Banking & Finance in AustraliaChoosing a new country often means changing your banks accounts, and learning the new financial ways of your chosen country.
This normally has to be done without the experiences that you gained whilst growing up in your home country.
Two things that will be noticed very quickly:
- Many banks in Australia charge personal customers for having an account.
- Almost everyone has to do a tax return every year.
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How far will your UK savings go when you first move to Australia
Depending on the Foreign Exchange rates at the time of your move, your savings could be worth more or less than you first expect.
A few years ago when the FX rate was 2.5 A$ to the £, a lump sum of £150,000 would have been worth A$375,000. However, in September 2010, using the days FX rate of 1.65, that same UK savings would only be worth A$247,000. A difference of $127,500.
This is something to be very watchful for, and not get caught out if the FX rate drops further. However, if the rate returns to a more 'normal' rate, nearer 2:1, then it will be in the favour of those just starting the migration process.
The following chart shows how the AUD and GBP have interacted over the last 12 months:
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