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Discover global trends, inspiring customer stories, and how to make the most of your international money transfers.

Blog & Press Room

<p><img src="https://content.mtfxgroup.com/uploads/untitled_1_4ef9780aec.png" alt="How to Reduce Costs when Doing Business Internationally?" srcset="https://content.mtfxgroup.com/uploads/thumbnail_untitled_1_4ef9780aec.png 245w,https://content.mtfxgroup.com/uploads/small_untitled_1_4ef9780aec.png 500w,https://content.mtfxgroup.com/uploads/medium_untitled_1_4ef9780aec.png 750w,https://content.mtfxgroup.com/uploads/large_untitled_1_4ef9780aec.png 1000w," sizes="100vw"><br>If you’re dealing with overseas customers, you are undoubtedly experiencing additional costs for doing business, especially in currency exchange. Wire transfers, bank foreign currency exchange transaction fees, and other opaque costs could be costing you 5 cents on every dollar in revenue—simply because of inefficiencies in your overseas payment collection processing.&nbsp;</p><p>You also can relate to the&nbsp;survey results¹ reported on Yahoo! CISION. As the global economy bounces back from the COVID-19 pandemic, business finance leaders listed expanding their products into new global regions among the top five choices in driving new revenue.&nbsp;&nbsp;</p><p>In 2022, digital payments are on the rise, with between 50% and 89% of accounts receivables paid over the internet—compared to less than half in 2021. What survey respondents say are still continuing obstacles to moving to digital payments are the following:&nbsp;</p><ul><li>47% feared cybersecurity attacks and payment fraud.&nbsp;</li><li>44% lacked payment systems and the infrastructure to handle cross-border payments online.&nbsp;</li><li>40% cited the cost of services as a major concern.&nbsp;&nbsp;</li></ul><p>So, the reason it costs your business money when your overseas customer settles a bill is all about how currency exchange rates and bank conversion fees can chip away at your business profits.</p><p>For example, if your customer sends you a wire payment for&nbsp;USD 125,000, a&nbsp;<a target="_blank"  href="https://www.mtfxgroup.com/tools/currency-charts/?to=CAD&amp;from=USD">fluctuation</a>&nbsp;of just 3 cents in the&nbsp;<a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">currency exchange rate</a> between the dollar and the customer’s currency could result in a CAD 3750 difference—a loss or a gain, depending on which side of the exchange you are on.&nbsp;</p><h2>How Can I Receive Money from my Overseas Customer?</h2><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=How-to-reduce-costs-when-doing-business-internationally?">Register for a business account</a>&nbsp;at MTFX and your business can offer a variety of payment options. For example, your overseas customers can pay in their local currency without the hassles and complexity of having to open and manage foreign bank accounts—and paying additional currency conversion costs every time your customer transfers money.&nbsp;</p><h2>Why is MTFX a Better Choice Than Your Bank?</h2><p>MTFX rates of currency exchange are guaranteed to be <a target="_blank"  href="https://www.mtfxgroup.com/#mtfxvsbank">2-5% better</a> than any offered by the banks.  MTFX’s rates are transparent and fair and can save you thousands annually on currency conversions.</p><p>The MTFX exchange rate is based on the&nbsp;<a target="_blank"  href="https://www.mtfxgroup.com/tools/mtfx-rate-calculator/?from=USD&amp;to=CAD">interbank market rate</a>. Because we deal with large volumes of currency exchanges, we pass those along to our business clients.</p><h2>Can I Pay My Overseas Vendors on the MTFX Platform?</h2><p>Absolutely. Again, just register for a <a target="_blank"  href="https://online.mtfxgroup.com/register/sign-up/business/">business account online</a>. Following registration, you have access to our online dealing platform and will receive a call from an MTFX currency specialist. During that call, you can ask any questions about our funds transfer process, and our rep will make sure the currency transfer platform is set up to meet your needs.&nbsp;</p><p>Again, your own bank may offer currency exchange rates, but <a target="_blank"  href="https://www.mtfxgroup.com/">MTFX</a> offers lower currency rates. Wire transfers between your business and your overseas supplier can be processed between one and two days.&nbsp;</p><h2>Can I Set Up a Regular Money Transfer To and From Overseas?</h2><p>Once you have registered for your MTFX Business Account, you can automate your payments to and from your clients with an all-in-one business solution. Quickly accessible with 24/7 access, the MTFX platform simplifies payments and speeds up your invoice processing through electronic funds transfer or payment services.</p><p>With MTFX automation technologies, error-prone manual data entry is eliminated. Automation technologies validate the data and transfer your funds—including batch payments--securely and quickly.&nbsp;</p><h2>How MTFX can Help Reduce Costs when Doing Business Internationally?</h2><p>If you know how to get the&nbsp;<a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">best exchange rates</a>&nbsp;you can save thousands each year. MTFX guarantees bank-beating exchange rates that are lower than banks. Its benefits for your business include:</p><ul><li>A business portal to manage all transactions and import invoices from your business accounting software—Manage your international payments more efficiently and seamlessly with a&nbsp;<a target="_blank"  href="https://www.mtfxgroup.com/business/global-payment-solutions/multi-currency-accounts/">multi-currency account</a>.</li><li>A platform for online entrepreneurs who want better access to the global market— level the playing field by paying your overseas online customers in their local currency.</li><li>Automatic&nbsp;<a target="_blank"  href="https://www.mtfxgroup.com/tools/currency-rate-alerts/">currency exchange rate alerts</a>&nbsp;to notify you when an exchange rate becomes more favorable—Don’t make that high-value deal without a timely heads up on currency exchange rates.</li><li><a target="_blank"  href="https://www.mtfxgroup.com/business/risk-management/forward-contracts/">Forward contracts</a>&nbsp;to lock in the desired rate for a future exchange—Stay in control of your business’s funds and protect against foreign exchange risks.</li><li><a target="_blank"  href="https://www.mtfxgroup.com/fx-daily/">Daily Market Analysis</a>&nbsp;and weekly Analysis from financial experts along with a monthly currency outlook—Stay current with timely updates and market intelligence in managing your currency accounts.</li></ul><h3>Let’s Get Started!</h3><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=The-keys-to-managing-risk-in-volatile-markets"><i><strong>Open an account with MTFX today</strong></i></a><i><strong> in just a few minutes, to benefit from currency risk management and reduce costs when doing business internationally.</strong></i></p><p><strong>Popular related articles;</strong></p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/money-transfer-checklist-a-few-things-to-consider/">Money transfer checklist</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/are-you-a-multinational-then-you-should-have-a-strategic-fx-management-plan-in-place/">Best Strategic FX Management Plan</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/5-steps-in-the-overseas-payment-process/">5 Steps in Overseas Payment Process</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/4-steps-for-an-effective-hedging-strategy/">4 steps for an effective hedging strategy</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/how-to-minimize-currency-risk-for-overseas-money-transfers/">How to Minimize Currency Exchange Risk when Paying Overseas Suppliers</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/why-you-need-an-exchange-hedging-strategy-to-protect-business-profits/">Why you Need an Exchange Hedging Strategy to Protect Business Profits</a></li></ul><p><strong>Sources:</strong></p><ol><li><a target="_blank"  href="https://www.yahoo.com/?err=404&amp;err_url=https%3a%2f%2fwww.yahoo.com%2fnow%2f2022-trends-finance-survey-results-140000468.html%3fguce_referrer%3daHR0cHM6Ly9iZXRhLm10Znhncm91cC5jb20v%26guce_referrer_sig%3dAQAAAJLSJC1HP6LA9_68F-PU38C0yVos_Rcb78KM9GkdHdPS1OMrUc9MhjAbxVy_27xi-STjFWvy39pjEkcSE0jbvgKJtw8Zyv_VkR5zjoFuorQthhuIjzo057vC7YYVP2kMMh4qbxuCeDKVQX_PN5RPLxipp4cXTGwcxkMmZHXDEosx">Yahoo</a></li></ol>

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How to Reduce Costs when Doing Business Internationally?

