Effective 1st March, we have changed the way we calculate currency conversion from end user currencies into the content provider’s package currency. To ensure that we can maintain competitive out-payment rates we are now showing the cost of currency conversion into the Package Currency.
The Self Billing Invoices produced at the end of March show the cost of currency conversion as a separate column. For all current currencies this is 1.9%, but may change in future.
You can set up a Bango Package in your choice of US Dollars (USD), Euro (EUR) or British Pounds (GBP).
This currency is used to give a simple consistent view across all your payment transactions, in your Package Currency.
Where you sell things to an end user using a payment method which is the same currency as your package currency, the payments are collected by Bango in that currency and transferred to you in that currency, without the need to convert currency.
If you wish you can have a package with EUR as package currency to collect from EUR countries and pay into your Euro bank account, and another package with USD as package currency to sell into the USA and deliver dollars into your USD account.
Where payments are collected in a currency which is different from your Package Currency, Bango uses a “mid-market” or “interbank” rate (see www.oanda.com) to show your earnings in your Package currency.
This matches the exchange rate used to convert product prices set in your Package Currency into the currency shown to the end user, unless you fix a specific price for that transaction in the end user currency, and provides for consistency in viewing end user spending patterns.
Bango collects payments in a wide range of currencies from around the world, and converts these currencies into your own Package Currency for payment to your bank account.
To deliver the greatest value from your foreign currency sales, and benefit from aggregated volumes across thousands of content providers, Bango is able to convert currency at highly competitive rates.
Typically Bango is able to obtain a rate only 1.9% from the inter-bank (mid) rate.
This compares with around 2% for the best ATM or bank transactions, 3% for credit card transactions, and 5-8% for retail transactions.
For example, on a day where the mid-market rate was 1.3283USD for 1.00EUR, 1,000 Euros delivered:
- 1,302 EUR through Bango
- 1,263 EUR through Bank of America Business
- 1,063 EUR through HSBC Retail
For some more exotic currencies, with lower volumes being converted, the rate may be slightly higher, but will remain highly competitive with any rate obtainable elsewhere.
Bango charges no commissions, no fixed conversion fees and no handling fees.
You can see what rate has been used for conversion in your self billing invoice expressed both as a percentage difference from inter-bank rate and as an absolute amount.