A Guide to Using HiFX

Transcription

1 A Guide to Using HiFX

2 Welcome to HiFX Whatever your international payments needs, HiFX gives you access to consistent bank beating exchange rates and the ability to arrange international money transfers online or over the phone in seconds. Our goal is to transfer your funds in the easiest and most cost effective way and provide you with all the information and tools you need to save money and protect yourself from fluctuating exchange rates. Designed for quick reference this booklet contains information on: Our services at a glance. How fluctuating exchange rates can affect you. Examples of the transaction options available to you with HiFX. A step by step guide to making a transfer online and over the phone. A guide to setting up a regular transfer. Safety of funds and security Answers to common questions. Useful numbers. We appreciate that sending money overseas can be daunting and we want you to feel confident and happy with every aspect of the process. Our friendly team of experts will provide you with all the help and guidance you need. If anything isn t clear, please call us on: +44 (0)

3 Our services at a glance Whether you re making regular transfers or simply sending one off international payments, save time and money by sending your international money transfers the easy way with HiFX. Online Transfers Telephone Transfers Regular Transfers Nuts & Bolts Minimum transfer size Maximum transfer size Online transfers Online sign up Automated ID checks Personal dealer Currencies available Speed Service availability Ability to split payments 50 10, p/m 300,000 No limit No limit 19 currencies 800+ currencies All 1-3 days 1-3 days 1-3 days Mon Fri Mon Fri Mon Fri ( 15 fee) Security VeriSign security Segregated client accounts 3d security Data protection N/A N/A N/A N/A Transfer options Spot Forward Contract Market Orders - Stop - Loss Keeping you in touch SMS notifications notifications 24 hour online payment tracking 24 hour online account management Access to daily rates Access to weekly market commentary Access to live charts & interbank rates Access to personal currency specialist

4 Understanding how fluctuating exchange rates can affect your wealth. Whatever your reasons for making international money transfers, the amount you pay or receive will be affected by fluctuating exchange rates. Here s an example: A European property priced at 200,000 would have cost 166,389 at the beginning of January Due to currency movements, the same property would have been 5,728 more expensive at 172,117 just two weeks later. Remember: you would never agree to buy a property in your country of residence without knowing how much it would finally cost you. If you agree to buy an overseas property without fixing the exchange rate at the outset, you are taking a gamble. Whilst this is just an example the exchange rates used are real and the same principles apply whatever your reasons for making international money transfer.

5 Buying and selling currency your options. As one of the UK s largest currency specialists we give you access to a range of transaction options depending on your individual needs e.g. - the time frame you are working to. - the amount you are transferring. - The amount of protection you would like to have against negative exchange rate movements. Spot Contracts If you have access to your funds and want to convert all or part of them straight away, you can enter into a spot contract. This is essentially a buy now, pay now option and is available online or over the phone depending on the amount you are looking to transfer. Here s an example: Peter needs to transfer 5,000 immediately from his UK bank account to his French bank account to cover the maintenance costs associated with his holiday home. Peter arranges the transfer via HiFX Online, pays the full amount with his debit card and the Euros arrive in his French account within 48 hours. Forward Contracts If you don t have all of your funds available, yet need to secure a particular rate now, you can enter into a forward contract. This allows you to purchase/sell your currency now, at the prevailing rate, with settlement for the transaction happening on a pre-determined date in the future (up to 12 months). We will ask you to provide a deposit (normally around 15% of the value of the transaction) as a security payment to book the transaction. You will be required to send the remaining balance on the agreed pre-determined date in the future. This is effectively a buy now, pay later scenario, allowing you to lock in a rate, even if you don t have all your funds available. Should the exchange rate worsen you will not be affected. However, it is important to remember that if the exchange rate improves, you will not be able to alter your contract. Here s an example: Helen and John are in the process of buying a property in Spain for 200,000. As the property is off plan, the developer requires an initial deposit of 10% and then three further payments of 30% over a 9 month period. They realise that if Sterling strengthens against the Euro before the last payment is due, the cost of the property will decline but if the Euro strengthens the cost will increase i.e. a stronger Euro means their dream home will be more expensive. For peace of mind John and Helen decide to fix the cost of the property purchase using a forward contract. As a result, if the exchange rate moves at all in the 9 month period they will not be affected as they have pre bought their currency and each of their payments will be made at the same exchange rate. Please note: forward contracts are not available through HiFX online and must be arranged over the phone.

