mamba Posted January 14, 2021 Share Posted January 14, 2021 It has been some years since I posted on here but now I am in need of advice. The story, I emigrated to Oz over nine years ago at three months over the age of 65 and was already in receipt of the UK State pension, my company pension and a small annuity, the total being just over £1400 a month. On emigrating I have used MONEYCORP to transfer £1400 every month to my bank in Oz and everything has gone perfectly for nine years until this week. In the past I have elected to fix an agreed exchange rate rather than accept the floating rate and this contract is due to end next month. I was contacted by MONEYCORP to remind me that the contract was coming to an end and to contact them and informing me of the various options open to me for the continued transfer of money. There were three options, £1400 from UK at a floating rate, £1400 from the UK at a mutually agreed fixed rate for up to two years and finally a fixed amount of AUS $ to my Oz bank at a floating rate. on speaking to MONEYCORP they said that they are withdrawing from this service, that none of the options are open to me and thanks for your custom. Bye Bye. This is not a complaint against MONEYCORP and as I said at the beginning their service has been very good and I’ve been very happy with them. They have simply stopped offering this service. i cannot be the only person this has affected and I am looking for advice from people who have been put in the same position of names of reputable companies ect who would be willing to take over where MONEYCORP have left off. many thanks for reading. mamba 1 Quote Link to comment Share on other sites More sharing options...
ramot Posted January 14, 2021 Share Posted January 14, 2021 1 hour ago, mamba said: It has been some years since I posted on here but now I am in need of advice. The story, I emigrated to Oz over nine years ago at three months over the age of 65 and was already in receipt of the UK State pension, my company pension and a small annuity, the total being just over £1400 a month. On emigrating I have used MONEYCORP to transfer £1400 every month to my bank in Oz and everything has gone perfectly for nine years until this week. In the past I have elected to fix an agreed exchange rate rather than accept the floating rate and this contract is due to end next month. I was contacted by MONEYCORP to remind me that the contract was coming to an end and to contact them and informing me of the various options open to me for the continued transfer of money. There were three options, £1400 from UK at a floating rate, £1400 from the UK at a mutually agreed fixed rate for up to two years and finally a fixed amount of AUS $ to my Oz bank at a floating rate. on speaking to MONEYCORP they said that they are withdrawing from this service, that none of the options are open to me and thanks for your custom. Bye Bye. This is not a complaint against MONEYCORP and as I said at the beginning their service has been very good and I’ve been very happy with them. They have simply stopped offering this service. i cannot be the only person this has affected and I am looking for advice from people who have been put in the same position of names of reputable companies ect who would be willing to take over where MONEYCORP have left off. many thanks for reading. mamba We have used Transferwise for the transfer of income from the UK for many years. We have never had a problem with them and the money is usually in the bank the next day. However we only do a direct transfer as or when needed, so can’t give you advice about the different rates on offer. best you contact Transferwise direct. Quote Link to comment Share on other sites More sharing options...
