When sending Australian Dollars it is always important to get a quotation from an experienced currency broker to ensure you are receiving competitive exchange rates compared to buying Australian Dollars with your bank. Some banks have hidden fees and generally will offer you a large spread (lower exchange rate) compared to using a currency broker. Most currency brokers have either no fees or very small transfer fees depending on the amount you wish to transfer.
There are also different types of contracts that a currency broker will offer to include…
Spot contract-the rate is secured over the phone and settlement is due within 2 working days, once received the payment can be sent to any account of your choice
Forward contract-the rate is secured over the phone and a small deposit is required up front with the balance payable by maturity date which can be anything up to two years
Stop Loss Order-this means you can choose a rate that is less than the current price and if it is filled you have a maximum price
Limit Order-this means you can choose a rate higher than the current price and if the market hits it overnight it can be automatically purchased for you. Particularly useful when buying Antipodean currencies which will trade outside of UK office hours.
The registration process can generally be completed online which should be free with no obligation nor commitment. However, by registering it allows you to be quoted realistic buying prices so that when you are ready to make a currency transfer you can organise it quickly and efficiently.
For further infromation as to how to save money when buying currency please contact me Tom Holian [email protected] quoting ‘Australian Dollar Forecast’ for preferential exchnage rates.