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Money Transfer Online – How To Beat The Banks

August 21, 2014

Money Transfer Online - How To Beat The Banks

Have you ever wondered how the banks got to be among the biggest, richest and most powerful organisations in the world?

Try changing currency and you’ll discover one of the reasons.

This is what happens when you change pounds to euros…

0 Commission You see the big ‘No Commission Currency Exchange’ sign outside the bank and you think, “Hey, I’m onto a winner here”, so you hand over £1,000, and they give you back 1,086 Euros.

Now, if you were to ask them to change those Euros straight back to Pounds, what would you get?

£1,000, surely.

Nope. You’d get £941. So, the transaction has cost you nearly £60 or 6% of your money.

Sadly, it’s the same when you change Dollars to Pounds, Euros to Zloty, anything to anything.

Heads, the banks win. Tails, you lose…

Money Transfer Online – Here’s How To Beat The Banks

Now there’s CurrencyFair.

CurrencyFair is an online market in which people change money with people, no pinstripes in between, no one out to make a killing, just people like you who want to make a fair exchange. If you don’t like what you see, you can become a seller too.

In reality, this is how it works:

Jim is an Aussie and he lives and works in London but he still has a flat in Sydney, which he rents out. On the 1st of the month, the rent gets paid into his Aussie bank account but Jim needs the money in London, so he has set up an account at CurrencyFair.com. He’s already deposited some Aussie Dollars into his CurrencyFair account. He needs the Pounds but time is on his side, so he decides to wait for someone to match his order. He’ll accept £0.61 for every Dollar he’s looking to exchange. He waits.

Meanwhile, Shirley lives in the UK. Her son, Brendan, emigrated to Australia and needs help with his business in Brisbane. Shirley has set up a CurrencyFair account. Shirley can get 1.635 Aussie Dollars for every Pound from Jim. Since she’d get just 1.591 with the bank, Shirley thinks Jim’s offering a good deal. Of course, she doesn’t even know she’s doing a deal with Jim. The whole thing is anonymous. She buys his Dollars and instantly, Jim gets her Pounds, so now he can buy that sofa and Brendan can breathe a sigh of relief. “Thanks, mum.”

That’s how CurrencyFair works, people exchange money with people. It’s nicer and it’s fairer.


Sign up today and start saving money.

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