It is often said that travel is the best education you can get, so it’s no surprise many people are opting to spend a year or more of their university degree studying abroad. However, this can seem a costly adventure. We are seeing more and more foreign students apply to international universities and searching for the best way to get the most out of their money. In fact, paying tuition fees can be an extremely frustrating aspect of what should be an amazing experience.
Whether you are studying overseas yourself, are an expat regularly paying off your student loan back home, or you transfer money abroad to support someone through their studies, it could pay to consider how you transfer money. Often people are not aware of the repercussions of poor exchange rates and high hidden charged associated with making transfers. Now we understand that your natural instinct might be to go to your bank to make international payments, however there are major disadvantages to this. Choosing to use a high street bank, who often charge 4% on exchange rates, to send money overseas for example, could be unnecessarily diluting the value of a your transfer due to uncompetitive rates. That’s $1,000 in camouflaged fees on every $20,000 you transfer. On top, it’s likely you’ll incur a $20-50 wire fee when factoring all fees and charges.
Using a specialist to send money abroad can give you access to better rates as well as a more customised service. They often have regular payment systems set up, enabling you to make repeat payments easily and ultimately saving you more than £400 per year.
Currency fluctuations are also a major aspect to factor in. The exchange rate (based on mid market) changes every minute if not second. Trying to second guess where the rate will go is both daunting and time consuming. This is where brokers are able to help. At Currency UK, for example, we allow you to take out what is called a forward contract - where you lock in today’s rate’s for up to 12 months in advance.
So wherever your degree takes you, you know that you can focus on the important things like meeting deadlines, and let us take care of your finances.
Posted in Personal Resources on Jun 20 2017