Relocated from Bangladesh to settle in a new country? One of your big concerns may be to provide financial support for loved ones back home. But you may also be wondering about fees, exchange rates, and how to get the most taka for your money when you make remittances.
Picking the right transfer method is crucial. But it’s also good to have a more general understanding of the different elements you should factor in when sending money to Bangladesh. Here’s everything you need to know when converting pounds, dollars, euros or any other currency to taka.
Currency exchange explained
To know what the current value of Bangladeshi takas is, you need to check the exchange rate. This will show you how takas measure up against your current country’s currency. Say you’ve settled into a new life in the United States – checking the exchange rate may show that 1 USD = 86.25 BDT.
This simply means that one US dollar equates to 86.25 taka at this precise moment in time. Exchange rates can and do fluctuate, so that making the same transfer at another point in time might get you 85 taka, or 89 taka – you get the idea. Factors that can influence these fluctuations include:
- Interest rates
- Inflation rates
- Political and economic stability
- Government debt
- Trade deficits
- Currency demand
If, say, there’s a rise in demand for Bangladeshi exports, or a major election, or a natural disaster – any such events can have a real impact on the exchange rate. The golden rule to remember is that sending money to Bangladesh can cost you different amounts from transfer to transfer.
Fortunately, making wise and frugal money transfers doesn’t necessarily mean keeping up with the latest decisions made by the Bangladesh Bank or Prime Minister Sheikh Hasina’s cabinet. Doing some research and choosing a fairly-priced remittance company can make all the difference if you want to find a cheap way to send money to those you care about.
Sending money to Bangladesh: converting to taka
Gearing up to convert dollars, euros, pounds or another currency to Bangladeshi takas? There are two main options: to do it through your bank, or a specialist money transfer company.
Bank: It’s natural to consider your bank for making a transfer, whether it’s USD to BDT, EUR to BDT, GBP to BDT, or any other exchange. It requires little effort as your money’s already there in your account, and you won’t need to create an account anywhere else.
Specialist transfer company: If getting the most taka for your money is a priority for you, it’s well worth considering a specialist money transfer company. These days, there are online-only services that don’t have to pay running costs for physical retailers. This means they can pass on those savings to their customers, in the form of lower fees.