What to do. 105k

Ind3c3ncy

Hey

Recently posted about selling some land from abroad. This has now happened and we have now paid off all debts and are looking for a house to buy. We're left with approx £105k in foreign currency sat in a currency account with a major bank.

What's best to do? My partner and I have both set up help to buy ISAS, and have put 1k in each so far and will pay the 200£ / month in each month. Apart from this we're not sure what to do to get the money to work for us. Is it best to leave it in the currency account and see how the conversion rates go, or exchange it and save in £,s. We have a baby due Later this year and aren't expecting to move soon, though we do hope to have moved by the end of 2016.

Any advice appreciated!

Thanks

bigadaj

Where is the money held, in the uk or overseas?

If you want to convert into sterling then banks are expensive, might be worth putting this through currency brokers which would potentially save a fair bit.

Currency movements are difficult to predict, you can look at forward rates to see if the current feeling is the rates will improve or deteriorate. Also it might be making more money in a foreign account as interest rates vary.

If keeping in a uk institution then it would all be covered in a joint account, no need to use ns&i unless you want to. It could all be put into multiple current accounts earning maybe three times that of a basic savings account but this involves some effort, and a number if credit checks that may affect a mortgage application if tart is only a few months later.

Ind3c3ncy

bigadaj wrote: »

Where is the money held, in the uk or overseas?

If you want to convert into sterling then banks are expensive, might be worth putting this through currency brokers which would potentially save a fair bit.

Currency movements are difficult to predict, you can look at forward rates to see if the current feeling is the rates will improve or deteriorate. Also it might be making more money in a foreign account as interest rates vary.

If keeping in a uk institution then it would all be covered in a joint account, no need to use ns&i unless you want to. It could all be put into multiple current accounts earning maybe three times that of a basic savings account but this involves some effort, and a number if credit checks that may affect a mortgage application if tart is only a few months later.

It's with a uk based bank in one of their currency accounts. The conversion seems to change up / down by 500£ a day but hasn't significantly risen.

I may look at a broker. I didn't know this was an option to be honest. I'd thought you'd be tied to using the banks rate? To be honest we took out 30k and the preferential rate they offered was just below the market average, from a little research. They didn't charge any fees though.

Thanks

DaveTheMoneyGuy

There are a couple of FX brokers I use, both of whom give you significantly better rates than your bank will.

Look at transferwise and currencyfair

DTMG