Businesses will get more certainty around international money transfers (IMTs) as the Commonwealth Bank announced that it would be swallowing the fees paid by the correspondent banks on FX transfers* to its commercial customers. Encouraging more significant international trade and activity, today’s announcement is incredibly substantial for payments to business partners and suppliers where precise amounts of transfers are required.
By having the CBA absorb the correspondent fees for the inter-currency IMT, businesses will enjoy cost reductions and complexity, improved risk management in the currency market and transparency of fees.
IMT supports the needs of our customers and communities, which is why it continuously looks for ways to improve. For example, customers tell them that they want simpler payments, and specifically, they think it is essential for them to have more certainty about what will be received. This change gives their enterprise customers this certainty, eliminates the complications, and lowers the costs of sending IMT, so enterprises can manage risks better and improve profitability.