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Don’t get caught out when making regular foreign currency payments to Spain If you need to make regular foreign currency payments such as pensions, mortgages or maintenance expenditure you may not realise that using your bank to arrange the transfer isn’t always the most beneficial way. Low exchange rates, high fees and commission charges all eat away at your money and mean that each time you use your bank to make the transfer you lose out. However, by using a specialist foreign exchange provider you can get more of your money time after time. Exchange Rates If you use your bank to make your regular payments they are likely to only offer you a tourist rate of exchange due to the small amounts being transferred. However, specialist foreign exchange providers are able to offer you a commercial rate of exchange regardless of the amount that you wish to transfer. Transfer Charges Most banks will typically charge you between £10 and £40 for every monthly transfer that you make. Specialist foreign exchange providers are able to significantly reduce these charges, usually only charging between £5 and £15, some even waive the transfer fee altogether. Commission Charges Due to the size of most regular payments, when made through a bank they are usually liable for a commission charge of around 2%. This means that on a transfer of £500 there would be a commission charge of £10. By using a specialist foreign exchange provider it is likely that there will be no commission charge regardless of the size of the payment. As can be seen in the example below using your bank to transfer 1,000 euros each month could be costing you £52.83 more than if you used a specialist foreign exchange provider.
| High Street Bank | Specialist Foreign Exchange Provider |
| 1,000 Euro @ rate:1.4350 = £696.86 | 1,000 Euro @ rate:1.4750 = £677.97 | Commission | 2% = £13.94 | Commission Free | Telegraphic transfer fee | £25.00 | £5.00 | Total cost per month | £735.80 | £682.97 |
| Specialist Foreign Exchange Provider SAVES YOU £52.83 |
*Figures are for illustration purposes only and may not reflect present rates/bank charges.
Currencies Direct is a leading commercial foreign exchange company with offices in the UK, Australia, Spain and South Africa. Offering superior rates of exchange and a personalised service we meet the needs of thousands of private and corporate clients every year. To find out how Currencies Direct can save you money on your regular payments call 902 310 444 or visit our office at Plaza Antonio Banderas L12, 29660 Puerto Banús. |
