All the things you should know about OFX
This is an OFX review of one of the best money transfer providers around to send money internationally whether for personal customers or for business which is impressive given OFX started life in Sydney Australia over 20 years ago.
OFX is the global international rebranded name for all of its domestic money transfer services with offices all round the world, which deal with transfers using these brands: OzForex, UKForex, USForex, CanadianForex, NZForex (New Zealand) and ClearFX. All these separate services including their branded accounts were combined on their online platform into a single brand, look and feel with the aim of creating OFX, sending payments without frontiers, in this ofx review we assist you in choosing the best ways to use ofx.
Find out what customers really think by reading this OFX Review. Also, learn all about the pros and cons of transferring money with this regulated international company including its risk management product features.
Is there an OFX offer? Click here to get free company (business) or personal account international money transfers with no extra transfer fees or read on.
OFX Pros and cons
What are the Pros of OFX
- Global Reach with real physical offices in the UK, USA, Singapore, Hong Kong, Australia, New Zealand and Canada, plus it still retains a presence in Sydney
- OFX can be contacted by dedicated toll numbers in Germany, Ireland, Spain and France
- Competitive exchange rates and fees
- Rated by customers best ranked service (see their trustpilot reviews)
- Simple, easy to use online platform incorporating mobile app
- Set up a forward contract allowing to lock in the current rate for future transactions with a time limit of 12 months
- Limit order option for a large currency transfer amount you send in the future
- Ability to set up recurring transfers
What are the Cons of OFX?
- When you transfer a smaller amount of money, it gets relatively expensive
- Can be slow in certain situations unless you pay extra fees
OFX Rates offered, fees and costs what are they?
People across the globe like to save cash, but attempting to comprehend precisely what you are being charged to send money transfers abroad can be quite confusing especially if you are trying to compare providers. In this OFX review we try to decipher this for you.
We like to look at what will actually happen following a regular transfer so you can make an informed decision. Read on below for a comparison.
OFX is no different to other global money transfer firms in that it generates income from offering a higher exchange rate to its international customer base. Whether for business or for personal transactions, the excellent news is that most of these companies will save you bucket loads when setting up online accounts compared to using a bank or PayPal transfers.
Essentially, when it comes to comparing different transfer companies services, there are 5 things to learn:
- The fee they charge to customers
- The foreign exchange rate markup
- Extra bank fees when receiving money
- Support offered and customer rating
- Excellent tools to help business cash flow
However OFX can charge a tiny fee of $15, meaning you can avoid the minimum transfer charges together.
OFX is a business that produces revenue mostly by providing a distinct live mid-market or rate exchange rate option.
To send funds, competitive rates are offered by OFX for maximum transfers. The logic here is straightforward: low currency exchange rates are available the more cash you transfer to the recipient, meaning OFX will be difficult to beat in respect of overall costs.
When I compare the live mid-market rate option with the price I was given, the range is about 2% to just below 0.8%, which is about as nice as you’ll discover for bigger quantities.
By way of comparison, the total cost of bank accounts can set you back between 6% and 3% – which adds up to a significant additional cost on large amounts to send money overseas. For instance, saving 3 percent on a $20,000 transaction is $600 which is quite a nice saving.
Also, banks charges or debit & credit card service charges (possibly at both ends eg sender and recipient) are possibly an extra substantial expense.
Initially, the way you send cash to OFX may attract a premium from your bank, this of course depends on the type of bank accounts utilised. This is out of control of OFXs, but most of you will find a free choice –just check with your bank by phone or read their terms of service if you’re uncertain and compare the various alternatives.
However, OFX can assist in reducing charges at the receiving bank which can help save money by reducing the overall fees and exchange rate you are liable for.
For most significant currencies, OFX has a network of local banks at the receiving end for an international money transfer so they can pay into your account without the incoming fee. If not, the fee may be as high as $30/£20 but generally as low as $15/£10. You’ll discover that this is free for most cases, again always try to check in advance before committing to any transaction.
