Transferring funds from UK

[Chancer]

I had been using my bank to transfer medium amounts (usually of about £5000 once or twice a year to economise on the charges) but was concerned about the rate and the fixed charge.

Another correspondant advocated drawing cash using a Nationwide card and then depositing it in the French bank, I wasn't sure if it could possibly be advantageous so I have experimented and was shocked at the results.

As funds were running low in my French account, this month I started using my Nationwide debit card instead of the Carte Bleu.

Purchases varied between 1.48 and 1.482 (euros to the £) during the month, on Friday I did a cash withdrawal (remember there is no charge - but at what rate?) and my account was debited at 1.484.

Today I rang the HSBC, after waiting forever in automated switchboard land I was connected to "a representative" in India to whom I requested the transfer rate for £5000, after asking me whether I wanted French euros or Dollars (true! the last one had to ask which currency thay used in France) , he confirmed that the rate would be 1.427 plus I would have to pay a £21 charge, I would also have to pay about 7 euros to the French bank but the HSBC could do it for another £15!

From now on when I want to top up my French account, as crazy as it seems I will withdraw the money (from Nationwide) using the bank's ATM and then pay it in over the counter.

I wonder just how much my ignorance cost me when I bought the house with a Euro bankers draft?

Another advantage is I can withdraw 400 euros each day instead of 200 and there is no silly monthly ceiling on purchases regardless of account balance.

In fact why exactly do I still pay for a French account?

Answers on a postcard please!

[derf]

"In fact why exactly do I still pay for a French account?"

Because you still need a French account to Pay in the withdrawals[:)]. I have been using the Nationwide withdrawal/deposit thing for some years now, and it works fine, if you don't need a large sum quickly.

[marc62]

Hi JR

We now taransfer from our bank to Moneybookers who then transfer into our bank (Britline), This takes approx 5 days in total & cost approx £3.00 only, we also get a spot rate which is far more that any bank would offer. You will find it very easy to use once sent up.

Marc

[Chancer]

OK I am now trying to think of when in the last 18 months I have really needed a French bank account.

Most of my payments are by carte bleu and I could use my Nationwide card, I have written very few cheques and I think all of them would have accepted cash except the Gendarmes who were going to make me walk until I got out the cheque book.

The main one that I can see is to pay the bills by TIP but could I pay all these in cash at the local agents and the tresorie public etc?

I am being serious now because I believe that not having a French account would make life simpler and certainly remove some frustrations.

[Andyphilpott]

I assume that you are resident in France and with no particular time pressures, since unless that was the case operating in cash - by making cash withdrawals and paying them in, paying bills by cash etc - would surely be very time consuming!

I also use Moneybookers and have had no problems with operating a French bank account. It is especially useful as I can only spend a limited time in France and to have all the bills set up on Prelevement makes sure that none are missed with all the hassle that entails. Credit Ag have always been helpful once we agreed that I did  not want to pay for services I did not need.

Having said that the Nationwide service is excellent - makes you wonder why other banks cannot compete.

Andy

[billy10]

I transfer minimum amounts of 5000 pounds from my Natwest account straight to HIFX where I get a spot rate better than the bank rate and a free transfer to Britline, seems to have worked fine for keeping my French bank account well in the black

[absolut]

I am very confused about the Nationwide card. So many of you seem to have one, but I was told that you have to be a UK resident to qualify.

Is this true please?

[Cassis]

If you opened an account while resident in the UK you can keep it when you move here, like most UK bank accounts.

[Llwyncelyn]

Sometime ago Will suggested using Nat West and which has been our bank for over forty years.  Thus every month and for just £10 money goes into our CA account.  The rate varies of course but for what we are talking about it is fairly small beer.  That is what we now do.  Unfortunately CA tell you every month what you already know that the money has left the UK and is now in France and for just a printed piece of paper plus an envelope plus a stamp we are charged 3.25 euros a month.  CA say they can stop the charge but of course you do not get the letter!

For those who xfer money on a frequent basis to CA please be aware that due to the new computer system all the banks numbers etc etc have changed and whilst it is ok to use the old details for about the next ten months then it changes!

[Cjlaws]

[quote user="Llwyncelyn"]

Sometime ago Will suggested using Nat West and which has been our bank for over forty years.  Thus every month and for just £10 money goes into our CA account.  The rate varies of course but for what we are talking about it is fairly small beer.  That is what we now do.  Unfortunately CA tell you every month what you already know that the money has left the UK and is now in France and for just a printed piece of paper plus an envelope plus a stamp we are charged 3.25 euros a month.  CA say they can stop the charge but of course you do not get the letter!

