Transfer of money (HSBC HK to ABSA SA)

[Happydays]

Anybody done this before. Whats the banking costs more or less. Im sure Absa bank in South Africa probably charges the most. Thanks

[ALPHA FLOOR]

Easily done online - 2 working days to reflect in SA, HK$200 this side and R150 that side ----

AFL

[csd]

When I send cash back to Europe, I find that the charges are less if I elect to pay all bank charges in Hong Kong (also the charges for the recipient bank). This way the overseas bank does not charge me for the transfer.

Of course my bank is not ABSA but it may be worth checking. (My last overseas transfer was last year and HSBC in HK only charged me HK$120 total for a transfer set up on the internet)

Regards

csd

[captncannot]

(My last overseas transfer was last year and HSBC in HK only charged me HK$120 total for a transfer set up on the internet)

Actually thats not really correct. Like every retail bank, HSBC will bracket the 'real' exchange rate with their profit margin. You are in effect buying currency from a dealer who has marked it up, and then ADDITIONALLY charges you a fixed fee, and tries to pretend that's the 'cost' of the transaction - nothing could be further from the truth.

HSBC's spread on the true spot market currency rates runs up into many hundreds of basis points. So most people don't realise, when you are charged "only $HKD120" for your wire transfer, that's just smoke and mirrors.

If you use HSBC to wire $HKD100k for example, you will be paying many thousands of HK dollars on their spread rates. The rate they offer you on the end account currency is WAY out of line with what they pay for that currency on the spot market.

Just a fun filled piece of trivia for ya next time your bank manager excitedly tells you about their low wire transfer charges, or says for example "join HSBC Premiere this month and you get 3 months wire transfers free" - its all B.S, they make many hundreds of US dollars every time you do a 'free' transfer :ok:

[Happydays]

HK$200 = R150 ..... thats bloody expensive. The current spot rate HK$1=R0.99

I used my South African Credit card in HK to draw money from the ATM.
HK$300 cost me R301 and R20 transaction fee by ABSA.

Looks like I will have to sell property in SA, will be to expensive to transfer money to SA to pay the bond.

[csd]

Actually thats not really correct. Like every retail bank, HSBC will bracket the 'real' exchange rate with their profit margin. You are in effect buying currency from a dealer who has marked it up, and then ADDITIONALLY charges you a fixed fee, and tries to pretend that's the 'cost' of the transaction - nothing could be further from the truth.

Good point, however I was transferring Sterling to the UK so didn't have any conversion costs. I do occasionally transfer HK$ to Sterling and I'm afraid that then I have to bite the bullet so to speak.

Regards

csd

[hexboy]

if you have family or very good friends in sa, let them pay your bond and you open an account for them at hsbc and pay them the going rate each time they pay.
no transfer costs for you and they get some spending money overseas!

[Blogsey]

Has anybody found a cheaper way to transfer money to Aus. So far looks like I got stung $100HK and about $15AUD on arrival with ANZ.
I thought I heard somebody mentioning using E-Trade to avoid fees????
Would opening a HSBC account in Aus avoid any fees?