Private individuals transact their foreign exchange through their bank branches who do not have access to the interbank market. These bank branches are only in a position to offer their clients retail rates which are extremely uncompetitive and usually on a huge spread which is then passed onto unsuspecting clients. In addition to the huge spreads being offered by these banks, they will also charge their clients a transfer fee as well as commission. Clients may also then have to pay a deposit fee at the bank receiving their money abroad.

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