<p><img src="https://content.mtfxgroup.com/uploads/currency_risk_blog2_7f5a6c6665.jpg" alt="profit loss chart" srcset="https://content.mtfxgroup.com/uploads/thumbnail_currency_risk_blog2_7f5a6c6665.jpg 245w,https://content.mtfxgroup.com/uploads/small_currency_risk_blog2_7f5a6c6665.jpg 500w,https://content.mtfxgroup.com/uploads/medium_currency_risk_blog2_7f5a6c6665.jpg 750w," sizes="100vw"></p><p>Whether you’re selling overseas or buying overseas, much of your business strategy must include managing the effects of exchange rate changes. Foreign currency conversion fees can also increase the cost of doing business when purchasing, making raw materials, and supplier payments. &nbsp;</p><p>Know how foreign exchange rates can affect your bottom line and leverage that knowledge to make the best overseas deals. You are not only exchanging goods and services, but you are also exchanging the value of one currency for another.&nbsp;</p><h2>About Exchange Rates</h2><p>Exchange rates fluctuate with the economic and political fortunes of countries. Volatility in the foreign currency exchange market results from the practice of currency pairing. That pairing is based on liquidity, trading volume, and volatility. Exotic pairings like <a target="_blank"  href="https://www.mtfxgroup.com/tools/currency-charts/?to=HUF&amp;from=CAD">USD/HUF</a> (U.S. dollar vs. Hungarian Forint) can be prone to high volatility due to local or global events.</p><p>Even in developed countries, speculators like George Soros have made fortunes on foreign exchange volatility. When Great Britain was forced to devalue the pound sterling, Soros took a short position¹ on a $10 billion trade and ended up with a cool $1 billion profit.</p><p><a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">Exchange rates</a> can also have an indirect effect on a business, even when the business doesn’t deal in foreign exchange. For example, transportation costs are directly connected to the price of fuel. When fuel prices and foreign currency exchange rates fluctuate, the cost of doing business can be indirectly impacted.</p><p>Let’s explore the more direct impacts of foreign currency exchange rates on your business.</p><h2>How Foreign Exchange Transactions Can Affect Your Business?</h2><p>For those who just need to keep their business running profitably, currency fluctuations and exchange rate movements can be a big deal if your business:</p><ul><li>Depends on income from overseas operations.</li><li>Exports or imports services and goods to/from abroad.</li><li>Must pay invoices overseas.</li><li>Interacts in any way with foreign currencies.</li></ul><p>When closing a deal worth thousands of dollars, a fluctuation one way or the other of just a few cents on either side of the bottom line can be the tiebreaker in the success of the deal.</p><p><strong>Do the math:</strong> if you ship a load of goods to an overseas buyer worth $50,000, a fluctuation of just 3 cents in the currency exchange rate could result in a $1,500 loss—or gain--depending on which side of the deal you’re on.</p><h2>What Happens when your Domestic Currency Exchange Rate Falls?</h2><p>You also need to be aware of how your currency stacks up against the rest of the world. If your currency de-valuates, the decrease in value of your currency can result in the following:&nbsp;</p><ul><li>Investing in overseas operations becomes more expensive.</li><li>Your business becomes more attractive to foreign investors.</li><li>Higher costs for imported goods can reduce the profits for importers, but attract investments for exporters.</li><li>Domestically produced products become more competitive against imports.</li><li>Capital expenditure involving importing equipment, etc., becomes more expensive.</li><li>Servicing foreign currency debt also becomes more expensive.</li></ul><h3>...But when your Domestic Currency Exchange Rate Rises, the Opposite Occurs:</h3><ul><li>Exports become less competitive, and the exporter's profitability is reduced.</li><li>The value of an investment in foreign businesses and monetary assets is decreased.</li><li>The income from foreign currency from investments is reduced.</li><li>The cost of foreign raw materials goes down and importers realize an increased competitive advantage.</li><li>The value of foreign currency liabilities and the cost of servicing those liabilities are lowered.</li><li>Capital expenditure costs in imported equipment go down.</li><li>Your business is less attractive to foreign investors.</li></ul><h2>Managing the Effects of Exchange Rate Changes with MTFX</h2><p>So, no matter which side of the currency exchange equation your business is on, exchange rates can have an effect on your business’s bottom line.</p><p>Then there is the hassle and expense when banks get into the mix with conversion or transaction fees. Banks typically reduce their own risk in handling foreign money with their own premium charges. They frequently use an intermediary bank, which, in turn, adds its own transaction fee.</p><p>Also, foreign exchange <a target="_blank"  href="https://www.mtfxgroup.com/post/pay-overseas-suppliers-in-foreign-currency/">conversion to local currency</a> has its advantages. You either have no choice or prefer to pay your overseas customer in the local currency. However, you need a simpler, less time-consuming way to send direct, fast payments.</p><p>Maybe you have a long-range overseas business expansion plan, but want to wait for a more favorable foreign exchange rate to make your big investment move. With a <a target="_blank"  href="https://www.mtfxgroup.com/business/risk-management/forward-contracts/">forward contract</a>, you can get today’s lower rate for future purchases without worrying about market volatility.</p><p>MTFX does all the above and more for <a target="_blank"  href="https://www.mtfxgroup.com/industry-solutions/business/">small and medium businesses</a> across a variety of industries. You will also receive up-to-date foreign currency exchange rates as well as daily/weekly/monthly market analysis from experts, who are dedicated to helping your business stay ahead of foreign currency exchange volatility.</p><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=Currency-Exchange-Fluctuations-Can-Put-Your-Business-At-Risk"><i><strong>Open an account with MTFX today</strong></i></a><i><strong>&nbsp;to benefit from currency risk management in volatile markets and quick, easy money transfers.</strong></i></p><p><strong>Popular related articles;</strong></p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/money-transfer-checklist-a-few-things-to-consider/">Money transfer checklist</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/are-you-a-multinational-then-you-should-have-a-strategic-fx-management-plan-in-place/">Best Strategic FX Management Plan</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/5-steps-in-the-overseas-payment-process/">5 Steps in Overseas Payment Process</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/4-steps-for-an-effective-hedging-strategy/">4 steps for an effective hedging strategy</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/how-to-minimize-currency-risk-for-overseas-money-transfers/">How to Minimize Currency Exchange Risk when Paying Overseas Suppliers</a></li></ul><p><strong>Sources:</strong></p><ol><li><a target="_blank"  href="https://www.investopedia.com/terms/s/short.asp"><strong>Investopedia</strong></a></li></ol>

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Currency Exchange Fluctuations can Put your Business at Risk

