Tip for foreign webmasters considering checks or wire from programs - GoFuckYourself.com

Dirty Dane · 09-10-2010, 07:02 AM

Epassporte is great for collecting smaller or middle sized amounts but now that the situation is unclear or until it's fixed some of you also consider using checks or wire directly from your programs.

The cost at sender side and in your bank is obvious but you also have to be aware of parity. Currency exchange is a trade and banks sell or buy currency calculating it from the parity. They handle checks as cash (they buy cash) which will give less than the parity. In my case that is about 1.5%. BUT if the amount is sent by wire transfer then you will get the same as the parity (if not, then the bank is screwing you).

Example with 1.5% difference from parity:
Administrative costs of check: $15
Cost of wire: $30
Amount: $1000
In this case the cost of wire will be the same as check because you will get 1.5% ($15) more money than using check. Choose wire, it's faster and more secure. If the amount is above $1000 you will lose money if using check.

So in the end, regardless of where you live and the costs, it's about your minimal payouts and the "cost" of efforts.

If you are a starter or "live on the edge" and have to deal with many smaller checks to keep your monthly income stable and your bank is greedy by charging per check instead of per visit, then I suggest you get a business account with your bank with fair deals and a buffer for rainy days. You should do that under any circumstances, don't mix your private economy with your business. If they do not offer you that then fuck them, find a better bank relation you can grow business with.

erooup · 09-10-2010, 07:13 AM

If you live in the EU or somewhere outside the US, get a Foreign currency account in your bank.

When $X is send to your account, it will stays in dollars. When you need to pay someone else in dollars (hosting, affiliates ect ect), you dont need to pay any exchange-fee.

You will only pay a exchange fee, when you send the money from the Foreign currency account, to your regular account.

Sly · 09-10-2010, 07:18 AM

These are some good tips. I have a lot of affiliates that will be making this move shortly so any advice the more experienced folk can give would be greatly appreciated by all. I will definitely be sending people to this thread.

Dirty Dane · 09-10-2010, 07:29 AM

Quote:

Originally Posted by erooup

If you live in the EU or somewhere outside the US, get a Foreign currency account in your bank.

When $X is send to your account, it will stays in dollars. When you need to pay someone else in dollars (hosting, affiliates ect ect), you dont need to pay any exchange-fee.

You will only pay a exchange fee, when you send the money from the Foreign currency account, to your regular account.

Yes, that's a very good idea if the account is used for bigger payments of products or services in US dollars. You can also speculate and control when to exchange the currency

Adraco · 09-10-2010, 08:24 AM

Most respected European banks have connections with American counterparts. If you have a decent relationship with your home bank, you can ask them for a letter of recommendation and contact information on their American partner bank. That way you can open up an American bank account without leaving Europe and use internet banking to transfer funds from you US account into your European.

09-10-2010, 07:02 AM	#1
Dirty Dane Sick Fuck Industry Role: Join Date: Feb 2004 Location: www Posts: 9,491	Tip for foreign webmasters considering checks or wire from programs Epassporte is great for collecting smaller or middle sized amounts but now that the situation is unclear or until it's fixed some of you also consider using checks or wire directly from your programs. The cost at sender side and in your bank is obvious but you also have to be aware of parity. Currency exchange is a trade and banks sell or buy currency calculating it from the parity. They handle checks as cash (they buy cash) which will give less than the parity. In my case that is about 1.5%. BUT if the amount is sent by wire transfer then you will get the same as the parity (if not, then the bank is screwing you). Example with 1.5% difference from parity: Administrative costs of check: $15 Cost of wire: $30 Amount: $1000 In this case the cost of wire will be the same as check because you will get 1.5% ($15) more money than using check. Choose wire, it's faster and more secure. If the amount is above $1000 you will lose money if using check. So in the end, regardless of where you live and the costs, it's about your minimal payouts and the "cost" of efforts. If you are a starter or "live on the edge" and have to deal with many smaller checks to keep your monthly income stable and your bank is greedy by charging per check instead of per visit, then I suggest you get a business account with your bank with fair deals and a buffer for rainy days. You should do that under any circumstances, don't mix your private economy with your business. If they do not offer you that then fuck them, find a better bank relation you can grow business with.

09-10-2010, 07:18 AM	#3
Sly Let's do some business! Industry Role: Join Date: Sep 2004 Location: Austin, TX Posts: 31,328	These are some good tips. I have a lot of affiliates that will be making this move shortly so any advice the more experienced folk can give would be greatly appreciated by all. I will definitely be sending people to this thread. __________________ Vacares - Web Hosting, Domains, O365, Security & More - Paxum and BTC Accepted Windows VPS now available Great for TSS, Nifty Stats, remote work, virtual assistants, etc. Click here for more details.

09-10-2010, 08:24 AM	#5
Adraco Confirmed User Industry Role: Join Date: May 2009 Location: Onboard an airplane around the globe Posts: 3,736	Most respected European banks have connections with American counterparts. If you have a decent relationship with your home bank, you can ask them for a letter of recommendation and contact information on their American partner bank. That way you can open up an American bank account without leaving Europe and use internet banking to transfer funds from you US account into your European. __________________ ---------------------------------------------------------------------------------- The truth is not affected by the beliefs, or doubts, of the majority.

09-10-2010, 07:13 AM	#2
erooup Confirmed User Industry Role: Join Date: Jul 2010 Posts: 512	If you live in the EU or somewhere outside the US, get a Foreign currency account in your bank. When $X is send to your account, it will stays in dollars. When you need to pay someone else in dollars (hosting, affiliates ect ect), you dont need to pay any exchange-fee. You will only pay a exchange fee, when you send the money from the Foreign currency account, to your regular account.