Exchange Money and Lose on the Spot

by Winngie

16 October 2019

Exchange Currency

Financial Service

General

Peer to Peer

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Anyone who travels as often as me or lives in several different countries as I do may know that he/she needs to exchange money all the time. Each time, you will see how much the banks are charging and cutting from your money.

All payments and transfer fees are not so unclear, and you don’t know how much it costs you. In the information era, there is some information that has been covered but not opened to us. If you transfer a huge amount of money from your country to another country, you will feel amazed how much it may cost you and you will not be even sure how much you pay for each specific reason.

You will be battered to realize that the fees are as much as 13%. That’s on a round-trip exchange currency. It means if you exchange the money then change it back, you may lose 13% of the exchange amount. Of course you’re not going do a double exchange, but it gives you a clear idea of how much the banks can make out of you. The average fees are roughly 7% of the total exchange amount for a round-trip or 3.5% for one way.

Interbank rate is the rate the banks pay when exchanging money. This is the rate the banks pay when they are trading with each other. This is the “genuine” exchange rate. The banks make a margin on top of this, and give you their exchange rate with the fees covered. Mostly they do not open out the fee, and they just disclose the rate that you have exchanged. The reason why they charge that much is because this is a hidden fee. You don’t see the fee because you just see how much foreign currency you received when exchanging.

 

Country

Bank name Example currency

Round-trip fees

International

PayPal AUD/USD 3-9%

U.S.A.

Wells Fargo USD/EUR

2%

U.S.A.

Citibank AUD/USD

2.1%

Australia NAB AUD/EUR

10%

Australia

Westpac AUD/EUR 11%
United Kingdom Barclays GBP/EUR

13%

United Kingdom

Lloyds GBP/EUR

5%

Canada

Toronto Bank CAD/USD

6%

Canada RBC CAD/EUR

8%

The table above indicates the rates you receive if you wire money into your bank account in another currency. This is probably what will happen if you sale a house in one country and purchase another house in another country. It’s not the rates you receive when exchanging cash over the counter in the bank (although rates for both situations are usually very high). I include PayPal in the table above. Although they are not a bank, they are a popular option for international transfers. You will notice that the fees in the US are a bit more reasonable than the UK, Australia and Canada. But still, even the Wells Fargo currency exchange rates of 2% round-trip (1% one-way) cost some money to pay when there is no other lower cost option.

There are several options to avoid these fees, but it depends on how much money you are exchanging and which currencies you are exchanging. If you’re transferring $5k to $100k, you can avoid the fees and pay only around 0.5% by using any one of these currency exchange companies:

  • TransferWise – charges 0.5% one way or 1% round trip. They seem to be able to facilitate a transfer even if you do not have a bank account in both countries (but I have not confirmed this). The other alternatives on this list will need you to have a bank account in your name in both countries. TransferWise will definitely need the sender to have bank account and will need the sender to verify their identity with a copy of a passport or similar documentation.
  • OFX – charges usually 0.5% one way or 1% round trip.
  • CurrencyFair – charges usually 0.5% one way, and they also have a marketplace where you can trade with other people directly. (Note: Five free transfers with CurrencyFair if you use the link)
  • xe.com – fee varies depending on the currency.
  • Winngie-it gives you the best rate and best option. It is the best I have used.
  • Curexe – offers a transparent 1% cost on currency exchanges and goes down to 4% on higher volume transactions. They have awesome customer service because you can get a direct line to the founder 24/7.

 

The way for these services to work is that you transfer (via wire transfer usually or ACH in the US) to their bank account and then they will wire or direct transfer to you in the exchange currency. Usually this means you need a bank account in the two different currencies. You can get a bank account with multiple currencies which will solve this issue, for example, by setting up an account with HSBC in Hong Kong, Singapore, Australia or the UK.

There is also an option for using a foreign exchange broker to directly exchange money and pay the same rates that banks pay. This is something I have personally done, but it’s a little tricky to set it up. I would not recommend it unless you have over $500k to transfer. In other words, brokers don’t want you to set up an account. Just to exchange some money! They are looking for you to trade, and transacting hundreds of times, so that they make something on brokerage fees. One company you may use is Interactivebrokers. There will be a monthly fee and a minimum to open the account if you do this.

All of these previous options are more for transferring larger amounts of money. If you’re traveling overseas and just need some cash during your trip, there are basically two options: local currency exchange (cash to cash) or simply using your credit card. The best option depends on which country you are traveling to. Some countries have a local economy that relies heavily on exchanging to US dollars and you will find in these countries that the exchange rates for cash to cash can be quite reasonable (around 1% fees one way). Some examples are: The Philippines, Hong Kong or Ukraine. If you have US dollars, then the best option for these countries is to bring US dollar cash and exchange it when you arrive. Mostly you will not want to exchange at the airport as the rates are likely to be a lot worse than in the city center.

