How the currency exchange guide can help?
This guide has been written by ex-currency trader Brad Thomas to help people in need of transfering money between countries worldwide. Brad has seen all the tactics employed by sale people eager to earn large commissions from ill informed clients, and he wants to share this information with you. This guide is fact not fiction!
In this guide, Brad will show you how to negotiate the best deals and how to avoid common mistakes that may lead to wasting time and money. Brad will:
- Show you the common "sales tricks" used by currency brokers and how to avoid falling for them;
- Share with you the tried and tested methods and useful tips when dealing over the telephone with currency dealers and/or oversea banks;
- Offer you unbiased guidance on currency transfers and the trading "tools" you can use to your advantage depending on your own situation (i.e. "market orders" and "forward contracts");
- Tell you how to find the resources you need, explaining the jargon and myths surrounding "Currency", "FOREX" and "Interbank" markets.
About the guide
Like you, millions of people in the UK plan to own an overseas property or to emigrate abroad. This means they will have a potential currency exchange requirement to deal with.
Small businesses involved in import/export and operating on tight profit margins can see their returns disappear if exchange rates move against them. Thus it pays to look in advance at various options avaliable for hedging (protection) just as a larger firm would have a team in place to manage this risk.
Common currrency exchange mistakes
- Leaving currency exchange until the last minute, then simply accepting the bank rate offered. For example when buying an overseas property the currency exchange factor should be considered the moment you decide upon the property you want. Would you buy a property in the UK without knowing the exact price?
- Blindly follow carefully worded "suggestions" by friendly sales brokers looking for a commission on your transfer. The FSA does not govern rogue sale people in this industy. We are not saying "Do not use a broker" or "Brokers are all bad" - simply be in a position where your knowledge is the same as theirs.
- Not making the necessary checks on currency firms or other intermediaries that you are dealing with; in October 2010 Crown Currency Exchange is an example (crown currency failure).
- Paying for un-necessary currency transfer fees and other hidden bank charges.
- Suffering needless money transfer delays or holdups due to misinformation or lack of knowledge about the currency markets and banking system.
- Potentially losing thousands of pounds by not negotiating your currency deal.
- Wasting time researching different brokers for pricing and service levels, while some are certainly better than others it is a much better use of time to understand the market rather than speak to sales people with their own agendas.
