Frequently asked Questions

Global currency transfers

a) How it works

1. How does Velocity Trade transfer my money around the world?
We transfer your money around the world using our LatitudeGT money transfer platform. This platform is connected to some of the world’s largest banks to which we are linked, that provide you with top security and with the best exchange rates when transferring your money. The platform works like a bank’s transfer system in that you deposit the money you would like to transfer into a Velocity Trade account and the money is then sent to the bank account that you have nominated. Our system is efficient so we can absorb any transfer fees to transfer the money to us and those that banks typically charge for international transfers, nor do we apply a large mark-up to the exchange rate.

2. Who should use the LatitudeGT platform?
Anyone who needs to transfer money to a bank account in another country can benefit from using the services we offer. Our clients include large multi-national corporations, together with, small businesses who need to pay offshore suppliers. Clients also include individual expatriates sending money back home, international homeowners, and international students. Whether it's a small amount of money transferred frequently or a larger one-off transaction, you're better off with our LatitudeGT platform. * Minimum transaction size is NZD$4,000 or equivalent in other countries.

3. Why is Velocity Trade better than a bank?

1. Cheaper Banks typically make money from global transfers by charging large transfer fees, and adding a hefty margin to the exchange rate they offer you. Velocity Trade charges no direct fees and applies only a very small margin on the exchange rates we offer you, which means you save money.
2. Easier and faster Our online system makes it a lot easier and a lot faster for you to make global transfers.

• Standard bank experience: Wait for the bank to open, fill out multiple forms and stand in line or keying your way through the bank's automated phone system and being told how much they value your call while you wait on hold indefinitely. It can take you up to an hour or more to finalise one simple currency transfer transaction.
• The Velocity Trade experience. Go online at your convenience, pick the currency and book a transfer in a few easy steps. The entire process usually takes less than two minutes, and once it's complete you can track its progress online at any time.

4. How does the LatitudeGT platform work?
Transferring money around the globe should be as easy as making a booking at a restaurant. With LatitudeGT, it is. Once you've set up your account with us, you can go online anywhere and anytime, enter your username and password and book a transfer in four easy steps.

1. Choose the rate you get when the rate is best! When the platform is showing a favourable rate, click Accept to lock it in or put in an order with us to execute your transfer when a certain rate you want is acheived.

2. Then set up the transfer by telling the LatitudeGT platform what you're sending, where it's going, who it's going to and the platform.

3. Send the money to our Velocity Trade account- based on which currency you are transferring, the LatitudeGT platform will tell you which of our on-shore accounts to send your money to (at no cost).

4. When we receive your money in our account, we immediately transfer it to its destination as previously specified by you (at no cost), and the money is received at its final destination!

We monitor the transactions to ensure security and we can assist you in executing any of your transactions. We confirm all your transactions by e-mail or online as well as you can track the progress of your transactions online in real time.

See more about how it works here

b) Getting started: opening a LatitudeGT account

1. What do I need to do before I can make a currency transfer?
To make a currency transfer, you need to first set up an account with us. 

1. You must have read, understood and agreed to the Currency Transfers Terms and Conditions of the Velocity Trade: 
   Product Disclosure Statement (Physical)
   Financial Services Guide
   Client Agreemennt
2. You must complete the online LatitudeGT application including providing us with your Proof of Identity and Proof of Address and have had a brief discussion with a Velocity Trade Client Service Representative, either by phone or in-person.

 2. How do I set up an account?

1. Online form. Click on the Open Account button and follow the instructions to complete the online application form including uploading one copy of proof of identity (driver's license, passport) and one copy of proof of address (utility or phone bill). It shouldn't take you more than 5 minutes but please take care to fill in the form as accurately as possible, as this will enable us to process your application more efficiently.
2. Identification. Once we have received your application and documents of identification, we will call you to discuss with you your individual requirements in order for us to satisfy our Know-Your-Client policy for the safety of both the client and of Velocity Trade. 
3. Confirmation. Once approved as a Velocity Trade client, you will receive an email and/or a call from a Velocity Trade Client Service Representative to help you get started. We will also provide you with your username and password which gives you secure access to the LatitudeGT - Global Transfer platform.

3. What information and documents are required to open an account?
If you are opening an account, you will need to provide a copy of two forms of identification:

• Proof of identity (e.g. drivers licence, passport)
• Proof of residential address (e.g. phone bill, utility bill)

4. How long will it take once I submit my form to have an account?
Normally within 24 hours from receipt of ID & proof of residential address.

5. When can I start making transfers?
Once your ID is confirmed and your Velocity Trade Client Service Representative has processed your account opening form, you can start transferring funds immediately.

6. Why do you need so much information about me?
We are required by law to ensure we know enough about you to ensure the products and services we offer you are appropriate. We are also governed by Anti-Money Laundering and Counter Terrorism Financing Regulations that require us to precisely identify you before opening your account.

