The FairFX Press Releases Blog
Research reveals that over a quarter of UK employees claim personal spend from their employers
Research by foreign currency expert FairFX has revealed that over a quarter (26%) of employees admit to claiming back personal spend on their company expenses, costing UK businesses an estimated £3.5 billion a year*.
On average, employees claim back £462 per annum of personal spend on their business expenses, telling their employers that they have spent the money on travel (24%) and accommodation (19%), when in truth many have been splurging on entertainment, food and alcohol (39%).
The promotions industry was the worst offender, with a shocking 67 per cent of respondents admitting that they had claimed personal spend back from their employers. They were closely followed by graduates and trainees, 43 per cent of whom had made fraudulent expense claims.
Financial services were the biggest culprits when it came to numbers, with the accountancy industry falsely claiming an average of £1,070 per year – more than double the overall average. They were closely followed by the banking, insurance and finance industries, who admitted claiming back £850 per year.
Stephen Heath, Chief Executive of FairFX commented:
“Times are changing and the age of overspending and overindulgence in the business sector is over.
Businesses need to find a new approach to managing employee expenses that makes the system easier and less time-consuming for the employee, and leaves a smaller margin for error. A prepaid corporate card for example could erase fraudulent claims, cut employee administration time and ensure the expenses process is easy and cost efficient, both in the UK and abroad”.
*Number of People in UK working = 28,926,000 (ONS), average amount claimed 462.45
Thursday 27 May 2010, 10:35am
Going to see football in South Africa this year? You aren’t alone! South African tourism has become steadily more popular, so many feel that the country is now ready for tourists to come and spend their South African Rand.
However, many travelers are unprepared, with this being the first visit for many… So we have put together some world cup travel tips with South Africa travel advice. If you have already booked your world cup package and accommodation, we don’t want you feeling left out in the cold. Book your flight, buy South African Rand, check into your hotel and remember our seven essential world cup South Africa travel tips:
- Check out other tourist destinations - don’t miss out on seeing the rest of South Africa tourist sights just because the world cup is on: maybe check out the costal port town of Durban, or check out the Tourist Office for a list of places to try, so you don’t feel that you have wasted your trip if the England football team doesn’t do quite as well as we hope!
- Take warm clothing - South Africa is in the Southern Hemisphere, so it will be winter there when the world cup is going on. In Johannesburg, it can sometimes get below freezing at night in June/July, so make sure that you take appropriate clothing with you.
- Leave plenty of time for moving around the country and getting to your match - the road and rail systems in South Africa are already under pressure, with a train from Johannesburg to Cape Town taking around 26 hours. Plan your trips around South Africa and make sure you leave plenty of extra time to minimize the risk of missing football matches.
- Be vigilant - The culture of South Africa is very different to the UK, and despite the large police presence, you could still be taken for a rough ride by fraudsters or criminals, with South Africa having an annual murder rate of 37 per 100,000 people, compared to the UK’s 2.03. Don’t drink to excess to ensure that you stay fully in control. If you are unsure about anything, including promises of black market match tickets, stay on the safe side and don’t take a risk.
- Vaccinations – The NHS recommend that you get vaccinations for the following before travelling:
- typhoid
- hepatitis
- meningitis C
- tetanus, diphtheria, and polio (which are combined in one vaccine)
- Stay in large groups – keeping in a large group should ward off petty criminals and keep you safer on the streets. However, do watch out for pickpockets, as they can occasionally target larger groups of tourists. The Foreign and Commonwealth Office has a help page to assist you in making sure that your trip goes as smoothly as possible.
- Use a travel money card to avoid high exchange rates and keep your money secure – The FairFX Anywhere Card - www.fairfx.com - is an ideal way of getting great South Africa Rand exchange rates (6 to 10% better than airport travel money booths). At the moment FairFX are offering their Anywhere Card free-of-charge subject to a minimum load of just £10 which gets added to your balance.
