I just came back from the USA with a load of USD cash that I need to change back to AUD

Risser on 03/08/2016 - 17:08

I have 9k USD that I need to get back onto my home load after using it to buy a vehicle while on holidays.
I went into a few banks along with amx exchange to see what the deal is.
Firstly, why do they quote the conversion rate in reverse!? For example, AMX exchange at the Post Office quoted me .7874 cents in the dollar. I had a heart attack at first until they told me that equates to AUD $11,422.02. Banks seem to have a worse conversion rate.

Is there a better way to convert the currency besides banks or the AMX exchange? Any tricks or tips to get the most mileage from my USD funds?

Long shot; Has anyone tried to sell the currency? Ebay or the such at a higher rate direct to folks wanting USD currency so both sides get a better deal?

Thanks in advance,

Financial

Comments

  • DarkOz on 03/08/2016 - 17:19

    There is always a gap between the buying and selling rates. That's how they make a profit. Look for a few exchange rates on the same day and sell to the one that gives you the most return.

  • donga100 on 03/08/2016 - 18:16

    Try exchanging it at the casino. They usually do it much closer to the real exchange rate than banks.

  • shanakatak on 03/08/2016 - 19:38
    +1

    If you are in Melbourne these guys always have great rates.

    http://unitedcurrencyexchange.com.au/

  • MsAeryn on 03/08/2016 - 20:16

    Is it in an account? Try exchanging it through currencyfair.com. I used it for sending money to my sister in the US and the exchange rate is usually within .3 of a cent within the current market rate (or better). It's $4USD to transfer out once you've exchanged (no charge to transfer money in), but save you heaps in the conversion!
    I have also used it to pay for work purchases, transfer in, wire out to a bank account in USD.

    Or for you, the other way around, USD in, AUS out.

  • hashtagbargain on 03/08/2016 - 20:23

    I've found http://transferwise.com/ to have great rates. Happy with the service too.

    But since you mentioned you have the money in cash, I think your best option might be some money exchanger…

  • Mafoo on 03/08/2016 - 22:08

    I'm wanting us cash? Are you in Melbourne?

    • Risser on 04/08/2016 - 07:19

      Nope, sorry :(

      • SimbaGirl on 04/08/2016 - 14:43

        I'm looking to buy some USD for a trip next year, but unfortunately I'm in WA :( otherwise I would have been happy to help out, OP!

  • livedierepeat on 03/08/2016 - 22:22

    Cash exchange rates are a rip off. Bank account exchange rates are better.

    Open a USD account with citibank or HSBC deposit the US cash into the usd dollar account then either use the bank rate to transfer the money to AUD and withdraw. Or use transferwise or any alternatives find the one with the best rate to transfer the money to your mortgage account factor in costs of transfer etc

    Other more time consuming method, involves finding someone who will sell bitcoins or other crypto currency then sell coins etc this will take a while and unless you can hedge with an account ( dont know if you have access to US bank account ) possible to hedge you can get 1% or more above whole sale rate. I have done this but it takes a long time unless you get lucky and find a trader who is willing to trade USD close to you.

    Altenative find someone who is going to the US or needs USD and do midpoint wholesale rate not the retail rate you were quoted. So around .76 win win for both parties. Down side is finding someone. Hang around a currency exchange and find someone looking to buy USD offer a better rate etc.

    Ebay is ok if you are selling $1,$5, $10 someone will pay ridiculous rate for alt reasons ie collection, present, gift etc I have done this as exchanges wont accept say mexican pessos etc. Again time consuming etc not really feasible with the amount you have.
    Ebay wholesale is not a good idea as ebay fees are around 10% and possible restrictions by ebay.

    Lots other alternatives but requires either time or contacts etc

  • ninjawarrior on 04/08/2016 - 17:35

    Agree that best bet is to find someone who's willing to take mid-market rates - both of you will benefit from that.

    If you're willing to set up a USD bank account, consider going through OFX - they are offering about AU$11,680 for the same US$9,000 which is a 1.5% spread. Doubt you'll find any retail banks or cash exchange houses who'll do better than that.

    Just depends on how much money your time is worth - setting up the accounts might not be worth the few hundred you'll save.

  • INFIDEL on 04/08/2016 - 17:56

    Exchanging with others gives the best return for both seller & buyer using mid-market rates.

    But be careful with the meeting! Announcing you've got a fair bit of cash can attract the wrong attention. So maybe exchange smaller amount at a time & meet in public place with cameras.

    Money exchange on Gumtree ended in robbery & murder

    I've exchanged us$ & au$ for a large amount of surplus Malaysian ringgit in Malaysia with fellow travellers, with no problems. There was no power, except for generators, & no ATM on the island & locals charged exorbitant rates, so I acted as the money changer, at Google mid-market rates.

  • Risser on 05/08/2016 - 09:41

    I've sent out some feelers and found friends and friends of friends are wanting USD's. Traded over 50%!! woohoo

    Thanks everyone.

Login or Join to leave a comment
Login Join