• Germany's news in English
 
Presented by CurrencyFair
CurrencyFair: Why it pays when making overseas transfers
CurrencyFair co-founder Brett Meyers

CurrencyFair: Why it pays when making overseas transfers

Published: 06 Apr 2014 17:43 GMT+02:00

The cost of moving country may well mean leaving your family and friends behind but it comes with a wealth of new experiences too. The chance to learn a foreign language and taste different culinary delights are both culturally enriching. But when it really comes to money matters, transferring currency can leave you losing out.

With family or even a home overseas, there’s a good chance you need the services of international banking and, when you are forced to transfer money at a loss, it proves to be pretty frustrating.

It’s an issue that Australian Brett Meyers became all too well aware of after moving to Ireland.  ”I often needed to transfer money back home and got stung on a bank transfer, losing hundreds with a really poor exchange rate, and decided not to get ripped off anymore," he says.

With a combined background in technology and finance, Meyers and a group of colleagues set out to solve the problem, creating the online marketplace CurrencyFair that was launched in 2010.

“We came up with a way of transferring money internationally without involving international transfers,” he adds. ”It works on the principle that I might be sending Euros back home to Australia for Christmas, at the same time there’s plenty of people with Aussie dollars that want Euros – for example, a person who emigrated there needs to sending money back to pay the mortgage.”

With CurrencyFair, an individual can sell currency in exchange for buying another from someone else. It allows people to either exchange immediately using the best rate currently available, or offer your funds at a rate of your choosing and wait for another customer to match you. 

For a €3 fee, the funds are deposited with CurrencyFair, which ensures the transaction is completed between accounts. By cutting out the banking middleman, Meyers says the model is 90 per cent cheaper than using banks.

“You can save up to €60 Euros when you consider all the sending and receiving charges and on top of that an average of three percent on the exchange rate,” Meyers says.

Security is maintained since the site is registered as a payment institution under a European directive, specifically designed to open up the payment market to non-banks and introduce more competition. It means that CurrencyFair is regulated to provide and execute payment services.

CurrencyFair offers 17 currencies in which to buy and sell and, with $750 million (AUS) already exchanged between members, customers have saved an estimated $25 million.

“Banks are clever in hiding the charges,” says Meyers. “People have no idea how much they are losing on the exchange rate – they just see the fixed fee. That’s what we need people to understand with our service - it’s about real concrete savings.”

This article was produced by The Local and sponsored by CurrencyFair

Related links:

For more stories about Germany, join us on Facebook and Twitter

The Local (news@thelocal.de)

Today's headlines
'Women-only' parking: sensible or sexist?
Photo: Wikipedia

'Women-only' parking: sensible or sexist?

Frankfurt Airport is one of many places in Germany to offer women their own 'bigger and nicer' parking areas. Is this sensible practice or plain sexist? READ  

German offshore wind power breaks records
Turbines at the Norsee Ost farm in the North Sea. Photo: DPA

German offshore wind power breaks records

The amount of new offshore wind energy put on the grid in German in the first six months of 2015 has broken all previous annual records for Europe combined, a report released on Thursday shows. READ  

Unemployment hovers at historic low
A construction worker in Berlin. Photo: DPA.

Unemployment hovers at historic low

German unemployment stayed at 6.4 percent in July, the lowest level since reunification almost a quarter century ago, despite an unexpected rise of 9,000 jobless, the federal labour office said on Thursday. READ  

Lifted by cheap fuel, Lufthansa triples profit
Photo: DPA

Lifted by cheap fuel, Lufthansa triples profit

German airline Lufthansa, still reeling from the crash of one of its Germanwings planes in March over the French Alps, said on Thursday it tripled net profit in the second quarter, helped by cheap fuel. READ  

Germany star scores own goal with PR gaffe
Manuel Neuer. Photo: DPA

Germany star scores own goal with PR gaffe

World Cup winning goalkeeper Manuel Neuer has faced a wave of derision on social media since giving a cringe-worthy interview to football magazine Kicker explaining his choice of commercial partners. READ  

