By JLP | December 23, 2010
This morning I received £150 (British Pounds) in my Paypal account. Paypal took £6.05 off the top for their fees, which left me with £143.95. They then converted it to U.S. Dollars at $1.50325 per £1.00. Everywhere I looked showed the conversion to be somewhere in the neighborhood of $1.53 to $1.54 per British Pound.
The difference was somewhere around $6 on my transaction. No, it’s not a lot but it is a lot when you figure that I already paid a 4% fee (the £6.05 that Paypal took right off the top). Paying $1.50325 when market rates are quoted at $1.5426 is wrong. Especially when there’s no mention of any additional fees on the transaction.
I called Paypal to find out about this but the woman who took my call seemed lost. She kept telling me about the fees. I told her that I understood the fees and that they were taken out BEFORE the money was converted to dollars. I eventually gave up and hung up the phone.
Any of you noticed Paypal currency conversions issues?