Posted on May 12, 2010.
What do you ask? Exchange rates on ebay? Why the exchange rate quoted on paypal 3 cents different from the current bank exchange rates when converting the pound sterling to the euro
I bought an item on eBay some time ago and when I went on-line currency converter and exchange rate was 85.3 pence sterling / 1.00 euros, while the exchange rate is 82.3 p paypal sterling/1.00 Euro
Reason 1) Say you buy something for £ 100. You expect to pay a‚¬ 117.23 (100/.853).
Rather than charge you a‚¬ 117.23, paypal charges you a‚¬ 121.51 (100/.823). This approximately 4 euros more becoming a profit for Payal. Well this is just one way that maps services like Paypal or make money.
Reason 2) The currencies are very liquid and their prices change very quickly. Either the price can be changed very quickly, or maybe paypal was not updated their prices or policies may not update their rates change so often.
I say that it is likely REASON 1. IT Likewise credit cards money.