Shoot-out near Ku'damm leaves bystander injured
Photo: DPA

Shoot-out near Ku'damm leaves bystander injured

A shoot-out near Germany's most iconic shopping street, the Kurfürstendamm in west Berlin, left an apparently innocent bystander injured after she was shot in the leg on Wednesday evening. READ  

Refugees live in fear of German far-right
A Pegida demonstration in Dresden in May. Photo: DPA

Refugees live in fear of German far-right

It's an astonishing statement for a refugee from war-torn Syria, but Taher has had enough of the xenophobia he has experienced in Germany. READ  

Germany heightens travel warning for Turkey
A view of Istanbul. Photo: DPA.

Germany heightens travel warning for Turkey

The German government has issued more severe warnings about travelling to Turkey after a string of terror attacks in the south of the country, and as Ankara intensifies conflict against two militias in Syria and Iraq. READ  

Fireman turned arsonist jailed for 3 years
Fire services extinguish an unrelated fire in Hamburg in 2011. Photo: DPA

Fireman turned arsonist jailed for 3 years

After a series of arson attacks over several months, an ex-fireman has been sentenced to three years in jail without chance of bail. READ  

Mother slams IKEA for rejecting autistic son
Photo: DPA

Mother slams IKEA for rejecting autistic son

A mother from North Rhine-Westphalia has accused furniture chain IKEA of debasement, discrimination and marginalization – after employees in their Dortmund store refused to let her autistic son into the children's play area. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Politics
Satire and reality blur in parody party's strife
National
13-year-old boy detained for trying to join Isis
Culture
Berlin restaurant serves up Greek Crisis Menu
Rhineland
Doctor on trial after woman wakes in morgue
Society
Six odd things Germans do in the summer
Sponsored Article
Outsourcing drives Apreel's Europe growth
Society
Police bust kinky Bavarian couple over painful love-making
Politics
Merkel brings Palestinian girl to tears
Hamburg
Amateur archaeologist finds Nazi gold hoard
National
Could Merkel learn a lesson in love from this doppelganger?
Travel
Why you should stay in Germany for the summer holidays
Sport
German press tell Schweinsteiger 'good riddance'
National
Hamburg gets a bouncing 100kg baby girl
Society
In North Germany, money sometimes DOES grow on trees
National
Hero mechanics stop Bavaria shooting spree
International
Denmark says that border controls are coming
National
Did hackers take control of German missile battery?
Politics
Munich gives gay pride green light
Business & Money
Berlin rent controls hit prices hard
National
Fighting to breastfeed in public without shame
Society
Ice cream for dogs 'gobbled up in one gulp'
Education
Are hotpants a feminist issue?
Rhineland
Lion cub reunited with mother
National
How the heatwave is cracking Germany's Autobahns
International
Why the French are more sympathetic to Greece than the Germans
Sponsored Article
Crans-Montana: International expat hub
Gallery
Police seize pensioner's WW2 heavy weapons haul
National
How to survive the Europe-wide heatwave
Sport
Is Schweini already out of the door at Bayern?
Politics
How German media shaped the Greece crisis
National
Car assembly robot crushes worker at Volkswagen
Rhineland
Weathermen red-faced over heatwave snow warning
Society
An eye for an eye? Mum protects child in playground with pepperspray
National
As it happened: Queen Elizabeth's final day in Germany
National
As it happened: Queen Elizabeth's second day in Germany
National
Queen Elizabeth II's first day in Germany - as it happened
National
Bus passengers tell fake racists where to get off
Politics
What's really in the Queen's handbag?
National
Germans say USA doesn't respect freedom
National
Yes, you CAN buy adult e-books before 10pm in Germany
VIDEO: Watch a 93-metre turbine crash to earth in slow motion
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

7,175
jobs available
Toytown Germany
Germany's English-speaking crowd