Marisawright Posted January 14, 2021 Share Posted January 14, 2021 (edited) 1 hour ago, mamba said: on speaking to MONEYCORP they said that they are withdrawing from this service, that none of the options are open to me and thanks for your custom. Bye Bye. This is not a complaint against MONEYCORP and as I said at the beginning their service has been very good and I’ve been very happy with them. They have simply stopped offering this service. I'm not quite clear which service you mean. Do you mean they no longer do recurring payments? I simply instructed HMRC to pay my UK pension directly into my Australian bank account. I may not be getting the best exchange rate that way but it's completely painless. Edited January 14, 2021 by Marisawright 2 Quote Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 14, 2021 Share Posted January 14, 2021 16 minutes ago, Marisawright said: I'm not quite clear which service you mean. Do you mean they no longer do recurring payments? I simply instructed HMRC to pay my UK pension directly into my Australian bank account. I may not be getting the best exchange rate that way but it's completely painless. This is exactly what I do, with both UK state and my Royal Mail pensions, with both their international bankers paying my pensions into my Aussie bank account once a month, at whatever the FX rate is. My rental income for my house in England is still paid into my UK bank account and I transfer that as and when I need it to my Aussie bank account using Transferwise. I could not doubt ask my estate agent to pay it direct to my Aussie bank account like my pensions but so far it has suited me to continue paying into the UK bank account. I would have thought that for the amounts involved it is not really worth worrying about the FX rates? 1 Quote Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 14, 2021 Share Posted January 14, 2021 43 minutes ago, ramot said: We have used Transferwise for the transfer of income from the UK for many years. We have never had a problem with them and the money is usually in the bank the next day. However we only do a direct transfer as or when needed, so can’t give you advice about the different rates on offer. best you contact Transferwise direct. I use Transferwise because they are cheaper than using my UK bank. I transfer the amount from my UK bank account to Transferwise's account and they pay it into my Aussie bank account, either the same day if I do it early enough or the next day. Quote Link to comment Share on other sites More sharing options...
mamba Posted January 14, 2021 Author Share Posted January 14, 2021 1 hour ago, Marisawright said: I'm not quite clear which service you mean. Do you mean they no longer do recurring payments? I simply instructed HMRC to pay my UK pension directly into my Australian bank account. I may not be getting the best exchange rate that way but it's completely painless. Following my conversation with MONEYCORP last night it now appears that they no longer do recurring payments, in my case that was a payment of £1400 each month for the last nine years. In fact, the more I write about this the more ridicules it sounds, what is a money transfer company for if not to transfer money? mamba Quote Link to comment Share on other sites More sharing options...
ramot Posted January 14, 2021 Share Posted January 14, 2021 (edited) 1 hour ago, Marisawright said: I'm not quite clear which service you mean. Do you mean they no longer do recurring payments? I simply instructed HMRC to pay my UK pension directly into my Australian bank account. I may not be getting the best exchange rate that way but it's completely painless. Probably depends on how much you transfer monthly as to whether you don’t mind getting the best rate exchange rate or not. when your only source of income is from UK.then every penny counts, and is better in my pocket, because I get the best exchange rate with no hassle by using Transferwise. Obviously different circumstances if you no longer have a UK bank account. Edited January 14, 2021 by ramot 1 Quote Link to comment Share on other sites More sharing options...
Marisawright Posted January 14, 2021 Share Posted January 14, 2021 (edited) 3 hours ago, mamba said: Following my conversation with MONEYCORP last night it now appears that they no longer do recurring payments, in my case that was a payment of £1400 each month for the last nine years. In fact, the more I write about this the more ridicules it sounds, what is a money transfer company for if not to transfer money? mamba It must be a very recent decision as they still mention recurring payments on their website. Maybe @Susan from Moneycorp can shed some light. They do still transfer money, all you need to do is book the transfer yourself each month. That's what Ramot and MaryRose do. Not as convenient but if you have an online account with them, it's very simple and would take you less than half an hour. I'm not aware of any other money transfer company that does recurring payments but maybe someone else will know someone. Otherwise, like I said, if you want automatic payments then you can just tell the Pension Centre to pay the money straight into your Australian bank account. Edited January 14, 2021 by Marisawright Quote Link to comment Share on other sites More sharing options...
mamba Posted January 14, 2021 Author Share Posted January 14, 2021 From the replies so far it is beginning to look as though my best bet is to use Transferwise say four times a year moving a sum of £4200 each time. However, for now I will wait and see if any more suggestions are forthcoming. Surely, I can’t be the only person affected by this change of strategy by MONEYCORP? Many thanks for fast replies Mamba Quote Link to comment Share on other sites More sharing options...
