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I figured a way to save extra 2-8% for dropshipers
 

First of all, make sure your bank doesn't charge you with international transaction fees like mine did. My bank (CBA, which considered as a good one) was charging me around 3% for each international transaction until i discovered their new travel credit card which doesn't have this type of fees and almost no fees at all.

Secondly, if your a good dropshiper, you dealing with more than a hundred transactions with different currencies so to save extra money you should buy a large amount of currency at the best store in the city, for example, the AUD-USD value on the stock market is approximately 0.875, the banks will exchange it for around 0.835 which means you loosing around 4%. Usually every town have their best money exchanging stores which exchange at a 1-2% better price, specially if you buying in huge amounts.
Thirdly, if you pick up the right moment to buy your currency you can save even more money.

I hope this thread will help people to save some money.

Re: I figured a way to save extra 2-8% for dropshipers
 

In AU you have currency exchange stores in every town?

Re: I figured a way to save extra 2-8% for dropshipers
 

No, smart question. If anyone have more smart questions, feel free to post them here.

Re: I figured a way to save extra 2-8% for dropshipers
 

I only deal in USD even in HK and China but I will investigate paying for services in RMB now.

Re: I figured a way to save extra 2-8% for dropshipers
 

For some people it might look like a waste of time but for a serious seller that makes more then 50k a year this system can save thousands.

Re: I figured a way to save extra 2-8% for dropshipers
 

2% on say a million dollars is nothing to sneeze at. Even a hundred thousand is another weeks pay or whatnot.

Re: I figured a way to save extra 2-8% for dropshipers
 

Nice work Klemantina :thumb:

Re: I figured a way to save extra 2-8% for dropshipers
 

There's certain travel cards that still give you rubbish exchange rates. Especially from the big banks. So be careful.

I managed to open up a US bank acct on a recent trip to the states, I used that account to pay for all of my dropship items in USD. Literally saved 15% - It will work even better if you happen to sell in USD and can withdraw usd from pp.

Jumping through hoops is well worth it to get the US bank account.

Re: I figured a way to save extra 2-8% for dropshipers
 

Now you don't need a US bank account. I'm buying 1-3k USD each month at the right moment when the dollar falls from exchange stores(never from banks) and loading them in the travel card for purchases. I can do that for every currency I work with. US bank account doesn't help because when you transfer USD to for example AUD you will not suffer from Paypal's terrible exchanging rates but you will suffer from your banks exchanging rates.
The best solution is always exchanging them in exchanging stores and never with Paypal,post office,banks. Also always try to pick up the right timing.

Re: I figured a way to save extra 2-8% for dropshipers
 

Yea I completely understand what you're saying. I was just adding to the point, that if you are already selling in USD (like I am) having a US bank acct on my Australian pp saves me from withdrawing usd into my aud bank. Where I always get rubbish rates.

That way I can directly use withdrawn funds to pay suppliers.

This only works if you happen to sell on .com however.

Re: I figured a way to save extra 2-8% for dropshipers
 

Yes.

Cost is higher than bank in many cases.

:au:

Re: I figured a way to save extra 2-8% for dropshipers
 

Here is a good website that can help with understanding whats the best option Best Travel Cash Card - Compare Prepaid Travel Money Cards | Mozo It looks like the best exchanging option is OzForex card but you must take into account all the other fees and exchanging stores prices, quantity discounts and other stuff. If your a student like me, you have different options.

Erik thanks for the great website.

Re: I figured a way to save extra 2-8% for dropshipers
 

Some great information by the OP here.

Bare in mind your keeping your paper trail understandable and short as possible and you won't lose your savings on your next audit!

:au:

Re: I figured a way to save extra 2-8% for dropshipers
 

Yea no worries! Happy to share. Also, fellow student - you might be able to get postage stamp discounts with a concession card.