Jump to content
Leave GBP in the UK, or transfer to AUD?
7 replies to this topic
Posted 11 April 2012 - 01:01 PM
I was left GBP 10,000 last year by an uncle. With the exchange rate as it is, it would be worth less than AUD 15,000.
Because I'm comparing to 5-6 years ago when we brought our funds over and got 2.5 times the amount of GBP, it seemed to make sense to leave the 10k in the UK until the exchange rate is more favourable.
But will it ever be anywhere near that again?
If I brought the money over, I would use it to bolster our savings over here, as we've used the bulk of them in some recent home improvements. So essentially, it would sit in savings over here, rather than in the UK.
What would be the best course of action? Leave it in the UK in the hope that the exchange rate picks up, or bite the bullet and bring it over now?
Posted 11 April 2012 - 01:08 PM
Unless you desperatly need the money, i'd leave it there - so long as it was earning a bit of interest (just don't forget to declare that interest on your aussie tax return)
At the moment, i can't see the exchange rates going back to those levels for another few years. My friend who is an economist is even more doom & gloom, she thinks exchange rates will get worse & in the next 5 years europe will become as affordable as the USA is.
Posted 11 April 2012 - 01:16 PM
Interest rates are not very good in the UK at the moment whilst Aussie interest rates are pretty good, so that is something to consider as well.
If you can find a decent deal in the UK with a high interest rate (much easier if you are happy to lock the money away for around 3-5 years), then worth leaving it there. If not, then I would transfer it over and earn better interest here, again maybe in longer-term no-access account.
ETA: The UK is heading for another recession and it is unlikely that exchange rates will improve much any time soon.
Edited by geishagirl, 11 April 2012 - 01:17 PM.
Posted 11 April 2012 - 01:17 PM
Another one for leave it and see what becomes of it. If you absolutely need the money then do what is necessary for you to access the funds. As long as the money is in your name then I would make myself forget and see if it builds a nice little nest egg.
And of course declare that on your tax return, do not want to get in trouble with those guys.
Posted 12 April 2012 - 11:07 AM
Unless you really need the money, leave it over there. Do you see yourself traveling over there in the next few years? Having some funds there and not having to pay currency conversion fees may save you more than any potential interest earned here.
Posted 12 April 2012 - 11:21 AM
If you really need it then bite the bullet and transfer.
But if you can wait it out then that is the track I'd be taking - especially if you do travel to the UK or need to buy anything in the UK.
My Mum was English and always maintained a bank account in 'old blighty' that she used for when she was visiting or for when she needed to contribute to family things (when her parents were alive stuff would come up quite frequently or gifts/flowers etc. needed for birthdays funerals et. al)
As a child I used to play the exchange rate with my birthday money sent from there - the bank staff in our little local branch would comment "We thought we would be seeing you today!" when I would scuttle in clasping my 5 pound notes on the morning after the dollar had slipped dramatically against the pound!
Posted 12 April 2012 - 11:53 AM
Thanks for the comments.
It's reiterating what I thought.
I do keep money in the UK for when we go back, but I didn't want to fritter this money away on sundries. To me, it's a substantial amount that I wanted to put to good use by offsetting against the mortgage.
However, if I'm not going to get much for it by bringing it over, I really won't bother.
Posted 12 April 2012 - 11:53 AM
I'd leave it if you could. My MIL got some money after her mum died and left it there for her next UK holiday, got some interest in the mean time and no conversion fees when she used it
1 user(s) are reading this topic
0 members, 1 guests, 0 anonymous users
To celebrate the release of children?s musical series Play Along with Sam, out now on DVD, we?re giving one lucky parent the chance to have Sam perform at their child?s pre-school or day care!
A shopping centre escalator needed to be pulled apart to free a toddler's trapped hand.
Is it weird to say that I am secretly thrilled to find that my daughter Edie has nits?
Well, it's actually 13-12-14 to us over here. But still, Clare Elizabeth Keane's consecutive numerical birth time is pretty special.
We can't live in fear. This post is about Christmas and how at this time we should be celebrating life and grateful for what we have: our loved ones who we cherish fiercely.
Everyone will love your baby but your baby may not be so happy to be passed around a lot of new people - nor may you want to feed with an audience.
There are pros and cons to this policy.
Here are a few popular methods hopeful parents-to-be use to try to get a baby of their preferred gender – and what an expert says about whether they really work.
It's officially time to get into the Christmas spirit. Why not branch out when you put up your tree this year and add a personal touch with a few DIY decorations? We've found the perfect easy-to-make ways to put more festive fever into your home.
A dangerous trend is seeing more mothers-to-be declining a relatively simple and painless test to check for gestational diabetes.
The Office of Fair Trading has pulled seven toys from shelves ahead of Christmas after they fail safety tests.
These twin girls will no doubt have fun fooling people in years to come, but nobody will be as confused as baby Landon.
Men could soon have access to an injectable long-term contraceptive which works in a similar way to a vasectomy but promises to be easily reversed.
After bathing and dressing her three-month-old son, Amanda had a rare moment alone with her baby.
I feel that almost every day, someone in my life - be they a friend, family member or complete stranger - feels the need to excuse my behaviour as I have other things on my mind.
A Melbourne mother has described how her son turned grey when he became seriously ill after drinking raw milk.
Modern newlyweds are now well into their 30s and marriage still offers something powerful a new book argues.
In Australia, 30 per cent of women find their birth experience traumatic, with 6 per cent going on to develop post traumatic stress disorder (PTSD).
A young mum is in intensive care after she took a friend's antibiotic and wound up with an ailment that is burning her body 'from the inside-out'.
If he doesn't change his mind, all I can hope is that I will. It would be a waste to spend the rest of my marriage mourning a baby that never was.
Got bored kids? Quickly find the best activities for kids wherever you are in Australia with the Essential Kids app.
Top 5 Articles
One mother's futile attempt to sleep in caught on camera in a hilarious - and very cute - video.
While we all like to imagine the holiday season as being a fun, loving and bonding experience; often our reality is quiet different.
The fear of being weighed is the most significant factor in women cancelling medical appointments - and now weight-shaming has happened to me.
As we reach the end of 2014, we're closing the book on many things for another year, most notably childcare. Our last child has attended childcare for the very last time.
Contrary to popular belief, making it past the seven-year mark doesn't mean your marriage will be smooth sailing from there on.
We teach kids it’s okay to say no if they don’t feel safe, so why do some parents force their children to climb in to Santa's lap?
I’m sure that parenting will get harder. But life isn’t exactly smooth sailing for many of us right now, either.
Yes, the bouncing baby girl was born by caesarean section. And mum says no more kids.
I'm the first to admit that when I used to see tiny babies with dummies in their mouths, I thought "Hmm, lazy parenting." And now I apologise.
Imagine meeting your double at a school sports event, or regularly being mistaken for someone you haven't met. Separated twins Margaret and Joy tell their story.
As Sydney grieves the loss of Sydney siege victims Katrina Dawson and Tori Johnson, reports have suggested that both died as heroes.
How many weeks til Christmas?
Get the "Santa" shopping done without the kids in tow.