6 Market Order If you are looking to achieve a specific rate or you have strong views about future exchange rates we can arrange a Market Order. This allows you to target a specific rate of exchange. We monitor the markets on your behalf and should the market reach your predetermined exchange rate, your currency is bought or sold automatically. Your order is live 24 hours a day and can be amended or cancelled at any time prior to the transaction taking place. Please note: that until your target rate is achieved (if at all), you are exposed to currency risk. Here s an example: Marcus works in New York and wants to transfer US$30,000 to his UK bank account in preparation for his permanent return to London but has a three month window during which to make the transfer. At the time of setting up the market order with HiFX the exchange rate is Marcus believes sterling will weaken and asks HiFX to undertake the transfer if the rate reaches Three weeks later the market order is automatically triggered and he receives 25,640 in his UK account. Had he made the transfer at the original rate he would have received 24,390, 1,250 less. Regular Transfers If you are looking for stress-free convenience, HiFX has developed a Regular Transfers Service. We can help you fix the exchange rates for up to 12 months into the future and organise your international money transfers. The process is fully automated via Direct Debit and guarantees customers will never miss a payment. Here s an example: Katherine and Stephen have retired to Spain. Each month they need to transfer their two private pensions totalling 1500 to their Spanish bank account. Historically they have phoned their UK bank each month and made the transfer at the rate of the day, until they have the money in their Spanish account they are unsure exactly how much they will receive in Euros. In addition, each time they make a transfer, their bank levies a 30 transfer fee. For peace of mind, they set up a Regular Transfer with HiFX. They fix the exchange rate at 1.20 and therefore know exactly how much they will receive in their Spanish account regardless of exchange rate fluctuations. The transfers are made automatically each month on dates they have pre-determined via direct debit and because there are not banking fees with HiFX they save 360 per year on transfer fees alone.

7 A first timers guide to using HiFX Online. HiFX Online provides you with the quickest and easiest way to convert ,000 wherever you have access to the internet. Save time and money by sending your international money transfers the easy way and benefit from: Highly competitive live exchange rates. The ability to move money, pay people or settle bills within seconds. No hidden fees total transparency and the lowest fees around saving you money on each and every transfer you make (see note 1). Manage your account 24/7, 365 days a year. Track payments and access your complete transaction history. With HiFX Online, the process of transferring money is fast, easy and highly secure. There s no software to install which means you can access the service wherever you are in the World and VeriSign security ensures you can make and receive international payments with complete peace of mind. 1. Sign up Signing up is quick, free and can be done 24 hours a day. It carries no obligation to trade and you ll get access to all the tools and information you need to monitor exchange rates and save money. You ll receive on-screen confirmation of your account details and we ll also automatically send you an with everything you need to know to make your first transfer. 2. Get a quote Log in, check the rate and get a quote in seconds. Simply select the currencies and the amount you require. To make things easy you can tell us whether you wish to transfer a fixed amount of foreign currency i.e. I want to send 3,000 or exchange a fixed amount of the currency you re selling i.e I want to transfer 3,000. The live exchange rate will update continuously showing you whether the movement is up or down. Unlike other online services, with HiFX the rate you see is the rate you get. 3. Tell us who you want to pay Save time by setting up a library of regular recipients account details. If you tell us to, we ll even keep recipients up to date with payments via so you don t have to. Note 1. No transfer fees for amounts of 3,000 and above. 9 for amounts below 3,000. This does not include the cost of you transferring the funds to HiFX and any charges incurred where the funds being sent are in a different currency to the destination bank account.

8 4. Send us your funds To make your life easier, depending on the amount, you can choose to pay via debit/credit card or electronic transfer (BACS/CHAPS). You ll receive on-screen confirmation and an auto- with a summary of the transaction and directions on how to make the payment. To keep you updated we ll also auto-confirm via SMS and when your transaction is completed. 5. We send your funds on With access to SWIFT, the World's largest payments and settlements network for domestic and international trades you ll benefit from faster payments and enhanced security. We also offer SEPA payments where appropriate. 6. Track payments With HiFX you can track your payments online and request SMS or notification for extra peace of mind. You can also manage your account 24/7; change usernames, addresses and passwords or use the diary function to remind you what to do, when. It s really that simple! Don t forget Before you can start using our online service you must first sign up. Signing up is quick, free and can be done 24 hours a day. It carries no obligation to trade and you ll get access to all the tools and information you need to monitor exchange rates and save money. All you need to do is visit our website You ll receive on-screen confirmation of your account details and we ll also automatically send you an with everything you need to know to make your first transfer.

