Dinky

Anybody else becoming obsessed with exchange rates?

Dear All,
I believe I am in need of help. I am starting to watch the exchange rate fluctuations like the proverbial hawk!
While I know my limited amount of funds are not going to change the world they are bloody important to me!
Rather than continue with my obsession (I think I would be better placed giving up my job now and taking a job on the FX) anybody know where I can get some reasonably sound information on future rates? Or what the US is going to do about the bombing dollar?

To exchange £ or not to exchange £ that is my question!

Cheers,


Dinky $$$$$$$$

Gibson

I know what you mean, do we or don't we!!!! Well we did, I rang Halewood every day to see what was happening and it never seemed like good news, so we thought sod it. I have really tried not to check it everyday but I just can't help myself! Luckily we didn't do too bad.....

all the best Janexxx

thnx4allthefish

Hi,

You should be able to instruct your bank/exchanger what price you'd be happy to convert at . e.g If it's $2.45 today instruct them that you only want to exchange if it gets to $2.50 that sort of thing. If the rate isn't going in your favour before you go, why not exchange what you reckon you'll need to tide you over for 3 months or so, and leave the rest in a UK bank account.

If you haven't got Internet banking why not arrange it before you go, and then you can administer your UK funds from abroad.

I'm just monitoring the situation at the moment, and if it doesn't improve I'm just going to convert what I need, and leave the rest in the UK.

Dinky

I agree and am set up to do so as well.
However, there is a little nasty in that the Australian tax system will want to charge you tax on any gains you make overseas be it from interest or from favourable exchange rate movements. If your a higher rate tax payer in Oz this could mean giving up 50% of any movements:scared:

Dinky

etlniwd

And how are they going to know ?

Sandra

Mine was a complete obession like you say (I still look now!)- but I have been watching for a year, with a house in the UK to sell cause of being on temp visa etc etc. I got 2.49 a week ago, lots and lots less than the 2.80+ that has been. But in the end it meant I could buy a house here, now, when I want. If you decide to leave money in the UK for a future exchange rate that may be a good move. For a deposit in Aus have at least 10% of your possible property price here in Aus ready to put down in 5 days - less if you go to auction. The rest will be due about 6 weeks later. So do not go tying up money unless you know you have time to spare here.

Have fun - my fave site - http://www.oanda.com/convert/classic

Dinky

Good point and well presented!
I'm not sure, although I am sure that sizable (for individual) deposits being made into personel accounts could attrack attention.
Any comments from expats who have made the switch??

Dinky

karawara88

I was told amounts upto $4k do not attract attention, anything over attracts attention due to money laundering regs. How true this is I don't know.

Sandra

ATO Tax Law states you sign a declaration at the end of the year about all your income (internal and external) as a PR in AUS. You sign and do not disclose something - if found out later you signed a false declaration?????

All income in bank accounts are registered and need TFN numbers unless full 48% tax is deducted. On entering the country it even states over a certain amount brought in on your person is an offense if you do not declare it.

Certainly 'etlniwd' has his own choice as do all of us - but my advice is to take financial advice unless you are very very sure of your actions.

Cheers

crabtree

If you take in to the counrty $10,000 or more in cash you must declare it.

On a previous post someone said you would by taxed on a favourable exchange rate. I Do not believe this is correct.

Tony C

tinaj

I thought you had up to 1 year from date of entry to transfer your funds, after that they are liable for tax ??? Now I am confused, lets hope Alan Collett is reading this thread!

Kiwipaul

When I moved from NZ to Oz 3 years ago I left most of my cash in NZ, just in case it didn't work out. After 12 months I decided to buy a house here, (tax office new about my NZ deposits as I declared the income from them). Got my NZ bank to transfer the money here and bought a house.

I didn't have to declare the money to anyone. the tax office must have seen my interest income plummet, as I turned the cash into a house and I've had no come back.

I don't know if I made a loss or gain on the transfer as I didn't work it out. Too much stress trying to second guess the exchange rate so just moved it when I wanted it.

I don't believe the Australian gov (even the Tax office) can obtain information from foreign banks unless they have STRONG suspicions or prove that you are doing something illegal.

Christ banks don't even obtain credit history from abroard.

Kiwipaul

Also you don't need to leave your cash in UK banks, you can transfer it to Oz or NZ banks and have it held as Sterling. Then all you have to do is phone your local bank and get them to change it into local currency.

Just make sure the recieving banks understands what you are doing, and that you want to keep the money in a Sterling account (did this with National Bank when I first moved to NZ).

Yes on the tax form in Oz you have to declare all your world wide income, and also tick a box if your foreign assets are over (I think) $50,000. It dosen't ask how much you have just if it's over this figure, nor does it ask where it is.

PS I'm no tax expert just what I've learned so no guarentees

pommie bastard

What makes you think that the rate now is not good , if you look over the last 20 years 2-1 to pound is a mean average.

karawara88

HSBC do. !! just applied for an account and the refused after checking with experian, it seems I have a link to a tenant who tried to commit fraud. Fortunatley its easy to sort out and prove otherwise.