How is PayPal's exchange rate calculated?

When you use PayPal to convert the payments you received into or send a payment in a different currency, you can view the conversion rate at the time of the transaction. The foreign exchange rate is determined by a financial institution, which is adjusted regularly, based on market conditions. PayPal’s exchange rate includes a processing fee above the base rate at which PayPal obtains foreign currency.

If you use your credit card to send a payment, you can usually opt to use your credit card provider’s conversion rate instead of PayPal's. If you choose to use MasterCard or Visa’s exchange rate, the applied conversion rate will be shown on your credit card statement, and not at the time of the transaction.

For more information on the exchange rate with international payments, you can refer to the Fees and Charges statement.