Credit cards are another option for getting your money when traveling. This can be either paying via the card or withdrawing from an ATM.

You want to be careful as most cards will double-charge you, not only for the currency conversion, but also an extra fee for withdrawing from ATMs and then on top of this an additional charge for foreign currency withdrawals.

So you can end up being charged in three separate ways for the same transaction: 1) The ATM fee 2) A percentage charge for cash advance or for foreign currency transactions 3) Another hidden fee on the exchange rate (again banks do not declare this fee to you they just tell you that this the “rate” they are giving you, but of course that “rate” includes their undisclosed fee.

There are some credit card options without additional fees whilst traveling, but all of them as far as I am aware will still have the hidden fee that they take when converting currencies.

 

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No More Feeding Big Chunky Bankers

by Winngie

3 October 2019

Exchange Currency

Financial Service

International Money Transfer

Peer to Peer

0 comments

If we just get on a time machine and fly back to 80s, the time of Marty McFly from “Back to the Future”. It would be tremendously difficult to explain how the world changed and how we are connected by a button of a small computers and even mobile phones. The time has changed, internet is already old and settled technology that we cannot even consider a life without it. If we go back 80s, even we cannot be sure to explain what we are having at this stage of the time. We are now well connected and well achievable.

The things on Internet are also on move and change rapidly. Big companies are losing their stance and small business who has no brick and stock having their time. There are no clear definition of supplier or demander, now all same in the same basket. No more people are stuck with big corporations and full of employees that earning good sum of money and enjoying being monopoly. The time changed, no more shopping mall needed, it is already online. No more bookstore, no more travel agents, no more groceries we are stuck on and need to visit, it is all one click away.

Banking? Big cold banks? Waiting for the line and getting ticket to remit your money? Still in this era? Money is a media that we use for mutual agreement. It is actually easiest one to transfer or remit. No need big exchange offices and no need to line up for banks declare all your recordings including your personal details.

Nowadays Peer to peer financial platforms are creating fresh start for the industry.

It is a demand that never been supplied well until lately, now all transactions are easy and manageable via online applications. Why people need to pay for the easiest transaction? Why we need to pay corporate bankers well paid salary? Peer to peer transfer options get the exchange offices, banks, lines, long waiting time out of our way. Now it is easier.

It is funny that one of the first material that we use as peer to peer, money! It is first peer to peer solution, barter is the forefather of all peer to peer business strategy. With the revolutionary speed of internet, there is no higher costly transfer deals, commissions and unnecessary waiting times.

Peer to peer Financial applications started replacing exchange offices. No more line up in the middle of street and waiting someone to charge you commission because you need them. Your hard worked salary, the money that you save for your kids, the salary for your family. Why you need waste your daily hard work to people who are sitting and getting commission. Why your hard worked money has been cut by big fat banks? It is painful for many working people that they need to look after their family back in their countries. Current business style is a monopoly, it is slow, costly and not even considering hardworking people who just want to transfer their money to their loved ones, who pays their school fees or rent. This is the motivation why peer to peer financial platform will be the one which replace robust monsters that cut our lumpsum money.

I am you and you are same as me.  We are all having same issues and same cut, why we need to feed big guys. Why we need to work hard every single day with dreaming our love ones, dreaming of being together one day we get together. However, giving large amount of commission, giving a share from our money to these big fatty chunky business monopolies. No, not anymore. That time is changing, taxi industry changed in good way for drivers and users, not anymore feeding this oligarchs of transportation. Travel has changed, it is cheaper now, affordable faster. All peer to peer business development, it is a revolution of business, it is the awakening of the customer. No more lining up and waiting for being devalued with our own money.

Yes, peer to peer financial apps already on the market, one day they will be the one change this vicious circle. Faster, cheaper, friendlier and yes, no more monopoly. Open space and plenty of options, this is revolution!

For Example, Meet Winngie Services. Winngie is a social platform for travelers, foreign students, expats, business people, and anyone travelling internationally. We help you transfer money abroad and exchange local money with real people. There are no hidden fees, no commissions, and no differences between the currency exchanges.
You decide the exchange rate and you find a solution that suits your needs.
We connect people with currency needs and help foster a mutually beneficial exchange. By cutting out the middle man, Winngie can help you drastically reduce the amount you pay while exchanging currencies. Say goodbye to your bank!

