International payment

midlifer

I am in South Africa and will be returning to the UK in a few months time.
When I originally sent the funds from the UK Halifax bank I changed the GBP to ZAR online and sent South African rands to my SA account.


Which currency should I send the remaining funds back to the UK in, Rands or Pounds?


The Halifax website was great and makes it easy, it lets you work out how many ZAR you get to the GBP.


Here the South African website does not let you know the exchange rate.
If I sent Rands I do not know if Halifax would accept it or if it works out more expensive that way.

agrinnall

I would expect them to accept a transfer in ZAR, it's a major currency and Halifax (or at least the wider Lloyds Group) will certainly trade in it. The exchange rate is likely to be at least as good as you would get if you converted to GBP in SA, and probably better. So the thing you need to be concerned about is the charges for doing the transfer, which will certainly be applied by the sending bank and might also be applied by Halifax.

The general consensus on here seems to be that using a currency broker is the most cost effective solution, although with possibly a slightly higher degree of risk than keeping the entire process inside the banking system.

SammenForLivet2

Who do you bank with in RSA? I know that I have had experience with ABSA, Gramestown Building Society (they use a clearing bank) and Bidvest Bank, and they can all do transfers in GBP. I believe the 'Greek' bank (Is it Bank of Athens - Can't remember?), they also use a clearing bank, which can do GBP Transfers.

This said, a straight line GBP Transfer might be quite expensive and you're likely to have to find someone in the branch - who understands what you're talking about and then processes the transfer for you, and might require a lot of paperwork. I can remember having to pay off relatives UK Credit Card's from South Africa and for the three transfers, it was a half-a-day's work with ABSA.

I'm unsure about Standard Bank and FNB plus Capitec/uBank.

midlifer

Thank-you both for the replies, very helpful.


My bank here is Nedbank and I have had nothing but trouble with them, spelling my name wrong when copying it from my passport and endless other problems. I do not trust them to do the transfer successfully and it is not possible to do it online with them.


My friend who is South African banks with Standard Bank who also do not allow an online international transfer but FNB do so I am going to transfer it into her FNB account and we will do the online transfer together. We did a trial run yesterday and the only uncertainty for me was which currency to send home.


Thinking about it and reading your replies I think it would be best to send back Rands as I can then work out exactly how much to send including the costs which are 0.5% in SA, a maximum of R760. About £43.00. Nedbank charged me £40 to receive it in January.


Halifax charge £7 to receive international payments (it only cost £9.50 to send the funds too).


I read the international payment section on the Halifax website and they do accept South African currency.


The rate changes every 30 minutes or so but they seem similar in FNB and Halifax.


I had thought about using a currency broker but am unfamiliar with the process so will stick with the banks.

Obviously_the_best

I'd try using https://www.currencyfair.com , see if it works out cheaper. Usually they do a fair amount better than the banks will.

catokelly

It is very difficult, near on impossible to transfer South African Rands to an account outside South Africa, so I imagine that you will have no alternative but for the South African bank to convert the funds to Sterling beforehand.

Let us know how you get on?

midlifer

Obviously_the_best wrote: »

I'd try using www.currencyfair.com , see if it works out cheaper. Usually they do a fair amount better than the banks will.

For the amount I will be transferring I would save about £165 using currencyfair.


I will make the transfer in 4 months time (so planning ahead) and my funds will earn £160 in interest in that time from the SA bank.


Still not sure whether to use the bank or a currency broker.


OTB and others, what is your experience with currencyfair?

agrinnall

catokelly wrote: »

It is very difficult, near on impossible to transfer South African Rands to an account outside South Africa, so I imagine that you will have no alternative but for the South African bank to convert the funds to Sterling beforehand.

Let us know how you get on?

Clearly this is not correct as the OP has already determined that Halifax will accept a transfer in ZAR, and I would be amazed if the other major UK banks won't do the same.

mgdavid

I've used currencyfair a few times, for EUR and AUD, it's no problem at all if you're used to online banking. They have a fee-free deal on at the moment, not sure if it's only for current customers.

catokelly

agrinnall wrote: »

Clearly this is not correct as the OP has already determined that Halifax will accept a transfer in ZAR, and I would be amazed if the other major UK banks won't do the same.

Well lets wait and see shall we. I was actually referring to transferring ZAR out of South Africa, not the UK side - Halifax probably have no issue with receiving South African Rand. But the problem will be transferring the funds out of the bank in South Africa they will not usually allow Rand to be transferred out of the country.

Lets wait and see what the OP tells us.