Marisawright Posted January 14, 2021 Share Posted January 14, 2021 1 hour ago, mamba said: From the replies so far it is beginning to look as though my best bet is to use Transferwise say four times a year moving a sum of £4200 each time. However, for now I will wait and see if any more suggestions are forthcoming. Surely, I can’t be the only person affected by this change of strategy by MONEYCORP? Many thanks for fast replies Mamba You could do exactly the same thing with Moneycorp. They still transfer money, exactly the same as Transferwise Quote Link to comment Share on other sites More sharing options...
mamba Posted January 14, 2021 Author Share Posted January 14, 2021 Having looked at the Transferwise web page they offer a far better rate than MONEYCORP. When I was transferring money with MONEYCORP. at their floating rate I was consistently getting about 3% less than the bank rate which I found acceptable given the rates offered by my own UK bank which is why I signed up with MONEYCORP in the first place. Now, comparing MONEYCORP with Transferwise my £1400 per month would yield over $1100 per year extra with Transferwise. Mamba 1 Quote Link to comment Share on other sites More sharing options...
ramot Posted January 14, 2021 Share Posted January 14, 2021 44 minutes ago, mamba said: Having looked at the Transferwise web page they offer a far better rate than MONEYCORP. When I was transferring money with MONEYCORP. at their floating rate I was consistently getting about 3% less than the bank rate which I found acceptable given the rates offered by my own UK bank which is why I signed up with MONEYCORP in the first place. Now, comparing MONEYCORP with Transferwise my £1400 per month would yield over $1100 per year extra with Transferwise. Mamba That was precisely the point I was making in a previous post. A good exchange rate means more money received, makes sense to me. It’s very easy and takes no time to transfer money from UK bank using Transferwise, to receive it sometimes on the same day in your Australian bank account. Quote Link to comment Share on other sites More sharing options...
Marisawright Posted January 14, 2021 Share Posted January 14, 2021 (edited) 1 hour ago, mamba said: Having looked at the Transferwise web page they offer a far better rate than MONEYCORP. When I was transferring money with MONEYCORP. at their floating rate I was consistently getting about 3% less than the bank rate which I found acceptable given the rates offered by my own UK bank which is why I signed up with MONEYCORP in the first place. Now, comparing MONEYCORP with Transferwise my £1400 per month would yield over $1100 per year extra with Transferwise. Mamba Both Moneycorp and Transferwise always beat the banks. However the rates do vary all the time - one month Moneycorp will be cheaper and the next month it may be Transferwise or some other company. The best strategy is to keep accounts with both, and check the rates when you're ready to do each transfer. Edited January 14, 2021 by Marisawright Quote Link to comment Share on other sites More sharing options...
Susan from Moneycorp Posted January 15, 2021 Share Posted January 15, 2021 On 14/01/2021 at 17:25, mamba said: Following my conversation with MONEYCORP last night it now appears that they no longer do recurring payments, in my case that was a payment of £1400 each month for the last nine years. In fact, the more I write about this the more ridicules it sounds, what is a money transfer company for if not to transfer money? mamba Hello Mamba ~ and thanks so much for this post. I'm really sorry to hear the service has been stopped by the team in London responsible for sending your funds over - we haven't had a directive here at our Australia office for transfers that we make for our clients and I'll certainly speak to the Department over there this evening to find out more about their change in direction. Meantime, being one of our Australian clients, I'd like to thank you for your custom and loyalty over the past nine years: we are only too aware you have alternative providers to consider. With your online account being available 24/7 for you to bring funds over at your convenience, I'm confident we can match the rate offered by Transferwise and keep your monthly remittances on-track. Please feel free to call me on the office line: +61 414 838 586 whenever you'd like to chat and we can run through how the online process works! Have a great weekend, Sue, 2 Quote Link to comment Share on other sites More sharing options...
