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Author: Admin | 2025-04-27
Times can vary widely, so comparing a few is a smart optionUnderstanding exchange ratesWe’ve mentioned that it’s important to check the exchange rate a provider will offer you before you convert currency online. But what does that really mean?To know if an exchange rate is any good or not you’ll need to know the mid-market currency exchange rate for your currency pair – so for USD to EUR for example. You can find this on Google or with a currency exchange calculator. What you’ll be shown is the mid-market rate, which is the one that’s used as a benchmark by banks and currency exchange services trading on wholesale markets. However, this rate isn’t usually passed on to customers.Generally providers will add a markup – a fee – to the mid-market rate to calculate their rate for currency exchange. This is hard to spot, and can mean you’re paying fees you weren’t expecting. Looking for a provider which offers the mid-market rate with no or low markup is the best bet.Where to avoid exchanging currencyAs tempting as it may be, it’s usually best to avoid exchanging currency at the airport. Airport currency exchange desks tend to have little competition, and know that travelers just want to get their money sorted, and won’t be scrutinizing the costs at this stage. That can lead to a high markup fee being added to the exchange rate, which ultimately means you pay more than you need to for your travel cash.When should I use my bank to exchange currency?Some banks in the US offer travel cash services which allow you to walk in and exchange dollars to the currency you need instantly. You’re likely to need to already hold an account with the bank before you can use this service.Using a bank may not be
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