Keep our travel advice for South Africa in mind as we’re sure that you’ll enjoy the trip of a lifetime. Just remember, make sure that you don’t end up having the cost of your trip spiral: buy South African Rand before you go, make a budget, and stick to it. You will have already paid enough for your tickets to the football in the South Africa World Cup 2010, and there is no need to break the bank. Tourism in South Africa is comparatively cheap, but make sure that you don’t spend over your budget.
Aside from all this, do make sure you still enjoy your trip!
Wednesday 24 March 2010, 12:01pm
“Traders are currently backing the Australian dollar, Euro and Sterling over the US dollar.
“The US dollar is trading lower across the board as global stock markets start the week on a positive note on the back of increasing investor risk appetite. The G20 meeting held over the weekend concluded that global stimulus efforts should remain in place. The Federal Reserve is expected to keep interest rates low for some time which will keep the pressure on the US dollar. Trading was interesting after Friday’s horrific US employment data lead to dollar buying pushing cable down to 1.6515 however any gains were swiftly lost as cable finished the day back above 1.66. This morning’s cable has traded to a high of 1.6843.
“Sterling is also holding its ground against the Euro, currently above 1.12. This week, on Wednesday, the Bank of England will publish its quarterly inflation report and analysts are expecting a more positive note for UK economic growth after last week’s extension of the bond purchase programme by only £25 billion.”
Wednesday 11 November 2009, 11:05am
Rishi Patel, analyst at FairFX.com, commenting on the MPC’s latest decision to boost the UK’s quantitative easing programme, said, “The Bank of England has raised the bond purchase plan by £25 billion to £200 billion. Sterling has spiked on the news from 1.65 to 1.66 against the US dollar and against the Euro, we’ve seen a similar move from 1.1110 to 1.1180. This is contrary to most analysts’ expectations, who were expecting a more substantial increase of £50 billion to the programme and is now the third increase since March – however, this represents a decrease in the rate at which the bank has been injecting money into the economy.
“Policymakers are desperately trying to revive the economy through quantitative easing - the fundamental concern is if an increase of £25 billion will be sufficient. As expected, benchmark interest rates have been held at a record low of 0.5% and against the major currencies, Sterling is continuing to hold firm at higher levels.”
FairFX.com is an internet based foreign exchange business with a technology platform that allows it to provide UK travellers with the best foreign exchange rates in the market.
Friday 06 November 2009, 04:02pm
Rishi Patel, Head of FX trading at FairFX.com, commenting today, said, “The Global equity sell off has prompted safe haven buying in currency markets. The US dollar rally has kept the pressure on the Euro and Sterling and investors will be taking a cautious stance ahead of the major central bank meetings. This morning the pound failed to find any real direction, and there is still some ambiguity as to whether the Bank of England will expand the quantitative easing programme and if so, how far?
"This week is likely to set the scene for where financial markets will finish the year as traders await key decisions from the Federal Reserve, the Bank of England and the European Central Bank. Although markets are not currently expecting a change in base rate by the Federal Reserve, all eyes are watching as traders begin to speculate on the direction of monetary policy.
"If the markets stay cautious we would expect the dollar to appreciate as the ‘safe haven’ currency of choice. And in the UK we could see pressure firmly back on Sterling if the widely debated extension to the Asset Purchase Facility is significant."
FairFX.com is an internet based foreign exchange business with a technology platform that allows it to provide UK travellers with the best foreign exchange rates in the market.
Tuesday 03 November 2009, 10:05am
• Luton and Birmingham UK’s most expensive airports for foreign currency purchases
• Holidaymakers could save up to 14% by purchasing their cash online
Travellers planning on hitting the slopes this October should beware when purchasing foreign currency, FairFX.com reveals. Holidaymakers who buy their foreign currency from the airport risk paying as much as 14 per cent more for their money if they leave it to the last minute.