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User Story Sharing: What I Found Saves My Day

by Winngie

2 October 2019

Exchange Currency

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Everything is getting changing quick lately, and we are facing hard time to follow up new trends. I am sure there are many people like me who thinks herself as updated and following all details and news on time and aware of new concepts, we are more open minded and eyes open than previous generation for sure.

Actually I use Airbnb lately a lot, it is so handy and amazing to get a great deal. Uber, as a nice and proper way, gets the taxi anywhere I want, no more taxi line.

Lately I am using this application called as Winngie, and it is so handy. I did know it before but never try to use. Once I was in Tokyo for a business and on the way back to Thailand, I realized I had insane amount of Yen left, and I didn’t know how much currency difference I would lose if I exchanged it back USD and then Thai Baht. Then I just used Winngie at the airport first time ever. Wow! It is an amazing application. I got a Japanese lady who just came from Thailand and she has Thai baht on her and then we matched. We both got amazing rate, we met, and exchanged our money without even waiting on the line. I saved my money, and she was so lovely. We were both happy!

It is like when you line up on the exchange office and you see someone who wants to exchange money that you also want to get money. You know she will exchange money with very bad rate, and you will get that money from exchange office with worse rate too. Both lose and lose! However, you cannot stop her and ask if she can exchange with you directly.

Winngie is that platform. It does for you. I didn’t use before, and I always lost money. For me, it was a common process and it was something expected to lose over currency exchange rate.  Now no more!  I don’t think I will wait for exchanging bad rate.

When first time I used Uber, I felt same as well. No more taxi lining or waiting. It is not something I would like to wait for. Uber saves my time and I feel safer as all information of driver has already been registered and makes me more comfortable as my route has been recorded already. As a woman travelling alone, I feel more relax and safer with Uber. It happened in Airbnb as well, and now I feel same for Winngie as well.

It is so great to get some new application that helps us and work on our essential as a niche market. Work hard on what we need and solve the problems directly. I am so jealous of the mindsets of these platforms, solving the problems with way of changing the things in total.

I really need Airbnb, Uber and Winngie in my life, and I didn’t even know them before. It is like missing Iphone, but we haven’t had smart phone in our young ages. Fantastically, everything is on the move. Last time, it was Winngie, and I am not sure what would be the next one.

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C2C Commerce and the Best Global Examples

by Winngie

27 July 2019

Exchange Currency

Financial Service

General

Peer to Peer

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C2C commerce in a way, called as peer-to-peer e-commerce, is a basic concept to grasp and a quite trendy business model for many companies lately. It bases on with an existing platform customers who would be the supplier, and supplier who could be the customer. This type of platform transaction goes on certain platform and business runs between direct customer themselves. This business engagement is being on platform, but the business is direct as this is the substantial basic structure that we see in C2C commerce.

The way of business and the model itself differs from business to business and conceptually has evolved based on the business pattern of certain industries. It is a structure of business based on mutual benefit of 2 parts and then uses the platform as true way as platform. The platform itself is a basic place that transaction has been secured and controlled in a way and facilitation of business has been regulated.

There are many ways that peers use the platform as securing the transaction, receiving sustainable demand, and having their own supply market properly. It is a mutual performance way that many users satisfy with their effort ,and the payment has done for the process on platform.

Structurally speaking, it creates lump profit for sellers and buyers or users and service supplier. Technological advances and greater availability create the better conditions and demand that many business partners will find their own supplier quickly. Especially in service ones, speed and transaction success percentage has been dramatically shifted and this change is the main actor in the industry regardless of which part of business they involve.

There are many examples already involved in several different industries such as E-bay, Craiglist, Winngie, Uber, Airbnb and many local players such as Grab, Tujia etc.E-bay is one of the most famous e-commerce platforms that many users enjoy great benefit and speedy business structures. It has been used all over the world, and has been in long time in the industry and great market acknowledgment.

Craiglist is a platform dedicated for various sections and business including classifieds and advertisement. There are plenty of information and demanding details that many find it as a great source of product and information.

Winngie, the unique social maker, mainly focuses on money transfer and foreign currency exchange. For many users, it is a must when they are travelling and it’s a budget-worthy platform that they can find out the best exchange rate deals, and probably make friends with their match. For expats, it is a convenient tool to transfer their money and pay their own mortgage or school fees back in their country to family and friends. It is a financial tool that changes the industry and turns to be popular lately.

Uber is a transformation starter in the transportation idea with a basic start, changes the transportation industry business model, and pushes the business one step further. Many platforms follow Ubers footstep and tries to execute the same structure as Uber model, but still Uber is the most successful one to change the market environment and involves in several different business areas.