7. Why does Velocity Trade need so much information about payees?
A payee is a bank account in which you are sending money to. We ask only for the minimum information we need in order to ensure we can perform the transfer efficiently and to fulfill our legal obligations.

8. Why do you need my email address?
Email is the primary way we communicate with you. We use your email address to tell you when your account has been opened, to provide you with your login information and to send you your trading software. Under the Unsolicited Electronic Messages Act 2007 we are obliged to inform you that by passing us your email address you are giving us permission to contact you in relation to other products and marketing material from Velocity Trade. If you do not want to receive this information click un-subscribe at the bottom of the e-mail.

9. Why do you need my telephone number?
To give you great service. If you phone us from one of the numbers you provide, our system will automatically bring up your file, so the person you speak to will be ready to help you. This also gives us another point of contact to discuss urgent requirements, should it be necessary.

10. If I don't agree to allow you to send me marketing information, can I still open an account?
Yes, you can still open an account, but you may miss out on information that is beneficial to you. We have no intention of bombarding you with irrelevant information, but under New Zealand law we need your permission to send you any additional information at all. 

c) Making a global currency transfer

1. How much does it cost to make a currency transfer?
We charge no fees to execute your transfer or to run your LatitudeGT account. Our costs are covered by the small margin that is placed on the exchange rate we offer you.   

2. What is a margin?
Velocity Trade has access to wholesale interbank pricing which provides us with the most competitive exchange rates around that we then offer to you. Our revenue comes from a small margin that is applied to the exchange rate depending on the size of the transfer and the currency pair. The margin we apply is on average about 0.3% which is much smaller than the margin applied by banks which is about 2.5%. Our online platform allows us to operate efficiently with little overhead which is how we are able to execute international money transfers at such low costs and pass these savings on to you.

3. Is there a monthly fee or any other fees?
There are no monthly fees or any other fees; once the funds are within our network there are no fees charged by Velocity Trade.

4. Is my money safe with Velocity Trade?
Yes. In order for us to deliver the money you want to transfer; you must first deposit the required funds in to your Velocity Trade client account. We've established the best possible system for handling your money, providing both security and accessibility. Your account can only be used by us to exchange currencies, and only in accordance with your instructions. Read more on how we handle your money here

5. Can I send money to my own bank account in another country?
Yes. You simply have to set up your overseas account as a payee.

6. How long do transfers take?
The time it takes to complete a transfer depends on the banks around the world that process it. Generally speaking, transactions during business hours will take 2-3 business days from when you send us your funds. We can't guarantee transfer times so we do advise our clients to set up transfers well ahead of any deadlines. See more on tracking your currency transfers here

7. Can I set up urgent transfers?
Velocity Trade does not offer urgent transfers at this time. We may be able to facilitate a faster transfer than normal but it will rely on you getting your cleared funds to our account as soon as possible.

8. What happens if I make a mistake when I make a deal?
Our system has been designed to minimise the chance of making a mistake. You'll always be prompted as to whether to accept or decline the exchange rates we offer you. When you accept, however, you enter into a binding contract. If you make a mistake you will then need to make an equal and opposite deal to cancel the mistake. If you have any further questions please contact us. For full details and further explanation please refer to our Currency Transfers Product Disclosure Statement (Physical).

9. Can I also do currency transfers by phone?
With Velocity Trade, the choice is yours. You can trade online or over the phone during opening hours, all at the same great rates, and of course with no fees.

10. Can I get a third party to deposit the funds required to make a transfer?
Yes. We require you to confirm the third party that will be depositing funds on your behalf; and according to our Know-Your-Customer policy, we require the third party to provide proof of identity and proof of residential address. 

11. In which currencies can Velocity Trade arrange my transfer?
We offer all commonly traded currencies. For a full list see what we offer.

d) Depositing & Arrival of Funds 

1. How do I deposit funds?
Once you have opened an account and put through a deal for a currency transfer, the LatitudeGT platform will inform you of which of our bank accounts to transfer your funds to. This bank account will depend on the currencies in which your deal is made. You can transfer your money to this account by doing a bank transfer, sending a cheque or depositing money at a bank branch. Learn more

2. When will payment be transferred?
Once your money has been received at our Velocity Trade bank account it will then be transferred via SWIFT to the receiving bank account as nominated by you.

3. How do I know when Velocity Trade has received my money?

• Payments made in NZD from an ASB or BNZ account or an AUD payment from a CBA account are processed intra-day and should be credited to your trading account in 2-3 hours.
• Transfers from other NZ banks are transferred overnight and should show up in your trading account the next morning.
• International transfers made via SWIFT can take one or more days for us to receive the cleared funds, depending on your bank and what correspondents they use. Your bank will likely charge you for this service, please check with them for a list of fees and charges.

