Destination weddings are broadly planned in three ways:
Using an Australian wedding planner that specialises in overseas weddings, such as Global Weddings
Using a wedding planner in the overseas country you're having the wedding in
Doing-it-yourself planning from Australia
If you are using a wedding planner overseas or doing it yourself, you'll need to make a number of international payments. This guide shows you the two most commonly used methods of payments and examines their pros and cons.
By far, this is the most common and convenient method of payment. Most banks will charge you two fees for a foreign purchase - an international transaction fee, which is usually between $3 and $8, and a currency conversion fee, which ranges between 3% to 8%. It might seem fairly hefty but for payments or deposits under $1000, it can be a quick and easy solution that does the job.
Sending funds directly into a bank account overseas generally is a cheaper option for amounts above $1000.
You can either use a bank to send the funds or a money transfer specialist. Both banks and money transfer companies charge two types of fees. One is clear but the other is harder to work out
Transfer Fee. Also known as a Telegraphic Transfer (TT) fee. The big 4 banks charge between $18 and $32 dollars but offer a lower fee if you do it online instead of going into a branch. Money transfer companies charge between $4 and $15. Many of these companies including OFX and HiFX, don't charge a transfer fee if you are sending more than $10,000
The Exchange Rate Margin. This is the difference between the wholesale exchange rate (like on xe.com) which they buy it for, and the actual exchange rate you receive.
So, for payments overseas above $2000, the exchange rate you receive will have a big impact on how much your payment costs.
Weddings can be stressful and paying for a wedding in foreign currency can be costly through a bank. OFX have a great track record for these types of payments. They offer a fee-free service, bank beating exchange rates and are backed up by excellent local customer service.
Regardless of whether you are paying for a deposit or the whole wedding at once, getting a better exchange rate will definitely reduce the cost of your wedding.
Minimum transfer $250. Please note that the receiving bank or intermediary bank may charge fees on transactions.
Traveling to another country? Our experts share exchange currency tips to help you get a better exchange rate and lower fees.
This article explores the cheapest ways to transfer money back to Australia based on the amount you want to send.