Do Australians research lower fees before making international money transfers or purchasing foreign currency?
Do Australians research lower fees before making international money transfers or purchasing foreign currency?
About the study
Money Transfer Comparison Australia commissioned a survey of 1002 Australians to gauge whether Australians are losing money to unnecessary fees on international money transfers and foreign currency purchases by neglecting to do their research and shop around for the best deals.
The survey asked respondents whether they check to make sure they are getting the best deal on price and service before making an international money transfer or currency purchase, and why.
The survey respondents cover a geographical and population spread that is reflective of the Australian population.
Do Australians check to make sure they are getting the best deal on price and service when making money transfers or purchasing overseas currency?
The survey found that almost half (44 per cent) of Australians always or sometimes neglect to check to make sure they have the best deal when making money transfers or purchasing overseas currency. Specifically, one in four (26 per cent) only occasionally research for the best deal before making a transaction and 18 per cent have never checked to make sure they have found the best deal. More than half (56 per cent) of respondents always made sure to do their research on the best international foreign exchange payment method before sending money.
Across the major States and Territories, respondents from South Australia and the ACT are most likely to fail to do their research for the best deal, with an equal 47 per cent never or occasionally checking fees and rates elsewhere. This was followed by 46 per cent of NSW and Victorian residents, 43 per cent of Queenslanders and 36 per cent of West Australian residents.
More specifically, South Australians are more likely to never check for the best deal, chosen by almost a quarter (22 per cent) of respondents in that State. This was followed by 19 per cent of Queenslanders, 18 per cent of ACT residents, and equal 17 per cent of NSW and Victorian residents and 16 per cent of West Australians.
When making money transfers or purchasing overseas currency, do you check to make sure you are getting the best deal on price and service? By State.
| Response | ||||||
|---|---|---|---|---|---|---|
| By State (%) | ||||||
| NSW | VIC | QLD | SA | WA | ACT | |
| No, I never check to make sure I am getting the best deal before transferring money. | 17 | 17 | 19 | 22 | 16 | 18 |
| Yes, I always make sure I do thorough research on the best payment method before sending money. | 54 | 54 | 57 | 53 | 64 | 53 |
| Sometimes, I occasionally check to make sure I am getting the best deal before sending money digitally. | 29 | 28 | 24 | 25 | 21 | 29 |
Older Australians are more likely to neglect checking to make sure they are getting the best deal on an international transfer or foreign currency purchase: 46 per cent of over-55s never or occasionally checked fees and rates with other providers. This compares with 45 per cent of those aged 35-54 and 41 per cent of respondents aged 18-34 who did the same.
When making international money transfers or purchasing overseas currency, do you check to make sure you are getting the best deal on price and service? By age.
Why don’t Australians do their research to find a better deal?
Money Transfer Comparison asked respondents the reasons why they never or only occasionally checked fees and rates before making an international money transfer or purchasing currency. Two-thirds (68 per cent) said it was because they didn’t think they would save by going elsewhere, 27 per cent said it was lack of time, and 6 per cent of respondents are willing to lose some money for the sake of convenience.
Why don’t you check for lower fees before transferring money? By State.
Respondents from Queensland are most likely to be too time poor to check other providers for the best deal: 31 per cent of respondents in this State chose this option, followed by 30 per cent of NSW respondents, 25 per cent of Victorians, 19 per cent of South Australians, 16 per cent of West Australians and 13 per cent of ACT respondents.
A higher proportion of ACT respondents (88 per cent) were not aware they could make good savings through other providers. This compares with 78 per cent of West Australians, 75 per cent of South Australians, 69 per cent of NSW respondents, and 67 per cent of Victorian respondents.
| Response | ||||||
|---|---|---|---|---|---|---|
| By State (%) | ||||||
| NSW | VIC | QLD | SA | WA | ACT | |
| I don’t have the time to check across multiple different money transfer platforms | 30 | 25 | 31 | 19 | 16 | 13 |
| I didn’t think I would save much money transferring across different platforms | 69 | 67 | 59 | 75 | 78 | 88 |
| I don’t care about losing money for the sake of convenience | 2 | 8 | 9 | 6 | 5 | 0 |
Why don’t you check other providers for a better deal before transferring money? By age.
The older the respondent, the more likely they will assume they can’t save much through other providers: 78 per cent of over-55 chose this option, followed by 64 per cent of 35-54s and 58 per cent of 18-34s.
Younger Australians are more motivated by convenience. One third (36 per cent) of 18-34s lack the time to check other providers for the best deal, followed by 31 per cent of 35-54s and only 16 per cent of over-55s.
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