Currency Exchange

Keeping this one notion in mind while attempting to do a deal will save you days or even weeks of headaches.

Many Brokers and agents who are new to this type of transaction think they can substitute the procedures of the EURO provider, or even their own procedures for those of the USD platform Provider.

This is simply not true.

Worse..it is a waste your time and the USD providers time, the procedures do not change! For more information on Understanding why the procedures are the way the are see: The European Money Laundering Directive Also, see this document on the Post 9/11 Realities of doing a currency exchange.

The procedures for doing USD to EURO exchange via the US Fed are strict but manageable, and for the expected yield on your investment in time more than reasonable.
If you are an agent for a Euro provider, please impress on your client that :

•       following the procedures,

•       providing the requested documents up front to be submitted to the USD mandate

•       waiting for due diligence to complete BEFORE your request to do and exchange is accepted

•       above all…be patient with the process

See the basic List of Files needed to
do most USD Deals Below.

1- Signed contract with IMFPA;
2- CIS (Client Information Sheet)
3- Letter of the Mandate authority,
4- Corporate Resolution
5- History of funds
6- Passport copy of the Euro Provider 140% size
7- Passport copy of the Euro Mandate 140% size
8- Non Solicitation Letter
9- Letter of Intent
10- About POF

To get A Blue Screen Transaction
done you need to send at least:

CIS, Passport page,
scanned withdrawal sheet for $1000.00
no older than 7 days,
tear sheet from Euro Providers account.

In any case please make sure your docs are fresh…
Dated no more than 48 hours from the time you send them.

 
The procedures are part of the process, they are not made up on the spot, nor are they negotiable .

Any serious EURO provider will understand and appreciate this set of conditions, if your Euro provider does not, then you may be wasting your time with them.

Those who are successful at these USD to EURO transactions are usually the ones where the EURO provider really wants to do the deal to acquire the USD and is capable of doing the first traunch at the appointed hour during the cycle of the deal.

In deals like these men tend to forget where their interests lay, they let them selves be carried off the mark by their egos or anger, they think they can strong-arm and make demands, these types of transaction do not work that way.

You have been there many before and seen it all, the deal you worked on for weeks blown away by anger and hurt feelings. USD to EURO exchanges are not for the faint of heart.
If USD deals were easy, everyone would be doing them!

As a Mandate, Screener or Broker of EURO providers, it is vital that you anchor your position in these deals by standing firm with your Euro contacts and insist that they honor the system in to which they want to enter in order to close a deal. The Euro provider is petitioning the USD provider to exchange US Dollars for Euro, this is a REQUEST and as such must be addressed within the protocols of the activity.
In the case of the USD provider, it is simple, It is their money and their rules. The FED is not going to bend it’s rules for anyone.

Do not let the lure of fast money make you think that you can demand that the rules be changed, no matter how you argue the point the procedures will not change. Accept this and you shall succeed.