Bank Withdrawals in Currency other Trading account base currency ?

p1p1n

Private
Messages
24
Most brokers have base currency in - GBP USD EUR etc. What happens when the country you reside is not among the major currencies and you request withdrawals.

Do local banks convert the amount sent in base currency by the broker & credit the local bank account ?
Or do brokers convert the base currency into customer's currency and initiate the withdrawal transfer in the same currency as customer's local bank account ?
 
Last edited:

Pharaoh

Colonel
Messages
19,777
Brokers usually send withdrawals in the account's base currency. This means if you want to spend the money in some other curency, it's going to have to get converted somewhere along the line.

Check carefully with your bank. Some banks permit multi-currency accounts. This would allow you to accept wires in any currency your account is configured to use without having to convert it. If you want to take it out, you would have the option to withdraw it in the local currency (with an exchange fee) or in the currency the money was sent in. The advantage of this is that you could use this to move money from one broker account to another without having to pay for multiple conversions.
 

johndz

Private
Messages
15
In most countries you can have a dollar account even is not the used currency there. You must ask before in the bank.
Also for PayPal, when you withdraw to your bank account, it converts money automatically in most cases.
 

7Bulletin

Sergeant
Messages
122
As far as I can understand you will withdraw in your account base currency, otherwise it will be prohibited or you will pay some exchange fee for that anyway. To get it to your bank it also should be in account currency or you will not get it or pay the fee;)
 

Faelar

Private, 1st Class
Messages
40
Sorry, but I do not get entire problem anyway really on so many people out there totally and completely. How else you could really be doing with that matter anyway? Just like some person said open it in some other currency and that's damn it;)
 

bigdolly

Sergeant Major
Messages
961
Most brokers have base currency in - GBP USD EUR etc. What happens when the country you reside is not among the major currencies and you request withdrawals.

Do local banks convert the amount sent in base currency by the broker & credit the local bank account ?
Or do brokers convert the base currency into customer's currency and initiate the withdrawal transfer in the same currency as customer's local bank account ?
I tried this once with Hotforex, but my bank has unattractive conversion rates, so I lost about 30 bucks from $2000 withdrawal. After that I created bank account with the same currency as in my Hotforex account (USD).
 

Nnn.h

Private, 1st Class
Messages
30
Honestly i never even thought about it. probably it all depends on the broker and what currencies it provides as the base. if the currency of your country isn't base then i agree with pharaoh. sounds logical.
 

Mazshura

Recruit
Messages
59
So you don't lose money on commissions and endless transfers, you should get a currency card, it'll be very convenient...
 

Thoris

Corporal
Messages
115
Usually they withdraw money in a common currency, and then your bank converts it into local currency.
 
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