Luton and Birmingham airports have been revealed to be the most expensive foreign exchange bureaux, charging unwitting travellers up to 14% more for their holiday money than if they had purchased it online.
FairFX.com’s analysis reveals the UK’s most expensive foreign exchange bureaux:
- Luton Airport- ICE
- Birmingham Airport- Travelex
- Stansted Airport- MoneyCorp
Many travel money providers claim they offer travellers 0 per cent commission but this hides the true margins they add – meaning travellers aren’t in the know and could end up sliding down a slippery slope of confusing charges and misleading advertising.
However, prepaid currency cards offer a different solution. They work just like a debit card but can be topped up via the internet or by text. The FairFX currency card offers rates for Euros and US dollars at less than one per cent margin above wholesale rates – i.e. giving all users ‘business’ level foreign exchange rates.
Stephen Heath, Chief Executive of FairFX.com, said: “To avoid the worst rates on the market, which are generally found in airports and train stations, travellers need to get organised. As Sterling continues sink against the Euro, exchange rates will continue to fluctuate, and as the pound is expected to be weak for some time to come it is more vital than ever that people take steps to get as much as they can. By preparing in advance and buying your currency online instead of using costly debit or credit cards for foreign spending, travellers will be able to get the most bang for their buck this half term.”
Wednesday 14 October 2009, 05:31pm
• Businesses can make substantial savings on employee spending overseas
FairFX, the online foreign currency provider, today announces the launch of its unique business expenses platform, bringing substantially better exchange rates and significant cost savings to the business travel market.
The business expenses platform will be offered in conjunction with the FairFX prepaid currency card (available in Euros and US Dollars). The Card is a MasterCard prepaid debit card that provides market leading foreign currency rates for UK travellers.
Stephen Heath, Chief Executive of FairFX, said: “We have almost reached parity between Sterling and the Euro, so it has never been more important that businesses get better value when spending overseas. The foreign exchange market has been opaque about costs for years. We launched FairFX.com in 2007 to challenge the status quo and bring better value and complete transparency to holidaymakers. Today’s launch, via FairFX.net, is about delivering the same promise to businesses.”
The Business Expenses platform provides the capability for employers to issue, load and monitor cards, as well as exercise better control over employees’ expenditure.
The key benefits of this platform vs. other Corporate Card services are:
• Substantial reduction in foreign exchange conversion charges
• Significantly lower expenditure on initial card acquisition and annual service fees, conventional cash advance fees and late payment penalties
• Large cost savings by eliminating uncontrolled employee expenditure
• Flexible reporting system including real time alerts/exception reporting
• Reduced resources and costs by streamlining expense control and reporting
The platform has been structured as a pyramid, allowing password controlled access to its functions and reporting as required by management. Thus, full or selective access can be provided at head office and departmental levels with tailored access at the individual level.
Stephen added: “It is the online reporting area that provides the real opportunities for reduction of wastage and improved cost control. The system provides online real-time detailed reporting by user and by transaction but also has the flexibility to provide real-time alerts on spending, cost centre allocation, expense reporting and client billing allocation.”
Typical corporate charge cards:
• £30 to £80 per card per annum
• Foreign exchange conversion fees of 2.75% to 4%
• ATM withdrawal fees of 2% to 4%
• Late payment charges based on very high interest rates
• Limited real time capabilities and general system flexibility
FairFX’s corporate card:
• A 1% foreign exchange cost
• A flat ATM withdrawal fee of €1.50 or $2 (levied by the ATM networks)
• A platform usage fee to be determined based on volume
• No late payment charges as cards are pre-funded
• No hidden charges
For further information, please visit www.fairfx.net
Thursday 01 October 2009, 10:59am
The pound has fallen significantly against the Euro and Dollar in the past 24 hours alone – falling from $1.6598 to £1 to $1.6479 to £1, and from €1.1366 to £1 to €1.1203 to £1.
