International cheques

peely

I'm off to Australia next week with my kids. I've paid for the trip on a 0% interest credit card, and I know that my mother is going to help pay for the trip. Am I ashamed? No, cos its the only way she gets to see her grandkids, as the trip is too much for her, and they aren't really old enough or sensible enough to travel on their own yet. OK, it will be a holiday for me too, but not one I would make had she not chosen to re-emigrate a few years ago. Only trouble is, she wants to give me a cheque while we're there, and it will be drawn on an Australian bank, so obviously in A$ dollars. It will be for a substantial amount. I know, and she knows, that it would be easiest for me if she were to transfer the money direct from bank to bank, but she is unwilling to do this, because she has to go to the bank (she's not online) and there will be a transfer fee. If she gives me a cheque will it be ok to pay a cheque into a bank, or will they be thinking I'm money laundering or something, due to the amount???? I understand there will a conversion charge, but I don't know if this would be more than the cost to transfer or not. If she were to get online, could she just transfer the amount to me easily??

simongregson

You can pay the cheque into your UK bank. Expect to pay about £10 - 15 fee. You might have to wait for the cheque to be paid as they will post it to Australia for payment, or your bank might give you the money 'with recourse' i.e. if the cheque bounces they will debit your account.

It probably will cost about the same overall as transferring the money electronically.

Could you not offer to pay your mother's transfer fee if it concerns you to wait for the money? She could probably instruct the bank to send the money in writing.

jonesMUFCforever

I would agree with Simon.
The only thing I disagree with is the fee your bank is likely to charge.

Not knowing what a 'substantial' amount is it is difficult but I think most banks charge about 25p per £100 with a maximum of £80 (min around £10).

So if it is a lot then tell her to deduct the fee from what she sends and both of you should be happy!

avantra

A. Open a Paypal account (if you don't have one - it's free).
B.Link your Paypal account to your UK bank account.
C. Ask your mom to do the same on her side in (I think PayPal is active in Oz).

when it is all setup, she can pay you to your Paypal account, I think it's cheaper and safer than cheques. (correct me if I am wrong)

jonesMUFCforever

If its a large amount I think you will find it tied up in red tape until you have satisfied Paypal of your identity.
Isn't there a fee for transferring money from Paypal to your bank account?

Personally this is not a good idea IMO.

avantra

jonesMUFCforever wrote: »

If its a large amount I think you will find it tied up in red tape until you have satisfied Paypal of your identity.
Isn't there a fee for transferring money from Paypal to your bank account?

Personally this is not a good idea IMO.

No one said it's free.. it's just cheaper option to electronic tranfer. We had a transfer from Canada 3 month ago for almost £10k and as we are verified users (bank account, phone and all the other standard checks that are done when you set up a pp account) we were NOT asked for further details.

Just my experience of a good and cheap service.

Krisp_3

It may take ages for the cheque to be credited, as said before, and you will get hit with a pretty ratty exchange rate. And you are likely to get charged on top.

Can you not go into the bank with your mum whilst you are there?

jonesMUFCforever

avantra wrote: »

No one said it's free.. it's just cheaper option to electronic tranfer. We had a transfer from Canada 3 month ago for almost £10k and as we are verified users (bank account, phone and all the other standard checks that are done when you set up a pp account) we were NOT asked for further details.

Just my experience of a good and cheap service.

What is the paypal fee?
Previous poster said for them to set this up - highly unlikely that they would have been ID at this stage until £x of money has gone through account?
Who works out the exchange rate??

simongregson

The exchange rate for negotiating a cheque will be better than the bank's cash exchange rate, it will be the same as the exchange rate for the interbank electronic transfer.

peely

Thanks for the advice people. If I can persuade her to go to the bank I will, but I think she'd rather not have the hassle, and I'm not dying for the money.

I think it is extremely unlikely that she would be prepared to pay online by paypal. She is in her late sixties and is not happy about paying for things online or remotely!