OFX There sign up process and how the service works
OFX Website Set up
Most customers experience is that it’s easy to register with OFX. The configuration process is obviously described and if you require any assistance, customer services will be there to assist.
Here are the two things that you must do:
- Register online – check your currency pairing rates.
- Provide identity details – (to save time, have these to hand such as ID and bank statement)
It takes less than five minutes to register, then you will be asked to verify your identity, either automatically or by email.
You may also receive an OFX phone call to assist answer any questions you have and ensure the process of registration runs smoothly.
Ofx’s Deals Set Up
It’s time to set up a transaction once you’re enrolled and logged in. This can also be performed on the mobile using the OFX App, but I think that their internet platform is equally usable if you plan to use your desktop computer.
It’s as easy as logging into your account, choosing major currencies and quantity under the New Quote, and “Get Quote.”
Then you need your account to be funded before transferring funds to the recipient.
There are some primary methods to finance your OFX account depending on the nation in which you have a bank account, these options are as follows;
- Electronic Bank Transfer
- Wire Transfer
- ACH Direct Debit
- Debit Card
In most cases, electronic bank transfers are used by companies like OFX.
Wait for OFX funds to arrive.
You can set up alerts to track progress of your funds.
You can also choose to receive notifications when OFX receives funds and your recipient receives their end.”
OFX There transaction process what happens if things go wrong?
Most OFX customer reviews are overwhelmingly positive but can you have confidence in this online seller? Bad reviews can sometimes give you an insight assuming they are genuine, however, always balance these by reading the good reviews.
Is OFX safe what we found
To compare OFX poor reviews relate to two things after scouring the review sites:
- The OFX set up
- Not receiving the transfer funds quickly
In respect of the set up, often these related to businesses not having the required documentation ready. To prevent money laundering, financial regulations are becoming stricter in many countries and as a Public company OFX is regulated by the Financial Conduct Authority (FCA) as an electric money institution.
To be fair, some of the issues regards not receiving payment quickly is sometimes out of the OFX’s hands and is the fault of the local banks. To make matters worse, when OFX sends their helpful little confirmation email with the subject “OFX Funds Paid,” no explanation is given as to how long in business days it takes to receive banks to actually make the money appear in the receiving account. Therefore, this leads to unrealistic expectations, perceived poor user experience and bad reviews from individuals and business in turn.
But for the vast majority of people it goes pretty smoothly with no problems at all, just make sure you know what your getting into so the transactions are smooth with no stress.
OFX How long does the transaction take?
One element that some individuals might be critical of is transaction speed.
End-to-end transfers is usually about 5 company days–it is still 2 days faster if you compare to the average bank.
It may be a day or two faster or slower to receive cash into your OFX account depending on who you bank with and the nations you are trading between. However, you may want to consider two other options if you want it to be even quicker than a day or two, these are as follows;
If the receiving party has a PayPal account, sending cash via online transfer is virtually instantaneous, however, charges are often high.
If you use a credit card or debit card to make the payment, OFX can also speed up the time it takes for the money to arrive. However, extra expenses need to be charged by OFX to pay for card activities–which also makes this costly.
If you require very fast transactions and transfer speed is deemed a critical problem and you’re pleased to pay a little more, it might be better to bite the bullet and just use PayPal or OFX.
OFX Is the transfer safe and secure?
When it comes to sending your cash overseas whether you use a computer or mobile phone, OFX is just as safe and secure as any bank, never mind any other money transfer company. Why? OFX has branches globally covering the United Kingdom, North America, Australasia and Hong Kong in Asia making it one of the world’s most trusted firms in this sector. OFX is also regularly audited because they are listed on the ASX stock exchange. In the case of the US, they must also effectively comply with the security and financial regulations of each country in which they work. OFX is also obliged to comply with these countries global anti-money laundering legislation which is becoming ever stricter.
