Cheapest bank to receive a foreign/euro payment

7sefton

I’m due to receive a €1000 payment from a travel insurance company and I’m trying to work out the best of my many current accounts to get it paid into. (like all good money savers I have a lot of account to maximise rewards)

I was going to default to my Lloyds account until I saw they apply a 3.5% margin to the exchange. After a lot of digging, Barclays appear to charge 2% and Nationwide 0.5% (but the details are actually very hard to find online and confusing how they are explained).

Does anyone know what my best route would be?

I have accounts with:
Lloyds
Natwest
Halifax
First Direct
Zopa/Biscuit
Barclays 
Virgin Money
Nationwide
Santander

flaneurs_lobster

On the suggestion of someone who regularly receives EUR to their bank account I had a quick look at First Direct - no fees for the receipt of EUR from within EEA and conversion at the "First Direct" exchange rate.

Don't think this rate differs significantly from the more usual "Mastercard" rates and won't be significant on EUR 1k.

Chaykin

EUR account with Revolut. I realise you don't have it but may be worth considering.

MyRealNameToo

7sefton said:

I’m due to receive a €1000 payment from a travel insurance company and I’m trying to work out the best of my many current accounts to get it paid into. (like all good money savers I have a lot of account to maximise rewards)

You have insurance from a foreign insurer? If it's a UK insurance firm they almost certainly will pay it in GBP based on the spot rate at the time of the payment. 

For a single moderate transaction I wouldnt go to too much bother. Generally for FX I would recommend Wise though note that they arent a bank so if you decide to leave the currency there you dont get FSCS protection

7sefton

Thanks everyone.

its actually for Airbnb cover which is being handled by an Italian agent. Will use first direct based on this advice. 

friolento

Wise is good. You get an IBAN and can receive Euros. You can then exchange them yourself to GBP or other currency, or keep some Euros. Very good exchange rate and only minor charges.

https://wise.com/