Changing Money Back

CanadaBound

We have just been abroad to visit my father-in-law and, while there, his great-aunt gave us a present of 5000 euros in cash as I am expecting and she wanted to help us out with cots, prams etc (I still mean to get as much as is reasonably possible from freecycle anyway but she insisted - bless her little cottons).

So, we would rather not waste her money but need to convert it back to pounds in the most efficient way before we can really do anything with it. So what is the best way to do it?

I assume that just paying it straight into our current account and letting the bank convert it isn't a good idea (Natwest) but I made some preliminary enquiries at an online exchange but they won't take cash payments, do we know any that do and that offer a good rate? If not, is there a better way to do this that I am not thinking of?

Thanks for your help in advance guys!

CanadaBound

As an update - I finally got a call from Natwest answering my questions about paying the money in - they send it away, it takes 3-4 WEEKS to prcoess the payment into our account and then we get the rate at the date of processing, not the rate on the day of handing over the money. This is obviously not ideal - any ideas?

crowlands

You will get a lousy rate anywhere for exchanging currencies back into sterling. I work for NatWest and always advise customers that if they are not desperate for the cash, to keep their excess cash until they go on holiday again. Of course this is not an option in your case. Do you have friends and/or family who will be going on holiday next year?? You could sell the euros to them, using a mid-rate for the exchange. Doing this you would both benefit, you wouldn't loose out so much on the deal and they would be getting a better rate themselves. Good luck with the new baby!!

Just spotted your new post - looks like they are sending the currency off for 'collection' rather than working the exchange rate at the time you do the transaction - possibly because of the amount involved.

benjus

As recommended above, the best solution is a private exchange with someone you know that needs Euros. Get rid of as much as possible of it this way, then change the rest at a Bureau de Change.

There are some places that will buy Euros at rates that aren't too bad (e.g. TEG in central London - http://www.thomasexchangeglobal.co.uk/exchange1.php). Expect to lose about 2.5% of the value of the money (i.e. €125) on the exchange rate. If you can get to TEG it's also worth shopping around in central London, especially around Victoria station, as there are apparently some places that have better rates than TEG, but which may not publish rates on the Internet. Make sure you include any commission when comparing rates - just ask "how many £ for my €5000?"

Whatever you do, don't just walk into a Post Office and change it... you'll probably be about €350 worse off than you would be with TEG or similar.

CanadaBound

Well thanks for your advice both of you - unfortunately we don't know anyone who is planning to go abroad and would want such a large sum so the hubby and I have decided to go up to London at the weekend and shop around - I'll let you know how it goes! On the plus side, the rate appears to be improving in our favor as time goes by so hopefully that won't change between now and saturday.

And, just becuase it was on offer and I couldn't resist, I ordered the baby's first big item last night - a buggy that I have had my eye on for ages - and we are currently sanding down and painting the second hand cot that we got from my sister so it is all systems go!

CanadaBound

Well, by taking your advice (and aiding by the advantageous changes in the euro/sterling rate) we ended up making an additional £500 on top of what we would have made had we just gone to the local place and changed them so thanks very much for your help - should buy the baby quite a bit!