<figure class="image"><img src="https://content.mtfxgroup.com/uploads/Candian_by_house_5719e52a83.jpg" alt="Purchase Property in the US"></figure><p>&nbsp;</p><p>Canadians can buy U.S. homes, regardless of citizenship status. The U.S. government places no restrictions on foreign nationals purchasing property. For Canadians who want to take advantage of relatively lower home prices for investment or snowbird retreats, buying a home in the U.S. is a good choice.&nbsp;</p><p>According to the National Association of Realtors, Canadians lead¹&nbsp;the way among foreign buyers of U.S. real property. Canadians purchased 8,800 homes valued at $4.2 billion from April 2020 through March 2021. That number was driven downwards by over 50% from the previous year because of the COVID-19 pandemic and travel restrictions.  &nbsp;</p><p>As Canadian COVID-19 travel restrictions² gradually ease, and as the U.S. emerges from the pandemic, home construction that lagged during the past two years has yet to catch up with demand. Home buyers can expect to pay premium prices³ in bidding wars as buyers compete for hot properties.</p><h2>Shop Around And Consider Other Factors</h2><p>So, if you’re looking for a vacation retreat or investment in the warmer climes of Florida, Arizona, or California, or would like a summer mountain retreat in Colorado, you’ll need to do your homework and consider the following:&nbsp;</p><ol><li>U.S. entry and visa regulations for Canadian citizens: Do you need a visa to travel to the U.S.? (Spoiler alert: Not usually.)</li><li>Financing and mortgage considerations: Should you use a Canadian or a U.S. Bank?</li><li>Property tax liabilities: How much extra cash should you put aside to pay the local real-estate taxes?</li><li>Currency exchange rates between U.S. and Canadian dollars: How can you stay on top of volatile currency exchange rates and avoid losing money on the deal? (Second spoiler alert: With a full-service foreign exchange and global payments platform like MTFX.)</li></ol><h2>Let’s Address Each of the Above with Particulars you Need to Consider.</h2><h3>1. Canadians Visiting the U.S. Normally Don’t Need a Visa.</h3><p>If you’re traveling by air to the U.S. for pleasure, you only need your Canadian passport or NEXUS card. A Nexus Pass⁴ is a border crossing ID card that will get you through U.S. customs through a faster-moving processing queue.&nbsp;</p><p>If you plan to arrive by sea or by land, you’ll need to show your Canadian passport or an Enhanced Driver’s License/Identification Card, or A NEXUS or FAST/EXPRESS⁵ or SENTRI Enrollment Card.&nbsp;</p><p>For stays longer than six months or if the visit is for reasons other than pleasure, a visa is required⁶. You’ll need to make an appointment online to be processed for a visa at the nearest U.S. Consulate⁷.       &nbsp;&nbsp;</p><h3>2. You can Finance your U.S. Purchase Either with a U.S. or Canadian Cross-Border Mortgage.</h3><h4>Financing Through an American Bank</h4><p>American banks have rules that are usually different than their counterparts in Canada. An experienced U.S. real estate agent can be most helpful in navigating the paperwork and documentation requirements. Just Google “How a real estate agent can help Canadians buy U.S. property” for a list of informative websites.&nbsp;</p><h4>Canadian Cross-Border Mortgages</h4><p>Canadian financial institutions with branches in the U.S.—BMO and RBC, for example—can provide cross-border mortgages for purchasing U.S. property. Those Canadian financial organizations typically require lower down payments and mortgage rates. Also, they are more familiar with Canadian customer needs.  &nbsp;</p><h3>3. If you Own Real Property, Most States will Send you an Annual Real Estate Property Tax Bill.</h3><p>Every state⁸ in the U.S. imposes a real-estate tax on property owners. The tax is based on the assessed value of the property, which is not always the same as the current market value or purchase price.  Expect those assessments to rise every year. For example:&nbsp;</p><ul><li><strong>Florida:</strong> ranks 24th among all U.S. States with an effective real-estate tax rate of 0.89%. If your property is assessed at the median value of $215,300, you can expect an annual tax bill of $1,914.</li><li><strong>Arizona:</strong> Ranked 13th, tax rate 0.63%, tax bill $1,499&nbsp;</li><li><strong>California:</strong> Ranked 16th, tax rate 0.76%, tax bill $3,818&nbsp;</li><li><strong>Colorado:</strong> Ranked 3rd, tax rate 0.51%, tax bill $1,756&nbsp;</li></ul><h3>4. Here are Some Foreign Currency Exchange Considerations you Should Know About.</h3><p>Property investments are big financial commitments. Canadians will most likely have to make U.S. property purchases in U.S. dollars, and it is important to understand currency exchange advantages.  Even with a Canadian cross-border mortgage, some payments, such as the initial deposit, must be in U.S. dollars. &nbsp;</p><h2>Choose the MTFX Foreign Exchange &amp; Global Payments Platform</h2><p><a target="_blank"  href="https://www.mtfxgroup.com/">MTFX</a> is a Markham, Ontario-based currency exchange and international payment service. <a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=Can-a-Canadian-purchase-a-Home-in-the-United-States?">Register</a> in less than five minutes for a personal account and begin enjoying the following currency exchange benefits:&nbsp;</p><ul><li>Immediately dispatch money transfers and fund your payments through your bank account or automatic bill payment at rates lower than most banks.</li><li>Monitor Canadian-U.S. Dollar <a target="_blank"  href="https://www.mtfxgroup.com/tools/currency-charts/">exchange rates</a> 24/7</li><li>Receive <a target="_blank"  href="https://www.mtfxgroup.com/tools/currency-rate-alerts/">currency exchange rate alerts</a> that notify you when an exchange rate becomes more favorable.</li><li><a target="_blank"  href="https://www.mtfxgroup.com/currency-updates/">Access Market Analysis</a> from financial experts along with a monthly currency outlook.</li></ul><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=Can-a-Canadian-purchase-a-Home-in-the-United-States?"><i><strong>Open an account</strong></i></a><i><strong> with MTFX today to enjoy competitive exchange rates, low transfer fees, and easy transfers.</strong></i></p><p><strong>Popular Related Articles;</strong></p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/a-brief-guide-for-canadians-buying-property-in-florida/">A Brief Guide for Canadians Buying Property in Florida</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-property-in-mexico/">Guide for Canadians Buying Property in Mexico</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-real-estate-property-in-italy/">Guide for Canadians Buying Real Estate Property in Italy</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-real-estate-property-in-costa-rica/">Guide for Canadians Buying Real Estate Property in Costa Rica</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-real-estate-property-in-the-bahamas/">Guide for Canadians Buying Real Estate Property in the Bahamas</a></li></ul><p><strong>Sources:</strong></p><ol><li><a target="_blank"  href="https://www.nar.realtor/newsroom/annual-foreign-investment-in-u-s-existing-home-sales-falls-to-lowest-level-in-a-decade">Annual Association of Realtors</a></li><li><a target="_blank"  href="https://travel.gc.ca/travel-covid?utm_campaign=gac-amc-covidoct1-22-23&amp;utm_source=exemptions&amp;utm_medium=redirect&amp;utm_content=en">Canadian Travel Restriction</a></li><li><a target="_blank"  href="https://edition.cnn.com/2022/01/22/success/buying-a-home-in-2022-feseries/index.html">CNN</a></li><li><a target="_blank"  href="http://immigrationpassportvisa.com/travel/nexus-pass/">Immigration Passport Visa</a></li><li><a target="_blank"  href="http://immigrationpassportvisa.com/travel/nexus-sentri-fast-global-entry-denials/">Nexus Pass</a></li><li><a target="_blank"  href="https://www.usa.gov/visas">USA Government</a></li><li><a target="_blank"  href="https://ca.usembassy.gov/visas/contact-information/">U.S. Embassy and Consulate in Canada</a></li><li><a target="_blank"  href="https://wallethub.com/edu/states-with-the-highest-and-lowest-property-taxes/11585">Property taxes</a></li></ol>

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Can a Canadian Purchase a Home in the United States?

