Tips when sending money to or from Australia
One thing you need to consider when living in Australia is how to send or receive money overseas. Studying and working in Australia means you will be able to enjoy one of the best living conditions in the world. Exchange rates, sending or receiving fees, fees and charges by banks, and transaction processing times are some of the main things you need to consider when you wish to send or receive money to or from another country.
Money transfer facilities
Most banks in Australia allow bank-to-bank transactions for sending money abroad. All you will need is to visit any Australian bank that has banking partners in your destination country and they will help you organise it with them. You may, however, have to provide information such as your receiver’s account name, account number, and the bank SWIFT or IBAN codes. SWIFT or IBAN codes are international bank identification numbers that you can get from your bank’s website or by calling their customer service line. You should start by trying to use a bank to transfer and receive money, as it is usually the most secure way to conduct transfers internationally.
Another great option is online transfer facilities that sometimes offer the most affordable rate for overseas transactions. Some other facilities you can also check out are services like MoneyGram, Xpress Money, Orbit Remit and PayPal. These facilities are all online-based companies so you can easily send or receive your funds over the Internet.
Understand the current exchange rate
Many people don’t understand that the biggest fee involved when it comes to international money transactions can often be the exchange rate itself. Banks and other services around the world make use of an interbank rate, which applies an international standard rate when trading among themselves. Banks use this international standard rate, which can sometimes add up to an additional 3-6% charge on top of the current exchange rate. Currency exchange rates can easily change every day, so make sure you understand these differences and what your home currency is worth.
Banks and other money transfer facilities will normally require a fee for all transactions. Make sure you are aware of these fees so you can choose which facility is best for sending and receiving money as these fees can vary between facilities and banks. Take note, many money transfer facilities base their fees on a percentage of the actual amount you will be sending. So for larger sums of money, you want to make sure you get the lowest fees possible to save yourself in these transactions. In addition, most money transfer services will also require a minimum sending fee if you wish to send money to your loved ones outside of Australia.
When it comes to finances there are plenty of options to choose from in Australia. It is important that you consider various options to ensure minimum fees are calculated and good security measures are taken when sending or receiving funds.
For more information about living and studying in Australia, check out our helpful IDP blog!