When it comes to moving money back to South Africa, the costs can become substantial as well as complicated. The wide range of exchange rates and transfer fees available from different services only make the process even more confusing.
Thankfully, there are ways to make the process both simpler and more cost-effective when it comes to both regular money transfers or large one-off payments.
Where do I find the best deal?
With the high street banks as well as online money transfers providers claiming to offer the ‘best deal’, it really pays to compare the different rates and fees available. It’s also worth noting that the rates advertised up front are not always the same later in the transfer process.
In general, banks will charge you a high transfer fee in the £15 to £30 range and some more traditional international payment services, such as the Post Office, may even offer zero fees.
Although transfer fees can be large, the real deal can be seen by examining the exchange rate on offer. By comparing a selection of banks and payment providers with online transfer specialist GlobalWebPay, it’s clear how the overall rate and fee package can make a massive difference in achieving the most Rands for your Pounds.
Transferring, say £10,000, with GlobalWebPay, you could obtain at least an extra 700 ZAR (over £40) vs other online providers and 1800 ZAR (over £100) vs the banks, without factoring additional savings on fees.
Actual quotes on offer for exchanging £10,000 into South African Rand:
|Provider||Sending amount (GBP)||Fee (GBP)||Exchange rate*||Total amount received (ZAR)||Receiver Fee|
|Lloyds||£10,000||£15.00||16.47||164,682.00 ZAR||Yes, unknown|
|NatWest||£10,000||£30.00||16.49||164,876.40 ZAR||Yes, £8.00|
|Post Office||£10,000||£0.00||16.02||160,159.00 ZAR||N/A|
|Azimo||£10,000||£2.99||16.60||166,019.10 ZAR||Yes, unknown|
*Exchange rates quoted by providers on 06 February 2018 between 12-1pm GMT
Factor in all the fees
When taking off the transfer fee cost from the overall amount of ZAR received it’s also worth noting whether the recipient will have to pay a fee. Many providers send to South Africa via SWIFT international payment and it is likely the receiver will have as much as 150-200 ZAR (8-10 GBP equivalent) taken from the amount sent. This can be avoided this by using a company that is approved by the South African Reserve Bank (SARB) to provide local payments within South Africa. This ensures the full amount sent is received in its entirety.
As shown above, GlobalWebPay’s online service can offer a much keener exchange rate than the banks and many other providers. Your first transaction is free, and after that the fee is a simple £3.99. Benefits include:
Secure, fully authorised by the FCA (Registration Number FRN 631844)
Working with an SARB approved service (no recipient fees)
Fast delivery – funds delivered within 24 hours
And, your first transfer is free with promo code THESOUTHAFRICAN