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0 pointsconsz8y ago0 comments

It's insane, borderline criminal. I knew someone who wanted to convert ~1m AUD -> USD -- and the banks were still trying to offer to do at 2-3% ! At that amount, you can open a brokerage account and trade through EBS or CNX directly and pay basis points.

0 comments

charlesdm8y ago

Of course they would. Most people don't understand how the fee structure works, so will comply.

You can open up a brokerage account at Interactive Brokers with a few thousand and use it to exchange FX. It's pretty accessible.

conszOP8y ago

I agree, most people are just not aware. I like the machines I've seen in airports and train stations that offer currency conversions. They have 'No Fees! No commission!' posted all over them -- ignoring the fact that the bid-ask spread they're charging is 15-20%. Again, criminal.

charlesdm8y ago

Sad but true. :( That said, people do pay for convenience, which I assume is the main function of those cash machines. If I end up in a foreign country that I haven't visited before, I'll likely withdraw some cash (not much) from one of those machines just to be safe.

You never know when your credit cards might stop working.. (I've had my main card blocked randomly while travelling and it frankly was a pain)

1 more reply

pishpash8y ago

Is this relevant? http://news.forexlive.com/!/interactive-brokers-to-cut-off-u...

charlesdm8y ago

Might be. I'm actually not based in the US (but I did exchange FX recently).

Perhaps someone in the US using IB could check?

pishpash8y ago

I don't think it's just lack of information. There are probably structural differences having to do with who is taking the fraud risk that account for the different rates.

TorKlingberg8y ago

With a brokerage account, how easy is it to get your foreign currency sent to a bank account in that country?

tacostakohashi8y ago

Often surprisingly hard. The other country is a big factor - Ireland is easier than Iran, the Netherlands is easier than North Korea.

charlesdm8y ago

Very easy. Check out Interactive Brokers (horrible interface, but great rates)

j / k navigate · click thread line to collapse

0 comments

charlesdm8y ago

Of course they would. Most people don't understand how the fee structure works, so will comply.

You can open up a brokerage account at Interactive Brokers with a few thousand and use it to exchange FX. It's pretty accessible.

conszOP8y ago

charlesdm8y ago

You never know when your credit cards might stop working.. (I've had my main card blocked randomly while travelling and it frankly was a pain)

1 more reply

pishpash8y ago

Is this relevant? http://news.forexlive.com/!/interactive-brokers-to-cut-off-u...

charlesdm8y ago

Might be. I'm actually not based in the US (but I did exchange FX recently).

Perhaps someone in the US using IB could check?

pishpash8y ago

I don't think it's just lack of information. There are probably structural differences having to do with who is taking the fraud risk that account for the different rates.

TorKlingberg8y ago

With a brokerage account, how easy is it to get your foreign currency sent to a bank account in that country?

tacostakohashi8y ago

Often surprisingly hard. The other country is a big factor - Ireland is easier than Iran, the Netherlands is easier than North Korea.

charlesdm8y ago

Very easy. Check out Interactive Brokers (horrible interface, but great rates)

j / k navigate · click thread line to collapse