Everything you need to know about Sending money to North America
Do you feel your local currency is weakening? Do you wish to transfer your savings to banks in North America in the stable US dollar that will help protect your savings against your weak local currency? Then, it is important that you approach a licensed company that will transfer your savings local currency and through a currency substitution, help you earn interest on your savings in the stable US dollars in North America. Some Banks might claim to help you transfer your savings to North America, but the real fact is that not every state is licensed to send money into North America. Only a few Banks are able to assist you to send your money into locations in North America. A little knowledge on the restrictions of sending money to locations in North America, reasons to a currency substitution, current issues revolving around the North American foreign exchange market and the 4 main banks in North America, is important in empowering you with information on how you will be able to transfer your savings to North American banks in a stable US dollar currency.
Available restrictions in sending money to North America
If you want to transfer money to North America, you should be aware of the prevailing restrictions. Some of the underlying restrictions include:
1. You should have a money market account, a savings or a checking account with a licensed bank.
2. Transfer of money into North America is currently only available to specific participating locations.
3. There is a weekly or daily transactional limit for you.
4. You are also required to comply with the United States regulations and local laws.
5. If you also wish to transfer money in foreign currency, the exchange rate comprises of a currency conversion fee.
A little knowledge on currency substitution is important in understanding the reasons why people in foreign countries prefer to keep their local currency in US dollars.
Reasons for a currency substitution:
Currency substitution in North America is a financial transaction that uses foreign currency in local transactions in North America instead of the US dollar. The main reason for a currency substitution is due to the inflation rates and the depreciation of the local currency in relation to the foreign currency. Foreigners prefer to keep their local currency in US dollars because of the traditional stability experienced by the currency as compared to their local currency which fluctuates and is affected by the domestic factors affecting their local country. Due to this fact, banks in North America, offer a high-interest rate on local country deposits so as to motivate people to use their local currency in saving, this results in a currency risk premium on local currency deposits.
So before you transfer your savings to banks in North American in the stable US dollar it is important that you have a look at the updates on North Americas foreign exchange market.
Updates on North Americas Foreign Exchange Market
1. The Sterling pound put on nearly a cent on Thursday after previously drifting over 3 cents lower from the July 15th peak; this is after excellent June retail sales.
2. With the European bank stress test showing 7 banks that failed to make the cut, all UK banks passing this quickly improved the Sterling Pound on Friday.
3. Traders were motivated to buy the Sterling pound and sell the US dollar.
4. The UK economy has grown by 1.1% during the second quarter representing a 0.3% improvement n the first quarter.
5. Since Fridays stress tests, the dollar has weakened against major currencies.
Now that you have been empowered on the restrictions of transferring money into North America, the reasons for a currency substitution and the North Americas foreign exchange market updates, it is important that you know the 4 main banks that are licensed to help you transfer your savings in North America.
4 Main Banks in North America
The 4 main banks in North America where you can transfer your savings include;
1. JPMorgan Chase Bank
2. Bank of America Bank
3. Wells Fargo Bank
4. Citigroup BankInformation is power, now you know everything about transferring your savings to North America Did you know that when it comes to sending money to america every currency company say they can do it but they can not as they don't have a licence in every state, See which currency companies can buy and sell US dollars or locations in North America. ###Foreign Exchange Transfers to North America### Foreign Exchange Market Updates - GBP / USD - After having drifted over three cents lower from the July 15th peak Sterling put on nearly a cent on Thursday after retail sales for June beat expectations. The Pound was quick out of the blocks on Friday as the much awaited European bank stress tests showed only 7 banks failing to make the cut, with all the UK banks passing. That helped Sterling put on another couple of cents as traders saw good reason to buy the pound and move money away from the safe haven of the US dollar. Second quarter GDP figures also helped the market rally as they showed the UK economy grew at 1.1% in the second quarter, an improvement on the 0.3% first quarter figure and much better than analysts had expected. The dollar has weakened against almost all major currencies since Friday's stress tests. Simply by passing without incident the tests have allowed investors to increase their appetite for risk and diversify away from the dollar. A heavy week for US corporate earnings announcements could put more pressure on the dollar if companies meet or exceed earnings expectations. Perversely, positive news on the US economy tends to dent demand for the Greenback as it spurs investors to become bolder and search for higher returns elsewhere. The technical outlook is positive. The Pound bounced right off trend support at 1.51 last week and has since gone on to make new highs. A key test is the 1.5525 level that marked the high in April. We have already tested this today, and at time of writing Sterling has not managed to capture the level. A close above 1.5525 would give a further technical boost, making 1.5820 the new focal point (that was the late Feb' peak). Sending a money transfer payment to North America with a bank is not the cheapest currency exchange method, Using a currency company will offer the best currency rate.