Originally Posted by lansbury

Yes that is correct. I log in to my account and ask for the exchange rate and state the date in the future I wish to execute the contract. I see on the screen the rate I am offered for that contract, which I can either accept or decline. If I accept I pay a 10% deposit and that rate is locked in. If the rate goes up or down it makes no difference to the rate I get on the day the contract is executed.

I find a forward contract is better than a fixed contract for x months, because it reduces the number of transfers I do in a year and hence means less intermediary bank and wire transfers charges I have to pay. But what I like may not be to everyone's way of doing things.