Dynamic currency conversion: should you pay in your own currency abroad?
By SendPay Business · · 2 min read
Dynamic currency conversion, or DCC, is when a card machine, cash point or checkout abroad offers to charge you in your home currency instead of the local one. It sounds helpful, but the exchange rate used is set by the merchant's provider and often includes a mark-up.
How DCC works
When you pay with a foreign card, the machine spots your card's home currency and offers to convert the price there and then. If you accept, the conversion happens at the provider's rate rather than your card issuer's rate.
Why it often costs more
The DCC rate usually includes a margin on top of the mid-market rate. Your own card may still add a foreign transaction fee on top, depending on the card.
What to choose
- When asked, pick the local currency.
- Check your card's own foreign transaction fee before you travel.
- Compare the rate you're offered with the mid-market rate if you're unsure.
Where SendPay fits
SendPay platforms include GBP, EUR and USD accounts and currency exchange under your own brand, powered by licensed partners, so your customers can hold and swap currencies in one app.
Build it
Create your own financial platform.
Pick a template, name it, brand it, preview every page before you pay. Your brand, your users, your fees.
Build my platform →Questions people ask
What will my card charge me abroad?
Work out the fee on your own spending.
Foreign transaction fee calculator →Which is cheaper, local currency or my own?
Our free DCC calculator compares both and shows the mark-up hidden in the offer.
DCC calculator →Read next
This guide is general information, not legal or financial advice. SendPay Business is a technology company, not a bank, and does not take deposits; regulated services on the platforms are provided by licensed partners. PayPal, Patreon and Substack are named as reference points only and are not affiliated with SendPay Business.