Nibletz Staff
Now more than ever, businesses old and new have to pay attention to currency values. The fallout from Brexit and uncertainty over what the Trump presidency will bring will have a serious impact on the value of the Dollar, Euro, Yen and Pound. The US Dollar has already strengthened following the surprise election result.
All that along with changes in technology have meant the way in which startups and more established firms do business have come a long way. Until the mid-1990’s, if business owners wanted to transfer money abroad or receive payments from another country, options were limited. They could either ring their bank or visit their bank. Either way, the bank was the only avenue to go down.
Another way to transfer
Today, businesses can still transfer their cash overseas through their bank. However, there are a couple of major caveats, one of which is the prospect of paying a fee for each transfer. The other is a lack of flexibility when it comes to getting the best deal for the money – they’ll have a set rate and are likely to take a small percentage of your money.
There are now alternatives for transferring money abroad though. For those who have a limited amount of time on their hands for admin, it makes sense to go online and do it. With information on exchange rates at the fingertips of anyone with a smartphone, tablet or laptop, it’s easier than ever to make a transfer.
Transferring money through websites like CurrencyFair takes out a lot of the administration costs. To use them, all it really involves is having the business’s bank details and the details of their overseas client. They will have something called an International Bank Account Number (IBAN) and Bank Identifier Code (BIC); asking for both is essential.
Recent developments
Business owners as well as consumers are exploring their options for transferring money to another country. Whether it’s because they have an overseas client to pay or that they have relatives to send much-needed money to, it’s become easier to do it without having to go over the counter.
Greater access to information on exchange rates has helped businesses become more savvy when it comes to knowing where value for money lies and what they can expect to pay for turning their Dollars into Euros and so on. It’s likely that transferring money in physical banks is going to be phased out, with internet transfers soon to become the norm.
