Paying in local currency for rate certainty and to avoid unnecessary international payment fees
Our clients in the food and beverage industry import the world’s finest wine, liquor, cheese, and meat. To help our clients deal with suppliers overseas, we provide efficient payments systems and expert management of cross-border exposure.
A fruit grower, based in the US, also operated in Chile. To fund their operation, the company paid their growers in South America by sending wires in US dollars to a Chilean bank. The Chilean bank then converted the currency to Chilean pesos.
Although the Chilean bank did not readily provide information on the exchange rate, the agriculture company was being charged a flat half percentage fee on the transferred amount and an additional 1.5% transaction fee on the exchange rate. With transfers commonly exceeding $100,000, the company was losing up to $2,000 each month.
Commonwealth FX helped the agriculture company save money by selling Chilean pesos giving them rate certainty and avoiding unnecessary fees.
By purchasing currency directly from Commonwealth FX, the agriculture company was able to control their costs and streamline their payments process.
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