For those who xfer money on a frequent basis to CA please be aware that due to the new computer system all the banks numbers etc etc have changed and whilst it is ok to use the old details for about the next ten months then it changes!

[/quote]

£10 for a transfer may or may not be cheap, depending on how much you're transferring, but the exchange rate you are given can make a big difference. French service charges (Telecom, EDF) come out of your account every other month, so you could save £10 plus 3.25 euros a month just by making bigger payments every other month. I'm assuming (never a good idea) that you don't live in France - if you do then the Nationwide cashpoint system is the best, with no charge for the transfer and a very good rate of exchange.

As for new bank computer numbers changing, no doubt CA will send me new RIB, but even so I doubt that even one direct debit will fail to be paid.

 

[Llwyncelyn]

Fortunately I do live in France and thus whilst I have a property in the UK it is rented so I then presume that to obtain a Nationwide card is going to be a little problem?

We xfer a set sum every month from the UK in that all the DD's are converted to a monthly basis thus taxe fonciere EDF Saur etc etc and not every other month.  That way we budget better and if there is a shortfall or overpayment it should not be huge for we have over-provided on the payments just to give us some breathing space.  We also xfer in the sum monies for living eating lunch that sort of thing.

I have no doubt whatsoever that Nationwide has huge benefits but my problem is getting one and with incomes in the UK going into our bank(s) and where we have had a relationship for over forty years.

If we do have a problem is that Coventry BS keep on deducting tax at source then we have to go back to the Revenue get the refund and then it starts all over again.

They will not change their stance and say resident in France we are going to take the tax

[Cjlaws]

[quote user="Llwyncelyn"]

Fortunately I do live in France and thus whilst I have a property in the UK it is rented so I then presume that to obtain a Nationwide card is going to be a little problem?

We xfer a set sum every month from the UK in that all the DD's are converted to a monthly basis thus taxe fonciere EDF Saur etc etc and not every other month.  That way we budget better and if there is a shortfall or overpayment it should not be huge for we have over-provided on the payments just to give us some breathing space.  We also xfer in the sum monies for living eating lunch that sort of thing.

I have no doubt whatsoever that Nationwide has huge benefits but my problem is getting one and with incomes in the UK going into our bank(s) and where we have had a relationship for over forty years.

If we do have a problem is that Coventry BS keep on deducting tax at source then we have to go back to the Revenue get the refund and then it starts all over again.

They will not change their stance and say resident in France we are going to take the tax

[/quote]

Sorry, I wasn't trying to intrude ito your personal circumstances, but I'm pretty sure you're paying too much for tranferring money.

If you'd like to discuss this further, please drop me a PM or email.

 

[pugwash]

Unfortunately the fact that you have been with your bank for 40 years will nowadays be seen as a good reason to try any kind of charges on you. The people that get the best deals now are the pushy and questioning customers who are prepared to move accounts. I am very afraid that the kind of loyalty you are depending on doesn't exist anymore in the banking world, moving to the Nationwide sounds like sound advise.

Question for anyone else, if you transfer a tax free pension from the UK to France is it still tax free ??

[united]

Hi Pugwash,

I think the tax free cash only applies to people who are UK residents for tax purposes. I think because I am sure I read this somewhere but cannot find the source again.

[Llwyncelyn]

Problem Pugwash I live in France and not the UK whilst my centre of interest (and that legally is entirely a differing matter and I say that as a lawyer) maybe England then the Nationwide are not going to give me an account.  Yes I have a UK address two indeed but both rented so I do not appear on any credit checking organisation and thus not on the voters register.  So the answer is clear if you need bank accounts sort them out in the UK before you move and not after.

 

rdgs

[Llwyncelyn]

Dear Pugwash I do understand your sentiments but very briefly I do not judge service simply by its cost there are and must be as far as I am concerned many other considerations for otherwise we just become a commodity buyer.  I am not that and many will criticise me for that approach.

Indeed and whilst I was in harness all our clients accounts used to be fed on a three monthly basis to the High Street Clearers thus establishing a situation whereby if one let us down on xfers or the like then they would not get the benefit of the account for some little time.  An old fashioned approach but one that worked. 

