I have to transfer a large amount on a single transfer, what is the best option? I would normally transfer directly via my bank.
Although it may sound unnerving to transfer a large amount of money to another country, it’s actually easier than you would think. Using your bank might seem the obvious choice but it is often the most expensive way to move money internationally. You could be charged hefty fees and the exchange rates are usually poor. Instead, you should opt for a currency broker, who has access to the same wholesale exchange rates as banks, but who can offer highly competitive exchange rates and no transfer fee, thanks to lower overheads.
You will, however, need to pick your broker carefully: to start with, make sure that they are authorised by the Financial Authority Conduct (this can be checked online, on www.fca.org.uk). This means that your money will be kept in safeguarded accounts when conducting a foreign exchange transaction.
Secondly, you should choose a broker who will be able to provide you with in-depth knowledge of the currency market and its trends. They should help you find a more strategic approach to currency transfers than if you had used your bank. Having your own dedicated account manager is particularly important as they will know your requirements and will be able to answer your queries quickly. This will save you a lot of time, money and will probably be a lot less stressful than having to deal with various representatives in a call centre. Moreover, having your own broker monitoring the market for you and alerting you when the rate is advantageous means more savings – even a small rate fluctuation can significantly impact the overall cost of your currency transfer, especially when transferring large amounts.
Finally, you should check the speed of transaction and currency payment: nowadays, major currencies such as the euro, US dollar or sterling, can be paid out and received within a day. As a comparison, banks usually allow 3 to 5 working days to process such transaction.