Stephen Heath, Chief Executive of FairFX.com, said: “The value of Sterling fell dramatically yesterday morning after Mervyn King said the MPC will lower the deposit rates to free up lending between banks. We have now seen the pound take such a pummelling that you will get just $1.6479 or €1.1203 to £1.
“Anyone looking to buy their currency now should make sure they lock in the best rate for their holiday money or they could lose out on up to $95 or €70 for every £1,000 they spend.*”
FairFX offers customers market-leading exchange rates via either a pre-paid currency card or cash via their internet site: www.fairfx.com[http://www.fairfx.com].
Wednesday 16 September 2009, 10:55am
SO GET YOUR DOLLAR DEAL NOW BEFORE ITS GOING, GOING, GONE...
As the pound surges to a ten month high, anyone travelling to the States in the coming months could benefit from getting some of their travel money now, to lock in on the current rate of $1.67 for every £1 from FairFX.com.
Stephen Heath, Chief Executive of FairFX.com, said: “This surge in the value of the pound is good news not only for the UK economy, but also for British travellers planning to head across the pond. While still a long way below the $2 to £1 levels seen in July last year, the pound has rebounded 25% from the 23-year low of $1.35 it plummeted to in January this year.”
Don’t be fooled
Checking the exchange rate is very important as many travellers are misled by headline advertising for travel money such as “0% commission” or “no commission”, which often masks the true cost.
The true cost to consumers is not only the advertised commission rate, but also how many Dollars, Euros or other currencies they receive for each pound exchanged, namely the exchange rate. This can vary so much that some travellers, particularly if they use regional airports, could actually be paying up to 15% more than others.
Stephen Heath added: “No one likes to be fooled into buying something only to find out too late that they paid over the odds or that they have been stung by extra transaction costs when they return from their holiday. A good currency card gives travellers the choice about when they fund their trip, getting Dollars now could help someone to budget for a future holiday, or simply mean they’ve locked in the best rate available so far this year.”
FairFX offers customers market-leading exchange rates via either a pre-paid currency card or cash via their internet site: www.fairfx.com.
Tuesday 04 August 2009, 05:29pm
> Holiday makers could each lose out on over £120 this summer
> Regional airports rip off customers to the tune of 15%
Sun seekers heading abroad this summer could waste over £120* for every £1,000 of their holiday budget if they don’t buy their foreign currency from the cheapest provider.
As Britons look to stretch their holiday spending money that little bit further this year, FairFX.com are showing how using a prepaid currency card could give them an extra $209 or €143 for every £1,000 they spend.
Don’t be fooled
Unsurprisingly consumers are being misled by headline advertising for travel money such as “0% commission” or “no commission”, which often masks the true cost. Research shows that 44% of Britons think “0% commission” means the service is free, and almost six in 10 went on to base their travel money purchases on this misleading advertising.
The true cost to consumers is not only the advertised commission rate, but also how many Euros, Dollars or other currencies they receive for each pound exchanged, namely the exchange rate. In fact the true cost to consumers can range from 3% to 5% at High Street providers, 8% to 12% at London airports, and up to as much as 15% at some regional airports.
Stephen Heath, Chief Executive of FairFX.com, said: “No one likes to be fooled into buying something only to find out too late that they paid over the odds. ‘0%’ may well have become the standard advertising tag for currency providers, but savvy holidaymakers still have time to make the most of their holiday budget this summer.
“A prepaid card will give travellers not only the best rate available, but also added piece of mind. However, for those who want to take cash, make sure you shop around, by pre-ordering it online they could have an extra $209 or €143 with them when they jet off.”
Monday 29 June 2009, 05:30pm
Latest Posts
27 May 2010, 10:35am
24 March 2010, 12:01pm
11 November 2009, 11:05am
06 November 2009, 04:02pm
03 November 2009, 10:05am
14 October 2009, 05:31pm
01 October 2009, 10:59am
16 September 2009, 10:55am
04 August 2009, 05:29pm
29 June 2009, 05:30pm
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