Currency Converting

When purchasing a property in Mallorca, but where your main residence is outside the Euro Zone, there is a good chance you will need to move, and convert, at least some of the purchase monies from the other country. While most high street banks will be happy to arrange this for you, the costs can be high and the interest rates not particularly competitive. While this may not be an issue when buying your holiday spending money, just a small difference in an exchange rate, or commission percentage, can be worth hundreds or even thousands of Euros when the amounts being transferred run into the tens or hundreds of thousands.

Equally there is the consideration of when to transfer the monies and what might happen to exchange rates between the time you start to look for a property, and identify a budget, and when an acquisition is actually completed. A small 5% change in the exchange rate could make a big difference when it comes to what you need to pay. For example on the purchase of a 250,000€ property, where the funds are all being transferred from the UK, the cost of the acquisition could go up by 9,000 GBP, if Sterling weakened by 5% against the Euro.

At Novi Property Mallorca we have therefore teamed up with one of the best currency specialists in London to help you reduce the costs of transferring your money and to manage the risk of exchange rate movements.
They have built up an enviable reputation by providing an excellent level of service to protect clients from foreign exchange risk when buying currency for an overseas purchase. At the same time their aim is to provide clients with a better exchange rate and to save on the hefty commissions most banks charge for both sending and receiving money.

In addition to using a broker at the time of purchase you may well wish to make regular future payments to your bank in Mallorca, be it to pay for a mortgage or to make a pension transfer etc. Again they can help, by fixing an exchange rate for up to 2 years, establishing a direct debit with your UK bank, and transferring your monthly payments abroad for no charge. Apart from being very simple this could save you over 300 GBP per year in transfer fees alone.

Choosing our recommended broker has, therefore, a number of key benefits:

  • Eliminates bank receipt charges
  • They do not charge any commission
  • They offer excellent exchange rates
  • They provide a courteous, simple and cost effective service
  • Automated processing and enhanced security using SWIFT
  • A regular payments abroad service simplifying and taking the risk out of the process
  • Offer an overseas insurance service, underwritten at Lloyds of London

Contact us for more information or to discuss your requirements in detail.