Exchanging AUD for GBP

[bigt]

Hi,

I need to pay someone in the UK 30,000 pounds. Is there a way to make this cash transfer from Aussie dollars more effective for me i.e. do some aussie banks offer better exchange rates? Do I convert first to one currency then to GBP? Or do I just use my Westpac branch and forget all the spin and just use their exchange rate? Newbie question, though appreciate any help..a small fluctuation in rate means more dollars to convert..and it looks like the AUD:GBP rate is going back in the favour of the GBP at least in the medium term (damn I missed the 0.47 a few days back)

Thanks for the help guys.

 

[tayser]

Re: Aussie -> GBP

at 30,000GBP some banks might offer you a tighter spread... you're best to ask banks themselves... this sub-forum is for foreign exchange trading. However:

correct expression of the sterling to aussie exchange rate is: GBP/AUD (1 pound = X Aussie dollar), to get the inverse, you divide the GBP/AUD rate by 1.

GBP/AUD = 2.1868, inverse: (1/2.1868) 0.4572.

If you sell your AUD and buy another currency before then selling the third currency to eventually buy GBP, you're introducing more risk that the exchange rate between which ever currency you buy in the middle when you sell your AUD will appreciate/depreciate against GBP, so no, dont bother, just sell your AUD and buy GBP directly.

At time of posting Westpac (look at their website) will sell you GBP at: 0.4493 which is about 80 pips away from the market price (which I got above from xe.com). Just use Westpac, however ring them up / go into the branch and ask if they'll give you a better rate/spread as you're selling a larger amount of AUD than most people would.

 

[bigt]

Thanks for the reply - on a general note, what is the opinion of ASF'ers on the longer term trend of the GBP against the AUD? Looking at the chart it still appears on a downward trend - though recent events have triggered stories in the fin review etc about medium term weakening of the AUD. Do you think we have reached the bottom? (see chart).

http://newsvote.bbc.co.uk/2/shared/fds/hi/business/market_data/currency/11/15/twelve_month.stm

 

[bigt]

FYI, last post on this. Will be using OzForex for the transaction, they provide much better ("unbeatable") rates, no fees etc. Subsidiary of MacBank.