9 A guide to using HiFX telephone transfers. Highly tailored to your individual requirements, simple, fast and cost-effective, if you re transferring 10,000 or more......our telephone based foreign exchange service gives you access to your own dedicated dealer who will get to know you and your individual requirements. With each dealer servicing fewer clients than a bank, we provide a level of proactivity and personal service that the established banks find too resource intensive. As your eyes and ears in the market we give you access to over 800 currency pairs and a range of transaction options. It s easy to sign up, free and you get all of these great benefits: Consistent bank beating exchange rates. A highly tailored, proactive service. No hidden fees - no commission fees and no transfer charges (see note 2). Market intelligence from a team of experts who can discuss and execute a range of alternative options including spot (buy now, pay now), forward contracts (buy now, pay later,with the ability to lock in the exchange rate for up to 12 months) or market orders. The ability to manage your account and track payments 24 hours a day online. Making a transfer with HiFX is simple. All you need to do is follow these simple steps: 1. Sign up. Signing up is free, quick and can be done 24 hours a day. It carries no obligation to trade and you ll get access to a personal dealer and all the tools and information you need to monitor exchange rates and save money. Within minutes, you ll receive on-screen confirmation of your account details and we ll also automatically send you an with everything you need to know to make your first transfer. 2. Discuss your requirements with your personal dealer. Once your account is open you can call your personal dealer to discuss your individual requirements and get all the answers you need from an experienced market professional. They ll also give you guidance on the various options open to you depending on your needs. While your dealer cannot predict future exchange rates, as your eyes and ears in the market they can provide you with up to date views on market trends, and suggest strategies to meet your objectives and optimise your potential savings. Note 2. This does not include the cost of you transferring the funds to HiFX and any charges incurred where the funds being sent are in a different currency to the destination bank account. As part of the service, HiFX provides one free transfer per trade.

10 3. Get a quote. Simply call your personal dealer to check the rates and get a quote in seconds. Unlike your bank, the price quoted by your dealer includes fees, so there are no hidden extras and you specify amounts and currencies. 4. Tell us who you want to pay. Save time by setting up a library of regular recipients account details in HiFX Online. If you tell us to, we ll even keep recipients up to date with payments via so you don t have to. 5. Send us your funds. When you confirm the deal, you ll automatically receive a summary of the transaction via and instructions on what to do next. You can also access this information by logging in to your HiFX Online account. To keep you updated we ll auto-confirm via SMS and when your transaction is completed. 6. We send your funds on. With access to SWIFT, the World's largest payments and settlements network for domestic and international trades you ll benefit from faster payments and enhanced security. 7. Track payments. Track your payments online. Request SMS or notification for extra peace of mind. With HiFX Online you can also manage your account 24/7; change usernames, addresses and passwords or use the diary function to remind you what to do, when. It s really that simple! Don t forget Before you can start using our telephone transfer service you must first sign up. Signing up is quick, free and can be done 24 hours a day. It carries no obligation to trade and you ll get access to all the tools and information you need to monitor exchange rates and save money. All you need to do is visit our website Alternatively call +44 (0) to speak to our dedicated team of foreign exchange experts. Once signed up we ll automatically send you confirmation of your account details and everything you need to know to make your first transfer.

11 A guide to HiFX regular transfers. The HiFX Regular Transfers Service provides you with the quickest and easiest way to make frequent international payments and avoid the unnecessary fees charged by the high street banks each and every time you make a transfer. Whether you re paying an international mortgage, making salary transfers or transferring a UK pension overseas, whatever your regular payments needs, our specialist Regular Transfers Team will automate your payments via direct debit ensuring you never miss a payment. The ultimate in convenience, our Regular Transfers Service offers the following benefits: Automate your transfers for up to 12 months via direct debit and avoid having to speak to your bank or arrange an online transfer each month. Avoid international banking fees each and every time you make a transfer no commission fees and no transfer charges (see note 3). Fix the exchange rate for up to 12 months or arrange ad-hoc transfers through HiFX Online. Payment dates and schedules can be set up to suit your needs giving you the peace of mind that future payments will be made on time every time. Best of all you can track your payments online and manage your account 24/7. It takes next to no time to sign up online and the process of setting up a Regular Transfer is simple. Just call us. Our team of specialists will listen carefully to your needs and help you plan your international transfers for the life of your payment requirements. We ll then arrange a Direct Debit over the phone. So there s no paperwork, no hidden charges, no unpleasant surprises. 1. Sign up. Signing up is free, quick and can be done 24 hours a day online. It carries no obligation to trade and you ll get access to our regular payments specialists and all the tools and information you need to monitor exchange rates and save money. You ll receive on-screen confirmation of your account details and we ll also automatically send you an with everything you need know. 2. Discuss your requirements and get a quote. Once your account is open you can call our Regular Transfers Team to discuss your individual requirements and get all the answers you need from an experienced market professional. While they cannot predict future exchange rates, as your eyes and ears in the market they can provide you with up to date views on market trends, and suggest various options to meet your objectives. Unlike your bank and many other brokers, the price quoted will include fees, so there are no sudden hidden extras. Note 3. This does not include the cost of you transferring the funds to HiFX and any charges incurred where the funds being sent are in a different currency to the destination bank account. As part of the service, HiFX provides one free transfer per trade.

