse.

The general principle is to distribute zakat in the country where the wealth is located and not to transfer it to another country unless there is a benefit, such as the existence of poorer and more needy individuals.

It must be noted that it is not permissible to deal with interest-based (riba) banks, such as opening an account or transferring money through them, except in cases of necessity and when no Islamic alternative is available.