Pay attention to who is switching your money
It is also clear to the least-initiated that currency exchange is not done at the same rate everywhere and in every case. However, even when shopping online, they can seriously ‘pull us off’ and not even realize it is not obvious to everyone.
Always look at the exchange rate
When you make money in person, you have the opportunity to check the exchange rates set and, for example, check your mobile for better or worse than the official exchange rate. The latter is also published on the website of the so-called mid-rate, for example, the National Bank of Hungary (adding that they do not exchange money).
Banks usually redeem money by adding their own charges, so this type of switch is not one of the lucky ones.
Therefore, it is much more advantageous than ‘official’ bank transfer and switching to outsource money to companies such as TransferWise. They guarantee the most advantageous mid-rate and are fully transparent in their pricing.
Not prudence, business
A great opportunity for many online trading is conversion. If Amazon or any other webshop or PayPal asks if you want to see the price of your chosen product in forints, then ‘yes’ here also means that we will pay in forints as well. And with a switching rate that drastically increases our costs. In fact, this brings them one of the biggest benefits.
For PayPal, in the ‘payment’ section, we need to look for ‘automatic payment’ and configure it to avoid PayPal’s unfortunate interference in this area.
Switching twice means double the fee
However, be aware that trusting your bank to make the purchase can make it even worse if the service is expensive for that company.
Some cards switch twice, for example from forint to euro, then from euro to the more distant currency. In many cases, financial institutions do not prescribe it for related information, even for US dollars, but in more exotic currencies.