Best method for receiving inheritance from abroad

Hi
I'm expecting to receive some inheritance from abroad. I'm not sure on the amount yet but I think it's likely to be at least £200k. Is there any reason why I shouldn't just have the money sent directly to my bank account? It's hard to find impartial advice online as all the transfer services obviously want you to use them. I'm with Virgin Money, they charge £7 for a SWIFT transfer from outside the EEA or no charge for SEPA. I realise exchange rates may vary but after the stress of having had to organise a funeral etc from overseas, I really want this to be as simple a process as possible. 
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Comments

  • MeteredOut
    MeteredOut Posts: 2,773 Forumite
    1,000 Posts Second Anniversary Name Dropper
    edited 25 March at 4:47PM
    Definitely check what exchange rate your bank will use - with £200K being exchanged, the difference could be quite a bit. Have you looked into one of the specialised services such as Wise?

    At the very least, contact your bank and see if you can get an agreed deal (I did this years ago before the specialist services were as available, but not sure if banks would still accomodate this)
  • Bugaboo1
    Bugaboo1 Posts: 17 Forumite
    10 Posts Name Dropper
    Definitely check what exchange rate your bank will use - with £200K, the difference could be quite a bit. Have you looked into one of the specialised services such as Wise?
    I'm struggling to find this information anywhere. I can find for transfers out, but not for deposits so I don't know if it's the same. I was hoping to avoid using another service if I could. I will do if it will save a significant amount without creating extra hassle. I'm thinking of, for example, money laundering laws making it difficult to then transfer the money to my bank account once it's arrived with a different service. 
  • Bugaboo1
    Bugaboo1 Posts: 17 Forumite
    10 Posts Name Dropper
    Just to add to the above, I spoke to my bank and they told me that the sending bank would do the currency conversion... 
  • MeteredOut
    MeteredOut Posts: 2,773 Forumite
    1,000 Posts Second Anniversary Name Dropper
    edited 25 March at 5:22PM
    Bugaboo1 said:
    Just to add to the above, I spoke to my bank and they told me that the sending bank would do the currency conversion... 
    Yes, but at what exchange rate?

    Google gives

    Virgin Money's standard foreign exchange rate for international transfers is based on the market rate, plus or minus a currency conversion cost, which varies depending on the payment amount. 
    Here's a breakdown of the currency conversion costs: 
    • £0 - £25,000: 2.50% of the market rate.
    • £25,001 - £50,000: 1.70% of the market rate.
    • £50,001 - £100,000: 1.55% of the market rate.
    • £100,001 - £250,000: 1.20% of the market rate.
    • £250,001 - £500,000: 0.95% of the market rate.
    • £500,001 - £1,000,000: 0.65% of the market rate.
    https://uk.virginmoney.com/current-accounts/making-payments/#international-payments-using-swift

    From the above page:

    Can you show me an example?

    1. You send €20,000 from your GBP Virgin Money account.
    2. Virgin Money converts pound sterling into euros using an exchange rate of: €1 = £1.1050
    3. This exchange rate deducts a currency conversion cost of 2.5%. For €20,000, this mark-up equals £1.0774.
    4. The amount of pound sterling converted is £18,563.21.
    5. A £25 SWIFT transaction fee is applied.
    6. The total amount taken from your Virgin Money account is £18,588.21.
    I'd not assume the underlying exchange rate (before the additional charge) would be the same as other providers either.
  • Bugaboo1
    Bugaboo1 Posts: 17 Forumite
    10 Posts Name Dropper
    @MeteredOut that information applies to payments, not deposits. I can't find any information about deposits other than the £7 for SWIFT/£0 for SEPA I mentioned above and that may be explained by the conversation I just had with an agent who said the sending bank would do the conversion and of course I can't influence the sending bank.
  • MeteredOut
    MeteredOut Posts: 2,773 Forumite
    1,000 Posts Second Anniversary Name Dropper
    edited 25 March at 5:25PM
  • MeteredOut
    MeteredOut Posts: 2,773 Forumite
    1,000 Posts Second Anniversary Name Dropper
    edited 25 March at 5:29PM
    Bugaboo1 said:
    @MeteredOut that information applies to payments, not deposits. I can't find any information about deposits other than the £7 for SWIFT/£0 for SEPA I mentioned above and that may be explained by the conversation I just had with an agent who said the sending bank would do the conversion and of course I can't influence the sending bank.
    Are you saying the sending bank will exchange to GBP before sending it to VM? If so, have you checked how they'll do that exchange calculation/any fees from their side?

    EDIT: I've assumed that the inheritance is in a foreign currency worth £200K. Is that the case, or is it £200K held abroad and already denominated in GBP? 

    If its in a foreign currency, which one (and if EUR, from which country)?
  • Bugaboo1
    Bugaboo1 Posts: 17 Forumite
    10 Posts Name Dropper
    Your assumption is correct and VM told me that the sending bank will exchange to GBP rather than them. I can't influence the sending bank at all as the money will be coming from a government public trustee, I just have to tell them the account details they are to send it to. 
  • JGB1955
    JGB1955 Posts: 3,792 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper
    It's in the hands of the executor/trustee (in your case).
    #2 Saving for Christmas 2024 - £1 a day challenge. £325 of £366
  • Bugaboo1
    Bugaboo1 Posts: 17 Forumite
    10 Posts Name Dropper
    Again, this is for sending rather than receiving. There's loads of info out there about sending but receiving is much harder to find!
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