<p><img src="https://content.mtfxgroup.com/uploads/currency_conversion_7cb2e00ae1.jpg" alt="invoice-calculator-dairy" srcset="https://content.mtfxgroup.com/uploads/thumbnail_currency_conversion_7cb2e00ae1.jpg 245w,https://content.mtfxgroup.com/uploads/small_currency_conversion_7cb2e00ae1.jpg 500w,https://content.mtfxgroup.com/uploads/medium_currency_conversion_7cb2e00ae1.jpg 750w,https://content.mtfxgroup.com/uploads/large_currency_conversion_7cb2e00ae1.jpg 1000w," sizes="100vw"></p><p>When dealing with global suppliers, is it easier to pay them in their local currency or U.S. dollars? There may be no pat answer that applies to every country. In fact, many countries tie their currency value directly to the U.S. dollar, which can add stability to local exchange rates and speed up transactions.</p><h2>Advantages of Paying in Local Currency</h2><p>On the other hand, there are a number of advantages to paying your foreign vendors in their local currency. For example:</p><h3>Middlemen Take their Cuts:</h3><p>When you pay your foreign client in U.S. dollars, that money needs to be converted. That conversion takes place at the local bank, and everyone between you and the vendor takes their cut in transaction fees.</p><p>Then there are those irritating hidden fees, which everyone hates. In addition to the normal processing charges, there could be a conversion charge—and you can count on an exchange rate that will favor the bank.</p><h3>Conversion Takes Time and Irritates Customers:</h3><p>When the third-party institution converts the U.S. dollars, you are also looking at transaction delays and fielding impatient complaints. Paying in the local currency upfront can keep your business flowing on a reliable, even keel, keeping your suppliers happy with a faster cash flow.</p><h3>Fluctuating Exchange Rates are a Problem:</h3><p>Speaking of conversion rates, paying in U.S. dollars involves dealing with the volatility of exchange rates. From the time you are billed until the payment lands in the foreign bank account, the conversion rate differences could well eat into your profits.</p><p>As one safeguard against fluctuating <a target="_blank"  href="https://www.mtfxgroup.com/tools/mtfx-rate-calculator/">currency exchange rates</a>, your vendors, who also want to protect their profits, might pad their price quotes. That padding, of course, is in the vendor’s favor, so you’re paying more for your overseas products. Pay in local currency, and both you and the vendor know the exact price.</p><h3>Accounting Errors, Combined with Exchange Rates, can be Costly and Time-Consuming:</h3><p>Then there are those inevitable Accounting errors that take time to correct. With cross-border payments, correcting billing and payment errors can be time-consuming and costly. Sure, mistakes happen, but when correcting those mistakes includes complicated currency conversion—well, you get the picture.</p><h3>It's Easier and Simpler to Pay in Local Currency:</h3><p>Pay in foreign currency, and you can deal with problems without the additional headache of currency conversion. It’s a matter of simplifying reconciliation. If the mistake or dispute with a British vendor involves £10000 it’s simpler to just deal in pounds sterling rather than $13200, which one month ago could have been at an increased exchange rate of $13400.</p><h3>With Local Currency, there are Fewer Intermediaries.</h3><p>Your suppliers receive the funds faster. Using MTFX accelerates the process further with quick turnarounds, reducing the involvement of foreign financial institutions, and guarantees the best available <a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">currency exchange rate</a>.</p><h2>How MTFX Solves the Problem of Paying your Vendors in Local Currency?</h2><p>With <a target="_blank"  href="https://www.mtfxgroup.com/">MTFX</a>, as a business customer, you can send payments directly to your overseas vendors in the local currency with a secure online platform where you can send money worldwide in over 50 currencies to over 200 countries.</p><p>MTFX guarantees bank-beating exchange rates that are lower than banks. Its benefits for your business include:</p><ul><li>A business portal to manage all transactions and import invoices from your business accounting software—Manage your international payments more efficiently and seamlessly with a <a target="_blank"  href="https://www.mtfxgroup.com/business/global-payment-solutions/multi-currency-accounts/">multi-currency account</a>.</li><li>A platform for online entrepreneurs who want better access to the global market— level the playing field by paying your overseas online customers in their local currency.</li><li>Automatic <a target="_blank"  href="https://www.mtfxgroup.com/tools/currency-rate-alerts/">currency exchange rate alerts</a> to notify you when an exchange rate becomes more favorable—Don’t make that high-value deal without a timely heads up on currency exchange rates.</li><li><a target="_blank"  href="https://www.mtfxgroup.com/business/risk-management/forward-contracts/">Forward contracts</a> to lock in the desired rate for a future exchange—Stay in control of your business’s funds and protect against foreign exchange risks.</li><li><a target="_blank"  href="https://www.mtfxgroup.com/fx-daily/">Daily Market Analysis</a> and weekly Analysis from financial experts along with a monthly currency outlook—Stay current with timely updates and market intelligence in managing your currency accounts.</li></ul><h3>Let’s Get Started!</h3><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=The-Benefits-of-Paying-Overseas-Suppliers-in-their-Own-Currency"><i><strong>Open an account </strong></i></a><i><strong>with MTFX today in just a few minutes and enjoy competitive exchange rates, low transfer fees, and easy transfers, when sending money anywhere in the world.</strong></i>&nbsp;</p><h3>Popular Related Articles</h3><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/best-way-to-transfer-money-to-a-foreign-bank-account/">Best Way to Transfer Money to a Foreign Bank Account</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/invoice-international-clients-cheaper-faster-and-easier/">How to Invoice International clients - Cheaper, Faster and Easier</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/transferring-money-overseas-what-you-need-to-know/">Transferring Money Overseas: What You Need to Know</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/international-money-transfers-to-foreign-countries/">International Money Transfers to Foreign Countries: What You Need to Know</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/paper-cheques-still-have-a-role-in-the-digital-age-but-not-so-much-within-fx-transactions/">Paper Cheques Still Have a Role in the Digital Age--But Not So Much within FX Transactions</a></li></ul>

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The Benefits of Paying Overseas Suppliers in their Own Currency

<p><img src="https://content.mtfxgroup.com/uploads/5_step_overseas_payment_a5b783232a.jpg" alt="fingerprint hero image" srcset="https://content.mtfxgroup.com/uploads/thumbnail_5_step_overseas_payment_a5b783232a.jpg 245w,https://content.mtfxgroup.com/uploads/small_5_step_overseas_payment_a5b783232a.jpg 500w,https://content.mtfxgroup.com/uploads/medium_5_step_overseas_payment_a5b783232a.jpg 750w," sizes="100vw"></p><p>In an overseas payment transaction where you receive money from customers, the process is relatively straightforward. Your customers pay through a variety of methods and portals, and the money shows up in your account.</p><p>However, your outbound <a target="_blank"  href="https://www.mtfxgroup.com/transfer-money/">overseas payments</a> to suppliers, employees, etc., are more complicated. Your payments run a gauntlet of verification, foreign exchange filters, and compliance checks, which slow everything down and add additional costs of doing business.</p><p>You can either run that gauntlet on your own, or you can use a payment platform to automate and expedite your cross-border payments. The process includes the following basic steps:</p><h2>1. The Beginning, or the “Who”</h2><p>The payer has to collect all the necessary information on the payee or the beneficiary of the payment. That includes the person’s, or the company’s name, how they prefer to receive the funds, and where they are located. That will determine what country and currency in which they will receive the payment.</p><p>Then there is the added complication of how different countries identify their banks and what additional information they need as regards members’ accounts. For example, in the US, the payer needs to know the receiver’s bank routing number as well as the account number. Most of Europe, on the other hand, requires a single international bank account number for <a target="_blank"  href="https://www.mtfxgroup.com/business/global-payment-solutions/international-payments/">money transfers</a>.</p><p>The good news is that most internationally compatible payment systems account for those differences by altering required submission fields. That is where an automated third-party payment platform can help.</p><h2>2. Knowing What the Exchange Rate is</h2><p>Big banks offer an apparent convenience of static <a target="_blank"  href="https://www.mtfxgroup.com/">foreign exchange rates</a>. Those rates do not account for fluctuations in FX values, and the banks typically apply an inflation factor or “spread.” They make money on the spread, and they conceal those earnings in service and fee charges.</p><p>MTFX, on the other hand, updates <a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">currency exchange rates</a> in real-time. Users can use the latest exchange rates to approve this stage of the payment before continuing with the transaction.</p><h2>3. When and Where the Payer Submits the Payment</h2><p>At this point, the payer is ready to press the “send” button. This last step involves the user’s close check of all the transaction-specific data. The data must include everything the overseas country requires as compliance details necessary for processing the payment.</p><p>This step is a summary of the transaction. It itemizes the reasons for the fund transfer—the goods or services being purchased—and it confirms the exact amount of funds required in exchange for the latter.</p><p>This review of transaction details represents the tally of charges and must take into account accompanying local taxes and FX exchange rates described above.</p><h2>4. Why Compliance Checks and Screening are Necessary</h2><p>This is a screening stage where the host bank or payment provider like <a target="_blank"  href="https://www.mtfxgroup.com/">MTFX</a> initially receives the payment. The screening includes checks that include region-specific tests, including safeguards against identity fraud, among other protections.</p><p>Compliance checks, while varying slightly from country to country, usually include cross-checking transaction information for consistency with existing records as well as verifying the identity of the beneficiary of the payment.</p><h2>5. The End: The Transaction is Finished</h2><p>This is the end of the transaction. Funds are paid to the beneficiary’s account.</p><h2>Not so Fast. There could be an Additional Waiting Period…</h2><p>Even when the agreed-upon funds arrive in the beneficiary’s account, some countries impose a break in the process before the account holder can actually access the money. Many banks in Asia or Africa, for example, commonly ask for additional proof of a transaction invoice before they execute the final transaction.</p><h2>Expediting the Process with MTFX</h2><p>The 5-step process described above can move at a snail’s pace or lightning-fast, depending on whether multiple parties perform the steps manually, or if it is automated and transparent.</p><p>For example, if you passively accept bank FX exchange rates as a cost of doing business, you might be paying additional fees if that bank has to outsource its currency exchange services. Service fees and ancillary charges could add as much as 7 percent to your payment.</p><p>On the other hand, you can automate and expedite your overseas payments through a payment platform like MTFX. From start to finish your overseas business process can be simplified and unencumbered by high costs, delays, and compliance complications.</p><p>To learn more about how our platform does that, <a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=5-Important-Steps-in-the-Overseas-Payment-Process">contact us</a>. We’ll save you time, money, and headaches and help widen your overseas business footprint.</p><h3><strong>Popular related articles; </strong></h3><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/best-way-to-transfer-money-to-a-foreign-bank-account/">Best Way to Transfer Money to a Foreign Bank Account</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/invoice-international-clients-cheaper-faster-and-easier/">How to Invoice International clients - Cheaper, Faster and Easier</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/transferring-money-overseas-what-you-need-to-know/">Transferring Money Overseas: What You Need to Know</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/international-money-transfers-to-foreign-countries/">International Money Transfers to Foreign Countries: What You Need to Know</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/the-best-way-to-pay-your-global-workforce/">The Best Way to Pay your Global Workforce</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/paper-cheques-still-have-a-role-in-the-digital-age-but-not-so-much-within-fx-transactions/">Paper Cheques Still Have a Role in the Digital Age--But Not So Much within FX Transactions</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/still-using-a-bank-for-your-fx-business/">Still Using a Bank for your FX Business - Blog MTFX</a></li></ul>

