Glossary

FX spread

Difference between the market rate and the rate used in the conversion, which is where part of the international cost stays hidden.

The spread is the margin built into the exchange rate. If the dollar is at a certain value in the market and the conversion on your withdrawal uses a worse rate, that difference is the spread, and it's revenue for whoever did the converting.

It matters because it doesn't show up in the fee table. A platform can advertise a lower transaction percentage than its competitor and still deliver less money to your account, because the difference was charged on the exchange rate.

The honest comparison between platforms isn't fee against fee. It's how much lands in your account at the end of an equivalent sale, already converted.

Documentation exists so a seller never learns a rule on the day it costs them. Worth reading before you need it.
Wellington CostaGlobal Payments Specialist

Need to deal with fx spread in practice?

Mundpay processes payments in 190 countries with local currency checkout, a human risk team and fast payouts. Open an account and test it against your own operation.

Abrir minha conta na Mundpay

Written by Wellington Costa Global Payments Specialist

Writes about payment infrastructure, checkout conversion and chargeback reduction. Works directly with digital product sellers, affiliates and creators selling to more than 40 countries through Mundpay.