Currency Forward Contract
Lock in your exchange rate. Know what’s ahead.
Fix an exchange rate for a future transfer with an OFX Forward Contract. Get more certainty over what your money will be worth when it’s time to transfer.
Buying or selling property.
Know what your money will be worth when it’s time to settle on a property purchase or bring the proceeds of a sale home.
Selling international shares.
If you’re planning to cash out international shares or investments, lock in your rate ahead of time for an eligible future transfer.
Making regular international payments.
Planning for tuition, mortgage payments or other known expenses? Secure your rate to make future costs more predictable.
Making a large purchase.
Buying a car, boat, artwork or another high-value item across borders? Know your rate before your payment is due.
What is a Forward Contract?
A Forward Contract lets you lock in an exchange rate today for an agreed amount you plan to transfer in the future.
With OFX, you can lock in a rate for an eligible transfer from five days to 12 months in advance. This can give you more certainty over how much you’ll send or receive, even if exchange rates move before your transfer date.
The benefits of an OFX Forward Contract.
Future protection.
Fix all, or a portion of your known FX costs for the year ahead.
Experienced specialists.
Tap into 25+ years of FX experience with 24/7 OFX specialist support.
Great rates.
Lock in rates between 15 currencies, including AUD, CAD, CHF, DKK, EUR, CZK, GBP, HKD, JPY, NOK, NZD, PLN, SEK, SGD, and USD. Plus MXN for pay out only.
Currency certainty.
Know your rate in advance, so market movements don’t blow your budget.
The benefits of an OFX Forward Contract
Contact an OFX specialist to book your Forward Contract.
Our OFX Specialists are here 24/7 to help you lock in an exchange rate today.
Forward Contracts FAQs
Can everyone set up a Forward Contract?
Forward Contracts are subject to eligibility and availability, which can vary by market. Your first Forward Contract is booked over the phone with an OFX Specialist, who will explain how the contract works and the risks involved before you confirm.
How is a Forward Contract rate calculated?
Your Forward Contract rate is based on the current spot rate, the interest rate difference between the two currencies and the length of your contract. An OFX margin also applies.
Do I need to pay a deposit when I book a Forward Contract?
Yes. Individual clients are generally required to pay a 10% deposit when booking a Forward Contract. The deposit forms part of your payment, with the remaining balance due before the contract’s maturity date. You may also be required to make an additional deposit if exchange rates move significantly after you book.
Can I use part of my Forward Contract before it matures?
You may be able to use part of your Forward Contract before the maturity date. This is known as a pre-delivery and allows you to use a portion of the contracted amount when you need it.
Can I change the date of my Forward Contract?
You may be able to bring your delivery date forward or extend it, up to the 12-month maximum. Your exchange rate may be adjusted depending on how the date changes. Speak with an OFX Specialist to discuss your options.
What happens if exchange rates improve after I book?
Once you book a Forward Contract, you’re committed to the agreed rate. This means you won’t benefit if the market moves in your favour before your maturity date. If the market moves against you, the rate you agreed remains locked in.
What happens if exchange rates improve after I book?
Once you book a Forward Contract, you’re committed to the agreed rate. This means you won’t benefit if the market moves in your favour before your maturity date. If the market moves against you, the rate you agreed remains locked in.
What happens when my Forward Contract reaches its maturity date?
You’ll need to settle the full contracted amount on or before the maturity date. Any deposit you’ve already paid forms part of this amount, so you’ll pay the remaining balance before settlement.
What if I no longer need my Forward Contract?
A Forward Contract is a binding agreement, so contact an OFX Specialist as soon as possible if your circumstances change. You may be responsible for losses or additional costs if you’re unable to settle the contract as agreed.
Is there a minimum amount for a Forward Contract?
Forward Contracts typically start at €10,000 but lower amounts may be considered.