Foreign exchange - Consumer & small business questionnaire - Australian Competition and Consumer Commission

Response 159843760

Foreign currency conversion services 1/3

Have you used a currency conversion service in the last two years?

Please select one item

Yes

Foreign currency conversion services 2/3

How often did you use the following services in the last two years?

	1-2 times	3-5 times	6+ times	N/A
Sent money overseas Please select one item	1-2 times	3-5 times	Ticked 6+ times	N/A
Exchanged Australian dollars for foreign cash Please select one item	1-2 times	Ticked 3-5 times	6+ times	N/A
Loaded a travel card Please select one item	1-2 times	3-5 times	6+ times	N/A
Used a credit or debit card to make overseas purchases Please select one item	1-2 times	3-5 times	Ticked 6+ times	N/A
Used a credit or debit card to withdraw foreign cash from an ATM while overseas Please select one item	1-2 times	3-5 times	Ticked 6+ times	N/A
Other Please select one item	1-2 times	3-5 times	6+ times	N/A

Which suppliers did you use in the last two years? (please select all that apply)

	Bank	Credit union/building society	Australia Post	Foreign cash kiosk	Remittance provider (e.g Western Union)	Other	N/A
Sent money overseas Please select all that apply	Bank Ticked Bank	Credit union/building society Credit union/building society	Australia Post Australia Post	Foreign cash kiosk Foreign cash kiosk	Remittance provider (e.g Western Union) Remittance provider (e.g Western Union)	Other Other	N/A N/A
Exchanged Australian dollars for foreign cash Please select all that apply	Bank Ticked Bank	Credit union/building society Credit union/building society	Australia Post Australia Post	Foreign cash kiosk Ticked Foreign cash kiosk	Remittance provider (e.g Western Union) Remittance provider (e.g Western Union)	Other Other	N/A N/A
Loaded a travel card Please select all that apply	Bank Bank	Credit union/building society Credit union/building society	Australia Post Australia Post	Foreign cash kiosk Foreign cash kiosk	Remittance provider (e.g Western Union) Remittance provider (e.g Western Union)	Other Other	N/A N/A
Used a credit or debit card to make overseas purchases Please select all that apply	Bank Ticked Bank	Credit union/building society Credit union/building society	Australia Post Australia Post	Foreign cash kiosk Foreign cash kiosk	Remittance provider (e.g Western Union) Remittance provider (e.g Western Union)	Other Other	N/A N/A
Used a credit or debit card to withdraw foreign cash from an ATM while overseas Please select all that apply	Bank Ticked Bank	Credit union/building society Credit union/building society	Australia Post Australia Post	Foreign cash kiosk Foreign cash kiosk	Remittance provider (e.g Western Union) Remittance provider (e.g Western Union)	Other Other	N/A N/A
Other Please select all that apply	Bank Bank	Credit union/building society Credit union/building society	Australia Post Australia Post	Foreign cash kiosk Foreign cash kiosk	Remittance provider (e.g Western Union) Remittance provider (e.g Western Union)	Other Other	N/A N/A

Tick the box if any of these suppliers are also your main financial institution?

What are the top 3 priorities you look for when choosing a supplier? (1 = Most important)

Please rank these from 1 to 3

Price

Brand

Ease of access

Range of services they offer (e.g. offering cash and travel cards)

Reliability and speed of service

Ability to interact face-to-face

Ability to interact online

Reviews

Other

If other, please specify:

Any Branch banking transaction involves a round trip of 160 klm./

Foreign currency conversion services 3/3

What was the last currency conversion service you used?

Please select one item

Sent money overseas

Exchanged Australian dollars for foreign cash

Loaded a travel card

Used a credit or debit card to make overseas purchases

Used a credit or debit card to withdraw foreign cash from an ATM while overseas

Other

Did you find it easy to understand the currency conversion rate for this service?

Please select one item

Yes

If no, why not?

Not applicable. Sent AUD to bebeficiary's AUD denominated account in Vietnam due to past TIMING problems & EXTRA costs in sending USD

Did you find it easy to understand any additional fees you would need to pay for this service?

Please select one item

Yes

If no, why not?

AUD 30 flat fee is too dear but the retail mark up on FX is extraordinary when one looks at the spread between bank buy and sell rates

Did you shop around?

Please select one item

Yes

If no, why not?

NAB online service did not allow AUD transfers. Banks are an oligolopy so they have no discernable differences in retail spreads.

Did you consider other options for converting currency? (i.e instead of buying foreign cash, did you consider using a travel card or a credit or debit card?)

Please select one item

Yes

If yes, what options did you consider?

Sending cash to wife to disberse for family expenses.

Did you find it easy to compare prices between different currency conversion services?

Please select one item

Yes

Do you have any other comments about the last time you used a currency conversion service?

In the past my Bank (NAB) failed to deliver FX (ordered online) by the specified date, forcing me to use an airport kiosk (worse rates)to replace the order and forcing me to sell the FX Bank ordered FX back to the bank on my return. They profited repeatedly from their mistake as the kiosk service was also owned by the bank.

The Auditor of my Retail Branch has repeatedly breached my privacy by insisting to the Branch (Roma) that I supply reasons for each transfer to my Family in Vietnam (my wife being the repeat beneficiary) although all my transfers have been well below the Reportable threshold.

General comment

Have you ever had any negative experiences when using currency conversion services?

Please select one item

Yes

Not applicable

If yes, please specify:

As explained above.

Please include any general comments or other feedback you would like to make in relation to the foreign currency conversion services inquiry:

A bank should know its customer(s)-Rule 1.
Whether or not a customer is a retired senior banker with much FX transaction experience(as in my case) , the requirement for customer privacy should always be respected-Rule 2 . Refers Rule 1.
If a bank or its subsidiary stuffs up delivery of FX cash to the branch by the specified date, those counterparties should be responsible for the repurchase of that FX without loss to its customer.-Rule 3.