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Do you send your money back home each month?

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  1. #11

    Join Date
    Feb 2012
    Posts
    411

    I don't have anything to add about GBP or AUD, but until recently I kept any money I had in my mortgage linked savings plan. My last mortgage was 2.15% and now my mortgage rate is 2.35%. 2.35% is a decent return for money that's very liquid, but for long term money (10+ years) I think a US and/or Global total stock market low cost (0-0.06%) fund (ETF or mutual fund) is the best way to go, but many smart people say to diversify with a bond fund up to a ratio that matches your risk tolerance.

    I think Schwab is great for US Citizens, but others are good too. With Schwab I send money to their Citibank N.A. HK account, and for a super-low total fee they'll convert it to USD and put it into my Schwab brokerage account within one business day. I first use HSBC to transfer HKD to Schwab's Citibank N.A. HKD account for free. This method is cheaper than anything else I've found, and I hate fees.

    Good luck figuring out what works best for you.

    LukeUk likes this.

  2. #12

    Join Date
    Feb 2009
    Posts
    8,280
    Quote Originally Posted by chuckster007:
    you need to search and read what @bdw has to say on milking money from HK and transferring it to AUD in his case but should be the same for GBP
    Yeah I used to to have no savings in HK. in fact even borrow lots of money such as overdraft, tax loan, etc so I have negative savings, I was paying less than 2% in interest in HK, then transfer the money to Aus where I could repay my mortgage that used to be around 4.6%.

    But this doesn't work anymore. In the last 18 months, Aus interest rates have more than halved while HK rates have stayed the same. You can get mortgages in Australia now as low as 2.09% which is lower than HK.I'm refinancing now in Aus with all the bells and whistles @ 2.29% and then redrawing the equity I have built up so I can buy a block of land to build on.
    chuckster007 likes this.