A statistic I read recently showed that over 80% of people are still using the very first bank where they first opened an account.  They may have added other accounts along the way with other institutions, but in general, we tend to stay with that same first bank (me included!).

The banks promote this long-standing client relationship as loyalty and admiration for their service and products, but it is actually inertia that prevents most of us from researching  and moving accounts:  “Too much hassle”… “I haven’t got time” …. “I’ll do it one day”…. “They are all the same”…  “My bank looks after me”….   Sound familiar?

Following the unprecedented world banking crisis, people are now much more willing to look more closely at what their bank charges for their services, and this includes Foreign Currency exchange (FX).  The realisation is dawning that there is no such thing as free banking and charges will continue to rise as banks endeavour to recover from a turbulent couple of years.  I received a letter from my bank (one of the “Big Four” UK banks) to say that charges for using a sterling debit card abroad are increasing, and I will now have to pay 3% more – as well as a low exchange rate (which is just another way of levying bank charges!).

To be fair, traditional High Street banks just aren’t geared up for FX provision.  You cannot book currency ahead for future requirements, and have to accept the ‘spot rate’ on the day.  This makes it very difficult to set a budget when you are forecasting how much it will cost you to buy that French property, for example.  The fact that banks have a presence on every High St means their overheads are much higher than FX specialists, where investment in technology means they only need one office to provide a global service.  FX companies are run by specialists with FX services as their core business.

If you are looking at buying euros, dollars, dirham and so on for your summer hols, the Post Office and M&S traditionally offer good deals.  Beware of the Bureaux de Change in resorts, on ferries and at airports as their exchange rates are eyewateringly expensive!  Many FX companies offer a holiday money service, with the cash or travellers’ cheques (at a competitive rate) delivered to your home or office.  Ask First Rate FX about their “First Cash” service (currently only available to UK addresses).

For those of you on a sterling income in France, whether that is a pension, salary or holiday rental receipts; you will have seen your income fluctuate wildly over the past few years.   Similarly, tradesmen who source materials overseas, or who invoice in a different currency, will have noted how difficult it is to budget accurately and a downward movement in the currency pairing (such as euro to sterling) can wipe out your profit margin in an instant.

FX specialists can help you smooth out these currency swings, by keeping you in touch with trends, and suggesting when you can book your currency at a favourable rate for up to a year ahead so that no matter where the rates go, you will receive the amount at a pre-agreed rate.  And with NO charges for this service, you will save money and have the security of knowing exactly how much will arrive in your bank account each month, via pension, rental income, salary transfers etc.  These FX companies can do the same for regular payments, such as mortgages, school fees, caretaker fees or salary transfers, or those one-off purchases like property, renovations, car or boat expenditure.

First Rate FX provides these services daily  to thousands of expats worldwide.  There is no charge for our service, and all transactions are covered by a £1M insurance-backed guarantee underwritten with Lloyds of London to give you total protection and complete peace of mind.

We offer all N4Normandy readers a preferential rate –
register with us, and quote reference
N4Normandy 11400

See our website at
www.firstratefx.com
or call on +44 (0)207 038 8075

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