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5 Important Steps in the Overseas Payment Process

<p><img src="https://content.mtfxgroup.com/uploads/usethisfinal2_f4a80e44fa.png" alt="usethisfinal2.png" srcset="https://content.mtfxgroup.com/uploads/thumbnail_usethisfinal2_f4a80e44fa.png 245w,https://content.mtfxgroup.com/uploads/small_usethisfinal2_f4a80e44fa.png 500w,https://content.mtfxgroup.com/uploads/medium_usethisfinal2_f4a80e44fa.png 750w," sizes="100vw"></p><p>The best way to transfer money abroad is to choose the optimum method for your circumstances, access the most favorable exchange rates, and avoid hidden fees. Those choices must be balanced against convenience, speed and security compliance.</p><p>As to convenience, banks and wire transfer/money operators have been the traditional methods of <a target="_blank"  href="https://www.mtfxgroup.com/transfer-money/">sending money overseas</a>. That convenience comes with additional cost, however.  Another less pricey alternative, which is increasingly challenging the traditional methods, is through specialized foreign exchange providers like MTFX. </p><p>So, when transferring money to a foreign bank account, consider the following alternatives:</p><h2>1. Safe, Reliable, and Compliant: Money Transfers via a Bank</h2><p>Banks are the logical choice for most people when sending money overseas.  Although an easy and secure option, a bank transfer is not always the most cost-effective or convenient method for companies doing business overseas for the following reasons:</p><p>Banks offer a wide range of financial services and cannot always allocate full support or online tools for foreign exchange transactions. Banks concentrate their expertise and resources towards their most profitable business--loans, investments, deposits.</p><p>Some overseas banks do not have the liquidity in foreign currencies. They must, therefore, rely on larger banks to service their FX transactions. The cost of that additional outsourcing is, of course, passed on to the customer as yet another fee.</p><p>Banks usually have less competitive foreign currency exchange rates. They employ what is known as the mid-market rate in trading with other banks. The mid-market rate is not a rate they disclose or offer to customers. </p><p>Instead of the mid-market rate, customers get a more static exchange rate. The static rate does not account for fluctuations in the FX values. Banks apply an inflation factor or “spread,” and make money when the spread tilts more in their favour. When that tilt is in the customer's favour, banks charge hidden fees to make up the difference. </p><h2>2. Fast, but Expensive: Money Wire Transfers </h2><p>Money Gram and Western Union are famous for their ability to send money anywhere. They bypass banks and can reach recipients who need cash quickly, often in remote areas. Senders can transfer money online, by telephone, or at a store and get the money to its destination quickly.</p><p>The speed and convenience come at a cost up to 5 percent or more of the transfer amount, often with minimum transaction fees. You might be able to get an online deal or view an FX conversion calculator on the wire service’s web site, but don’t count on advantageous (or mid-market) FX exchange rates.</p><h2>3. Your Best Bet: Full-service, Overseas Payment Platforms</h2><p>An online  foreign exchange and <a target="_blank"  href="https://www.mtfxgroup.com/business/global-payment-solutions/international-payments/">global payments platform</a> can provide a full-service, low-cost method for transferring and receiving funds overseas. This service combines the financial expertise of a bank with the speed and convenience of a wire transfer service. </p><p>Additionally an overseas payment platform offers these advantages:</p><h3>Easy Overseas Payment Execution</h3><p>An experienced payment provider, like MTFX has already completed overseas negotiations and banking arrangements for its customers. The customer sets up an online account, deposits funds, and accesses a single source for multi-currency dealings.  Fees are typically lower, and FX exchange rates are transparent and competitive.</p><h3>FX Risk Management</h3><p>Managing exposure to <a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">FX currency fluctuations</a> is an additional level of due-diligence any business owner needs to practice. Your cash flow is the lifeblood of your business. You need to protect your business from unfavorable shifts in FX exchange. MTFX does that through FX risk management, or hedging, tools. The most popular are<a target="_blank"  href="https://www.mtfxgroup.com/business/risk-management/forward-contracts/"> forward contracts</a> and <a target="_blank"  href="https://www.mtfxgroup.com/business/risk-management/market-orders/">market orders</a>:</p><p>Forward contracts lock in a favorable <a target="_blank"  href="https://www.mtfxgroup.com/#DynamicTable">currency exchange rate</a>, protecting your business from unfavorable currency fluctuations. By locking in the exchange rate effective at the moment, your cost of payable(s) or receivables remain unchanged, irrespective of market volatility. </p><p>Market orders trigger currency trades when the exchange rates move up or down, depending on the price you set. When the exchange rate reaches the amount specified in a market order, you are notified and your order is filled.</p><h3>Expertise, and Heads-up in FX Trading Volatility</h3><p>A residual benefit of joining <a target="_blank"  href="https://www.mtfxgroup.com/">MTFX’s</a> payment platform is that we plug our clients into an array of FX management tools. Our currency specialists, who follow the volatile FX market, and keep clients updated with the latest news, insights and strategies.</p><h2>Summary and Conclusion</h2><p>Choosing the best way to transfer money abroad is a matter of considering the pros and cons of your alternatives:</p><p>1. Banks are secure, but do not offer the most favorable FX rates. Also, banks don’t always dedicate the resources for the best customer service in FX. </p><p>2. Wire transfer services are quick, convenient and can reach the recipient almost anywhere in the world. However, they are expensive and don’t provide the best exchange rates.</p><p>3. Your best choice as a business operator with overseas customers, clients, or partners is an overseas payment platform like MTFX. MTFX provides a single resource for multi-currency transactions, lower fees and more favorable FX exchange rates, along with risk management tools and expert advice to protect your business cash flow.</p><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=Best-Way-to-Transfer-Money-to-a-Foreign-Bank-Account">Contact us</a>, and stop paying exorbitant bank fees. We have the tools, expertise, and platform to help improve your cash flow and extend your overseas business footprint.</p><p><strong>Popular related articles; </strong></p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/how-to-minimize-currency-risk-for-overseas-money-transfers/">How to minimize currency exchange risk when paying overseas suppliers?</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/benefits-of-using-your-foreign-supplier-s-local-currency/">Benefits of paying your overseas suppliers in their local currency</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/skip-the-bank-and-save-big-on-money-transfers/">MTFX encourages Canadians to skip the bank and save big on international money transfers</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/mtfx-offers-exciting-global-payment-solutions-for-businesses/">MTFX offers exciting global payment solutions for businesses</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/blog-how-to-maximize-profits-when-invoicing-overseas-clients/">How to maximize profits when invoicing overseas clients</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/paper-cheques-still-have-a-role-in-the-digital-age-but-not-so-much-within-fx-transactions/">Paper Cheques Still Have a Role in the Digital Age--But Not So Much within FX Transactions</a></li></ul>

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Best Way to Transfer Money to a Foreign Bank Account

