What are the bank account details for the
Online Multi-Currency Account?
Who provides the Online Multi-Currency Account?
Who can open an Online Multi-Currency Account?
Which currencies do I have access to?
It says online; what does this mean?
Do I get a discounted brokerage rate?
Which currencies can I settle my share or bond trades in?
Can I pay my AU, US or UK dividends to the OMCA?
Is there a minimum deposit or minimum balance needed to operate the
account?
Do I have to hold a balance in all of the 10 currencies?
Are there any transaction charges or service fees?
How can I deposit funds?
When can I withdraw funds?
When can I transfer money between currencies?
How often are transfers processed?
Can I withdraw money in a foreign currency from my OMCA?
Can I transfer NZD from my Direct Broking Call Account to a foreign
OMCA currency?
Can I make transfers within or withdrawals from my OMCA via the
telephone?
Can I un-do a transfer or withdrawal before it has been processed?
What level of interest do I get on my funds?
What tax do I have to pay on interest earned from my OMCA?
How do currency fluctuations affect my balance when converting
money to and from NZ dollars?
How is interest paid?
How is income tax paid?
Who provides the Online Multi-Currency Account (OMCA)?
The Online Multi-Currency Account is issued by ANZ National Bank and managed by
Direct Broking Limited.
ANZ National Bank Limited has a guarantee under the New Zealand deposit
guarantee scheme. Further information about the deposit guarantee scheme is
available free of charge and at all reasonable times at
www.treasury.govt.nz
Who can open an Online Multi-Currency Account (OMCA)?
Clients are only able to open an OMCA if they are a New Zealand tax
resident and if they have an existing share trading account, or they are a New
Zealand tax resident and they are opening an OMCA in conjunction with a new
share trading account. We are unable to provide the OMCA to overseas tax
residents due to the complexity of overseas tax rules.
Click here to apply for an OMCA
account
Click here to apply for
an online share trading account
Which currencies do I have access to?
Currencies available in the Online Multi-Currency Account are:
New Zealand Dollars (NZD), Australian Dollars (AUD), US Dollars (USD), Euro
(EUR), British Pounds (GBP), Japanese Yen (JPY), Canadian Dollars (CAD), Swiss
Francs (CHF), Hong Kong Dollars (HKD) and Singapore Dollars (SGD).
It says online; what does this mean?
The OMCA is primarily accessible through Direct Broking's website via your
existing username and password. Using our online platform, you may view
balances, transactions and uncleared funds. You may also request to transfer
funds between currencies within the OMCA or request NZD withdrawals to
your nominated NZD account or, where applicable, to your Direct Broking Call
Account. You may also fund the NZD OMCA by requesting a transfer of funds from
your Direct Broking Call Account.
As the OMCA is an online account, monthly statements will be sent to your
nominated email address. Any additional communications will be sent via email
or online notices.
Do I get a discounted brokerage rate?
If you have sufficient funds in your OMCA to cover the cost of your buy
orders, you will be charged at the NZD discounted brokerage rate of $29.90 up
to $15,000 and 0.2% thereafter, or the AUD discounted brokerage rate of A$29.00
up to A$30,000 and 0.3% thereafter.
Note: the discounted rate only applies if the required funds are available in
the NZD or AUD OMCA at the time you place your order.
Settlement of US/UK trades in USD/GBP will not attract the discounted brokerage
rate as these trades are Custodial Trades and will be charged accordingly.
View our online share trading brokerage rates here.
Which currencies can I settle my share or bond trades in?
To purchase shares in AUD, USD or GBP you must have the required amount of
funds available in the necessary account before you place your order.
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SETTLEMENT METHOD... |
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NZX trades: |
NZD from the Direct Broking Call Account |
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NZD from the NZD OMCA |
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ASX trades: |
NZD from the Direct Broking Call Account |
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NZD from the NZD OMCA |
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AUD from the AUD OMCA, if funds are available |
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US Custodial trades:
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NZD from the Direct Broking Call Account |
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NZD from the NZD OMCA |
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USD from the USD OMCA, if funds are available |
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UK Custodial trades:
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NZD from the Direct Broking Call Account |
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NZD from the NZD OMCA |
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GBP from the GBP OMCA, if funds are avaialable |
Can I pay my AU, US or UK dividends to the OMCA?
Clients who have an OMCA and who trade US/UK shares via our Custodial Trading service now have the ability to receive their incoming
corporate action funds in the applicable currency – e.g. USD, GBP, EUR etc. You can select your payment method for US/UK dividends by
going to My Preferences.
