# Pension payments



## deefitz (Apr 19, 2014)

I have just learned that I can apply to have my occupational pension paid in Euros direct to a Spanish bank.

Is there any advantage to this over using a currency exchange service? Would I be potentially much worse off?

Any advice is welcome as I really don't know which way to go.


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## davexf (Jan 26, 2009)

Hola

My pension company offered to pay me in euros in Spain; the cost was around eight pounds a month! I have no idea what the exchange rate would have been. 

You need to check carefully 

Davexf


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## deefitz (Apr 19, 2014)

Thank you Davexf. I do need to check because while they offer a fixed exchange rate for a set period, I'm sure the currency exchange companies would charge more than £8.

Wouldn't they??


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## amespana (Nov 10, 2009)

No they wouldn't.I use currency fair and they charge 3 euros per transaction with an excellent exchange rate.Very good company I recommend them.


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## Lynn R (Feb 21, 2014)

amespana said:


> No they wouldn't.I use currency fair and they charge 3 euros per transaction with an excellent exchange rate.Very good company I recommend them.


Yes, I second that, I use them too. As an example, if today's exchange rate is €1.40 I would get €1.3950 with Currency Fair, and the €3 fee applies whatever amount you want to transfer. The funds are always in my Spanish account within 24 hours.


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## davexf (Jan 26, 2009)

Hola

I use transferwise but there are many others; everyone has their own favourite. I just checked and Transferwise quote 1.3937 but no charges. 

Davexf


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## Lynn R (Feb 21, 2014)

davexf said:


> Hola
> 
> I use transferwise but there are many others; everyone has their own favourite. I just checked and Transferwise quote 1.3937 but no charges.
> 
> Davexf


But Transferwise does have charges - they call it a fair service fee, which is 0.5% of the amount you transfer. Depending on the amount, that can come to more than the €3 CF charges.

https://transferwise.com/support/customer/portal/articles/1570084-how-much-does-it-cost-


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## baldilocks (Mar 7, 2010)

I have three small occupational pensions and the fees to transfer would eat chunks out of them. The £290 (total) per month would be whittled down to about £220 so I keep an account in UK for them to be paid into and for use when I want to purchase things from UK and occasionally when the bank balance builds to a point where a transfer would be economical, I transfer a chunk to Spain. I sometimes use that account to pay for holidays in Spain - OK I take a small hit on the costs and exchange rate but offsetting that against a transfer of cash, it is swings and roundabouts.

I have just purchased three short sleeved pilots' shirts (I like having two pockets!) for delivery to a friend who will be visiting shortly. Cost in UK is £6.76 each but in Spain they would cost over 20€ each.


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## davexf (Jan 26, 2009)

Hola

I've just checked on my phone app and it says

I send £1,000 
My Spanish bank receives 1,392.73€ 
current rate 1.3997 
Fee 4.98 

Davexf


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## baldilocks (Mar 7, 2010)

For OAP, getting DWP to pay direct into your Spanish bank is the best route - you get the official rate of exchange and no transfer fees.


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## Alcalaina (Aug 6, 2010)

We keep our occupational pensions in a UK account to pay for sterling purchases and the annual visit, then transfer lump sums using Currency Fair when the exchange rate is good. My state pension is paid directly into our Spanish bank account at the spot rate, which means I can get a commission-free "cuenta nómina" as there is more than €600 going in each month.


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## Lynn R (Feb 21, 2014)

Alcalaina said:


> We keep our occupational pensions in a UK account to pay for sterling purchases and the annual visit, then transfer lump sums using Currency Fair when the exchange rate is good. My state pension is paid directly into our Spanish bank account at the spot rate, which means I can get a commission-free "cuenta nómina" as there is more than €600 going in each month.


My husband does the same thing, and so will I once I get my state pension (if such a thing still exists in 7 years' time that is:fingerscrossed. My occupational pension provider at the moment will only make payments to a UK bank account and I don't always want to transfer €600 or more every month, so I just transfer what I need each month.


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## 90199 (Mar 21, 2010)

I let my pensions accumulate in the U.K., then when the rate is good I transfer a lump sum and do not pay commissions, plus the more I transfer the better the exchange rate.


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## Rabbitcat (Aug 31, 2014)

Hepa you are a lucky sod and good luck to you.

You always seem happy and content- now we learn you aren't skint either. Can we swap lives please?


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## 90199 (Mar 21, 2010)

Rabbitcat said:


> Hepa you are a lucky sod and good luck to you.
> 
> You always seem happy and content- now we learn you aren't skint either. Can we swap lives please?



No, pee off back to the Solomon Islands


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## Rabbitcat (Aug 31, 2014)

Quite frankly I was considering kidnapping you and stealing your idyllic lifestyle but my cunning plan never got off the ground because I couldn't find your island on the map!!!

Geography/ map reading were never my strong points and after mooring off Orkney I gave up


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## baldilocks (Mar 7, 2010)

Hepa said:


> No, pee off back to the Solomon Islands


Must be my keyboard, I thought he was in the Siliman Islands


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