Transfer money to Australia from the UK (only 4 simple steps!)
If you need to transfer money to Australia from the UK, it’s not as complicated as you might think.
There are only four steps.
Step 1 – Register as a client
An ID check is required for all new clients.
The laws around global money laundering are very strict these days.
Because of this, banks and currency brokers are legally required to identify a person before they can transfer money abroad.
The good news is it doesn’t take long.
Most people can be automatically identified through their name, address, and passport number.
Step 2 – Secure a GBP/AUD exchange rate
Once registered, you are in a position to lock in an exchange rate.
When you’re ready, your bank or currency broker will quote you a live exchange rate for Pound Sterling (GBP) to Australian Dollars (AUD).
No transaction will take place without your consent.
If you go ahead, you will be sent a confirmation email with all the details of your transfer (amount, rate, where to send your Pounds).
Step 3 – Send in your Pounds
Time to send in your Pounds for conversion into Australian Dollars. This is normally done using a regular bank transfer (nothing complicated).
Your bank or currency broker will provide you with the details of where to transfer the money.
If you are on a tight deadline, you can send your Pounds in before you transact to speed things up.
Step 4 – Your Pounds are converted to Australian Dollars
Once your Pounds are received by your bank or currency broker, they will convert them into Australian Dollars at the rate agreed upon and then transfer the funds to the Australian bank account you’ve requested.
That’s it.
What is the best way to transfer money to Australia?
How long does it take to transfer money to Australia from the UK?
It takes 3-4 days for a money transfer to get from the UK to an Australian bank account.
It can be quicker, but I would rather give you a realistic expectation.
From my own experience, it varies based on the Australian bank.
I have two bank accounts in Australia.
Commonwealth Bank has been quicker than Bankwest for me – usually by a day. Better systems perhaps?
Another factor is what time of day you send your funds to your bank or currency specialist – morning or afternoon.
There are cut-off times for money transfers to Australia.
If your funds arrive after 2pm, normally that would count as the next working day.
What details are needed to transfer money to Australia?
You will need to have the following details of the recipient’s bank account:
- Account name (can be in your name or someone else’s)
- Name of bank
- Bank Swift/BIC code
- Account number
Unlike the United Kingdom, Australia does not use the IBAN system.
Instead, they use a SWIFT/BIC code – which identifies the bank only, not your actual account.
A BIC or SWIFT code is the same thing.
Below are the SWIFT/BIC codes for the Big Four Aussie banks:
- Commonwealth Bank (CBA): CTBAAU2S
- Westpac: WPACAU2S
- ANZ: ANZBAU3M
- National Australia Bank (NAB): NATAAU33
In Australia, the BSB is the equivalent of a Sort Code in the UK. It identifies the branch your account is held at.
When you put the BIC, BSB, and Account Number together, it provides the complete chain to route your money to the right place.
A currency broker can help double-check the details before your money is sent.
How much will it cost when transferring money to Australia from the UK? (ways to avoid high fees)
Most of the UK’s big banks will charge you transfer fees when you make an international money transfer to Australia.
Here are the fees charged by some of the big UK banks:
- Barclays: £25 fee for branch or telephone banking, no transfer fee if online.
- Lloyds: £9.50 fee plus £20 fee for the corresponding Australian bank ( branch or online).
- Natwest: £0 for non-urgent payment but £10,000 daily limit.
- Santander: £25 fee.
These fees can accumulate quickly if you make several payments.
In my experience, a lot of people transfer a large amount for house purchases but then need ongoing funds for living expenses.
You might end up making over 10 transfers over time, as I have.
If you are charged £25 per transfer, you could end up paying out £250 just in transfer fees.
Here’s my simple solution – to avoid paying fees, avoid using the banks.
That’s because currency brokers, such as ourselves, don’t charge clients any transfer fees when we support customers and their money transfers to Australia.
Why you shouldn’t use your bank for a money transfer to Australia
- It’s not their area of expertise
- Their exchange rates are uncompetitive
- Banks charge you various fees
- They won’t help you with timing
- You are not their priority
How to make sure your money is safe when transferring to Australia from the UK
How to get a great GBP to AUD exchange rate
Exchange rates such as GBP/AUD change every 2-3 seconds throughout the day.
Even as you sleep, the rate is moving around.
Over a few weeks, or sometimes days, you can see big moves in the exchange rate.
Even a 2% swing in the GBP/AUD rate on a £50,000 transfer means a £1,000 difference.
Some people might be comfortable knowing when the time is right to make their transfer.
Getting some assistance can be a real help for most people, as this is not something they are used to doing.
A proactive currency broker can monitor the movements in the exchange rate for you and let you know when the rate moves in your favour.
A bank or online-only platforms, such as Transferwise or Revolut, are essentially “do-it-yourself” services.
That can be scary if you don’t know what you’re doing.
For larger amounts, many customers want the peace of mind of having someone they can speak to.
I have experienced this myself first-hand. I wanted to know if someone was keeping an eye on my money and if I could call them if I had any worries or concerns.
But I didn’t want to write emails to a support centre or use a ‘web chat’ robot.
Give me a person any day.
A currency broker can not only assure you and assist with the timing of your transfer, but they can also check over the important details such as the payment information to make sure everything goes smoothly.
If you’d like more information, our GBP to AUD forecast guidance will provide just that.
Beware of ‘fake’ exchange rates online
These days there are quite a few websites, such as XE and Oanda, that provide live exchange rates for free.
But there’s a problem you’ll face when the time comes to transferring the money.
Buried in the small print disclaimers are words like “information purposes only” and “not available to consumers”.
It’s because the free FX sites show something called “interbank” rates.
Interbank rates are used by banks to trade with other banks. They are not customer rates.
It’s a source of frustration and confusion.
To get a genuine GBP to AUD rate, I suggest you request a quote from a bank or broker.
