Everything you might be afraid to ask about exchanging currency for France.
Q. Where should I buy currency?
You can obviously walk into any high street bank or bureau de change and exchange your currency for Euros. This may be convenient for your holidays but for larger amounts of currency it pays to get in touch with a specialist foreign exchange dealer. Specialist brokers will almost always offer much more competitive rates than high street banks or tourist outlets, as they deal exclusively in high-volume transactions and their overheads are much lower. Visit this article for the 10 reasons why you should use a currency broker.
Q. What will it cost me?
Currency brokers do not charge a commission fee as they make a margin on your money from the high-volume rates they obtain in the money markets. Don’t be afraid to email or pick up the phone and call a currency dealer to see what rates are on offer and compare with your bank. In general the more money you wish to convert the better the rate. Depending on your bank or broker, there will be a cost to transfer funds of between £15 and £40 per transaction. It’s a good idea to compare the total cost of a currency trade as some currency dealers do not charge a transfer fee but more than make up for this difference in the exchange rate that they quote. A good currency broker will not charge a transfer fee. If you open an account with FrenchEntrée, you can get free currency transfers for life.
Q. What information do I need to provide in order to make an exchange?
You can set up a trading facility free of charge and without obligation. This is a quick and straightforward process, which should take no more than a few minutes of your time. Our partner is Moneycorp, one of the world’s largest currency exchange brokers. You can open your trading facility online by clicking here, you can call a member of the Moneycorp team on +44 (0)20 3773 6355 or ask a question here.
Q. How do I purchase currency?
Provided you have set up your trading facility with the broker or bank you will be able to buy currency over the telephone. This usually takes the form of a binding verbal agreement to buy currency at the quoted rate. You can set up an account online now with FrenchEntrée’s currency partner, Moneycorp.
Q. Can I hold out for a particular rate?
Yes, you can instruct the broker to contact you the moment the rates change to your desired level. Some brokers, such as Moneycorp, can place an order to purchase currency outside London trading hours, which will automatically trigger as soon as your desired rate is achieved. Just make sure you are being realistic about the rate you are looking for and be prepared to wait! Call now to secure the current favourable rates – +44 (0)20 3773 6355 or ask a question here.
Q. What if the rate is good now, but I don’t need to make payment for 3 months?
You can fix an exchange rate for up to two years to make it easier to plan the cost of your currency payments. This is particularly useful if you are buying a new property “off plan”. Through a reputable currency dealer, forward buying your currency is very straightforward. Simply book an exchange rate and send your dealer a deposit, usually 10% of the contract value. The 90% balance of your currency contract is payable when you wish to have funds transferred overseas. Many dealers recommend spreading your currency risk by splitting your currency requirement in two, buying half on a forward contract, as above, and the rest nearer your completion date.
Q. Will foreign exchange dealers offer advice about market conditions and rates?
Currency dealers are not regulated to give advice but many will provide you with information about prevailing market trends and currency movements. However, remember that no-one can predict the markets with any real certainty. You will have to make your own decision about when to buy currency, but market knowledge and experience imparted by your currency dealer will hopefully make that decision easier! Further information can be found on this website including a currency converter and free subscription to daily and weekly updates. Alternatively, speak to one of our team members now by calling +44 (0)20 3773 6355 or ask a question here.
Q. How do I pay for my currency?
After fixing the exchange rate with your dealer, you will need to transfer funds to their client account. The easiest and quickest way is by bank transfer but some currency dealers will accept a cheque. Bear in mind that your cheque will have to clear before funds can be sent. Once the dealer has received your cleared funds, they will transfer your currency to the account of your choice. You can also set up a currency account to manage your funds.
Q. How can I find out current exchange rates?
The Interbank rate can readily be found on the internet and on services such as Ceefax. This website has a live currency exchange rate feed, live currency charts and you can also view historical exchange rates. Although a useful guide to current market levels, do bear in mind that unless you are trading millions of pounds on a regular basis, you will not receive the Interbank rate for your own transaction! For a live quote on the amount you are looking to exchange, it is best to call our team now on +44 (0)20 3773 6355 or ask a question here.
Q. How long will my funds take to transfer to a French bank account?
Foreign exchange dealers can generally get your funds into the destination account a good deal quicker than a high street bank. Our partner, Moneycorp, is a member of SWIFT (Society for World-wide Interbank Financial Telecommunications), which is the global platform for instant wiring of domestic and international money transfers. This provides increased speed, efficiency and control over your money transfers. Moneycorp, for example, has a same-day transfer service to most European countries and North America and next day for all other destinations. Bear in mind that there is sometimes a short delay in the receiving bank before your account is credited; this can usually be overcome with a “proof of payment” document that your currency dealer can provide on request.
With FrenchEntrée & Moneycorp you will not have to pay any transfer fees on all your currency transactions.
Call Moneycorp on +44 (0)20 3773 6355 for more information or to discuss your currency transfer requirements. Receive free transfers on all your payments. To ask a question about your upcoming property purchase, or for free guidance on the euro – click here.
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