If you have ever tried to send money back home to Pakistan from the UK, you know that the exchange rates can make or break the amount your loved ones or you send.
The prices of different currencies are very volatile, meaning they fluctuate quite often. It’s important to understand how these changes affect your remittances
Here is your guide on how the UK pound vs Pakistani Rupee affects money transfer
What is Currency Conversion?
Let’s start with the basics: currency conversion. Simply put, it’s the process of exchanging one currency for another. If you’re in the UK and want to send money to Pakistan, you need to convert your GBP into PKR.
Sounds simple enough, right? But here’s the twist: exchange rates aren’t fixed; they fluctuate every day based on market conditions, economic factors, and global events.
What are exchange rates and how do they affect the money transfer?
Exchange rates are the value of one currency compared to another. They change based on a bunch of factors such as supply and demand, that are usually way above our paygrade (but crucial to know, nonetheless).
Let’s break it down:
- When the GBP is strong, you get more PKR per pound.
- When the GBP is weak, the value of the pound decreases, and your recipient gets fewer rupees for the same amount of money.
Why Does This Matter for Your Transfer?
If you’re sending money to support your family, pay bills, or make a purchase in Pakistan, you want to make sure you’re getting the best rate possible.
A little planning ahead can ensure your family gets more money, rather than losing out to unfavorable rates and high transfer fees.
Don’t forget to check live exchange rates to ensure you’re getting the most out of your transfer.
This visual will help you better understand what you are sending from the Uk and what they are receiving in Pakistan.
The Value of the Pakistani Rupee Against the UK Pound
The Pakistani Rupee (PKR) is weaker compared to the UK Pound (GBP), but the gap between these two currencies has widened over the years due to factors like inflation, political changes, and shifts in the global economy.
Historically, the GBP has been much stronger than the PKR, meaning when you exchange your pounds, your family in Pakistan gets more rupees.
How to Send Money Internationally?
If you are looking for a way to send money internationally, you’ll probably try to send it through a bank, but let me tell you why banks are ripping you off.
- Banks sneak in hidden fees and service charges which are basically charges they charge because they can.
- They offer unfavorable exchange rates
- Their delivery is slow and takes almost 3-5 business days.
So what is the alternative? I’m glad you asked. TangoPay has taken the market by storm with its hassle free remittance options. TangoPay provides:
- Zero Fees
- Seamless, Encrypted and Secure Transfers
- 24/7 customer service
- Competitive exchange rates
So if you want to save your money and time, then download the TangoPay App and follow these three simple steps:
- Create your TangoPay account:
Sign up to create an account and provide all the information required.
- Set up your transfer:
Once signed up, tap “Send money” and provide your recipient’s details.
- Pay:
Select the payment method, review the transfer, and pay us. Your transfer is completed.
How Much Will My Family or Friends Receive?
Here is the real question, how much will my loved ones receive after you send your money?
The exchange rate plays its part here, let’s suppose:
If you send £100 at 1 GBP = 375 PKR, your family gets 37,500 PKR.
If the rate drops to 1 GBP = 350 PKR, they’ll only receive 35,000 PKR.
That’s a big difference! So choosing services and timings that get you a favorable currency exchange is essential to make the most out of your transfers.
Conclusion
The exchange rate between the UK Pound and Pakistani Rupee plays a huge role in how much money your family will receive when you send a transfer. You can play the exchange rate to your advantage by checking rates, understanding the market and choosing services like TangoPay.
So, the next time you need to make a transfer, remember: a little knowledge goes a long way.
May the exchange rate odds be ever in your favor!
Make every pound count, use TangoPay for your next money transfer!
