How to transfer money to New Zealand (in 4 simple steps)
Step 1: Register
Any new customer needs to register, which normally only takes a few minutes.
It is an ID check.
Registration is necessary to comply with Anti-Money Laundering regulations.
Step 2: Lock in an exchange rate
A currency broker or bank will quote you a live GBP/NZD exchange rate based on the amount you need to send.
No transaction will occur without your permission.
If you agree to go ahead, your rate will be locked-in, and you will be emailed a confirmation with all the details of your transaction.
Step 3: Send in your Pounds
Before any money is exchanged, you need to pay for your money transfer to New Zealand.
Your Pounds will need to be sent to the client account of your currency broker or bank.
The bank details of where to send your money will be in your confirmation email.
Step 4: Your Pounds are converted to New Zealand Dollars
Your currency broker or bank will exchange your Pounds for New Zealand Dollars at the rate agreed, and your payment is made to the bank account in New Zealand you’ve requested.
What bank details do I need to transfer money to New Zealand?
To send money to a New Zealand bank account, you will need to have the following recipient bank details:
- Account name
- Bank name
- Bank Swift/BIC code
- Bank account number
The account could be in your name or someone else’s.
In New Zealand, they use a SWIFT/BIC code to identify the bank, rather than a sort code.
You can get all this information just by looking at a bank statement or logging into your account online.
A currency broker can assist you and help double-check the details.
Costs & daily limits when transferring money to New Zealand (how to avoid!)
If you use a bank to transfer money to New Zealand, there is normally a fee charged in addition to the money the banks make from the exchange rate.
Bank fees can accumulate quickly if you make regular payments or are planning to send a larger money transfer in several installments.
If you want to avoid bank transfer fees altogether, then some currency brokers don’t charge transfer fees at all.
In terms of the total cost, a currency broker is normally the best way to transfer money to New Zealand.
Another consideration is that the big UK banks tend to have limits on how much money you can transfer to New Zealand per day.
The daily limit for UK banks tends to be in the region of £50,000-£100,000.
If you are planning to do a larger transfer, you may have to visit a branch.
Alternatively, a currency broker doesn’t tend to have any limit on the size of money transfers to New Zealand.
Your Best options for sending money to New Zealand
An international bank transfer is one of the best ways to send money to New Zealand. This method is secure and offers the best value for your money. Your bank, currency broker, or an online money transfer service can provide this money transfer method.
Other alternative transfer methods include debit or credit card payments, Google Pay, Apple Pay, or cash pick-up. These can be quicker than an international bank transfer but are usually more expensive.
Comparing Banks and Currency Brokers
A lot of people may automatically think of using their bank because it is more familiar.
However, the main drawback of using your bank is the cost.
Both the UK and New Zealand banks are known for their uncompetitive exchange rates and high fees on international money transfers.
It doesn’t matter whether you are a long-time customer or not.
Our research found that the exchange rates offered by the major banks can be up to 3%- 5% worse than the exchange rates offered by currency brokers.
It does depend on the bank you use and how much you’re looking to send.
For smaller money transfers to NZ, an extra 3%-5% cost may not bother you.
But for larger transfers, it is normally worth shopping around.
That’s a lot of money. Why give it away to a bank?
As currency brokers have lower overheads than big banks, they can pass on the savings to their customers.
The exchange rates vary between currency brokers and the larger your transfer, the better the rate.
Most (but not all) currency brokers will also waive any transfer fees.
Are there differences between currency brokers?
I appreciate your dilemma.
There are quite a few companies to choose from, so it can be difficult to decide who to choose and why.
The main difference to look out for is whether the company is a broker or just an online platform.
These days there are a growing number of online-only operators.
Some of the biggest names in the online-only world are PayPal, Wise, Revolut, and CurrencyFair.
They are effectively ‘do-it-yourself’ platforms or apps.
You need to register yourself, upload your ID, enter all the payment information, and select the currencies and times you want to exchange your money.
They suit some people, but not others.
I know from my own experience when I was transferring money overseas, I didn’t want to do everything myself.
It’s not that I’m scared of technology (maybe wary is a better word).
But I would rather have someone check things over and perhaps give me a little steer on what’s happening with exchange rates.
The other thing I appreciated was being told when my money had arrived and when it was sent out.
Having someone you can speak to can take away any stress or worry.
How to get the best NZD exchange rate
The Pound to NZ Dollar exchange rate is on the move all the time.
Naturally, you want to achieve the best rate possible.
Even small moves in the exchange rate can make a big financial difference to the amount of New Zealand Dollars you receive.
Most people have a timeframe in which they can exchange their money.
It could be a few days, weeks, or even months.
During that window, the GBP/NZD exchange rate will fluctuate daily.
That will lead to opportunities and risks.
Rather than hope for the best, a currency broker can work to get you the best rates, avoid losses and reduce your overall cost.
By speaking to a currency broker and explaining your situation, they can then monitor the markets for you and alert you to opportunities or risks as they arise.
Even a 0.5% dip in the exchange rate on a £100,000 transfer could cost you an extra £500.
Moves of that size happen almost daily.
Pound to kiwi swings of that size show up clearly on a live GBP to NZD chart.
GBP to NZD rate = 2.38990292
This data uses the mid-market rate. For an exchange rate on your money transfer, please get a transfer quote.
Use the buttons above the chart to look at different time periods, or check the live GBP to NZD converter for the latest mid-market rate.
Getting some guidance on rates could help achieve a better outcome for you and your New Zealand money transfer.
With a currency broker, you could target a certain level or look to capitalise on a spike in the rate.
For larger amounts, many customers also want the peace of mind of having someone that can offer them assistance and market guidance.
How to spot ‘fake’ exchange rates for a money transfer to New Zealand
If you are sending money from the UK to New Zealand, then the GBP/NZD exchange rate is what matters.
An actively traded exchange rate, such as GBP/NZD, changes every 2-3 seconds throughout the day.
These days you can easily find live exchange rates online.
Some of the more popular sites are XE, DailyFX, and Oanda.
But there’s something most customers don’t know.
If you want a real exchange rate, so you can budget your money effectively, it’s best to receive a quote from an actual provider.