Australian dividends paid to you by Australian Dollar cheque can be posted to Direct Broking and deposited into your OMCA AUD account.
Please note that an 8 day clearance period applies for Australian Dollar cheques. At this stage, the OMCA cannot accept Australian Dollar
direct credit payments.
Is there a minimum deposit or minimum balance needed to
operate the account?
No. However, if an account remains unfunded or inactive for a period of
time, we reserve the right to close the account at our discretion.
Do I have to hold a balance in all of the 10 currencies?
No, you can choose to hold a balance in all, none or any of the 10
currencies of your choice once your OMCA has been opened. However, if an
account remains unfunded or inactive for a period of time, we reserve the right
to close the account at our discretion.
Are there any transaction charges or service fees?
There are no service or transaction fees on this account. However, when a
currency transaction occurs, a margin between the wholesale rate and the rate
provided to you will be applied. More information on foreign exchange margins
can be found here.
How can I deposit funds?
You can view deposit instructions and the bank account details for your
OMCA account here.
When can I withdraw funds?
Funds can be withdrawn (overnight) from your NZD OMCA or Direct Broking
Call Account on any NZ business day before 4:00pm NZT. If your withdrawal
request is placed on an NZ public holiday, on a weekend or after 4:00pm NZT,
funds with be withdrawn overnight on the next business day.
Note: the withdrawal of funds only applies to NZD.
When can I transfer money between currencies?
Funds can be transferred on any NZ or currency issuing country's business
day between the hours of 9:00am and 6:00pm NZT. If your transfer request is
placed on an NZ public holiday, on a public holiday in the currency issuing
country, on a weekend or after 6:00pm NZT, funds will be transferred overnight
on the next business day.
How often are transfers processed?
Transfer instructions are processed at least once every hour from 9:00am NZT
until 6:00pm NZT during New Zealand business days.
Clients should note that due to the hourly processing of transfers, the OMCA is
not suitable for short-term currency speculation.
Read more.
Can I withdraw money in a foreign currency from my OMCA?
If you wish to withdraw a non-NZD currency from your OMCA you must first
transfer it to the NZD OMCA and then withdraw the exchanged NZD amount.
Can I transfer NZD from my Direct Broking Call Account to a
foreign OMCA currency?
No, you can only transfer NZD between your Direct Broking Call Account and
your NZD OMCA. When the funds are in your NZD OMCA, you can then transfer to a
foreign currency.
Can I make transfers within or withdrawals from my OMCA via
phone?
Clients are encouraged to use our online platform to conduct transfers or
withdrawals, however in cases where internet access is not available you may
call 0800 805 777 and ask us to do a transaction on your behalf.
Can I un-do a transfer or withdrawal before it has been
processed?
You will be given the opportunity to amend or cancel your instruction
before you confirm it, but once it has been confirmed (on screen by you) and
sent for processing it cannot be reversed.
What level of interest do I get on my funds?
The level of interest earned on each currency varies based on the amount of
funds in your account and on the prevailing wholesale interest rate. Note: some
currencies may display an interest rate of 0% if the wholesale rates are too
low to support a retail interest rate.
To view the most up-to-date interest rates,
click here.
What tax do I have to pay on interest earned from my OMCA?
All OMCA account holders pay Resident Withholding Tax (RWT) on any interest
that is earned in their OMCA. The relevant RWT rate must be provided at account
set up in the OMCA application form.
If you do not advise Direct Broking of the tax rate to be applied to your
investment, or you do not provide your IRD number in the OMCA application form,
RWT will be deducted at the highest rate (currently 38%).
Please note that Direct Broking is unable to give advice on tax related
matters; we suggest you seek independent taxation advice from your tax advisor
or accountant.
How do currency fluctuations affect my balance when
converting money to and from New Zealand dollars?
When converting New Zealand dollars to a foreign currency, the amount in
the foreign currency you receive is dependant on the exchange rate at the time
of the conversion. As a result, if you are holding money in a foreign currency,
as that currency exchange rate fluctuates the equivalent amount in NZD also
fluctuates.
How is interest paid?
Interest is calculated daily and paid monthly on the balance of applicable
currencies.
How is income tax paid?
Resident Withholding Tax (RWT) is deducted monthly from the interest earned
on relevant currencies and converted into New Zealand Dollars for payment to
the Inland Revenue Department (IRD) on the same day, using a margin-free rate
approved by the IRD.
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