How to get the best exchange rate?

With the market currently trading in a relatively tight range and little volatility to write about today’s post will look at how our industry works and how by being savvy  and shopping around, you can ensure you are getting the best exchange rate in the market.

As with many financial products a small change in price can have a major impact on the cost of your asset and this is certainly the case when transferring significant sums of money. A very small change in your exchange rate can make a huge difference to the cost of your transfer so make sure you are getting the best deal.

What is the best way to move money at the best exchange rate?

Making a significant international money transfer can be stressful process and by using a reputable broker this will help remove a large proportion of this. Unfortunately many people will often still approach their high street bank when making a large international wire and this can often be your first mistake. By using the services of a reputable FCA authorised currency broker not only are your funds entirely secure but you will be amazed at the potential savings, often 2-3% better when compared to your bank.

In my opinion the best way to guarantee you are getting the best price is not to register with 5-6 brokers, as by the time you have called round and picked the best rate the market may have changed and this may actually cost you more in the long run. I would pick two reputable FCA authorised brokers, register with both and then take the best price.

What is the best contract type for me?

Another benefit of using a broker will be the various contract types they can offer. You will find your bank will have limited options available whereas utilising a carefully placed forward contract to protect yourself against adverse market movement could help save you thousands. These contracts are relevant whether you are buying your dream overseas property or you run your own business and pay regular invoices in a foreign currency.

I hope this post has been beneficial to you and will help you get the best deal in the market. Should you wish to discuss this post or any of the content on this site then please get in touch here or email me michael@currencyforecasts.co.uk and I will be happy to point you in the right direction.

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