The foreign exchange markets can be difficult to follow – WeSwap’s latest research shows that almost a third of UK travellers believe you need a university degree to understand them effectively.
Research by WeSwap has found the following:
- 49% (25.7 million) buy their holiday money in the space of one day, meaning millions are at the mercy of a volatile pound
- 30% of respondents (15.4 million) believe you need a university degree to understand the foreign exchange markets
- 39% (20.4 million) believe currency news sounds like meaningless jumbles of letters and numbers
- 43% (22.4 million representative) of respondents said that comparing travel money is the most boring part of going on holiday 40% (21 million) say that the saving they could make by comparing exchange rates is too knowledge and time-intensive to take advantage of by themselves
- 72% (37.3 million) of Brits would like a solution that swapped their currencies automatically when the Pound was at its strongest
As currencies move up and down, holidaymakers can be at the mercy of the graph without the right tools. When it comes to Euros, the difference can be hundreds:
- If you had transferred at the lowest exchange rate of 2018, £1000 would get you $1269.16 at the interbank rate If you had transferred at the highest exchange rate of 2018, £1000 would get you $1434.09 at the interbank rate
- This means the difference of $164.93, all because you chose the wrong time to swap your money. We as consumers are becoming increasingly aware of the need to shop around different providers, yet we are unwilling to shop across a period of time, leaving us at the mercy of the markets.
In order to take advantage of the best rates of the year, you would have had to be watching the rates at these exact times:
- GBP to EUR, 17/04/2018 at 15:15 – £1000 would buy $1158.01
- GBP to USD, 17/04/2018 at 08:30 – £1000 would buy €1434.09
- GBP to AUD, 11/10/2018 at 02:30 – £1000 would buy AUD1872.17
- GBP to TRY, 04/08/2018 at 02:30 – £1000 would buy TRY8876.43
- GBP to CAD, 20/03/2018 at 16:15 – £1000 would buy CAD1872,17
WeSwap’s Head of Product Marketing Stephanie Meyer-Scott explains: “Those regularly transferring lots of money overseas or making foreign business payments will often have a broker available to them, who will watch the markets and offer advice. But it’s never been something the average person or family going on holiday could access before. Considering how expensive some holidays can be, how important they are to us and how long we save up for them, this seems wrong.
“Smart Swap fixes this. It means anyone, regardless of currency knowledge, can get peak rates in a simple, intuitive and jargon-free way.
“If you know you’re going abroad, choose a rate that you want in the WeSwap app – we’ll show you how the currency has been looking so you can pick something reasonable – and we’ll do the rest. No jargon, no queues, no stress. It means you have control, and don’t lose out.”
WeSwap has responded to the 72% of holidaymakers that wanted a solution that made getting the best exchange rate easier with the introduction of their Smart Swap service, a revolutionary new launch that will change the way British travellers buy their travel money.
Working with the travel money card, smart Swap is the brand new in-app feature allows you to choose a target exchange rate and then automatically swaps your money for you if that rate is hit, making sure you get the best possible deal when it’s available.
The feature is a market first – no other travel money provider or card service offers anything similar.
How does Smart Swap work?
- In the WeSwap app, just enter how much you want to exchange, how much you’d (realistically) like to get for it, in which currency and when you need it by.
- Leave it with WeSwap, put your phone back in your pocket and get back to planning your holiday.
- The WeSwap app will monitor the markets for you and automatically make the exchange if your target rate is reached.
- Once exchanged, the money is available to spend or withdraw on your WeSwap card right away.
- You don’t even need to have all the money in your WeSwap account – WeSwap will let you know if your target rate is getting close, so you can add funds when you’re ready.