How does Currencyfair work?

This post is also available in: Deutsch (German)

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Payments to an other country and in a different currency are costly most of the time. On one side banks charge high payment order fees and on the other side they earn more money if they give you an exchange rate in their favour (spread = delat of interbank exchange rate and charged rate). These are the major reasons, why international bank transfers are expansive. Luckily there are cheap and good alternatives Currencyfair or Transferwise.

Currencyfair accepts the money via bank transfer in your country and (this is the big advantage over Transferwise) lets the customer decide when the money should be exchanged (Transferwise upon receipt, without any influence). You can set your limit prior to the transfer. As soon as the money arrived at Currencyfair, it will be exchanged or Currencyfair waits until your chosen exchange rate is available. After that it will be automatically forwarded if you like, or you can store it at Currencyfair.

A normal transfer to an account (depositing is free of course) costs normally EUR 3.-, (GBP 2.50) no matter how big the amount is. which is an advantage over transferwise especially for bigger transfers.

Looking at the speed both payment providers are equal. Transferwise has an advantage as deposits by credit card are possible (but with additional fees).

Last but not least: If you use a Currencyfair Link on this page, then you get  EUR 30 bonus, if your forwarded payment is at least EUR 400 (or the equivalent in any other supported currency). Plus your next wirement well be free of charge.