subject: Currency Transfer [print this page] Foreign exchange companies work with corporate or private clients on transactions that not only involves currency trading but also the purchase of properties abroad, single transaction overseas payment, tuition fees or paying suppliers. The one advantage of these specialists over your neighbourhood bank is the savings you obtain because they buy foreign currencies wholesale so the difference is passed on the clients. Unlike speculative trading, forex companies are engaged in transferring money into a bank account. It makes sense, therefore, that some of these firms also offer money transfer services because of their familiarity of the financial logistics and delivery chain.
Forex specialists vs banks
When it comes to overseas transactions, the first thing that comes to mind for most people is still the banks because they think they are safest and easiest option, not knowing that forex companies accredited by Financial Services Authority actually offer better rates and services. If you go through the banks, they typically slap additional charges while you dont get the maximum yield in the currency conversion. Banks usually set the currency rates when they open in the morning and this is not wont to change until the banking hours close later in the afternoon. Compare that to foreign exchange service which sets off to find the best currency rates for you after receiving your call anytime of the trading day.
You lose more than you gain
When using banks, the average loss in each transactionwhen you factor in the charges and the currency ratewill not be less than 15. And thats the average estimate as some sectors claim that its not uncommon for some sectors to lose 50 in a single transaction.
Pensioners living overseas have much to lose particularly with the volatility of the British Sterling. The additional costs, even if they seem small when taken individually, can add up in a month or year. Finding the best foreign exchange company can yield you as much as 5% savings, the spread further expands when you factor in the savings you get after discontinuing your currency business with your bank.
Personalised service
Another benefit is the type of personalised service you can get from foreign exchange companies. You can actually get your own account manager that will advise you on how to best take care of your money, when to sell or buy. That way, it doesnt even matter if you have experience in currency trading or not, you wont be worried about losing your money in a big way.
After conferring with you, the foreign exchange service will lay down the blueprint to maximise the value of your money. But remember that whatever the account manager will propose, it is just a suggestion that you can choose to adopt or not. Be extra careful about very aggressive brokers as they are more interested in their commissions rather than on your welfare. Thats why its crucial to shop around and ask as many Foreign exchange companies as you can in order to get the best service.
