If you are able to find the best exchange rates, you could save thousands on international money transfers
It is important to know where the best places to exchange money, regardless of whether you are buying property abroad, setting up a business, or planning to travel. There are two options for currency exchange: brokers and high-street banks.
Although it may seem obvious to go to a high-street bank, they can’t always provide the best Taxa de Cambio and may charge transfer fees up to £30 per transaction. This quickly adds up if you need transfers frequently.
On the other hand, dedicated foreign exchange services tend to have better rates and lower transaction fees. You could save significant money if you send large amounts of money overseas or make regular payments.
Which is the best place for money exchange?
Even small fluctuations in foreign currency exchange rates can make all the difference, especially if you’re changing large amounts of money.
It is always worthwhile to shop around for different quotes. However, international transfer specialists are the best place to exchange money as they deal with large volumes of money every day. This means they can offer you the most competitive FX rates. Many also offer an online money transfer service that is available 24/7 and offers fast transfers.
Which day is the best exchange rate?
There are no “better” days, months or years for exchanging currencies than any other. Because different factors such as economic and political factors, weather conditions, and notable events can all have an effect on the movement of currency markets, this is why it’s possible for currencies to move in different ways.
Because of the unpredictable nature of foreign exchange markets, dedicated currency experts have created a variety of tools that will allow you to target, track and lock in an exchange rate for future transactions. This ensures you are not left behind when markets change unexpectedly and unfavourably.
Here are some top tips to help you get the best exchange rates
1. Make a plan.
Avoid exchanging money at the airport when you travel. It will make you pay more than if it is planned ahead. To get a better exchange rate, if you are unable to avoid it completely, you should pre-order your travel cash for collection at the airport.
2. Rely on your debit or credit card only.
Your bank will charge you a nonsterling transaction fee when you use your UK card abroad. There may also be additional fees to withdraw cash from ATMs and interest. For large purchases, buy plenty of foreign currency in advance and get specialist travel credit cards.
3. Local currency is used to pay
Pay in local currency if you use your credit card overseas. You won’t be able to pay in pounds if you don’t. The currency exchange rate is usually much more expensive than the rate offered by your card provider.
4. A forward contract is an option
To exchange your currency if you’re buying property overseas, consider a currency forward contract. You can lock in an attractive exchange rate for up two years. This will ensure that you don’t lose out on any changes in the FX market and that you know what the final price will be. This is also useful when you have to stick to a budget for certain occasions, such as when you set up a business overseas or plan a destination wedding. Forward contracts may require a deposit.
5. Pay attention to the time frames
You should allow enough time if you have to exchange currency before a specific date. Transfers that are immediate can be more expensive than those that take several days. You can also avoid paying unnecessary fees by being organized and getting the best foreign currency rate. Moneycorp, currency specialists, offers automated regular payments and fast transfers so that your transfer arrives on time. Their secure online platform allows you to make payments 24/7, giving you complete autonomy.
6. Place an order in the market to wait for the correct rate
To ensure you get the rate that you desire, you might consider using a market order. Market orders let you specify the currency exchange rate that you want to use for your transaction and will execute automatically once your target rate has been reached. This allows you to stop worrying about the markets and lets you rest easy knowing that your target rate won’t be missed.