A Spot Contract refers to a currency exchange contract that takes place ‘on the spot.’ In foreign exchange, they also refer to it as an FX Spot. The client selects a currency pair and amount, and the provider then settles on a spot date. The spot date is a maximum of two business days from the day the client traded.
The XE platform offers a view of the live markets globally. The client can lock their rate and directly affect quick and immediate transfers from the XE app via phone or PC. Clients can send the payment to XE via ACH, wire transfer, and credit card. Spot Contracts with XE are great for sending mass payments, and the payments are fully automated. It should be noted, however, that clients must accept the current rate offered.
The Currencies Direct interface is user-friendly and a quick solution for making urgent international payments with a Spot Contract. All live markets are displayed – the client can complete the transaction online and track the progress of each payment. Once the client agrees to the rate, a Currencies Direct account manager must confirm each transaction. There are no additional charges (the live rate offered is what will land in the receiving account), and Spot Contracts with Currencies Direct integrate with existing accounting software (and will pull through to payables and reporting).
OFX offers customized Spot Contract solutions for businesses of various sizes. They don’t charge any additional service fees and have one fixed flat rate for all international transfers (offering lower mid-market rates than traditional providers). When compiling this review, it was $15 for payments smaller than $10,000 and free for larger amounts. With OFX, the Spot Contracts are offered to 190 countries in 55 different currencies. No credit card payments may fund international transfers.
WorldFirst offers an all-inclusive, user-friendly mobile app for quick access to securing Spot Contracts. It has live access to currency markets and a dedicated team of experts that continuously finds the best possible rates. They only accept wire transfer payments and complete a Spot Contract within two days of receiving client funds. WorldFirst has a sliding scale for transparent transfer cost – between 0.15% and a max of 0.5%. It’s important to note that there is a minimum transfer amount of $1,000.
Bill.com offers currency pairs among 130 countries from one convenient platform. The platform provides local USD transfers at low rates, making it an all-in-one payment solution for US companies. Clients can pre-load all vendors onto the platform for quick transfers. All international transfers, regardless of amount, cost no more than $9.99 at the time of compiling this review. The Bill.com option is more affordable than most forex traders, and there is integration with popular accounting software platforms (e.g. Quickbooks, Sage). There is not, however, integration with credit card payments.
A Spot Contract is the most commonly used method for sending international payments. Choosing a provider that delivers a user-friendly and automated platform enables the business to send urgent payments at competitive rates without delay. Go To Full Comparison