Best UK bank account for receiving US dollars from abroad

Shrimp91

My first time posting so any advice you can give would be greatly appreciated. I recently sold a large volume of shares in a US company through my employer's equity scheme. The cashed stock is now sitting in a Fidelity account in the US, in dollars. I have the option to transfer the amount as dollars into my UK account (Santander 123) or Fidelity can transfer the amount converted into sterling (but they charge a 2.25% conversion fee). I am trying to figure out the best option for me to maximise the amount I will receive in sterling after all fees and exchange rates have been applied. If you were me, which of these options would you pick?

1. Transfer the amount in dollars into my Santander account (letting Santander apply the exchange rate)
2. Transfer the amount in UK Sterling (letting Fidelity apply the exchange rate & conversion fee)
3. Open a new UK bank account that will allow me to transfer the money in US dollars into the account with no fee, and will apply a better exchange rate than Santander (if yes to this option, which account would you recommend?)

PRAISETHESUN

I'd use a specialist currency exchange service to send from your US account to the UK, particularly if this is a one-off, rather than faffing around opening new accounts. They should offer you the best deal on the conversion, and then you can deposit the GBP in any UK account you want. I usually recommend Transferwise or Revolut for this, although keep in mind that for the brief time they hold your money they are not FSCS protected. Other options here: https://www.moneysavingexpert.com/banking/foreign-currency-exchange/

Shrimp91

Thanks! I have used Transferwise before so maybe I will give that a go

eDicky

Santander's markup on the exchange rate is probably worse than that of Fidelity, who at least are transparent about it.

If there is the requirement to pay it into an account in your own name, a TransferWise Borderless account provides this for USD, as does Fineco Bank UK. Revolut does not.

bricoleur

Hi, I used a currency broker a couple of years ago, called Baydonhill FX, now rebranded as Earthport FX. Transferwise actually uses their platform. If it's a large amount you can negotiate the exchange rate (e.g. ask them to beat the Transferwise rate) and there are no transfer fees for larger amounts. Cheers. 

earthport-fx.com/who-we-help/individuals

sausage_time

I use Transferwise for this.  It should be free to send the US$ from your broker to your Transferwise virtual bank details, and from there you can convert to UKP (0.4%) and then send to your real bank account (60p cost).  If you already have an account with them, I can't imagine you'll get much better rates.

jonesMUFCforever

What is the sterling value - see if Santander can open a forward contract for the dollars?