Issues like Brexit or the US-China trade war which is also having global implications on trade and currency values – are no more within your hands than the policies of the Bank of England. That doesn’t mean that you have to accept what’s available, there are ways to ensure that while you can’t control the exchange rate, you could make the most of your money when you’re making international payments. You may need to plan ahead as these can take time.
- Speak with a currency specialist – they are often cheaper than the high street banks and can explain some of the jargon, such as the difference between sell rates and buy rates
- Research rate trends or ask your currency specialist to provide an overview of those trends so you can set your expectations with a realistic budget
- Take advantage of tools to track, target and even fix a prevailing exchange rate in advance with specialist currency tools
Using a forward contract to get the best exchange rate
If you are thinking about buying an overseas property, you’ve probably worked out the price based on the exchange rate at the time you viewed it. However, it could cost substantially more when you come to do the money transfer depending on what will happen to the pound after Brexit
For example, if you know you have to send money to America and want some certainty on the exchange rate for pounds to dollars, you could fix the prevailing exchange rate for up to two years using what is commonly known as a forward contract*. This can also be done with the euro, helping you get the best available pound to euro exchange rate. This way you won’t be caught out by any unpleasant surprises, although there is the risk that the rate may improve and you’ll be locked into a lower rate.
Consider a market order to get the best exchange rate
If you don’t have a deadline for your international money transfer you could also put in a market order. This means that you tell Telegraph International Money Transfers the rate you would be happy with and they will enter into a deal on your behalf if the exchange rate hits your target rate.
Save when you transfer money with a currency specialist
If you are making an international transfer and wondering where you can get better exchange rates then a foreign exchange specialist can help.
It is one reason why the Telegraph has teamed up with moneycorp, to offer readers International Money Transfers. The Telegraph’s International Money Transfer service with moneycorp offers no transfer fees, great exchange rates, expert guidance on the currency market and the tools for managing currency fluctuations and international payments.
Get competitive exchange rates when making international money transfers with The Telegraph International Money Transfers
Telegraph International Money Transfer Service is provided by moneycorp which is the trading name of TTT Moneycorp Limited which is authorised by the Financial Conduct Authority under the Payment Service Regulations 2017 (reference number 308919) for the provision of payment services. TTT Moneycorp Limited (company number 738837) is registered in England. Its registered office is at Floor 5, Zig Zag Building, 70 Victoria Street, London, SW1E 6SQ.
The above article was created for Telegraph Financial Solutions, a member of The Telegraph Media Group. For more information on Telegraph Financial Solutions click here
* Please note, a forward contract may require a deposit.
Information correct at date of publication.