Creating a forward contract via a payment involves initiating a currency exchange agreement that is linked to a future payment. This allows you to lock in an exchange rate ahead of your payment date, providing certainty against currency fluctuations.

On the OFX platform, you start by setting up the payment details including beneficiary information and payment amount, then select the option to create or link a forward contract during this process. Note that currently, payment-based hedging (creating forwards directly from payments) may have some limitations depending on your account setup and system version. It’s important to understand that linking a payment to a forward is a “soft link” — the payment can still proceed independently if funds are available in your currency wallet. Always ensure you review all details carefully before confirming the forward contract and payment linkage.

Why is this page important?
Understanding how to create a forward via a payment helps you manage foreign exchange risk effectively while aligning your currency conversions with actual payment schedules. This reduces exposure to adverse currency movements and improves cash flow planning.

Next Steps

1. Log into your OFX account.

2. Navigate to the Payments section from the sidebar menu.

3. Click on “+ Create payment” at the top right corner.

4. Enter all required payment details such as Selected recipient, Pay date, Reference, and Amount (see the Related Articles). The Pay date must after 3 business days from today for the Create forward toggle to appear.

5. To create Forward from payment, Select 'Lock in your rate - manage FX risk' option.

6. Notice the rate changes to Guaranteed rate.

7. The deposit required is display at the bottom of the panel.

8. Review all the details and select Continue.

9. Confirm the payment details. If all correct, then select Pay later.

10. The payment will appear in the All tabs of Payments page.

11. To view the Forward created via payment, navigate to Forwards. The created forward record will be displayed in All and Schedule tabs.

Related Articles

• How do I create a payment?

• How do I create a Recipient?

• What is a guaranteed rate?