<p><img src="https://content.mtfxgroup.com/uploads/worldgroup_f39380d311.jpg" alt="7 wonders of the world" srcset="https://content.mtfxgroup.com/uploads/thumbnail_worldgroup_f39380d311.jpg 245w,https://content.mtfxgroup.com/uploads/small_worldgroup_f39380d311.jpg 500w,https://content.mtfxgroup.com/uploads/medium_worldgroup_f39380d311.jpg 750w," sizes="100vw"></p><p>Whether you plan to become a permanent expatriate or are accepting an overseas job assignment, making the overseas move is a job unto itself. How big that job depends on your circumstances.</p><p>If you are taking your spouse, children, and a pet, your workload is, of course, increased and complicated incrementally. Add a car and household goods to the mix, and you’ll need to start planning early to avoid waiting months involved in ocean shipping.</p><p>The suggestions that follow, while not all-inclusive, provide a solid foundation for overseas planning and preparations. The key is to start early and leave time to cope with unexpected delays that can come between you and completing your journey abroad.</p><h2>Attitude And Preparation Are Everything</h2><p>Moving to a foreign country can be a combination of adventure, hassle, and hardship. Whichever facet of the foregoing dominates the experience depends on your attitude.</p><p>We are the sum total of our experiences, and those experiences are enhanced by travel abroad. A positive attitude will go a long way in coping with the inevitable hassle and hardships of an overseas move. Work from a baseline of positive expectations and go about your planning in a methodical way, and your move will go well.</p><h2>First Things First: Research Your Overseas Destination</h2><p>Country guides and profiles are just a mouse click away on the world wide web. Many are oriented for tourists but are definitely worth reading. Check out Canada’s travel advisory add the link https://travel.gc.ca/travelling/advisories However, if you’re just after the cold facts, check out the CIA World Factbook for an unbiased and fairly comprehensive summary on everything you need to know about your host country.</p><h2>Get Your Documents And Certificates In Order</h2><p>Make sure your passport is current. Allow for lengthy processing times if you are ordering a new or renewing an existing passport.</p><p>Check out the residency and visa requirements of the host country. It’s all on the web. Obtain the number of the nearest consulate or embassy of the country you are visiting and schedule a visit. Be prepared for fees and inevitable bureaucratic compliance steps.</p><h2>Get An International Driver’s License</h2><p>If you plan to drive overseas or would like a handy ID photo without having to carry your passport everywhere, you should get your international driver’s license. Check out the CAA web page¹ for details.</p><p>Also, read up on the host country’s driving rules, unique traffic regulations, and insurance requirements. For example, in Great Britain, motorists who are caught sleeping in a parked car after having too much to drink can be charged with the offense “Drunk in Charge.”</p><h2>Think About Health Issues And Follow These Suggestions:</h2><p>Schedule a complete physical exam. Get your vision checked and update your prescription. If you have any dental issues, have them taken care of before you leave. Get copies of your health and dental records, as well as your vision prescription. They could come in handy if you need medical care overseas.</p><h2>Decide What To Do With Your Pet</h2><p>You’ll need to do some research on bringing your pet overseas. Most pet import regulations include rabies and Avian influenza immunization. Some countries require pet quarantine of up to six months, which could be costly for you and traumatic for the pet.</p><p>Read more about moving overseas with pets on the TransitionsAbroad².</p><h2>Choose What To Take, What To Store, And What To Jettison.</h2><p>The household goods and personal possessions you decide to take with you will add time and expense to your preparations. Shipping a load of furniture will set you back anywhere thousands of dollars, depending on shipment size and weight. The good news is that overseas shipping companies have the experience and expertise and can pack, store, and ship your possessions efficiently.</p><p>Again, do your research. Will your smartphone work in Europe? What about personal computing devices like iPads and laptops? If you’re considering taking any electrical appliances overseas, you’ll need to buy transformers to allow for the different voltages.</p><p>Finally, consider sending an express air shipment of items that you want to be delivered shortly after your arrival. Express shipments usually consist of personal supplies for your first few weeks overseas, including clothing, bedding, kitchen utensils, toys, and games.</p><h2>Should You Ship Your Car?</h2><p>Unless your sponsoring company is picking up the expense, you might want to sell or store your car before going overseas. Shipment costs for a compact auto, for example, could amount to over $2,000. Then there are differences in emission control standards between Europe and North America. Filling your tank with European fuel could ruin your catalytic converter and affect the vehicle’s performance.</p><h2>Do Some Budget Planning.</h2><p>Look into the cost of living and estimate its impact on your income. For example, Where you were accustomed to paying under $1.31 per liter at the Canadian pump, you will pay over $1.00 more at the British petrol pump.</p><p>Likewise, there are generally higher living costs in Europe in food, energy, and utilities. Do your research and budget accordingly. Check out the latest currency exchange rates</p><h2>Stay Safe</h2><p>Check into the crime statistics of your host country. If you’re moving from Canada, you are leaving one of the top 10 safest countries in the world. As you might expect, many countries in Africa and the Middle East rank on the opposite end of the safety spectrum. European countries do better, with Iceland leading the pack as the safest country in the world, with Denmark and Austria close behind.</p><p>Wherever you’re going, it is wise to check out criminal statistics. You may not be in physical danger, but consider incidences of property crimes—burglaries, pickpockets, etc.—where perpetrators like to target foreign visitors.</p><h2>Summary And Conclusion</h2><p>This has been a quick look at what you should include in planning your overseas move. Use this guide as a basis for further research and planning. There are many useful overseas move checklists on the web. The key is to plan ahead and start early. There is plenty to do and that early start will keep your crisis management to a minimum. MTFX can help you with your currency conversion requirements. MTFX makes currency exchange and international payments easy. We help you keep more of your money by reducing your currency conversion costs. Learn more on how <a target="_blank"  href="https://www.mtfxgroup.com/"><strong>MTFX</strong></a> can help&nbsp;<strong>reduce your currency conversion costs.</strong></p><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=A-Quick-Guide-to-Moving-Abroad"><i><strong>Open an account with MTFX today</strong></i></a><i><strong>&nbsp;to benefit from minimal currency risk and quick, easy money transfers.</strong></i></p><p><strong>Popular Related Articles;</strong></p><ol><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-property-in-mexico/">Buying Property in Mexico</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-real-estate-property-in-italy/">Buying Property in Italy</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-property-in-the-united-states/">Buying Property in the USA</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/guide-for-canadians-buying-real-estate-property-in-costa-rica/">Buying Property in Costa Rica</a></li></ol><h2>Sources</h2><ol><li><a target="_blank"  href="https://www.caasco.com/travel/travel-information/international-driving-permit">International Driving Permit.</a></li><li><a target="_blank"  href="https://www.transitionsabroad.com/tazine/0810/moving-overseas-with-pets.shtml">4 Tips for Moving Overseas with Pets</a></li></ol>

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A Quick Guide to Moving Abroad

