Transffering money from the UK to Australia
29 January 2010Starting your new life in Australia is likely to involve making money transfers. With constantly fluctuating markets, when you make them is crucial.
Using a foreign exchange specialist will help you get the most for your money. Their experts will monitor the currency markets and understand your needs, ensuring you make your transaction at the best possible time, at the best possible rate.
Moving overseas needs planning and what with the scores of items on your checklist, the one that can make the most difference to you often gets forgotten; foreign exchange. It is free to speak to a currency specialist like Moneycorp and the knowledge gained, although very straightforward, can help you to secure significantly more Australian dollars for your pounds.
Whatever your situation, it is important to identify and minimise the risk that the Australian Dollar may move against you and make everything that you are intending to buy in Australian more expensive.
When moving to Australia, like any other foreign country, your currency options depend upon whether you have access to some or all of the funds you wish to transfer. Three different scenarios you could be in are:
1. I have access to all of the funds – what are my options?
If you have access to all the funds, you have two choices: one that enables you to know exactly what dollars you will be receiving and one which is more, “high risk”.
The, “risk free solution” would be to buy all of your Australian dollars straight away. You then know exactly how many dollars you have and can budget accordingly. This is called a “spot” transaction.
The “high risk strategy” would be to buy the Australian dollars at the last minute and only when you need them. This means that you would have to buy at the prevailing exchange rate, which could induce some sleepless nights ahead especially if you are on a tight budget.
2. I do not have access to all of the funds – what are my options?
Even if you don’t have access to all of your funds at the outset you can still play it safe. The solution is to buy one or more “forward contracts”.
In essence, a forward contract means that you can buy the currency now, and pay for it later. You will be required to pay a 10% deposit and the 90% balance upon the maturity of the contract.
For example, if you wish to buy £50,000 worth of Dollars, but do not need to send them for 8 months, you can agree the exchange rate now, place a £5,000 deposit and pay the remaining £45,000 in 8 months. If the exchange rate moves at all in that 8 month period, you will not be affected as you have bought currency at the originally agreed rate.
3. I have strong views about future exchange rates – what are my options?
If you have strong views about future exchange rates, you could wait to buy your currency at some stage between having your visa granted and physically needing the money in Australia. In this instance Moneycorp can arrange a “market order”. This allows you to target a better rate of exchange. We monitor the markets on your behalf and should the market reach your predetermined exchange rate, your currency is bought automatically.
Your order is live 24 hours a day and can be amended or cancelled at any time prior to the transaction taking place.
So why use a specialist instead of your bank?
Because making transfers with companies like Moneycorp is faster, more convenient and more cost effective. Whether you’re making regular transfers, or simply need to make a one-off payment, they don’t charge commission and guarantee no receiving bank charges.
Regular payments automated
If you need to make regular payments, such as monthly repayments on a mortgage or a pension transfer, we can arrange it for you via our Regular Payment Plan (RPP). This plan removes the inconvenience of arranging individual monthly transfers through your bank. Set it up once by Direct Debit and receive foreign currency in your Australian bank account every month.
Summary of benefits
• Expert, helpful staff.
• Highly competitive exchange rates.
• No commission or receiving bank charges.
• Ability to fix exchange rates for a set time period, protecting from adverse currency movements.
• No cost and no obligation in opening an account.
Moneycorp offers free international money transfers for Moving to Melbourne Users
