When to cash in foreign currency

[Jeff6146]

I have almost One Million Iraqi Dinar of the new currency and one day (sporadically) a year it jumps from around 1430 dinar:1 American Dollar to about 160:1; which is about $9K. I’ve been trying to wait until it got closer to 1:1 but I’ve held onto it since 2004 with the same outcome every year. Does anyone have any advice or knowledge about how to cash in on this small fortune? I forgot to mention that when the US invaded Iraq the exchange rate was 1 dinar:3.54 American dollars.

 

[RunningBum]

The 5 yr chart shows a range of slightly under 1100 to a little above 1200. https://www.xe.com/currencycharts/?from=USD&to=IQD&view=5Y
10 year chart is no different.

Currently it's about $835.

Most people view speculating in forex as risky and hard to predict. Anyone telling you otherwise is fooling themselves. It would seem that you aren't very well informed on this. What is your source to show such huge swings?

So you've got less than $1000 invested, so it's not much of a risk to hold and see if it gets worth more, as long as you don't mind losing that money if it gets worse.

 

[Go-NoGo]

The 5 yr chart shows a range of slightly under 1100 to a little above 1200. https://www.xe.com/currencycharts/?from=USD&to=IQD&view=5Y
10 year chart is no different.

Currently it's about $835.

Most people view speculating in forex as risky and hard to predict. Anyone telling you otherwise is fooling themselves. It would seem that you aren't very well informed on this. What is your source to show such huge swings?

So you've got less than $1000 invested, so it's not much of a risk to hold and see if it gets worth more, as long as you don't mind losing that money if it gets worse.

I remember finding a 100 Trillion Zimbabwe dollar note in a geocache many years ago - made my day. I was hoping it was worth a couple of bucks when I found it - no such luck after getting back home and checking its value. Made for a great gift for my very young nephew ! Good times

 

[YVRRocketSurgery]

Isn't there some kind of crazy Iraqi dinar scam that's been going around for a few years now?

 

[ckelly78z]

I have been curious about some cash I had from Trinidad on a 2005 trip...about the equivalent of $100 American, just not sure where to exchange.

 

[COcheesehead]

I have been curious about some cash I had from Trinidad on a 2005 trip...about the equivalent of $100 American, just not sure where to exchange.

Just google "foreign money exchanges near me" and add your zip code.

 

[HI Bill]

I have been curious about some cash I had from Trinidad on a 2005 trip...about the equivalent of $100 American, just not sure where to exchange.

If you have a brick-and-mortar bank, they should exchange the bills (not the coins).

 

[COcheesehead]

If you have a brick-and-mortar bank, they should exchange the bills (not the coins).

Not necessarily. You may have to go to a main branch. The neighborhood branches may not offer the service.

 

[HI Bill]

Not necessarily. You may have to go to a main branch. The neighborhood branches may not offer the service.

Possibly. I went to the main branch of my bank to 'buy' New Zealand dollars, and I had to wait a day for them to move them before I could pick them up.

Side note: I found out (too late) that Bank of America has a service, where if you have coins you don't want to count, you can bring them to the bank. They place them in a plastic bag, send them to San Francisco, and they're counted there, and then your account is credited. Not quite CoinStar, but there was no fee.

 

[NYEXPAT]

I would just hold them till my next vacation over there!

 

[COcheesehead]

Possibly. I went to the main branch of my bank to 'buy' New Zealand dollars, and I had to wait a day for them to move them before I could pick them up.

Side note: I found out (too late) that Bank of America has a service, where if you have coins you don't want to count, you can bring them to the bank. They place them in a plastic bag, send them to San Francisco, and they're counted there, and then your account is credited. Not quite CoinStar, but there was no fee.

Even a main branch may have to obtain fringe currencies from another source.

 

[COcheesehead]

I would just hold them till my next vacation over there!

That's what we do with Euros. We hold whatever we have left for the next trip. Its not worth taking the hit on two exchanges. Its also nice to get off the plane and have some money in your pocket for a coffee.

 

[Jeff6146]

The 5 yr chart shows a range of slightly under 1100 to a little above 1200. https://www.xe.com/currencycharts/?from=USD&to=IQD&view=5Y
10 year chart is no different.

Currently it's about $835.

Most people view speculating in forex as risky and hard to predict. Anyone telling you otherwise is fooling themselves. It would seem that you aren't very well informed on this. What is your source to show such huge swings?