<p><img src="https://content.mtfxgroup.com/uploads/forign_exchange_market_9427391cf1.jpg" alt="laptop on desk" srcset="https://content.mtfxgroup.com/uploads/thumbnail_forign_exchange_market_9427391cf1.jpg 245w,https://content.mtfxgroup.com/uploads/small_forign_exchange_market_9427391cf1.jpg 500w,https://content.mtfxgroup.com/uploads/medium_forign_exchange_market_9427391cf1.jpg 750w," sizes="100vw"></p><p>If you do business outside Canada, you need to know about currency foreign exchange or FX. If you are leaving FX rates and charges to chance, you are likely being overcharged.   &nbsp;</p><p>The good news is that where small businesses were once at the mercy of big financial institutions, modern technology has leveled the playing field in the world of FX. A basic understanding of how FX works will help you get a handle on your cash flow, keep more of your profits, and satisfy your overseas customers.&nbsp;</p><h2>The FX Market Is Huge &amp; Misunderstood</h2><p>The <a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">FX market</a> is bigger than Wall Street and the U.S. Federal Reserve combined. It is the largest financial market in the world in terms of trading volume (about $6.6 trillion). Unlike Wall Street, it is neither regulated by governments nor well understood by laypersons. &nbsp;</p><p>As an “immaterial entity” it provides a platform to exchange, buy and sell, and speculate on the currency. Most of the trading in FX is purely speculative. The most spectacular example of FX dealing earning someone a fortune was George Soros’s famous bet against the British pound in 1992. He won the bet and profited over $1.25 billion.&nbsp;</p><h2>What Affects The FX Market And Currency Value</h2><p>Currency is just another tradable good. It obeys the law of supply and demand, and its value falls and rises based on a variety of financial, political, and psychological factors. Along with those intangibles, changes in the value of a country’s currency depend on what is happening both inside and outside that country.  &nbsp;</p><p>Bank interest rates, unemployment, inflation, and local monetary policy and regulation also affect the currency’s value.  External <a target="_blank"  href="https://www.mtfxgroup.com/tools/economic-calendar/">market trends</a>, the international situation, and a country’s international reputation among speculators and investors also pile on to make currency value volatile.&nbsp;</p><h2>Exchange Rates Fluctuate, But International Exchange Stays Relatively Static</h2><p>A line graph of the value of a currency would look similar to the ups and downs of the Dow Jones daily average. Nevertheless, big financial institutions usually offer a relatively static and stable exchange rate for international payments. They can do that by adding an inflation factor that absorbs the ups and downs of the FX market.&nbsp;</p><p>Nevertheless, the FX market is stacked against businesses doing cross-border transactions. Businesses, rather than money exchangers, take all the risks because large financial institutions are autonomous. They are not required to provide transparency and only operate in their own self-interest.&nbsp;</p><p>&nbsp;</p><div class="raw-html-embed"><p style="text-align: center;"><a target="_blank"  rel="noopener" href="/#DynamicTable" target="_blank" class="btn cmn-register-btn cmn-blue" data-anchor="#DynamicTable">Check The Latest Currency Exchange Rates</a></p></div><p style="text-align:center;">&nbsp;</p><h2>The Ground Rules Are Changing, And The Tools Are There</h2><p>Returning to the good news, technological advances since George Soros broke the bank of England have leveled the playing field, and even the smallest business startups can get a handle on international FX.  The handle relies on getting a grip on understanding the FX system. &nbsp;</p><p>For the small business owner, the understanding begins with tapping into a stable and reliable payment process and finding a better international payment solution.  That solution will give small business owners more control over their revenue streams through real-time insight into currency exchange rates. That insight, in turn, will ultimately lower overseas prices for the customer and increase profits for the business.&nbsp;</p><h2>Are You Buying Or Selling Your Currency?</h2><p>When conducting cross-border business, you need to know whether your transaction involves FX buying or selling; i.e., what is the <i>base currency? </i>In FX trading, currency values appear in terms of a currency pair. The first currency in the pairing is the base currency. So the base currency determines the exchange rate quoted in a particular country. &nbsp;</p><p>For example: In trading <a target="_blank"  href="https://www.mtfxgroup.com/tools/currency-charts/?to=USD&amp;from=CAD">CAD/USD</a>, the Canadian dollar is the base currency. The US dollar in this instance would be the secondary. Banks use those pairings to either bid on what they will pay for the base currency, or offer a selling price using the secondary currency. &nbsp;</p><p>So the difference between a bank’s bid and its offer to buy is the spread. The spread is the amount the bank will make on the deal. They influence that amount by bidding or offering on the low or high side, depending on how much they will save or earn. That difference hides in plain sight as the transaction fees, which accompany overseas business deals.&nbsp;</p><h2>The Key Is To Reduce The Spread</h2><p>Currency exchange rate fluctuations and opaque bank practices notwithstanding, you don’t have to be George Soros to gain control of your overseas cash transactions. You can trade at a <a target="_blank"  href="https://www.mtfxgroup.com/#mtfxvsbank">lower fee</a> than offered by banks and FX brokers using a <a target="_blank"  href="https://www.mtfxgroup.com/"><strong>payment platform</strong></a><strong>.</strong>&nbsp;</p><p>Payment platforms have emerged as popular tools in today’s tech-savvy and consumer-oriented financial markets. Those platforms are an especially attractive option for businesses with finite resources and who would rather focus on making their product more competitive—without the encumbrance of keeping track of FX fluctuations and having to pass high transaction costs to their customers.&nbsp;</p><h2>Want To Learn More About Our Payment Platform?</h2><p>See how our payment platform can remove FX volatility from your overseas business cash flow. Contact us and we’ll show you how you no longer have to sacrifice revenue just to gain a better footing in your overseas markets. &nbsp;</p><div class="raw-html-embed"><p style="text-align: left;"><a target="_blank"  rel="noopener" href="https://online.mtfxgroup.com/register/?source_page=Understanding-The-Foreign-Exchange-Market" target="_blank" class="btn cmn-register-btn cmn-blue" data-anchor="?source_page=Understanding-The-Foreign-Exchange-Market">Sign Up Now</a></p></div><p>&nbsp;</p><p><strong>Popular related articles;</strong></p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/4-steps-for-an-effective-hedging-strategy/">4 steps for an effective hedging strategy</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/5-steps-in-the-overseas-payment-process/">5 Steps in Overseas Payment Process</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/are-you-a-multinational-then-you-should-have-a-strategic-fx-management-plan-in-place/">Best Strategic FX Management Plan&nbsp;</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/the-keys-to-managing-risk-in-volatile-markets/">The keys to managing risk in volatile markets&nbsp;</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/money-transfer-checklist-a-few-things-to-consider/">Money transfer checklist</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/is-billing-foreign-customers-in-their-local-currency-better/">Is Billing Foreign Customers In Their Local Currency Better?</a></li></ul>

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Understanding The Foreign Exchange Market

<p><img src="https://content.mtfxgroup.com/uploads/blogimgorangefreenpaid_179089f522.jpg" alt="blogimgorangefreenpaid.jpg" srcset="https://content.mtfxgroup.com/uploads/thumbnail_blogimgorangefreenpaid_179089f522.jpg 245w,https://content.mtfxgroup.com/uploads/small_blogimgorangefreenpaid_179089f522.jpg 500w,https://content.mtfxgroup.com/uploads/medium_blogimgorangefreenpaid_179089f522.jpg 750w," sizes="100vw"></p><p>You sell a great product. It does well outside your borders and your prospects for business expansion look good. </p><p>But you have a choke point in your payment process. Payments on your invoices are slowed, and sometimes fluctuations in <a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">currency exchange rates</a> pose a risk to the value of your product—and put repeat orders at risk.</p><p>Your overseas payment process may be the traditional method where you invoice in Canadian dollars or USD dollars, but your European customers shoulder the inconvenience (and cost) in navigating foreign currency exchange and <a target="_blank"  href="https://www.mtfxgroup.com/tools/mtfx-rate-calculator/?from=CAD&amp;to=EUR">conversion for their euros</a>.</p><p>That process forces your customers to figure out their local currency equivalency to the amount billed on your invoice. Then to settle the account they must pay you with an international wire transfer.</p><h2>Banks are Cutting into your Profits&nbsp;</h2><p>In between your overseas customer’s bank account and your business bank account, there are others taking their cut. That process is complicated as intermediaries add service charges and exchange rate fees. Consequently, fluctuating foreign exchange rates and payment processing fees at overseas banks reduce the number of funds you receive.</p><p>Your overseas customers shoulder the burden of additional cost and effort. That burden translates into the diminished quality of their experience with you.  Meanwhile, you take a concurrent hit when exchange rates go short and your budget projections, slide past the red line of profitability. Small businesses are vulnerable to cash flow glitches, and often fail when too much of the latter occurs.</p><h2>Global Collections are the Solution &nbsp;</h2><p>There is a way to handle your overseas business payments without hiring local talent to engage in bank negotiations and setting up multiple bank accounts.  It is called Global Collections.</p><p>Global Collections is an optimized accounts receivables solution. Here is how the process works, and why it is seamless:</p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/">MTFX</a> provides your company with local overseas account numbers in the locations where your customers reside.  We do that through international bank account numbers, in over 20 currencies.</li><li>Your overseas customers now have the option to pay you in their home currency. They pay your invoice immediately and conveniently. The burdens of currency conversion, and giving correspondent banks a percentage of the payment are lifted. You compete on a more even playing field.</li></ul><p>You provide this service to your customer without increasing your overhead. You do not have to do the legwork or pay someone to do the overseas bank negotiations in a foreign market. MTFX already has the technology and infrastructure in place.</p><h2>Your International Cash Flow Risk Management is now Under Control </h2><p>Now that you have streamlined your overseas payment process, you can get a better handle on your international cash flow and volatile exchange rates. As the local currency payments begin accumulating in your accounts, &nbsp;you can convert those funds to your own currency and shift them back home.  This is where a handy residual benefit kicks in Controlling FX transactions allows you to pocket optimal exchange rate margins, rather than charging your customers up to 4% in international wire exchanges. &nbsp;</p><p>So, the Global Collections feature accommodates both your customer’s expectations, as well as helps you maintain your own overseas cash flow on a flexible, even keel.&nbsp;</p><h2>Stop Stifling your Foreign Exchange Cash Flow&nbsp;</h2><p>MTFX is your full-service platform for <a target="_blank"  href="https://www.mtfxgroup.com/business/risk-management/forward-contracts/">risk management</a> in overseas transactions. Contact us and learn how our payment platform can expedite your overseas collections, give your customers flexible payment options, and eliminate exorbitant bank charges and fees.&nbsp;</p><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=How-to-Invoice-International-clients---Cheaper,-Faster-and-Easier"><i><strong>Open your account</strong></i></a><i><strong>&nbsp;in less than five minutes and</strong></i><strong>&nbsp;</strong><i><strong>we'll show you how foreign exchange currency risk management can protect as well as increase your business's profits.</strong></i></p><p><strong>Popular Related articles;</strong></p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/managing-paying-income-taxes-abroad/">Managing Paying Income Taxes Abroad</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/how-exchange-rates-can-affect-your-business/">How Exchange Rates can Affect your Business?</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/global-collections-services-make-for-loyal-overseas-customers/">Global Collections Services Make for Loyal Overseas Customers</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/ensure-better-overseas-payment-processes-with-a-third-party-digital-platform/">Ensure Better Overseas Payment Processes with a Third-party Digital Platform</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/stop-wasting-money-paying-overseas-suppliers-in-us-dollars/">Stop wasting money paying overseas suppliers in US dollars - there are more cost-effective alternatives</a></li></ul>

