What is the Currency Conversion Price Savings Comparison?
The price comparison is based on comparing quoted Qantas Business Money rates against published foreign exchange rates available on the website of the big 4 banks in Australia (Commonwealth Bank of Australia, National Australia Bank, Westpac Banking Corporation, and Australia and New Zealand Banking Group).
What prices are compared?
We compare savings based on foreign exchange margins for the AUD/USD currency pair. The margin is the difference between the rate quoted to you and the interbank rate, that is the rate at which the bank / financial institution buys the currency. The banks do not usually disclose the foreign exchange margin and it is usually hidden in the FX rate quoted to you. Traditional banks may also charge a transaction fee for each international transaction processed. Qantas Business Money does not charge transaction fees for international transfers except for payments made via the SWIFT network, which may incur transaction fees from $10 AUD. Any transaction fees have been excluded from analysis as the type and number of payments may differ from client to client.
How are the savings calculated?
The published AUD / USD rates were collected from the websites of the big 4 banks in Australia on 28.07.2022 and a “big 4 bank average” was calculated for the AUD/USD foreign exchange. This “big 4 bank average” foreign exchange rate was then compared against Qantas Business Money AUD/USD FX rates over the same time period, which is set at the interbank rate plus a 1.02% foreign exchange margin.
The percentage savings a client could achieve through Qantas Business Money was calculated by comparing the amount of AUD required to convert a set amount of USD with the big 4 bank average foreign exchange rate versus the average Qantas Business Money foreign exchange rate. This percentage was then converted to a dollar savings amount. As Qantas Business Money offers the same competitive foreign exchange rates regardless of foreign exchange volume transacted, the same rate and savings across transaction volume tiers were applied. Please note that the potential savings are estimates only as the rates are indicative and subject to change throughout the day. The actual rate will be the prevailing rate for your type of transaction at the time it is processed by us. Thus, the quoted savings are estimates only and are not indicative of future savings.