So you've got less than $1000 invested, so it's not much of a risk to hold and see if it gets worth more, as long as you don't mind losing that money if it gets worse.

Well this is just an examp,e of a one year time. One day, 1150’s the next about 100. Then the next right back up. Happens once every year. I can’t explain it but right there it is. I have a friend of mine here in Texas 5hat manages 15 or 20 branches under the same bank. He said yes it’s true, but you’ll have to find the exact time and day of the year. He said it’s not an all day thing either. His bank doesn’t do the foreign currencies exchange. He said find a good investment banker or a stick holder but it’ll cost.

 

[Jeff6146]

Well this is just an examp,e of a one year time. One day, 1150’s the next about 100. Then the next right back up. Happens once every year. I can’t explain it but right there it is. I have a friend of mine here in Texas 5hat manages 15 or 20 branches under the same bank. He said yes it’s true, but you’ll have to find the exact time and day of the year. He said it’s not an all day thing either. His bank doesn’t do the foreign currencies exchange. He said find a good investment banker or a stick holder but it’ll cost.

Sorry all, I can’t send but one picture at a time.

 

[Jeff6146]

Well this is just an examp,e of a one year time. One day, 1150’s the next about 100. Then the next right back up. Happens once every year. I can’t explain it but right there it is. I have a friend of mine here in Texas 5hat manages 15 or 20 branches under the same bank. He said yes it’s true, but you’ll have to find the exact time and day of the year. He said it’s not an all day thing either. His bank doesn’t do the foreign currencies exchange. He said find a good investment banker or a stick holder but it’ll cost.

Fixed it.

 

[RunningBum]

What is your source here in your pictures? I don't see any such drop in xe.com. Also nothing here:

https://www.exchange-rates.org/Rate/USD/IQD/3-12-2019




1 US Dollar = 1,191.61 Iraqi Dinars on 3/12/2019
https://www.exchange-rates.org/Rate/USD/IQD/3-13-2019




1 US Dollar = 1,189.54 Iraqi Dinars on 3/13/2019
https://www.exchange-rates.org/Rate/USD/IQD/3-14-2019
1 US Dollar = 1,190.30 Iraqi Dinars on 3/14/2019

Perhaps whatever tool you are using has a glitch. Or perhaps some insider has a way to manipulate currency for an instant, that I would guess you'd never be able to take advantage of.

Look at it realistically. If there was some predictable way to make such a killing, don't you think professional arbitragers would already be on it?

 

[The Cosmic Avenger]

The text in all your images show the 52-week low as 1157, not in the 100s. I think that may just be an issue with that site's graphing, and RunningBum's research supports that theory.

 

[OldShooter]

Probably the OP's best option, assuming future travel, is to do the currency exchange at a major international airport. Travelex usually operates those exchanges and a quick look at rates will show that they are not a charitable organization. It will still almost certainly be better than some random US bank, though.

Except for Euros which like @COcheesehead we just keep, I usually manage my in-country currency by spending it during the last day or two of a trip. I never have a lot because I hit cash machines frequently* for $100-500 amounts during the trip. Worst case, buy some of the spectacularly overpriced chocolate bars offered at the departure airport.

That said, does anyone need Morrocan dirhams? I have MAD210 in bills I will cheerfully mail to you if you PM me an address.

*I never buy currency ahead of time in the US. It's a guaranteed way to get raped on fees. Even third world countries (i.e., Ethiopia, Vietnam) have reliable bank ATMs in arrival airports and Schwab covers all ATM fees.

 

[sengsational]

I have almost One Million Iraqi Dinar of the new currency and one day (sporadically) a year it jumps from around 1430 dinar:1 American Dollar to about 160:1; which is about $9K. I’ve been trying to wait until it got closer to 1:1 but I’ve held onto it since 2004 with the same outcome every year. Does anyone have any advice or knowledge about how to cash in on this small fortune? I forgot to mention that when the US invaded Iraq the exchange rate was 1 dinar:3.54 American dollars.

I presume you got into this as a bit of speculation/gambling and now you realize it's not going anywhere? You must realize that the 1:160 is a reporting anomaly - not real, and no one is getting that windfall.



If you're going to visit the country in the future, just bring the cash with you. If not, it doesn't matter when you exchange it. If you live near an airport that flies over there, the currency exchange at that airport might give you a somewhat reasonable rate if you have new/clean bills. But call around banks and see what you can get, but you have got to expect a sizable haircut on the rate and fees.