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How to Invoice International clients - Cheaper, Faster and Easier

<p><img src="https://content.mtfxgroup.com/uploads/shutterstock_1421006570_7fcced5ba8.jpg" alt="shutterstock_1421006570.jpg" srcset="https://content.mtfxgroup.com/uploads/thumbnail_shutterstock_1421006570_7fcced5ba8.jpg 234w," sizes="100vw"></p><h2>Sending Money Overseas</h2><p>Transferring money overseas can be tricky, but it's not impossible. Here are the steps you need to take in order to successfully transfer your money overseas.</p><p>You'll need a few pieces of information before you start this process, so make sure you have all of these on hand: who is receiving the funds? Which bank will they be using? What country are they in? How much do I want them to receive? Do I intend on paying any taxes or fees for this transaction? And am I ready with my account and routing numbers for both accounts involved in the transaction (mine and theirs)? If your answer is yes, then let's get started! This process may sound complicated, but it really just takes some planning ahead of time.</p><p>As always, if you have any questions at all during the process, speak to your money transfer provider. They are there to help you through this process and can answer most of your questions.</p><p>Now that you've gathered the necessary information, let's talk about what each step includes:</p><ol><li><strong>Exchange Rate -</strong> You'll need to know how much money you'll be transferring, in the currency of the country where you're transferring it to. You can use our MTFX <a target="_blank"  href="https://www.mtfxgroup.com/tools/mtfx-rate-calculator/">currency converter</a> to help you with this step.</li><li><strong>Transfer Money -</strong> You'll need to contact your money transfer service provider and let them know what amount you want to be transferred, so they can prepare for the transaction accordingly. From there, the money will be transferred from your account to theirs.</li><li><strong>Fees -</strong> If a fee will be applied for the transaction, you'll need to know about it ahead of time. Many times, these fees can amount to a lot more than you might have imagined. These may also vary from country to country, so make sure you're aware of what you might need to pay.</li><li><strong>Confirmation of Funds -</strong> Now that the money has been transferred, they'll need to confirm that it is in their account. Once this takes place, they can begin using the funds.</li></ol><p>This process may sound complicated, but with some help from your bank and a little bit of research on your part, it shouldn't be too difficult to complete.</p><h2>What to Look for Before Making a Transfer?</h2><p>Before proceeding with an <a target="_blank"  href="https://www.mtfxgroup.com/">online money transfer</a> you should always:</p><ol><li>Find the <a target="_blank"  href="https://www.mtfxgroup.com/tools/live-exchange-rates/">best exchange rate</a> for your currency</li><li>Calculate how much you need to send and what <a target="_blank"  href="https://www.mtfxgroup.com/tools/mtfx-rate-calculator/">conversion rates</a> will apply</li><li>Understand any fees or other charges that may be incurred by transferring money overseas</li><li>Consider the time it will take for your transfer to go through, as this can vary depending on where you are sending the funds from and where they are being sent to</li><li>Use an online service like <a target="_blank"  href="https://www.mtfxgroup.com/">MTFX</a> if possible because these have lower fees than banks do when transferring money internationally</li><li>Be prepared for delays due to holidays, weekends, and public closures in both countries involved in the transaction - make sure there are contact numbers in case of an emergency.</li></ol><h2>Transferring Money Overseas vs. Transferring Domestically</h2><p>Transferring money domestically is much simpler and easier than transferring money overseas. When transferring money domestically, you only need to worry about two things: the amount of money you're transferring and the recipient's bank account number. However, when transferring money overseas, you need to worry about a lot more things, such as the exchange rate, the recipient's bank's country, the recipient's bank's SWIFT code, and more.</p><p>When you transfer money domestically, the money will be transferred through your bank and is usually cheaper than going through a third-party service. However, transferring overseas is done through an international bank or service provider. This can be problematic because it can take weeks for the money to get to its destination.</p><h2>What you Need to Know Before Transferring Money Overseas?</h2><p>Before you start <a target="_blank"  href="https://www.mtfxgroup.com/transfer-money/">transferring money</a> overseas, there are a few things you need to know.</p><ol><li>You need to include the correct SWIFT code when sending your money overseas or else it will not be received.</li><li>Make sure you only send the money to what country and currency it is in.</li><li>If you're sending a large sum of money overseas, it's best that you cut down on the fees with the use of online money transfers.</li><li>Always talk to your service provider before making any decisions about how much you're going to send and in which currency.</li></ol><h2>Tips on How to Avoid High Fees and Hidden Costs when Transferring Money Internationally</h2><p>When transferring money overseas, it's important to be aware of the hidden costs and high fees that can often accompany these transactions. Here are a few tips on how to avoid these extra expenses:</p><ol><li>Make sure you're aware of all the fees involved in the transaction. Many banks and transfer services charge hefty fees for international transfers, so be sure to compare rates and find the best deal.</li><li>Try to use a currency that is widely accepted. This will help to minimize the conversion fees involved in the transaction.</li><li>Avoid making last-minute transfers. The closer to the actual exchange rate, the less you'll pay in fees.</li><li>Use a reputable transfer service. There are many fraudulent companies out there that charge high rates and additional fees, so it's important to find a company that you can trust.</li></ol><h2>Conclusion</h2><p>MTFX is a better way to <a target="_blank"  href="https://www.mtfxgroup.com/business/global-payment-solutions/international-payments/">transfer money overseas</a>. We make it easy for you by providing an online platform where you can find the best rates and compare them all in one place, eliminating the need for multiple inquiries with different providers. Once we've found your perfect rate, we'll seamlessly take care of the transactions so that everything goes as smoothly as possible. With MTFX's help, transferring money overseas doesn't have to be stressful or complicated.</p><p><a target="_blank"  href="https://online.mtfxgroup.com/register/?source_page=Transferring-Money-Overseas:-What-You-Need-to-Know"><i><strong>Open an account</strong></i></a><i><strong> with MTFX today to enjoy competitive exchange rates, low transfer fees, and easy transfers.</strong></i></p><p><strong>Popular related articles; </strong></p><ul><li><a target="_blank"  href="https://www.mtfxgroup.com/post/4-reasons-why-mtfx-is-better-than-your-bank-for-your-online-global-payments-processes/">4 reasons why MTFX is better than your bank</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/5-reasons-to-use-foreign-exchange-service/">5 reasons to use foreign exchange service</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/retiring-abroad-setting-up-your-lifestyle/">Retiring abroad setting up your lifestyle</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/with-mtfx-you-gain-access-100-plus-currencies-across-140-countries/">With MTFX you gain access to +100 currencies</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/a-quick-guide-to-moving-abroad/">A quick guide to moving abroad</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/the-best-way-to-pay-your-global-workforce/">The Best Way to Pay your Global Workforce</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/have-you-created-a-post-covid-business-plan/">Have you Created a Post Covid Business Plan - MTFX Blog</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/still-using-a-bank-for-your-fx-business/">Still Using a Bank for your FX Business - Blog MTFX</a></li><li><a target="_blank"  href="https://www.mtfxgroup.com/post/the-vaccine-is-here-now-what-are-fintechs-the-new-normal/">The Vaccine is here. Now What? Are fintech’s ‘The New Normal’?</a></li></ul>

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Transferring Money Overseas: What you Need to Know

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