Genesis

You won't get 6.75% with a bank for 12 months. Obviously having lost as huge amount with a Finance Co I would never ever invest in one again unless it was graded AA. We are with the TSB now at BBB+ and we have the NZ reserve bank Gtee. When that ends in Oct I will transfer our money to a bigger AA graded bank.

sr71

I'm no expert at all, but my understanding from headlines is that it's a combination of the following :

NZ intrinsically linked to Australian economy.
Australian economy to boom on the back of minerals for at least a decade
The AUD is strong because of this, hence the NZD piggy backs.
The UK is doomed.

Persephone

I've been waiting for it to bounce back for a while now, luckily I don't need the cash at the moment but need to consider how long to wait now. I'm getting 0.1% interest in an offshore account so basically nothing so looking at whether I change at the current low rate to get higher interest over here or sit it out. Need to start doing some maths!
Oh for those days a year ago when I changed at 2.85Wish I'd taken the hit and changed the lot now.
I do feel sorry for anyone moving over now, they have no choice if they need the cash when they get here.

Genesis

Hi P, sounds like we are in the same boat. The Nationwide Offshore offer about 3% if you tie it up for a year. We also have an e plus acct with them in the UK.....it gives 2% p/a so long as you make no more than 4 withdrawals. Thing is its impossible to open any type of acct in the Uk once you are no longer resident. Kate wants to wait it out. The UK economy may well be doomed BUT the NZ $ just needs a wee bit of a kicking and the exchange rate will go in our favour. Still I am full of glee (yeah right) for all those doing the opposite to what we would like to do...they have never had it so GOOD. Never, never, never. Ever.

Persephone

Take it that means I cannot switch to a different offshore bank then, I did see that on the Nationwide website and was thinking about moving it. I do still have a current account with them.
Mind, I can guarantee I'll tie it up for a year and then the rate will sky rocket before it matures. That happened last time which is why I didn't change the lot at 2.85...should have lost a chunk of interest, changed it and been better off in the long run...hindsight is a wonderful thing

zoglet

This might cast some light on the reason it dipped this week:
http://www.guardian.co.uk/business/2...rliament-fears

Genesis

Y'all don't have to be resident in the Uk to have an offshore acct with Nationwide Intl..or have an account with them in the UK..its UK bank accts you can't open when resident elsewhere than the UK. Hey talking about forgoing interest, I chose to hang on to Hanover rrather than lose $1700 in penalties for an early investment closure. This was when nothing was wrong and there was no writing on the wall. alas 3 years later that $1700 loss I should have worn grew into a monster of $100k...oh for hind sight as you say!!

nero

[QUOTE=Persephone;8385690]I'm getting 0.1% interest in an offshore account so basically nothing so looking at whether I change at the current low rate to get higher interest over here or sit it out. /QUOTE] We were in the same position with Nationwide International, then I wrote to them and asked them if they could change me to there new account interest rate of 2.8%+. They miraculously upped the interest rate and although it is not the lovely rate of 4-6% you can get here in NZ it is alot better than before. Just wished I had asked earlier. Good luck with the negotiations

chocolate cake

Same boat as many on here, I've been waiting for nearly a year to exchange money. When I agreed a sale on my house in the UK the rate was $2.80's, a couple of months later when things were finally sold, was looking at $2.45. Held out hoping it might edge back up, instead it's gone on one long decline.

Sure it's easy enough to see reasons for the UK GBP poor value, but I don't see the actual evidence of any strong performance in NZ, that makes it more that justifies the +20% gain against the GBP. The NZ economy is hardly in great shakes either.

Sure the Aussie economy is racing along in comparison, but the NZ's isn't. Clearly there's alot of uncertainty in the UK before the election, but there's no guarantee it will move the right way after that.

Nevertheless I can't bring myself to exchange at the current rates, so it looks like another winter in rentals for me

harrogate girl

God when we arrived in 2003 we got $2.83 I have just today been asked what one of my clients should do,with the money she is bringing next week for the UK.
What I would do is hold it sterling account until it was required hummmmmmmmmmmm? in hope it will rise not sure s..t....

Wiz'n'Ton

Now I will try not to sound too smug right now, but guess who's off to the UK shortly for a bit of a hol?

Could be close to 2 to 1 - can't quite believe it, that's for sure.

jennifer45

P!$$ off!

Already lost over $270000 against feb 2009 rates when we sent our first lot over.
Held the rest back + the gift from our house buyers{Ha ha) thinking it would rise!
Serves us right.
Big problem is- we have bought (signed for) $650 000 House. Deposit paid rest to be paid on completion mid May.
Do we shift enough to cover it at todays abysmal rates and leave the rest in UK hoping it will improve, or bring the lot over and at least get better than 0.2% which is what Halifax is paying on it's instant access Web Saver!

Yes, I know I could get better rates if I tied it up but I really don't feel confident in British banking - haven't for last 12 months due to numerous cock-ups and the reduction to only two brain cells for employment criteria.
J

teeym

I genuinely believe that you will see a move in GB£ favour post General Election. The current swing to Labour has come on the back of not a lot being said by the opposition - I think that once the Conservative spin machine grinds into action (which I would like to think they are timing to give maximum impact just before the Election) then they will return to having a sizable enough majority to start making decisions and give the country a few years of reasonably stable government which should be the foundations for confidence in Sterling to build on.

Don't think it will be a seismic change mind, but the draconian financial measures that are coming post-ballot should be enough to start slowly convincing the money men that UK PLC is not a complete basket case.

Don't have a crystal ball, but *visa depending* if we get over later this year our £'s are staying as UK residents, because I'm convinced we are not far off the bottom now. Unless of course there is a REALLY big problem at the treasury that our beloved leader is keeping very hush-hush until after the big day.......

simonsi

Why not hedge and split your funds 50:50 and do both, limits your exposure to both downside and upside...

Sounds from your figures that over the next 12mths your return if all taken to NZ would offset the recent downshift in the pound so after 12mths your position woulod be improving....assuming things stay the same.

...or put it all on the horses

simonsi

I´d put money on it, trouble is I think the opposition have a good idea the problem is bigger too, hence post-election either the population gets stuffed with whatever is REALLY needed to deal with the deficit and the money-markets etc may agree, or the govt don´t deal with it to the markets satisfaction and the pound will slide further as the UK wallows in junk status...