CurrencyFair Review–Cheap Currency Exchange 4


I run an online business and frequently need to transfer money form US dollars to Euros, or Euros to pounds sterling.  The truth is, banks charge a lot for this.  Not only do they charge a transaction fee, but they’ll also use currency exchange margins that shave off another 2 – 3% of your money.  This can all add up.  e.g. A simple currency transfer of 2000 pounds sterling is likely to cost at least 100 pounds.

That’s a bank charge of 5% for simply asking for my money in a different currency!

But, there is a better way.

I have started using CurrencyFair and these currency exchanges are ending up costing a mere 0.5% or less.  I recorded a video to show you how it all works, and give you real examples so you can see the money savings.

There is one downside.  You must be resident in the EU/EEA countries, Australia, New Zealand or Canada to sign up for a CurrencyFair account.  Another downside as far as I am concerned is that you cannot transfer money from Paypal into the CurrencyFair account, but there are ways around that (do you realize how much Paypal charge for currency conversion? ).

If this all seems interesting and you want to check them out, sign up for a free account using the link below, and get one free transfer.

Money Exchanged & Transferred Later that Day

Since posting the article, I have had two emails asking about any hidden costs when the money is transferred out to my bank in the UK.  Therefore I carried out the exchange to pounds sterling and then the transfer just to show you there aren't any. When I did the exchange, the exchange rate offered as immediately available was slightly higher than in the video.   I actually had to make two separate conversions because there wasn't enough readily available sterling for the best rate offered, so had to take the next one down as well for the balance.  Overall the average conversion rate I got was 0.7868

Here is the transfer out of CurrencyFair:

trasnfer from currency fair

You can see that my €1000 got 786.82 GBP which then had the 2.50 fee taken out.  That left me with 784.32 GBP.

I then went ahead with the transfer to my bank account in the UK.  The date of the transfer was 21st April 2016, and the screenshot below shows my bank account in the UK receiving the money:

hsbc

Note the full amount – 784.32 GBP credited to my account on 21st April, so it was the same day (though I didn't see it in my account until this morning (22nd).  I assume it was there at the close of the banking day yesterday.

So there you have it.  The overall process of moving money from Spain to the UK, including ultra cheap fees (it cost me a total of 5 GBP for this transaction compared to the interbank rate) took 3 days.  2 days to get the money from my Spain bank to CurrencyFair, and another day to get from CurrencyFair to the UK bank.

The only other fees I had on this transaction was my Spanish bank charging my €2.50 for the transfer to CurrencyFair.  Your bank may also charge this.


See how much you can save with this handy CurrencyFair calculator:


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Claim your free transfer here: CurrencyFair

I also recommend you check out the reviews and websites shown in the video to make up your own mind about this service.


 


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4 thoughts on “CurrencyFair Review–Cheap Currency Exchange

  • Rob Wilson

    Brilliant find.

    You mentioned “Another downside as far as I am concerned is that you cannot transfer money from Paypal into the CurrencyFair account, but there are ways around that.” Any clues as to how to do it?

    • Andy Williams Post author

      Hi Rob
      WHat I am trying to do is setup a US dollar account with my bank. Still waiting to find out if they can do it. If they can, then I can avoid Paypal’s biggest fees – the currency conversion itself. They take close to 3% on currency exchange in some transfers.
      If I can get a US dollar account at my bank, I’ll transfer US dollars from Paypal to my bank, then send it to CurrencyFair.
      Haven’t done this yet, but hoping to have it sorted soon, so I can try.
      Andy

      • Mark

        Hi Andy and Rob,

        I tried doing this, but it does not work.

        I have a paypal account with a balance in US dollars (one of the affiliate programs I use will only pay affiliates via paypal in US $). But when I tried to add my UK HSBC US $ account to my paypal account by inputting the acct number and sort code, it comes up as a GBP (£) acct even though it is a $ one! (I guess all UK based accounts will do this regardless of the currency they are in as paypal assumes a UK sort code = a sterling account?).

        So if I transfer dollars from paypal to HSBC they will convert them into £ first, whichever account I send them too!

        In any case, while my US $ bank account is a UK account with HSBC bank – you can only transfer money from this account to your other HSBC account (in my case a UK £ current account) thereby getting the awful HSBC exchange rate. It seems that no payments can be made from the account to CurrencyFair (or anyone else). (When I log into internet banking the only option for the account is to make transfers to my £ acct). I only got the dollar account so that I could get affiliate commission payments by cheque in US $ and pay them in in $ then exchange them to £ when the exchange rate is in my favour. But the rate I get is still way above the inter bank rate or the rate I would get at currencyfair/transferwise/thefxfirm etc.

        Basically the bank screws you and there is nothing you can do about it?

        Also, I signed up to currencyfair via your affiliate link but in my account it says that I have 0 free transfers? Obviously I have not done any transfers yet due to the issues above, but unless these can be solved the account will not be any use to me and I will have to carry on using HSBC and their crappy exchange rates.

        Unless you or anyone else has any suggestions/ solutions?

      • Mark

        P.S I forgot to add – I could only sign up for a personal account with CurrencyFair – the sign up for a business account link does not work. My 2 HSBC bank accounts (£ and $) mentioned above and my paypal account are all business accounts.