Choice should investigate who is offering the lowest currency transfer fees… because it’s almost impossible for customers to work it out:
Banks, financial institutions and other financial services providers never provide the true cost of a transaction to a customer. Most mislead customers by claiming that no fees exist or that only modest fees exist. The main fee they leave out is the exchange rate. The banks quote an internal bank exchange rate which is currently 4c lower than the market exchange rate. This means you have an extra ~6% fee on every transaction. Add to this an ~$30 bank fee at each end… and the true cost can exceed 10%… particularly on smaller transactions.
The fees are excessive and lack transparency.
Anybody who has a business, travels or spends time overseas may have to transfer large amounts of money from country to country. That means most of us? So this is hardly a small issue.
There seem to be at least two providers who are disclosing their true fees… and have truly low transfer costs:
https://www.ofx.com/en-au/?cid=204&gclid=COCR2pCck84CFdgRvQod17AEOg&dclid=CPrg85Cck84CFQOdvQodjtQOHw
A good story explaining how Transferwise works:
It would be useful if Choice did some research in this area… and suggested some reform in the area of disclosure.