| When transferring a large amount of currency you | | | | rate at which they buy currency and the price at |
| need to be careful were you do it to get the best | | | | which they sell to you, the client. They will also get you |
| rates. Most people might think the obvious choice | | | | a rate lower than the Interbank rate. |
| would be to go with the traditional high street bank at | | | | Interbank Rates Explained |
| which they already have their main accounts, but in | | | | Interbank is the high-level foreign exchange market |
| fact they could end up costing themselves a lot of | | | | where thousands of banks can exchange different |
| money by doing this. So let's say you're looking at | | | | currencies. The banks can either deal with one another |
| investing a large amount of money in buying a | | | | directly, or through electronic brokering platforms. |
| property abroad, so you're going to be needing to | | | | Foreign exchange brokers and high street banks buy |
| make a frequent amount of foreign transfers. Think | | | | their currency at wholesale exchange rates close to |
| before you act... | | | | the Interbank rate and make most of their profit from |
| Choose Specialists | | | | the difference between the Interbank exchange rate |
| If you are a business or private individual wanting to | | | | and the rate they offer to their customers. |
| move large amounts of money abroad, and you are | | | | Are they Regulated? When choosing a Foreign |
| therefore looking to make a purchase of a big amount | | | | Exchange specialist, look out for their guarantee that |
| foreign currency, think before you go looking at the | | | | they are authorised as a money service business by |
| high street bank as your only route to getting that large | | | | HM Revenue and Customs. That way you get |
| amount of foreign cash. Think about using a | | | | protection and peace of mind when moving large |
| Commercial Foreign Exchange specialist bank. This is | | | | amounts of money around. Note brokers are not |
| because a Commercial Foreign Exchange (CFX) | | | | regulated by the Financial Services Authority (FSA) so |
| specialist can get you a much better exchange rate | | | | it really is essential that they are HM Revenue and |
| and commission free transfers. Their sole focus is on | | | | Customs approved. Compare CFX specialists to find |
| the currency exchange market, and the way they | | | | the one which really suits your needs. |
| make their profit is through the difference between the | | | | |