1. Home
  2. UK Finance Discussions
  3. Currency conversion rates

Currency conversion rates

Hi,

when converting from one currency into another, then there are 2 types of conversion rates AFAIK.

One rate is for non-cash so to speak (i.e. conversion after a bank transfer for example), and the other rate is for converting cash (e.g. when I use my ATM in a foreign country or change cash in a bank). The cash conversion rate is slightly worse AFAIK.

Questions:

1) What are the correct english terms for the 2 types of conversion rates described above?

2) Do these rates differ from bank to bank?

Thanks for your help.

Reply to
Scott Steiner
Loading thread data ...

Interbank rate - shouldn't vary from bank to bank but it can change marginally for every transaction. It's used in ATM transactions, but most banks will load it by a total of 4.2% or thereabouts for ATM use. (Nationwide don't load if you are looking for the cheapest way).

Tourist rate for cash/TC transactions - will vary from bank to bank but probably not a lot. Depends how much 'commission' they want to build into the rate so that they can say 'commission-free'. Typically 5% or a little more either side (buy/sell) of the interbank rate.

Reply to
dtren

That's most UK banks - may differ where you are.

Reply to
dtren

BeanSmart website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.