International money transfer news and advice - page 4

All the latest international money transfer news and top tips to help you manage your international money transfer.

Aussie dollar hits two year high good news for your international money transfer

Aussie dollar hits two-year high - good news for your international money transfer

The Australian dollar yesterday broke past 74 US cents and hit its highest level since August 2018.US dollar weakness and an uptick in domestic economic activity have helped to prop up the Aussie dollar and right now the AUD is trading at around 74.1 US cents. This comes after Wednesday’s release of Australian Bureau of Statistics data which indicated Australia’s economy is bouncing back. Our gross domestic product (GDP) in the September quarter is up 3.3%, thanks to COVID-19 restrictions easing across most of the country (although GDP is still 3.8% lower than a year ago). This sentiment of cautious optimism was also reflected in Reserve Bank Governor Phillp Lowe’s statements on Tuesday, following the latest RBA meeting. “The positive news on vaccines has boosted equity markets, lowered risk premiums and supported further increases in some commodity prices. The improvement in risk sentiment has also been associated with a depreciation of the US dollar and an appreciation of the Australian dollar,” he said. “In Australia, the economic recovery is under way and recent data have generally been better than expected. This is good news, but the recovery is still expected to be uneven and drawn out and it remains dependent on significant policy support.” A lower Aussie dollar makes Australian exports cheaper and more attractive to overseas buyers, so a stronger AUD isn’t ideal for improving the GDP. But the strong Aussie dollar right now is beneficial for anyone looking to transfer money overseas from Australia to the US. It means the currency market has moved in your favour and you can potentially get more USDs for the same amount of AUDs sent. Remember though, that even if the market is looking favourable for you, different bank and foreign exchange (FX) specialist providers will still charge their own margins and fees on top. So it’s a good idea to shop around regardless. That way you can find the cheapest deals for your money transfer. Compare a few competitive exchange rates in the table below or jump over to our international money transfers hub for even more options. Not sending money overseas just yet? Look out for a feature known as a forward contract (offered by many FX specialists). This tool allows you to secure today’s rate for a transfer in the future, sometimes up to two years in advance.

Money transfer fintech transferwise gets restricted banking licence from apra

Money transfer fintech TransferWise gets restricted banking licence from APRA

International money transfer fintech, TransferWise has hit a major milestone, as it becomes the first company in over ten years to receive a restricted banking licence as a purchased payment facility (PPF) provider. For context, gift cards, loyalty cards and travel cards are all examples of PPFs, as they involve the provider making payments to others on behalf of the user. The Australian Prudential Regulation Authority ’s decision to grant TransferWise a PPF licence this week means it’s now considered a ‘limited authorised deposit-taking institution’ (ADI). So what’s the significance of this new label? Simply put, it gives TransferWise direct access to Australia’s real-time payments system, known as the New Payments Platform.Currently, direct access to the New Payments Platform is only available to ADIs or banks, so fintechs without ADI status still have to pay third-party intermediaries to gain access.But thanks to APRA’s decision to open up that exclusivity to TransferWise, the fintech will no longer need to rely on those intermediaries, bringing down their wholesale banking costs.TransferWise says that as a result, it’s yet another step closer to providing instant international money transfers to Australians at a lower cost. “By becoming independent and cutting out the middleman, we’ll be able to save our customers even more money and time in the process,” TransferWise Australia’s country manager, Tim Cameron said. As a point of comparison, after being granted the PPF-equivalent licence in the UK, TransferWise said it was able to make transfers to and from the UK in under 20 seconds and cut its pricing by nearly 30%. To date, PayPal is the only other player that holds a PPF licence. However, this is somewhat a bittersweet win for TransferWise, as the PPF licence category will soon be updated with a Stored-value Facility regime to account for the rise of digital wallet payments. It’s not yet clear whether the new regime will cover direct access to the New Payments Platform.

What biden us election win means for your international money transfer

What Biden’s US election win means for your international money transfer

Exchange rates are looking favourable for Australians sending money overseas as the Aussie dollar rose off the back of US election results. Right now, the AUD is trading just below 73 US cents, according to the XE Currency Converter - up from around 71 US cents at the start of election week. This is the first time since mid-September that the currency has broken past 72.5 US cents. While the gap between US$0.71 and US$0.73 seems almost negligible, for larger international money transfers (IMT), this could be a difference of hundreds of dollars.IMT provider OFX’s senior corporate manager, Matt Richardson said Joe Biden winning the presidency boosted the market appetite for risk (known as ‘risk on’ sentiment). As a result, investors flocked to purchase stocks and high-yield currencies like the AUD, raising the value of these riskier assets. “The democrat led government is expected to implement significant Coronavirus relief programs and alleviate tensions with key global allies, creating a ‘risk on’ environment across financial markets,” Richardson said. “The Australian dollar has advanced against a basket of major counterparts in the midst of [this] ‘risk on’ move, creating an opportune time for those settling costs overseas to reduce the AUD expenditure or maximise their foreign currency return.“Conversely those sending funds back down under [would] suffer a higher cost or smaller return on the back to the AUD appreciation.” In other words, bigger savings are now on the table for individuals and businesses sending funds from Australia to countries like the US and the UK, thanks to stronger AUD/USD and AUD/GBP exchange rates. But you may lose out if instead you’re moving money from the US and UK to Australia.

