Funding your property purchase is likely to mean moving a large sum of money to Ireland from the UK. The more money you’re transferring, the more important it becomes to secure a good exchange rate. Even the difference of a couple of cents per pound can equate to thousands of euros more or less.
A ‘forward contract’ can be ideal in this situation. If today’s rates look good, but you don’t need to transfer your money until a later date, you simply fix the exchange rate in advance. It’s the currency market’s version of ‘buy now, pay later’. A small deposit will fix today’s exchange rate and it’s yours for up to a year.
Whether you’re thinking of living in Ireland permanently or planning to make regular use of a holiday home, you may find yourself making frequent currency transfers from the UK. This could be to pay a mortgage, transfer your pension or meet general living costs.
In such cases, a regular payments service could come in handy. This would enable you to manage regular payments (e.g. monthly or quarterly) by direct debit and make considerable savings on the transfer fees applied by most banks (typically £20 to £40).
What’s more, if the exchange rate moves in your favour, you can actually ‘lock in’ that exchange rate for up to a year, so you know exactly how much money you’ll get on every transfer for that twelve-month period.
Every currency transfer is different, so it’s worth looking into the different options available.
Buy currency now at the current exchange rate for immediate use. Good for:
Fix an exchange rate for up to a year by paying a small deposit today. Good for:
Set up a direct debit and even fix the exchange rate for up to a year. Good for:
Arrange for an automatic transfer when your target exchange rate is reached. Good for:
Get your foreign exchange provider to keep a close eye on the market for you; they’ll get in touch if the rate reaches your target. Good for:
The number of options available isn’t the only reason why you should use a currency specialist to manage your transfers…
Foreign exchange providers are dedicated to staying on top of the currency markets. If you don’t have the time to track the latest currency movements, there are a few tools you might find useful. These include:
Currencies Direct is one of the UK’s leading foreign exchange specialists and has helped more than 150,000 people get the best from their international money transfers.
Visit www.currenciesdirect.com/ireland for more information.