Transfering money back to the UK
 

Hi all

With the exchange rate being so good we are looking to move money back to the UK. Approx (in Canadian dollars) $8k every 3 months. What's the best way to go about it?

Thank you

Anna

Re: Transfering money back to the UK
 

I'll PM you my bank details ;)

Re: Transfering money back to the UK
 

Im not sure that there is a "best" way to do it.

there are specialist forex companies that you can fix rates with, but of course they will take their cut and rates can go either up or down so you might lose out. HiFX is one that comes to mind but there are many others.

If its a largish sum you can usually negotiate a more favourable rate with your own bank and just transfer it by SWIFT transfer for a reasonable fee. Dont just take whatever rate the bank offers though, put some effort into making it work for you.

Re: Transfering money back to the UK
 

Would I have to pay any tax on the money?

Re: Transfering money back to the UK
 

What would you call a largish sum?

Re: Transfering money back to the UK
 

No, probably not. (There are some complicated capital gains rules but its unlikely that they apply)
Ask your bank, they dont care what I call a largish sum, its what they think is worth the effort that counts;) Id have thought it worth their while to give you a break on $8k.

Re: Transfering money back to the UK
 

Like IainK said, shop around, it doesn't take much to both call your bank and speak to a few of the currency exchange sites. There are plenty available and it's worth the effort to squeeze the best rate for your $.

As for tax, I think it would depend on your plan for the money. If you plan on bringing it back to Canada in the future having made some money on the speculation of the UK£ rising there would be tax to pay on the gain, albeit as capital gain. If it's going to sit in the UK and do nothing then I'm not sure how that would play out.

If your plan is a spec trade, there might be better ways to do it than actually sending cash across the pond. There are plenty of FX trading houses were you could set-up an account and trade currency with a bit more flexibility. I've checked out OANDA as I used it for their global money transfer. Currently bought a pretend spec trade on their FXplay system just to try it out.

Re: Transfering money back to the UK
 

I use Canadian Forex, don't know if they're the best option for you but they're very friendly over the phone so they're worth a call. You have to provide ID and a $1 Cheque to activate your account but once thats done it's very straightforward and fast. Their rates are practically the market rate with a small fee.

Re: Transfering money back to the UK
 

If you are just playing the markets to make a profit you should look into financial spread betting. Saves the hassle of actually transferring any cash.

Re: Transfering money back to the UK
 

Thanks all - will def look into the options you've suggested.

Not trying to make money - just trying to actually have some when we move back to the UK as we spent far too much moving over here.

Re: Transfering money back to the UK
 

Good move! I mean with the money. If I didn't have mine tied up in property coupled with the inconvenience of needing to live in it, I'd be doing something similar

Re: Transfering money back to the UK
 

At times although it sounds ridiculous, I have often sent money to myself in the UK using western Union and capitalise when the exchange rate is good. There are restrictions to amounts that can be sent, however the money need not go into a bank possibly saving you declaring income for tax purposes. The one issue that can not be avoided is that whatever services you require, a cut will come out of the 8k. Good luck.