How to Minimise Risk When Transferring Currency
There are a number of different reasons for transferring currency, whether it’s in preparation for going on holiday, in order to pay a client or on the forex markets as you trade to make a profit. A lot of risk is attached to transferring currencies, so to get the best possible rates whatever way or reason you are transferring currency, try to minimise this by using some of the following methods.
Predict Peak Trading Times
The currency market is one of the most volatile in the world, as each one increases and decreases in value by various amounts throughout the day. There are certain events that can be used to predict whether particular currencies will increase or decrease in value at set times. Political and economic factors, such as an upcoming election or government budget announcement, can see that currency weaken and others strengthen due to the uncertainty it provides. When preparing to transfer currencies, look for such events to help determine the best time to make transfers.
Use a Specialist
When looking to send money abroad, whether to pay a supplier or as a gift to a friend or family member, you will want the best rate. Using specialists in the field such as CurrencyFair should guarantee some of the best rates and most secure ways of making the transfer. A lot make transferring money abroad simple too, with apps and the ease of setting up an account meaning you can do so quickly and safely.
Regular Payment Plans
If you have to transfer currency abroad on a regular basis, then taking out a regular payment plan with a foreign currency transfer service is often the cheapest option. Some allow you to lock into a plan that lasts a year or more. There is some risk involved, as the currencies you transfer could have a more attractive rate outside of the plan which you won’t be able to take advantage of.
The internet has made it incredibly easy to shop around and find the place offering the most attractive rates when transferring currency. Spend a bit of time comparing the rates offered along with any hidden costs that can ramp up the price of transferring through that service. If you follow these pieces of advice then transferring money abroad or exchanging back to your own currency can be done in the most cost-effective manner possible, reducing risk that may crop up at any time.