Susan from Moneycorp Posted January 15, 2021 Share Posted January 15, 2021 21 hours ago, Marisawright said: It must be a very recent decision as they still mention recurring payments on their website. Maybe @Susan from Moneycorp can shed some light. They do still transfer money, all you need to do is book the transfer yourself each month. That's what Ramot and MaryRose do. Not as convenient but if you have an online account with them, it's very simple and would take you less than half an hour. I'm not aware of any other money transfer company that does recurring payments but maybe someone else will know someone. Otherwise, like I said, if you want automatic payments then you can just tell the Pension Centre to pay the money straight into your Australian bank account. Many thanks @Marisawright Quote Link to comment Share on other sites More sharing options...
newjez Posted January 19, 2021 Share Posted January 19, 2021 I have a different question along with the same lines. If you are resident in Australia and drawing from a UK pension, how much can you draw before you pay tax? Also, I'm assuming that the amount you draw would affect Australian state pension? I'm assuming that if you are resident in Australia, you would pay no tax on UK pension withdrawal to the UK inland revenue? Also, if you are drawing a UK private pension, can you still contribute to sups if you were working in Australia? . Quote Link to comment Share on other sites More sharing options...
Marisawright Posted January 20, 2021 Share Posted January 20, 2021 (edited) 1. If you are resident in Australia and drawing from a UK pension, how much can you draw before you pay tax? You'll declare the pension on your Australian tax return, and it's just treated as part of your total income. 2. Also, I'm assuming that the amount you draw would affect Australian state pension? You have to declare the UK pension to Centrelink and it will reduce your Australian state pension. However it's not dollar for dollar (I think it's more like 50 cents for each dollar), so you'll still be better off Edited January 20, 2021 by Marisawright 1 Quote Link to comment Share on other sites More sharing options...
Ken Posted January 20, 2021 Share Posted January 20, 2021 To continue the answers posted by @Marisawright to @newjez 3. I'm assuming that if you are resident in Australia, you would pay no tax on UK pension withdrawal to the UK inland revenue? That's probably right. Pension income is taxed where you are resident under the terms of the treaty but lump sums are a grey area as to whether or not they are pension income. 4. Also, if you are drawing a UK private pension, can you still contribute to sups if you were working in Australia? Yes. Anyone under 65 (working or not) can contribute to Super and anyone over 65 but under 75 who is working in Australia (and under certain circumstances even when not working) can contribute to Super. UK pension income is irrelevant to this. 1 Quote Link to comment Share on other sites More sharing options...
MARYROSE02 Posted January 21, 2021 Share Posted January 21, 2021 18 hours ago, Ken said: To continue the answers posted by @Marisawright to @newjez 3. I'm assuming that if you are resident in Australia, you would pay no tax on UK pension withdrawal to the UK inland revenue? That's probably right. Pension income is taxed where you are resident under the terms of the treaty but lump sums are a grey area as to whether or not they are pension income. 4. Also, if you are drawing a UK private pension, can you still contribute to sups if you were working in Australia? Yes. Anyone under 65 (working or not) can contribute to Super and anyone over 65 but under 75 who is working in Australia (and under certain circumstances even when not working) can contribute to Super. UK pension income is irrelevant to this. I do pay some tax in the UK, but most is to the ATO. I still have to submit a tax return to HMRC. Is 31st January the cut-off date? I am suddenly unable to access the internet site, possibly because I don't have a valid UK passport. I've asked them to send me a paper form. Quote Link to comment Share on other sites More sharing options...
Durhamlad Posted February 24, 2021 Share Posted February 24, 2021 Came over to Australia as pensioners and will have been here for 10 yrs in November and can then claim a Australian pension. To date we have had our UK pensions, state and private, paid into a UK bank which I have then transferred to our Australian bank at various times when the exchange suited us. We have five small pensions from different providers each month so were thinking of trying to make things easier for ourselves by asking our pension providers to send our pensions direct but we would have transfer fees to pay for each transfer as well as no control over the exchange rate. The other option is to keep doing as we currently do but how does this work with the Australian pension as our UK income would vary so much. Do you have to inform Centrelink every time we receive a UK payment converted to $A so the Australian pension would be adjusted. Any advice would be most welcome. David Quote Link to comment Share on other sites More sharing options...