12 3. Tell us who you want to pay and when. When you confirm the deal, your Regular Payments specialist will arrange the direct debit over the phone so you don t have to fill in any additional paperwork. You will need to pay a security payment for the contract which is equal to one month s payment for each year of the contract. This is then used for the final month(s) payment(s). To save time you can set up a library of regular recipients account details. If you tell us to, we ll even keep recipients up to date with payments via so you don t have to. 4. Send us your funds. When you confirm the deal, you ll automatically receive an with a summary of the transaction including collections dates, the amounts to be debited and instructions on how to make the payment to HiFX. You then tell us where you wish to send the money to. To save time you can set up a library of regular recipients account details online. 5. We send your funds on. We then do all the work and make the payments on your behalf on the pre-agreed dates you ve specified. With access to SWIFT, the world's largest payments and settlements network for domestic and international trades, you ll benefit from faster payments and enhanced security. 6. Track payments. Best of all you can track your payments online. With HiFX Online you can also manage your account 24/7; changing usernames, addresses and passwords or use the diary function to remind you what to do, when. Don t forget It takes next to no time to sign up online and the process of setting up a Regular Transfer is simple. To sign up simply visit our website or call us on +44 (0) Our team of specialists will listen carefully to your needs and help you plan your international transfers for the life of your payment requirements. We ll then arrange a Direct Debit over the phone. So there s no paperwork, no hidden charges, no unpleasant surprises.

13 Safety of funds and security Your security is our priority and we work hard to keep your money safe. Regulatory information HiFX PLC is authorised by the Financial Services Authority under the Payment Services Regulations 2009, registration number , for the provision of payment services. HiFX PLC is also a registered MSB with HM Revenue & Customs registration number Security of funds When buying or selling currency with us, your funds are held either in pooled client trust bank accounts or are held at one of our counterparty brokers as cash in transit or collateral to meet our obligations relating to clients trades. Funds can be used to fulfil the contractual obligations of our clients but will never be anywhere other than: in the segregated client accounts with our banking counterparties. in transit i.e. being sent. Online security HiFX Online is VeriSign secured. The VeriSign seal is the most recognised trust mark on the internet and helps companies and consumers all over the World engage in trusted communications and commerce billions of times every day. 97 of the World's 100 largest SSL-using banks and over 93% of Fortune 500 companies use SSL Certificates sold by VeriSign. In addition, VeriSign secures more than one million Web servers worldwide, more than any other Certificate Authority. Payments & settlements As one of the UK s largest currency specialists, HiFX has access to SWIFT, the world's largest payments and settlements network for domestic and international trades. This ensures HiFX clients benefit from faster payments and enhanced security.

14 Common questions Q. I live outside of the UK. Can I use your service? A. Yes, no problem. You may find that our registration process differs slightly due to the verifications checks we are required to do. However we have made sure that wherever in the world you are we clearly communicate what is required from you. Q. What happens when I sign up? A. We ll give you a Client Number and you ll be asked to create your own username and password. Keep this information safe you ll need it every time you log in. Q. How is my exchange rate calculated? A. This depends on a number of factors: The amount you re transferring. The currencies you re buying. Your payment method. Credit card payments incur a processing fee of 1.5%. Please note this is factored into the rate you are offered and not charged separately. Q. How does HiFX make money? A. Like your high street bank we make our money in the difference between our buy and sell prices i.e the spread. As we have much lower overheads we can pass these savings on to our customers. Q. What payment methods can I use? A. When using HiFX Online for a transfer between 50 and 300,000, you can pay using a wide range of debit and credit cards ( providing the card is in your name and registered to a UK address) or you can pay via electronic transfer (i.e BACS and CHAPS) from an account in your name. For amounts above 70,000 or for any transaction over the telephone, the payment method available is electronic transfer. Please note HiFX does not accept cash or cheques. Q. How long does it take to transfer money using HiFX? A. All payments will be transferred on the agreed value date providing we have received your cleared funds and onward payment instructions before 12 midday. Payments received after this will be sent on the next working day. Payments received after this will be sent on the next working day. Please also allow up to 4 working days for your receiving bank to clear the funds. Q. Can I make a transfer from another currency into Sterling? A. Yes you can. HiFX offers a wide range of currency pairs. If the payment to us is in a currency other than Sterling, the payment method available is electronic transfer. Any questions? Our goal is to transfer your funds in the easiest, most cost effective way and provide you with all the right information and tools you need to save money and protect yourself from fluctuating exchange rates. We appreciate that sending large amounts of money overseas can be daunting and we want you to feel confident and happy with every aspect of the process. If anything isn t clear, please call us on: +44 (0) Our friendly team will provide you with all the help and expert advice you need.