International Money Transfer Reverse PLEASE HELP

Lziyouau on 16/08/2016 - 13:04
Last edited 16/08/2016 - 13:46 by 1 other user

Dear Ozbargainers.

My aunty in Japan want to buy a investment workstation in NY. She need to pay the developer USD$50000 for it. Maybe she is old. She transfer that $50000USD to my bank account. Now either I transfer to NY for her, either I return the money to her. The problem is my account only in AUD currency. When $50000 USD come into my account. It is automatically converted to $62333 Australian Dollar. Now either way I return this money to NY or Japan. If my aunty want full amount USD $50000 back. I need have $68899 AUS Dollars. (profanity) hell. 2 transaction the bank make 6000 dollars just type on the keyboard. I am in the wrong business. If I return $62333 back to Japan, my aunty will think I take advantage of her.

Any solutions to solve this? Can I reject the money or I just want USD $50000 back. Why they convert into AUD for me without permission. Is there any loophole I can have the difference back or back to square one like never happened.

Thanks for your advices

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  geek001 on 16/08/2016 - 13:18

  +3

  This is normal when you use banks to transfer money. If you go to any bank and look at the exchange rate, there is a rate for buying and another rate for selling. If you convert it to another currency and convert back, you will end up with a smaller sum than when you started. And yes, you are right, this is how banks make money, basically for typing a few things on their keyboard. I don't think there is anything you can do to get your money back. Your aunty should have transferred the money directly to the developer.

  To save money sending it back to her, you could use services like hifx or ozforex which is significantly cheaper than banks. But you will still be a few thousand dollars short, due to your bank converting from USD to AUD at a low rate already.

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  Looking4Bargians on 16/08/2016 - 13:39

  How Big Banks can afford to pay their CEO $20M salary… here is your ans…

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  FutureTech on 16/08/2016 - 13:47

  The sum may not be automatically exchanged to AUD when it arrives as a lot of bank accounts are able to hold foreign currencies. Talk to your bank and see if yours is one of them.

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  retiredfeline on 16/08/2016 - 13:49

  Why u have aunty who do things like that without asking you?

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    nxllson on 16/08/2016 - 13:55

    -2

    Can't you read? She wanted, so she would have asked before transferring the money to OP. She wouldn't have known the bank details if she hadn't asked him. What he is saying is that the bank transferred $50000 USD to AUD without him knowing or without his permission.

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      retiredfeline on 16/08/2016 - 14:00

      This is something that the sender chooses on the transfer form. There is a choice of converting at the sender end or the recipient end. So you cannot claim that the bank did this without your knowledge. Sounds like the OP and aunty don't understand how these transfers work. Did he really think an Aussie bank would hold the money in USD for him?

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  Baysew on 16/08/2016 - 14:45

  It's probably worse.

  There was probably a similar fee in converting Yen to US Dollars in the first place.
  So what ever Aunty gets back into her local currency will be way less.

  Why they convert into AUD for me without permission.

  Because the account you hold is in Australian Dollars.

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  OzBestDeal on 16/08/2016 - 15:26

  +1

  Can't your auntie in Japan ask her bank to reverse the transfer, just say that she transferred to the wrong account number.
  Your account will get frozen while banks sort the transaction out, but I'm pretty sure it can be done.

  Now how much your auntie will get, that's another story. I'm sure it won't be full amount, but it might be more than if you transfer the money back to her.

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  CeciliaBon on 17/08/2016 - 10:33

  Currency markets fluctuate and the market rate for AUD/USD have most likely changed since your aunt's transfer. High street banks charge 3-5% and also a fee for the transfer. As Baysew said, this means your aunt will end up with even less money if you send it back to her.

  Unless your aunt's bank agrees to reverse the transfer I would suggest that you keep the transfers to a minimum (perhaps you can transfer directly to the developer?) and choose a money transfer service that will give you a good rate and no fees.

  As geek001 mentioned, there are numerous money transfer services that are cheaper than the banks. I work at OFX (Ozforex), we have no fees on transfers over $10k and you can get an online quote or call one of our dealers to get a good deal. However, there are many money transfer providers out there and I'm sure you'll find one that can help you.

  Regarding explaining to your aunt about the lower sum - why not show her your bank statement and explain to her that this is due to fluctuating currencies and foreign exchange charges?

  Good luck!