Please believe me when I say that after 40 years with Nat West they and I know exactly what is acceptable and what is not.

I enjoy my relationship and they seem to like theirs but of course it has been based on 40 years and lots and lots of introductions one way and the other.

[The Riff-Raff Element]

[quote user="billy10"]I transfer minimum amounts of 5000 pounds from my

Natwest account straight to HIFX where I get a spot rate better than

the bank rate .........[/quote]

I am intrigued to know how you know this is the case. Are you

able simultaneously able to get spot rates from your bank with which to

compare? HIFX and all the others, I believe, are just brokers, so the

rates they are getting are from the "market" i.e. the big banks and

large multinationals. They want to make money from the client - they

don't do these things for free - and if they are not charging a flat

fee then they must be taking a tick on the rate they are getting from

the market. So on that basis, a spot rate from a market principle (the

bank) should be better.

[pouyade]

I also bank with Natwest and use HIFX. I do check rates (incl charges) between them from time to time and HIFX have always been better on sums around £5 -10,000........................

 

Pouyade

[pugwash]

[:)]I have been reading all of this thread with interest and in preparation for our move to France  (Normandy area) when we have sold our place here in Devon. In preparation I have opened our Nationwide account as it does appear to be the best method for simple money transfers on a routine basis, but there is 1 question yet that has not been mentioned in any detail. What actually is the best method of getting the "big money" for the intial purchase of the property into France ?  [8-)]

 

Pugwash

 

 

[La Vette]

The best way is to use a dealer.  Sign on with a couple then check the rates between them.  They will sometimes give you a slightly better rate if you tell them what the other dealer is offering and sometimes .05 of a cent can be a lot of money when you are moving thousands. 

Also, last year a European Directive came into force which said that banks transferring money between other banks in the EU cannot charge.  I have just checked on my transfer notifications from CA and I have not been charged anything since at least November last year.  If they are charging you should be asking them why.

[pugwash]

Thank you LV, 

[:)] I am going to display my ignorance and ask when you say a "dealer" what do you mean ?, and does your second comment about free transfers between European banks mean that I actually don't need one even if I knew what it is ?.[:D]

 

Pugwash

 

anyone want to buy a bungalow ???

[Benjamin]

[quote user="La Vette"]

The best way is to use a dealer.  Sign on with a couple then check the rates between them.  They will sometimes give you a slightly better rate if you tell them what the other dealer is offering and sometimes .05 of a cent can be a lot of money when you are moving thousands. 

Also, last year a European Directive came into force which said that banks transferring money between other banks in the EU cannot charge.  I have just checked on my transfer notifications from CA and I have not been charged anything since at least November last year.  If they are charging you should be asking them why.

[/quote]

Does that also apply to the receiving bank as our CA  continue to make the admittedly token charge of 2,75€ for every transfer they receive from the UK?

Benjamin

[Cassis]

[quote user="pugwash"]

Thank you LV, 

[:)] I am going to display my ignorance and ask when you say a "dealer" what do you mean ?, and does your second comment about free transfers between European banks mean that I actually don't need one even if I knew what it is ?.[:D]

Pugwash

 [/quote]

Try here

http://www.completefrance.com/cs/forums/755424/ShowPost.aspx

It's a question that comes up regularly and always gets the same answers - I don't think much can have changed.  Some people swear by their bank, others by their FX dealer.  Everyone likes to think they did it the 'right' way - human nature! [:)]

[Lollie]

The very best way?    A staff account!!

[La Vette]

When I say a dealer I mean a currency broker like HIFX or moneycorp etc.  When I used my bank they couldnt tell me what rate I would get until the deal had gone through and I ended up getting a lousy rate.  They also charged me around £25 (should not apply now) and it took two weeks to get to my French account.  In those days my French bank also used to charge me (around 11 euros) so I was paying twice.  HIFX used to charge £10 but no longer charge anything (I know they will make it up some other way) and my French bank does not charge me either.  I don't understand the bit about not needing one, if you mean UK bank then I would say yes you do.  My pension is paid into my UK bank then move a large lump to France every 6 months or so after watching the rate.  Moved money early this time as the rate was up to 1.48 euros to the pound.  I also need a UK account to pay things like my life insurance, voluntary contributions to National Insurance etc.  You can have money paid direct into your French bank account but you are relying on the person sending it to bother about getting you a good rate.