I am trying to figure out Paypal costs for use of a debit card in Mexico. It seems that in addition to the transaction fee, the currency conversion charge (or something) is extremely high. Here is an example.
We withdrew 11,000 pesos from Banco Santander in Mexico on May 27, 2024. According to XE historical data, the mid-market exchange rate was .0599 pesos to $1. At that rate, the 11,000Mxn should have cost $652.90. Paypal charged us $708.00. What accounts for the difference of $55,10? I note that there was also a transaction fee of $20.20.
Would we be better off to convert dollars to pesos in the Paypal account prior to using the card in Mexico?
