AFAIK, if your paypal linked mastercard, the exchange rate is rendered based on mastercard rate regardless the bank issuer. but if linked to visa, it’s based on bank own rate when transaction is posted. CMIIW.
I always use my CC conversion rate, since mine only charges the currency exchange, no conversion fee. It adds up.
From what I noticed with other CC rates, PP was comparable: Conversion plus about 2.5%.
I switched from the PP exchange rate to my CC rate, but noticed the other day my CC company now charges a 2.75% “non-sterling transaction fee” on top of their commission. Might go back to Paypal’s rates.
My credit card (Halifax Clarity) doesnt have a non-sterling transaction fee so I’d like to use that, but I dont see a way of doing it when using Paypal.
When you are in the PP pay stage, there is a “use other exchange rates” option. This takes you to a screen where you can use PP’s rate, or use your CC company rate. Bit difficult to explain - I just changed my setting to buy the O’Pen, and can’t explain properly lol.
Bottom line is you know (in my case) the sterling price you pay without having to wait for the CC bill. tbh, I think it’s six of one, half dozen of the other, but I was just surprised at a very long CC bill the other day, and finding a new line/fee for each PP transaction. Wasn’t like that last month.
Funnily enough I received a new credit card today, and a new set of contractual terms, where I noticed the 2.75% fee. That is on top of another fee, of I think 3%, but since I dumped the terms, I can’t find what it relates to.
Unusual for banks and financial institutions to screw their customers, isn’t it? 0:)