What is a Foreign Currency Conversion?
If you have been planning to go abroad lately or been wanting to buy anything overseas such as property, you will have come across the term ‘foreign currency conversion’. Foreign currency conversion is simply the process of converting your home currency to the currency of the country you are travelling to or purchasing in.
This process usually comes with a fee known as a currency conversion fee. This is calculated by either your bank, the place where you have made the conversion or your card processor. This can also vary a lot depending on where you go and when.
Why might you need to convert money?
As stated above, there are many reasons you would need to convert your pounds into another currency. After the last couple of years of being in a pandemic, many people are now starting to travel abroad again and for longer periods of time. You will need more cash the longer you stay out of the country so it might be worth converting a larger amount at the start of your trip to save on any extra charges. You could also have family abroad and need to send them money. Another popular option is moving abroad and buying property in another country.
What are your options when it comes to foreign currency conversion?
There are many foreign exchange services out there but the two you most likely have heard of is a bank or a specialist currency broker. With either option, you need to consider many factors such as exchange rates, the cost of buying anything abroad and the total price that your overall transaction will set you back. A bank can be very expensive as they can charge a lot more in additional fees.
With a foreign currency broker, you don’t need to worry as much because it’s their job to watch exchange rates, keep an eye on additional fees and make sure you get a good deal. We recommend this especially for buying a property abroad. For example, if the rates change by 1% and you have a pending transfer of £100,000, that’s a difference of £1000!
Small but significant changes such as that could mean the difference between the size of the home you are looking to buy or covering the bills for a few extra months when you do move.
Why using a specialist currency broker is the best option
Using a specialist currency broker can help you avoid excessive foreign currency conversion fees, ensure you get the best exchange rates as well as receive great customer service. A broker could also secure a fixed rate for you that spans a long period of time which would avoid any payment mishaps. With any of our brokers at Moving Currency, we can develop a strategy with you that deals with any potential conversion movements.
No matter how big or small your foreign currency conversion is, we can assure you that you are working with a company that is fully legal, licensed and FCA regulated. Our exchange specialists offer better rates than most and pride themselves on offering a tailored service. We aim to take any stress away and help you feel more in control when it comes to foreign money. You’ll feel like a professional in no time!
If you need foreign currency for a trip abroad, to pay some bills or to send money home, don’t pay high fees or settle for unfavourable exchange rates. Get in touch and our team will be happy to answer any questions you have or open an account online in just 5 minutes today. Contact us on UK 0207 435 7052 or USA 516 548 6485 or email info@movingcurrency.com.
Other articles you may be interested in:
Why you shouldn’t exchange currency at the Post Office
What’s the best way to exchange large amounts of currency
Benefits of a currency specialist vs a bank