Cryptocurrency Q&A
How does PayPal calculate currency exchange rates?
How does PayPal calculate currency exchange rates?
BitcoinBaroness
Tue Jul 16 2024
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5 answers
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As a keen observer of the digital financial landscape, I'm curious to know how PayPal calculates its currency exchange rates. Given the volatile nature of cryptocurrencies and traditional currencies alike, it's imperative to understand the methodologies behind such calculations. Do they use market rates or apply a premium? Do exchange rates vary depending on the type of transaction or the user's location? Are there any hidden fees or charges that could affect the final exchange rate? Clarifying these points would help users make informed decisions when using PayPal for cross-border transactions.
5 answers
Leonardo
Wed Jul 17 2024
For instance, if a user's default currency is USD but they wish to send a payment in EUR, the applicable exchange rate will be used to convert the funds.
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Bianca
Wed Jul 17 2024
PayPal procures wholesale rate quotes from our banking partner twice daily.
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CryptoSavant
Wed Jul 17 2024
These quotes serve as the foundation for our retail foreign exchange rates, upon which we apply a percentage fee.
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Giuseppe
Wed Jul 17 2024
Our goal is to ensure our currency exchange rates remain competitive with those offered by traditional banks.
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Tommaso
Wed Jul 17 2024
The determined exchange rate comes into effect whenever a user sends a payment in a currency that differs from their default currency.
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