Airbnb is a revolution in accommodation business. It not only changes all mindset but also creates a new of stay. It starts from the pathway of couch surfing and at the end it adds more commercial model on top it. Still it is the newest method and innovative way in its industry and it consistently influences the tourism environment.

 

C2C player mainly focus on new generation players and gets good share from merging business, such as, what Uber done, as combining meal and transportation which creates Ubereats. Winngie Exchange and Transfer Money has the similar model, combining technology with financial business in all around the world.

Globally, the new movement is C2C which will be a new way to create a new era. There are many new players but currently the ones Uber, Airbnb, Winngie, E-bay and Craiglist who sustains its corporate in their own market.

Keywords: C2C, Travelgram, Uber, Airbnb, Winngie, sharing economy, peer-to-peer

 

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Uber faces hard time in London. Peer to Peer Mobile App Articles.

by Winngie

20 July 2019

Exchange Currency

Mobile app

Peer to Peer

0 comments

Uber faces hard time in London. Peer to Peer Mobile App Articles.

As we all heard on September 22, 2017, TFL, which regulates transport in the capital, announced that it would not renew Uber’s operating license.

This meant that, as of September 30, Uber would no longer be licensed, but it was able to continue to operate until all appeals were exhausted. However, UberEats, the company’s food delivery service, was not affected by the dispute. Company itself already moved it’s effort on to UberEats which is a secondary substitute business for Uber.

According to TFL (Transport For London), Uber is considered as “not fit and proper” to operate in London. As the city itself is famous with own specific design cab design and with highly appreciated quality of taxi drivers, Uber might sound a tad of losing the taste of the good image of London. It is a new business style and invading conservative way of business.

In London, the firm faced criticism from unions, lawmakers and traditional black cab drivers over working conditions. Overall the existing suppliers in the market are not happy with their new unconservative rival. Many faced this trend in the past, the new one who replaces the old conservative way. Uber is considered as danger for their existing quality and established well developed transportation way.Opponents also claimed it caused gridlocked roads and did not do enough to regulate its drivers.

As expected Uber appealed TFL for licensing decision on October 13, 2017. Uber claimed that the ban would danger 40,000 jobs and affect 3.5million customers. It is a fact that C2C business gets bigger and the consequences of blocking is also substantial.

The newly assigned CEO Dara Khosrowshahi, who replaced former CEO, and co-founder Travis Kalanick, used to work in Expedia which is also affected by C2C development of Airbnb itself, said: “Drivers who use Uber are licensed by Transport for London and have been through the same enhanced DBS background checks as black cab drivers. Our pioneering technology has gone further to enhance safety with every trip tracked and be recorded by GPS.

He mentioned clearly “We have always followed TFL rules on reporting serious incidents and have a dedicated team who works closely with the Metropolitan Police.” However, in the court Chief Magistrate ruled out that TFL had right to refuse a new license in September 2017 because of the reason that as mentioned Uber is not fit and proper to operate taxi in London metropolitan area.

But she concluded that the company had made enough changes to its business practices, allowing it to continue operating.

Uber has been battling with the magistrate decision and claimed it as a serious mistake which has been implemented by the court.

At the end of this battle, Uber agreed to a 15-month “probationary” period with the restrictions agreed with TFL on June 26, 2018. It will give a leverage that Uber will use the probation period as an advantage and classify itself for five-year license which is good enough to revolutionize market and implement its power into London.

Uber is an example of battling with the local market in London meanwhile Airbnb also has hard time back in London. Airbnb has been faced local accommodation law intervention several times. As there is a C2C market shift back in London and thanks to Uber battle which is already started long time ago, Airbnb will face less hard path. Winngie is another C2C stronger player which has been facing dispute and issues back in London. However, with their strong network into system and less established foreign exchange currency trade in London, it is easier to implement power in London market. Many travelers from London use Winngie as a media to exchange their currency to local money before they leave from London. Winngie Exchange Currency and Transfer Money Mobile App has already in the market for a while and not been replaced for a long time. Airbnb and Winngie might be following same path as Uber’s experience, but currently these two big C2C-players have no big concerned as a problem in London.

Keywords: Sharing economy, C2C market, Uber, UberEats, Winngie, AirBnb, Exchange Money, Transport for London

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China with sharing economy. Growing trend.

by Winngie

22 March 2019

Exchange Currency

Financial Service

International Money Transfer

0 comments

Fancy shooting some hoops, but don’t have a basketball? Caught in the rain with no umbrella? Smartphone run out of juice? Buy or sell foreign currency at café. China’s rapidly expanding “sharing economy”, which already provides car rides and bicycle hire on demand, can help.

