Why is no Currency Conversion Fee mentioned on my AIB Debit Card Statement?

P

Paul Carr

Registered User
Messages
5
Hello,

My name is Paul Carr. I am in China. I have an AIB Debit Card account. The card says Maestro/Laser/Banklink on it. I got my personal bank statement earlier this month for May. (May 13th). Prior to the issuance of that statement, I made one ATM withdrawal from an ATM machine in China within the previous accounting month. That transaction is shown on my personal bank statement for May. Regarding that transaction, it mentions the commission, which is charged separately, as well as the 0.39% mastercard scheme fee. However, nowhere on the statement is any mention made of any currency conversion fee levied for my one transaction.

I'd be grateful if someone could enlighten me as to what is going on here. If there is indeed an invisible currency conversion fee, how much is it?

When I was in Hong Kong in January, it was the same story. The ATM withdrawals I mad(in Hong Kong dollars) are stated including both the mastercard scheme fee and the separate commission fee but not the currency conversion fee.
 
Is the currency conversion fee built into the spot FX rate that you got?

Does the FX rate as at that day tie to the market FX rate?
 
Thanks for writing back, Ciaran.

My withdrawal from my AIB debit account took place on May 10th. The rate given at the time is 7.788161. I presume this is the Spot FX rate? Nowhere is the currency conversion fee explicitly and separately stated. Perhaps, the currency conversion fee is built into the spot FX rate? It would be nice to know just how much the currency conversion fee is per transaction. My withdrawal was for 2000 RMB which worked out as 256 euro and 80 cents.
 
Is there a website available that tells me the Spot FX rate and the Market FX rate for the same day between any two currencies?
 
Does that website give both the Spot FX rate and the Market FX rate for Euro/RMB? If so, what's the exact URL?
 
THere is a currency converter on the xe website that gives a currency conversion between euro and yuan. I frankly don't know if it is the Spot FX rate or the Market FX rate. I don't know if it is both though.
 
They explain here:
Are your currency rates "buy" or "sell" rates?
Answer
The rates in our free information services are neither "buy" nor "sell" rates. Instead, they are mid-market rates derived from the mid-point between the "buy" and "sell" rates from global currency markets. Our free information services always list the mid-market rate because it indicates the value of a currency that is not weighted towards buying or selling.
"Buy" and "sell" rates include overheads and profit margins that are independently set by foreign exchange providers; their rates can vary a lot and will differ from the mid-market rate, so we recommend you shop around. To transfer money at the best buy and sell rates guaranteed, visit XE Trade.
Click to expand...
 
I believe your question may be based on an assumption that is not valid.

The rate charged by AIB, or by the card provider, is based on a market rate, but not the actual market rate. The rate used for the conversion includes other commission/fees/charges, that are at the discretion of the provider.
 
I think the basis of the Terms & Conditions of the exchange rates plus commissions can be found in your card provider. These are issued to every cardholder which for part of their welcome pack. Alternatively Google it looking for the Master Terms & Conditions
 
You must log in or register to reply here.
Back
Top