Marisawright Posted February 24, 2021 Share Posted February 24, 2021 (edited) The income counts as received whether it’s in your UK bank or your Australian bank, so how and when you transfer it makes no difference Edited February 24, 2021 by Marisawright Quote Link to comment Share on other sites More sharing options...
Paul1Perth Posted February 24, 2021 Share Posted February 24, 2021 1 hour ago, Durhamlad said: Came over to Australia as pensioners and will have been here for 10 yrs in November and can then claim a Australian pension. To date we have had our UK pensions, state and private, paid into a UK bank which I have then transferred to our Australian bank at various times when the exchange suited us. We have five small pensions from different providers each month so were thinking of trying to make things easier for ourselves by asking our pension providers to send our pensions direct but we would have transfer fees to pay for each transfer as well as no control over the exchange rate. The other option is to keep doing as we currently do but how does this work with the Australian pension as our UK income would vary so much. Do you have to inform Centrelink every time we receive a UK payment converted to $A so the Australian pension would be adjusted. Any advice would be most welcome. David Have you applied for the Aussie pension yet. I went to the centrelink office and they just take you to a computer terminal and show you the webpage, so you may as well have a go from home, find the questions you are going to have, once you've gone through their list of questions and requirements, and then try and get answers. I don't think they could adapt to income changing monthly but centrelink should be able to tell you the best options. Quote Link to comment Share on other sites More sharing options...
Marisawright Posted February 24, 2021 Share Posted February 24, 2021 (edited) 17 minutes ago, Paul1Perth said: I don't think they could adapt to income changing monthly but centrelink should be able to tell you the best options. From what they’re saying, the income doesn’t change monthly, it’s when they transfer it that changes. It’s a common misconception that income doesn’t count until it arrives in Australia but that’s not the case. Income is income if it lands in your bank account even if it’s overseas Edited February 24, 2021 by Marisawright Quote Link to comment Share on other sites More sharing options...
Paul1Perth Posted February 24, 2021 Share Posted February 24, 2021 7 minutes ago, Marisawright said: From what they’re saying, the income doesn’t change monthly, it’s when they transfer it that changes. It’s a common misconception that income doesn’t count until it arrives in Australia but that’s not the case. Income is income if it lands in your bank account even if it’s overseas Unless you let them know though they aren't going to have a clue what's in your UK account. When it's transfered though they see what's come in to your account. Maybe they could take an average over a few months, decide how much pension they are going to give you, then settle up at the end of the tax year, you owe them or vice versa. Sounds way too much common sense and easy though. I'm sure they'll make it more complicated than that Quote Link to comment Share on other sites More sharing options...
Durhamlad Posted February 24, 2021 Share Posted February 24, 2021 Thanks for the quick replies. Just a couple of observations that could be useful. I have not applied for the Australian pension yet just preparing for when I do later in the year. At the present any time a pension payment is credited into our UK bank, remember 5 payments a month for us, I have to record it and check the exchange rate from the tax office website on that day and convert the payment to $A. I do not have to bring it over to OZ, I can leave it in the UK or bring it over at a time to suite me which I do when the rate suites me. There is also a average monthly and average yearly exchange rate available which can be used but I am told the proper way is using the daily rate, my choice. At the end of the Oz tax year we have to add all these payments up and pass the years earnings on to the Australian tax office and pay any tax due. Any interest on any UK funds should also be converted to $A and added on as income as well. I have started to look at the pension application form and you have to give information on all bank accounts held in both the UK and Oz together quote - with evidence from your financial institution that shows your current account balance, account number and account holder name(s) for each account held. Copies can be provided. ATM slips are not acceptable. Thanks guys Quote Link to comment Share on other sites More sharing options...
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