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Getting paid
Where your money goes when a client pays in another currency
The mid-market rate, the markup and the flat fees, with a real $5,000 example.
Arjun ShahContributor, engineer · 4 min read
A $5,000 payment converted to euros through a typical high-street bank loses about 6% before it reaches you. Here's where it goes.
| Cost | Typical bank |
|---|---|
| Sending bank wire fee | $25 |
| Intermediary bank fee | $15 |
| Receiving fee | $12 |
| Exchange rate markup (5.2%) | $260 |
| Total lost | $312 |
The markup is the big one
Flat fees are visible. The markup hides in the exchange rate. Compare the rate you were given to the mid-market rate on the same day to see it.
