20 Aug 2024
Money transfer is seen as a norm by most Filipinos in the United Kingdom to support their families back home. Such constant transfers are a source of survival for hundreds of thousands of families in the Philippines. However, the debate over currency exchange often leads to numerous questions when it is essential to see the result of your earnings as more valuable due to the constantly fluctuating exchange rates.
This detailed and informative article enlightens you on the aspects of currency fluctuations and provides you with proper measures that you will be able to take in order to make your money transfer to Philippines from UK yield the best value.
Exchange rates refer to an amount of one currency to another, providing a measure of conversion. It can simply be defined as the ratio in which two currencies exchange with each other on the foreign exchange market, commonly referred to as forex.
This is important when sending money home in that for every British Pound (GBP), you get more Philippine Pesos (PHP) if the exchange rate is in your favor. On the other hand, having a least favorable rate is an indication of receiving fewer Pesos per Pound. Below are some key factors influencing currency exchange rates:
Businesses use the principles of supply and demand to determine exchange rates. If the demand for the Philippine Peso is higher in relation to the British Pound, then the Peso will strengthen, or in other words, you will be given more Pesos for your Pounds.
Interest rates also influence exchange rates because the difference in UK and Philippines money market rates impacts the exchange rates. From interest rate differentials, it can be seen that the Philippines having higher interest rates results in the Peso being stronger than the Pound.
Exogenous factors, such as the state of the world economy or political instability, which affect countries, also influence the exchange rates.
Now that you understand the basics of currency fluctuations let's explore strategies to maximize your online money transfers from the UK to the Philippines. Start by closely monitoring exchange rates and timing your transfers when rates are favorable. Choose a trusted service provider like ACE Money Transfer, which is known for its competitive rates and reliable service. Consider bundling transfers to minimize fees and maximize value.
Additionally, explore options like forward contracts or limit orders to lock in favorable rates ahead of time. With these strategies, you can ensure that every pound sent translates into maximum value for your loved ones in the Philippines.
Be keen and alert on currency exchange rates to enable you to get variations. They prefer to perform money transfers and other related operations at a time when the Peso is stronger than the Pound.
You should not choose a service that you stumble upon at first. Before you send money to Philippines from UK, it is important to use time to compare the exchange rates and fees charged on the available money transfer service providers.
It is actually possible to make the distinction between the available brands easier since there exists reputable online comparison tools that can help in the process.
While some of the ‘money transfer’ services promise very reasonable and indeed low costs on their home pages, a host of other charges come with the services to reduce the actual benefits. Do not forget to factor other charges like transfer charges and other charges by intermediary banks into how much you are likely to pay.
Making large amounts in fewer remittances may be cheaper compared to many instances that have the per-transfer costs.
The simplest way to find a money transfer service is to access the website and look at the exchange rates they are offering, if the exchange rate being offered feels unrealistic, then it most probably is. One should always ensure that the particular service is legal and is recognized before making a transfer.
To manage this risk there are various techniques that a firm can use for example it can do forward exchange covering which commits a firm to use a certain amount of foreign currency at an agreed rate in future. Still, these tactics entail other expenses and are not beneficial for everybody. This calls for consultation with a financial expert on the possibilities of hedging.
From time to time, you need to discuss your families' future financial requirements with your family in the Philippines. This means that you can coordinate your money transfer with a specific pattern with your expenses, hence enabling you to time the large money transfers when your relatives are most in need.
Finding a trustworthy money transfer service with competitive exchange rates is crucial for maximizing the value of your online money transfer to Philippines from UK. ACE Money Transfer is quite popular for a good reason, as it is one of the most affordable services when it comes to exchange rates. This implies that more Pesos will be taken back home to the loved ones for their various necessities.
Moreover, ACE Money Transfer prioritizes security, employing advanced encryption technologies to protect your financial information and transactions. This commitment to safety ensures that your funds are transferred securely every time. Customer support is another area where ACE excels. Their responsive customer service team is available to assist you with any queries or issues you may encounter throughout the transfer process. This dedication to customer satisfaction enhances the overall experience of using ACE Money Transfer for your remittance needs.
Below are some strong suites of ACE Money Transfer that make ACE your perfect solution:
ACE Money Transfer strives to provide you with favorable foreign exchange rates so that you can transfer the maximum amount with the highest value to the Philippines. Of course, this blog post concerns the rates of exchange, yet, the services provided by ACE Money Transfer include the features such as safe, reliable , instant, low charge, high rate, and a convenient money transfer service. Due to ACE's concentration on competitive rates, ACE is a good option for Filipino residents in the United Kingdom who are hoping to get the most out of their remittances.
Thus, familiarizing with currency rates and following the measures described above, you will be able to minimize overhead costs of the money transfers to the Philippines.
Do not underestimate the difference in the exchange rate, as even a negligible change will go a long way toward improving the standards of living of your kin back home. Personal finance does not simply end with exchange rates for the expat, but this information allows you to make sound decisions while transferring money across borders.
Therefore, the differences in the rates and transfers should be determined with a reliable company such as ACE Money Transfer, which provides fairly admirable exchange rates. This way, you can transfer money to the Philippines and get the best value for the return of your hard-earned cash.
It refers to the quantity of Philippine Peso (PHP) that you acquire for each British Pound (GBP) that you transfer. A favorable rate helps you get more Pesos per Pound, and thus more amounts to send back home.
Supply and Demand
The pound is weaker against Peso due to high demand for the latter relative to the Pound, Yielding a better rate.
Interest rates
The peso is capable of being more potent than the pound, given the higher interest rates in the Philippines.
Market Volatility
Another aspect that affects exchange rates is global events.
There are many sources of information online and in mobile applications that allow you to track the exchange rates in real-time. Employ them to monitor such movements and look for specific moments of transferring money.
Exchange Rates
Comprehensively, do not only look at the headline rate but also the overall expense, including fees.
Transfer Fees
Seek services with clear, step-by-step prices and possible lower per-transfer charges for high quantities.
Reputation
Select a company that has been in business for many years and is reliable to provide money transfer services.
Check exchange rates frequently and use the timings when the Peso’s exchange rate is much higher against the Pound. To save more money one must check various money transfer company and compare the rates charged.