In reality, OFX’s likelihood of losing or mishandling your cash is as small as it can get and in the overall grand scheme of things is no different to any other provider for financial company competing in the same space.
But if things go wrong like your bank is slow transferring money (or even if you just want to check stuff out) OFX has branches all over the globe, you’ll get an OFX staff member who understands how to assist you when and if you need it. Alternatively, contact their customer support by phone, app or email to resolve the issue quickly.
What Can You Do With OFX Mobile App?
Whether you choose the App Store or Google Play on your Android or Apple device, you’re sure to appreciate the ease of this app. With an average rating of 4.8 on both sites, you’ll appreciate the ease of this app and for knowing the current midmarket rates. No need to do more research, everything that you need is right at your fingertips. You can view the live rates at any time or go by what was last shown. It’s quick and easy and you’ll always be up to date.
You can also set alerts to notify you when rates change. It can be very beneficial to know what the rates are and when they fluctuate up or down. Avoid unnecessary losses by simply waiting for the right rates to appear. View historical exchange rates and follow the market trends all from the convenience of your mobile.
Know whether or not the transfers are complete and track them with ease as they make their way to your chosen recipient.
A global support team is at the ready 24 hours a day, 7 days a week so if you have questions, at any time, you’ll have someone there who can help you with your concerns. Send your money internationally to over 190 countries and you can send it in any of 55 currencies. OFX Mobile App is the ideal solution regardless of where you’re located.
Frequently asked questions
How Does OFX Work?
Everything is done online from signing up, to having your identity verified, getting the OFX app, and moving money.How do I Sign Up?
Registration takes less than 5 minutes if you have all your information ready. At the outset, OFX will want to know if you are an individual or operate a business. The latest systems of automated checks are used to check your identity and information online based on the uploaded or scanned documents you have provided. Once everything has been verified your OFX account will be set up.
What Information is Required for Registration?
You will need to provide OFX with personal information such as your full name, date of birth, occupation, current residential address, email address, and telephone contact number. You also need to send proof of address such as a utility bill and an identification document such as a passport or driver’s license.
When can I Make a Transfer?
Once you have registered and your information has been verified you can make a transfer. You will be sent an email or SMS on the status of your transfer or you can track it via the mobile app.
Can I Transfer Money to the US from Other Countries
OFX can transfer money from several countries to the US with the exception of some. You can contact an OFX transfer expert to establish which countries can receive or transfer money via OFX.
Is OFX regulated?
OFX is regulated in 5 countries, including Australia, New Zealand, United States , United Kingdom and Canada. OFX keeps the funds separate from its own operating funds. This ensures if they ever shut down you get your money back.
Who owns OFX?
OzForex Limited (ABN 65 092-375-703), a wholly owned subsidiary of OzForex Group Limited (ABN 12 165-602-273), holds an Australian Financial Services License (AFSL) and is controlled by the Australian Securities and Investment Commission (ASIC) for foreign exchange and derivatives trading and advising.
Is OFX cheaper than TransferWise?
OFX is one of the world’s leading foreign-exchange and multinational payment specialists. … Both are great choices, but because of their zero margin on exchange rates, TransferWise is more affordable (whereas OFX charges exceed the mid-market, or “real,” rate.
How Much Does OFX Cost?
OFX fees are charged with a transfer fee of $15 for transactions under $10,000 / approx (in some countries). Just $5000. There is no fee in respect of transactions over that amount.
How secure is OFX?
Client funds are held by OFX in accounts with highly rated financial institutions. Furthermore, OFX operates an extremely low risk business model whereby OFX never pays out customer funds before receiving the currency the customer has sold to us. This ensures that OFX has zero default risk from dealings with clients.
Is OFX legitimate?
Yes they ‘re quite legitimate! Because OFX has offices around the world – it is regulated in Australia, the UK, NZ (registered), Canada and the USA – making it one of the world’s most regulated financial firms. OFX is also obliged to comply with those countries’ international rules and regulations to prevent unlawful laundering of money.