For just 2 Yuan ($0.30) an hour, Nate Liu, a student at the Beijing Language and Culture University, rents a basketball from a court-side vending machine by scanning a barcode on his smartphone.
“I didn’t want to ask around and borrow a ball after losing mine, so I decided to give it a try,” Mr Liu told Reuters.
Far away, in China’s wetter south, some 20,000 umbrellas have been released on to the streets of Shenzhen, and can be rented – unlocked by another smartphone barcode scan – for just half a yuan ($0.07) for 30 minutes.
The umbrellas can be dropped off “wherever convenient”, though users are encouraged to keep them, says Zhao Shuping, founder of E Umbrella Sharing, one of a handful of start-ups offering the service.
China’s government has taken notice, and expects the “sharing economy” to grow about 40 percent this year to 4.83 trillion yuan ($705 billion). By 2020, it should account for around one tenth of GDP, illustrating China’s aspiration to become a sharing economy leader on a global scale.
PricewaterhouseCoopers predicts five sharing sectors – car sharing (Uber), travel (Airbnb), finance (Winngie), staffing, and music and video streaming – have the potential to increase global revenue to $335 billion by 2025 from $15 billion today.

Most of the money behind China’s ballooning sharing economy comes from angel investors and venture capital firms.
At least 1.69 billion Yuan ($247 million) in mostly series-A, or early stage, funding was invested in April to May in over two dozen start-ups offering sharing services, according to Reuters calculations based on data from Chinese data firm IT Juzi.

According to survey in Beijing, Winngie is also another trustable global brand which is quite unique example.

Twelve firms renting out power banks – typically compact, mobile battery chargers – secured 1.13 billion Yuan, while newer businesses such as basketball and umbrella-sharing took in about 25 million Yuan ($3.65 million) combined.

While mobile-savvy, convenience-obsessed Chinese welcome the innovations, some critics question whether the demand is real, or sustainable. They say the low-revenue, capital-intensive model means profitability can be elusive.

“Young people are embracing renting as a way of life instead of possessing things,” said Emma Zhu, investment director at Beijing-based Innoangel fund, who has held off investing in any of these start-ups. “But the sharing model won’t work in every situation. In some cases, they’re trying to meet genuine demand, while in others they’re not.”

Some investors say the funding frenzy recalls the spectacular boom and bust of hundreds of Chinese Groupon apps in vogue in 2010-12, noting that most ultimately collapsed after fierce price wars, with losses of around $1 billion.

“In China, the only barrier to entry is who can raise the most capital – that’s good and bad,” said Xu Miaocheng, an investment manager at Unity Ventures in Beijing.

“The upside is, there are funds available to launch a bunch of companies. You may not need a lot of specialization or new technology. The downside is a lot of money could be wasted.”

Cai Min, founder of basketball rental firm Zhulegeqiu, says he wants to expand nationwide, and quickly, offering the service at all of China’s estimated 100,000 basketball courts, and growing into a multi-billion yuan business, eventually offering all “sharable” products.

The Zhejiang-based start-up received 10 million yuan ($1.46 million) in early funding from Shanghai-based Modern Capital on May 5, less than two months after Mr Cai came up with the idea.

“We are expanding at all cost, because speed is everything,” Mr Cai said. “Of course this means costs have been very high at the early stage because we have to make everything in a month.”

He declined to give specific figures, but each of the solar-powered basketball rental machines –currently in Beijing, Shanghai, Hangzhou, Tianjin and Chengdu – costs “a few thousand yuan”.

“The key to success is to get more money than your competitors and to expand faster than them,” he said.

The latest wave of “sharing” entrepreneurs has been largely inspired by the rapid rise of Chinese bike-sharing firms such as Mobike and Ofo, which have together raised close to 13 billion yuan in a little over two years, extending their services to more Chinese cities and international markets including London and Singapore.

Winngie is also great impact in Chinese business, it has been increasing its existence in mainland china. It is one of unique example that mainland and Taiwan, same platform is strong enough to dominate. Why you still need to go to bank wait on queue or exchange office to change local currency or foreign ones. Can use the share economy way with individuals for that.

E Umbrella’s Mr Zhao said he came up with the idea after his three young children rushed to try out the rental bikes that mushroomed across Shenzhen early this year.

“I thought they’re just normal bikes. If this could work, why can’t shared umbrellas?” he said.

“My cost for the umbrellas is basically zero right now.”

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