Christmas is coming sendfx announces 100 reward for your money transfer

Christmas is coming! SendFX announces $100 reward for your money transfer

With Christmas just around the corner, SendFX is giving out a special treat to Australians Send is an Aussie-based IMT service, committed to make remittances faster and more seamless. They have an innovative online platform where customers can send money around the clock and track transfers in real-time. Or if you prefer to speak to someone over the phone, SendFX also has a dedicated customer service team. On the pricing front, SendFX promises zero transfer fees and better exchange rates than the banks. In fact, they were one of just three providers to win a 2020 Mozo Experts Choice Award for best value International Money Transfer. Mozo’s number crunch also shows for a US$1,000 transfer from Australia, SendFX’s exchange rate could cost you AU$60 less than the average big four bank rate.* And those savings could get even bigger if you transfer a larger amount.Scroll down to learn more about sending money with SendFX and click on the blue “Go the site” button once you’re ready to sign up and make your transfer!

Transferwise slashes cost of sending money overseas to asia

TransferWise slashes cost of sending money overseas to Asia

Sending money overseas just got even more competitive, with TransferWise announcing a series of price cuts this week for Australians transferring money to Asia. TransferWise Australia users can now save up to 23% in fees when moving funds to 10 different Asian countries, including China, India and Thailand.The exact savings will depend on the destination and amount sent. For instance, AUD 1,000 transfers to China cost 13% less than before, which means you would pay $13.11 instead of $14.95. Meanwhile, the cost of sending AUD 1,000 to Sri Lanka has fallen by a much larger 23%, reducing the fee from $9.72 to $7.52.Below is a full breakdown of TransferWise’s fee reductions:

Azimo joins australian fintechs in fight for cheaper international money transfers

Azimo joins Australian fintechs in fight for cheaper international money transfers

Digital payments platform Azimo has become the latest international money transfer fintech to set up shop in Australia, joining the IMT scene today with a promise to deliver competitive exchange rates and fast speeds to customers. The UK-based service has operated in Europe since 2012, and now eight years on, it's set its sights on Australia as its next large sending market. “We’ve always been more interested in the Asia Pacific than the US,” Azimo’s chief operating officer, Dora Ziambra says. “Australia is also an English speaking country where there’s less localisation needed [than other Asian Pacific countries], and it’s a place where 30% of the population is foreign born and has connections to another country. So it lends itself as a next step of international expansion.”And with AU$28 billion remittances sent abroad from Australia every year, Ziambra says “there’s still room for Azimo to offer a competitive product.”She says Azimo stands out from other digital players in terms of the breadth of its network and its wide range of payout methods. “We cover a lot more countries … and [in addition to bank-to-bank transfers] we offer cash payout, mobile wallet, mobile top-up, sending credit to phone, home delivery in some cases, and bank deposits.” Customers are able to send money to more than 200 countries and territories, including China, Vietnam, the Philippines and Thailand. And while large IMTs with many other providers can take between one to five working days to process, Azimo says most of its transfers arrive in less than 24 hours. Instant transfers are also available for over 50 countries, depending on which payout method you choose. For example, while sending funds to a Thailand bank account would be instant (i.e. complete in a few minutes), for transfers to the Philippines to occur immediately, you may need to opt for a cash pickup instead.Azimo is also expected to appeal to Australia’s Chinese expat community, with instant transfers available thanks to Azimo’s integration with Alipay, a major online payments platform in China. All the customer will need is their recipient’s AliPay ID to send money instantly in yuan. “Delivery speed is something we keep investing in,” Ziambra says. “A lot of our customers - as many as 75% - send money for family support, so getting the money there as quickly as possible at the best price possible is what we aim to offer.”

Volatility continues for aussie dollar how to manage your business money transfer

How Brexit and the US Election could impact your business money transfer

The Australian dollar (AUD) has been anything but stable over the past few weeks, fluctuating constantly between 70.5 and 72 US cents. While this may not seem like much variation, for a larger international money transfer of AU$100,000, it could mean saving or losing as much as US$1,500.And that volatility is only set to intensify throughout October. According to foreign exchange specialist OFX’s head of treasury, Sebastian Schinkel, the Aussie dollar could be knocked out of its current trading range as major global events like the deadline for Brexit and the US election loom on the horizon.“There are a lot of things brewing in the background that may help the Aussie move away from that range. But it’s hard to tell which way we’re going because there are so many factors at play,” he said. “Firstly a lot of attention is being put on the US election, and depending on what happens there, we should definitely see a move in the Aussie. We also have the same thing happening with Brexit in the next couple of weeks or months, and then whatever happens with COVID-19 and US-China trade tensions [will also have an impact on the Aussie].”Plus, uncertainty lingers around Australia’s economic position going forward - the AUD could go up or down in value, depending on whether or not fiscal support announced in the recent Budget will help the economy recover. “I think the Federal Budget will help cover the reduction in JobKeeper and JobSeeker [payments], but at the end of the day, the main challenge for the government and for the country is confidence. There’s a lot of offer for credit but what we are lacking is people actually demanding that credit because they’re afraid of making investments,” Schinkel said. A negative risk sentiment would typically cause investors to flee toward ‘safe haven’ currencies like the US dollar (USD), Japanese Yen (JYP) and Swiss Franc (CHF), which would then weaken the Aussie dollar. That’s precisely why the AUD crashed to 55 US cents back in March after COVID-19 was declared a pandemic. Meanwhile, a positive risk sentiment would likely do the opposite, boosting the value of ‘risky’ currencies like the Aussie dollar and Canadian dollar (CAD).