PayPal Currency Conversion vs eBay's - help...

[yellow_cake]

I just sold an item on eBay for $646.00 US, and eBay's currency conversion rate converts this to $658.08 CAD.

Now if I go to PayPal and try to withdraw $646.00 US, their conversion rate converts it to $641.79 CAD.

I was paid right after the auction ended and I attempted the withdrawal from PayPal right after, so I don't think it had anything to do with the rates changing...

So if the buyer paid me using Canadian dollars, he would have paid $658.08 CAD. Now I'm wondering where this $16.29 CAD is going to when I try to withdraw to my bank account

This is aside from the PayPal fees I was already charged during the transaction ($19.42 USD)...

Can someone please help me understand? I've tried searching google and paypal FAQ's but could not find anything to answer my Q.

My eBay page:

PayPal withdrawal page:

[PayPal_Adrian]

Hello yellow_cake!

I see you took the time to answer a question as well as asking one.  The community really appreciates that! 

The currency conversion rate displayed on eBay doesn't take into account any fees that might accrue during currency conversion, only what the funds would convert to using a common rate. 

For example, when you exchange funds at some banks, they convert the funds and then charge a fee.  That fee might be paid up front or after the conversion, but it doesn't directly affect the rate.

When converting funds via other banks, or via PayPal, the fee is worked into the currency conversion rate.  These two items are the reason why you're seeing a difference in the amount received versus the amount displayed directly on eBay.  PayPal's currency conversion rate includes the currency conversion fee, thus the difference.

Thanks!

Adrian