Make regular business payments from UK pounds to the euro and attain the very best deal when you choose a currency broker as opposed to using an expensive bank account service. Sending monthly business payments overseas to pay for employees, products, services, overheads or other business costs is cheaper, quicker and generally less hassle when you’ve a dedicated currency broker to set up and make the transactions on your behalf.
The table below compares the lowest monthly transfer amounts, together with the minimum term offered for each broker or bank:
*Note: Commission fees are based on the bank or broker’s standard method of transferring money overseas to other currencies (example: GBP to EURO / EURO to GBP). For SEPA commission fee information, please see below.
For businesses who transfer regular amounts overseas to make payments in the euro or other popular European currencies, using a currency broker is a money saving decision if your monthly transfers exceed £250. For smaller amounts you’ll have to continue using a standard bank service.
Some good news regarding overseas transfers is that through a new initiative via the European Union, the initiative being SEPA, you maybe able to take advantage of low cost, regualar currency transfers abroad. SEPA (Single Euro Payments Area) is a project to harmonise the way we all make and how banks process retail payments in euro currency. The aim of SEPA is to make payments in euro and across Europe as fast, safe and efficient as UK payments are today.
The good news at least covers the cost of commission fees as the transfer fees will be capped at a much lower rate per transaction using SEPA. The bad news is that all banks will still charge their own foreign exchange margin rate to the transaction. An example of this could be: An HSBC bank SEPA transfer from UK pounds to the euro has a commission fee capped at £2.00 on the actual transaction, however the foreign exchange rate received has 3 percent taken off the money received, which is hardly the best money transfer deal on the market.
Basically, the SEPA rules are written around euro or EU banking. They take no account of currency conversion or transfer exchange rates, which is what happens if money is transferred into or out of the euro zone. European banks can still charge anything they like for that service, irrespective of SEPA. For further information regarding SEPA, contact your local bank branch.