Foreign currency payments now defaulting to PayPal's conversion?

[Tiny_Clanger]

My foreign currency payments used to default to PayPal charging my card in the foreign currency and letting my card provider handle the conversion. As my card doesn't surcharge for foreign currencies, this is obviously better than letting PayPal do it.

Today, I tried to make a payment, and it defaulted to letting PayPal handle the conversion. Fortunately I spotted this and changed it manually before completing the transaction, but when I went through my profile to try and set the default I couldn't find a setting; I'm sure there used to be one.

It seems like somebody's changed the default to the option that brings PayPal the most in charges, regardless of whether or not it's convenient for the customer.

How can I get PayPal to default to having my card handle the conversion every time — like it used to do — without having to manually change the setting on each transaction?

I also need to be sure that my recurring subscriptions will stay as being charged in the foreign currency, as I obviously can't approve a change each month. Although both those companies take credit cards directly, so I can always switch from PayPal on those if necessary.

(This is the same reason I unlinked my bank account; it would always default to paying through my account, and when I changed payment to a credit card I would have to click through a screen saying "are you sure? Think of all the advantages of having the money leave your account right now instead of in a month's time!" Too much hassle to get PayPal to let me use it the way I wanted instead of the way PayPal's beancounters wanted.)

[jpinto]

same question... i don't want to use paypal conversion, how can I disable it?

[PayPal_paula]

Hi jpinto, 

I hope you find my response above useful and it answers your questions. 

Paula 

[PayPal_paula]

Hi Tiny_Clanger, 

Welcome to the PayPal Community forum. 

When you send money using your Visa or MasterCard, the amount charged to your card will be charged in your local currency if the local currency is supported by PayPal.

When you use your credit card, we may ask you to choose whether PayPal or the credit card associations' should perform the currency conversion for your transactions.

When we perform your currency conversion, we’ll show you the conversion rate there and then. If you choose not to use the MasterCard and Visa currency conversion process, you’ll have no option to dispute any matter related to the conversion with MasterCard and Visa afterwards.

If you choose to use the credit card association's currency conversion, we can’t show you the conversion rate. Your card issuer will determine the foreign exchange rate to apply to the transaction, and you will not be informed of the foreign exchange rate or any additional foreign exchange fees applied until you are billed by your card issuer.

My Apologies for the long response and I hope this helps answer all your questions. 

Paula 

[YS]

I would like to know whether Paypal does its own foreign currency exchange and keep the revenue on the FX spread?

Or does Paypal outsource FX to other financial institutions?

[Barchetta]

Hi I'm new to this web thing.

I am about to launch a new site trading in Europe and UK. I have both a UK sterling account and a Euro account. What I'd like is for Euro payments to go into my Euro account and sterling payments into my sterling account therefore avoiding additional transaction charges. How do I go about this?

[PayPal_paula]

Hi Barchetta, 

If you have a UK PayPal account then you will only be able to add your UK bank account. Your UK PayPal account will not allow you that add your Euro bank account. If you are receiving payments in euro and withdrawing them to your bank account they will be converted to Pound sterling  before being added to your bank account. 

I hope this helps answer your questions 

Paula 

[BladeR]

Eeeeh... Did you even read his question? He was not requestion a "benefits of letting paypal doing the conversion" He was requesting how to change the default setting.

I'm extremly dissapointed by Paypal changing this default option without informing us at all. Shame on you Paypal. You have much trust from users. Dont break it now.

[bairog]

My Account -> Profile -> My Money -> My preapproved payments -> Update -> See Available Funding Sources (or Set Available Funding Sources) -> Conversion Options (for card you'd like to change this option)-> Bill me in the currency listed on the seller's invoice -> Submit

Hope, it helps.

[Boots90210]

Thanks mate, shame the paypal representative couldnt have given that answer.