Foreign currency savings

Woody222

Hi , I have opened an HSBC expat account due to pending emigration ,the account offers the ability to save in 19 different currencies , some of which have very attractive interest rates currently compared to GBP . I am aware of currency exchange rates need to be considered however my question is are the other pros and cons of saving in a foreign currency . Thanks in advance 

Millyonare

It's basically a gamble on the future direction of the pound (assuming you plan to return to the UK). If GBP swings in your favour, it will be like winning the lotto. If GBP swings against you...

zagfles

Look at the inflation rate of the countries with high interest rates. In some countries double digit inflation is the norm not the exception! 

wmb194

Woody222 said:

Hi , I have opened an HSBC expat account due to pending emigration ,the account offers the ability to save in 19 different currencies , some of which have very attractive interest rates currently compared to GBP . I am aware of currency exchange rates need to be considered however my question is are the other pros and cons of saving in a foreign currency . Thanks in advance 

High interest rates can often be a sign of a weak currency and economy and they often become weaker. Chasing currencies with high rates can be a dangerous game.