4. How long will it take to make the global currency transfer?
In our experience, most payments take 2-3 business days to be transferred. NZD and AUD transfers can take less, sometimes with overnight arrival. We cannot guarantee exact transfer times as transfers are made overseas by various banks and so the exact arrival of your funds is determined by the speed and relationships of the two banks involved in the currency transfer. We recommend that you set up transfers well in advance of any payment deadlines to ensure timely arrival of your funds.

5. How do I know when the payee has received my transferred funds?
If the final receiving account is an account held by you, simply check your receiving account to see if the funds have arrived. If the final receiving account is an account not held by you but instead held by another person or company, and the funds have not been received after 3 days, please have someone contact us please call us at +64 9 918 8310 or email at admin@velocitytrade.co.nz and we will locate your funds immediately. 

Learn more about tracking my money transfer here 

e) General questions about foreign exchange

1. What is a Foreign Exchange contract?
A foreign exchange contract (also referred to as FX or Forex) means a contract to buy or sell currency or to exchange one currency for another by simultaneously buying one currency and selling another. The foreign exchange market, where foreign exchange contracts are traded, is the largest financial market in the world, and is central to cross-border transactions and country-to-country business.

2. Who are the participants in the FX market?
The FX market has historically been dominated by the banks, including central banks, commercial banks, and investment banks. However, the number of other participants is growing rapidly, and now includes large multinational corporations, global money managers, futures and options traders, and private speculators. Velocity Trade gives you and your business the ability to be a participant in this market too. With tight pricing and zero fees, Velocity Trade gives you access to our great exchange rates for all your Forex requirements.

3. When is the FX market open for trading?
The FX market trades 24 hours a day from Monday 7.00am NZT 5.00am AEST to Friday 5.00pm New York time.
FX trading begins each day in Australia/New Zealand, and moves around the globe as the business day begins in each financial centre: first to Tokyo, then London, then New York. Unlike other financial markets, investors can respond to currency fluctuations caused by economic, social and political events at the time they occur - day or night. Velocity Trade's online trading hours are slightly varied between summer and winter months. Opening hours are Monday NZT 8.00am (6.00am Sydney) to Saturday NZT 11.00am (9.00am Sydney).

4. What factors determine currency prices?
Currency prices, also known as exchange rates, are affected by a wide variety of economic and political conditions. The most important factors are interest rates, inflation and political stability. Due to their relatively small economies, Australia and New Zealand have difficult markets in terms of liquidity, so spreads and volatility may be significant during these sessions. Any of these factors, as well as large market orders, can cause high volatility in currency prices. However, the size and volume of the FX market makes it impossible for any one entity to affect the market significantly for any length of time.

5. How often do currency prices change?
In the foreign exchange market, exchange rates change continually. Traditionally, however, money transfer companies - banks included - set their exchange rate only once a day, adding a large margin on what they pay to cover any price movements that occur during the rest of the day. By contrast, Velocity Trade's exchange rates are live, fluctuating on a real-time basis throughout the day, reflecting the underlying market activity. So, to make a transaction profitable to us (and cover our costs) we only need to apply a small margin to the rate in the underlying market at the minute you transact. You reap the benefits.

6. What kind of global transfer deals does Velocity Trade support?

Spot - buying a foreign currency at a rate being offered now, for immediate transfer. You then have up to two days to settle (pay the full amount) at this rate. Once cleared funds are received, the transfer process will be initiated.

Forward - buying foreign currency at a rate offered now, but to be transferred at a later date. In this case you are normally required to make partial payment (typically 10%) within two days, and then pay the remainder at the time of transfer. However, if there is an adverse movement in the value of your outstanding forward contract, your pre-payment or deposit may need 'topping up' before the transfer date. We will contact you in this event, if you have any further questions please contact us.

7. How are forward rates calculated?
The forward exchange rate is calculated by using the current exchange rate and interest rates for the two currencies and the time or length of the contract. The forward exchange rate is a function of the current exchange rate and interest rates of the two currencies involved and is not a forecast of the future direction of the exchange rate.

f) Technical Support: LatitudeGT

1. I've forgotten my Latitude GT password or my password doesn't work.
Simply call us and we'll verify your identity by asking you the security question you selected in the account opening process and re-issue you a new password.

New Zealand: 0508 287 736 (0508 CURRENCY)
International: +64 9 918 8312
Email: admin@velocitytrade.co.nz

2. I have not received my Velocity Trade client number and user name confirmation e-mail.
Your spam filters may have blocked or filtered out our email. To avoid this, add 'admin@velocitytrade.com' to your address book which will allow emails from us to get through. If you suspect this has happened, request a resend from us by phone on 0508 CURRENCY (0508 287736) or by email to admin@velocitytrade.co.nz.