Banks and brokers hide their fees on foreign currency transactions. This means that when you buy holiday money or make an international payment, the bank adds a secret fee by offering you a poor exchange rate.
These hidden fees are on top of the stated charge, which is sometimes advertised as ‘free’ or ‘0% commission’. Most people have no idea how much they’ve paid to access their own money.
New research from Capital Economics shows that in 2015 alone UK consumers lost over £5.6 billion in hidden foreign currency fees - including more than £1 billion in holiday money, overseas cash withdrawals and card purchases made abroad. Britain’s small and medium sized businesses lost over £4 billion in hidden charges for cross border payments.
Last year the Government made an election pledge to stop misleading pricing in foreign currency exchange. So far, we’ve seen no concrete action.
TransferWise customers have their own stories about how much they’ve lost to the banks and they’re taking them to the people in charge.
Theresa May has a golden opportunity to put an end to this scandal - Stop Hidden Fees and give the people what they are owed.