florabundi

Hi everyone ~ is anyone else contemplating exchanging some sterling just now? Thinking the rate is getting better, but for how long? Just would like to hear any thoughts, please.

VickyVN

I've just changed a chunk.
Got one of the prepaid currency cards from Travelex. Seems like a good way to bridge the gap between UK and Kiwi bank accounts. The prepaid card can be used at ATMs, to purchase things with directly aswell as online. There's no fee to set it up, no fee to withdraw money or pay for things, all you pay is the amount it costs to exchange to NZ currency. They even post it to your house free of charge within 3 days. Can't go too wrong with that.

I've been watching the rates like a hawk for a few weeks now as I leave for NZ on 18th August.

Yes it climbed briefly, but I think you need to watch the markets in conjunction with the headlines. The markets recently slumped because of the lack of confidence in the States' affairs. I waited and waited until I saw the first decrease (which was today) and then cut my losses and exchanged. I was concerned about the effect of the rioting on the pound.

I can't find a better rate than Travelex for the actual exchange. I use 'xrates' to keep an eye on the rates. You can view the timeline of the rates to help you decide when is a good time.

It's always a gamble but it pays to pay attention to what's going on in the Asian markets as well as our own and the US.

Good luck.

Genesis

I think 2 is the new 3. We are in a totally different world these days. I was very, very tempted to change at 2.03 the other day but alas I had to fly out the door at that juncture and it went off the boil down to 1.93 later on that day. I am not sure the riots will impact too much unless of course they get worse which I doubt they will. Thing to remember is that the euro is utterly stuffed. This could mean some resurgance for the pound..who knows?? Who would have guessed any of what has happened recently. It seems like society is breaking down everywhere. I really do think we will be looking at a whole new world very soon. Maybe the Mayan's were right talking about a 'new world' (not the supermarket) post Dec 21st 2012

Browner_

1.97

You have to laugh
Not too many immigrants rushing to NZ like there was when I came (at 3.3)

johnht

I managed to change a chunk at $2 to the pound as I had what I thought was an optimistic order with a FX company to buy at that level.

On my trip to NZ a couple of months ago I found that travelex was good for holiday/travel type amounts, especially if you buy over the net, but they're still quite a few cents short of the rates offered by the 'non-tourist' type FX companies.

Comparing other markets, over the past week or so I've noticed that when the headline in the business news is 'stock markets tumble' the dollar exchange rate is higher and when you see 'stock markets recover' the dollar falls. I'm sure having said that, today will prove me wrong but it's what seems to be happening.

John

DC10

That's absolutely what is happening.

"Risk on" sentiment = NZD will strengthen
"Risk off" sentiment = NZD will weaken

So, if you think the world economy will go down the tubes in the next few months, the best strategy is probably to wait. If you think the economy will be strong then now is probably as good a time as any.

florabundi

Thanks no decisions yet ~ hubby has predicted 2.2. Will wait and see, if he is right we will rename him Mystic Dave!

legweak76

Hi florabundi

We're in the same boat, moved over in Nov and now have Residency sorted so we want to buy a house. All our money is in the UK and it's a nightmare deciding when to exchange - cut our losses now and accept 1.95 incase it goes down even further and doesn't recover, or hope it goes back up and get 2(+) and deal with the stress in the mean time. My hubby is also optimistic it will take a turn for the better but not really sure what he bases this on! Have you guys made any decisions yet?

florabundi

Hi Legweak, I spoke with Halo on Friday and am going to change some of our savings with a forward purchase of $2 ~ he reckons that rate may be available again soon . Then keep some savings in reserve for a 10% purchase of dollars from the sale of the house. Who knows what is for the best? When we started our immigration process the dollar was at 2.65!

Genesis

I think there will be a slight improvement in our favour. Lets see what happens.

florabundi

Yes, hopefully. 3.3 is not on the horizon though!! Hope you invested wisely Browner~ Lucky you!

Genesis

I think in our life time we will be lucky to ever see 2.50 again.

julesnye

buy gold, i'd say it only seems to go one way

Genesis

I was going to the other week when it was 1600. Trouble is you have to pay a big mark up and it was 1720 or thereabouts when the market price was only 1600. Okay 3 weeks on I would be in profit now as it is 1780ish. But you have to store it and insure it. It all costs money. Like anything else in the investment world its a gamble. It can go down as well as up. Another issue is how do you know the dealer you are using is trust worthy? Too complex for me, too many potential pitfalls and the fact that it is one of the few investments you actually have to spend money on (ins and storage as mentioned above) means it is not for me. I also read an article about it not actually being one of the best investments you can get in to in a very wholistic way of looking at investments. Very interesting read.

DC10

Genesis, surely the Australasian banks will sell you a gold futures contract without you having to physically possess the stuff?!!

I am sure that (as with oil) only a very small portion of all gold contracts actually result in someone taking physical possession.